26 March, 2012
Economy:
Uzbekistan plans to launch production of NPK-fertilizer in 2014
Uzbekistan Airways constructs new airport building in Navoi
Uzbekistan plans to attract US$3.3bn of foreign investments
ECONOMY
Uzbekistan plans to launch production of NPK-fertilizer in 2014
Production of combined fertilizers is to be set up at SJSC Ammophos-Maxam under the Presidential Decree of October 4, 2011 "On urgent measures to increase production and development of new types of competitive products". Establishment of production of compound fertilizers was included in the list of investment projects to be accelerated by reducing time of preparation and implementation of construction and commissioning, SJSC Uzkimesanoat informed.
The project cost is $22.5 million, of which $4.5 million are the company's own funds, and $18 million are foreign investments and credits. Production of NPK-fertilizers at the largest enterprise producing phosphate fertilizers in Uzbekistan is scheduled to start after upgrading phosphorus production for total cost of $15 million in 2012-2013. The upgrade will increase the capacity of the enterprise by 42.5 thousand tons of amorphous, specified the company officials.
Development of a new type of fertilizer opens good opportunities to the chemical complex of Uzbekistan. According to experts, domestic and foreign market demand for compound fertilizers is quite high. The main reason is their cost. The principle "three fertilizers in one" provides an agrochemical high efficiency and reduces costs of fuel and lubricants due to the simultaneous introduction of essential nutrients into the soil.
In this regard, a key player on market of mineral fertilizers in Central Asia – the chemical complex of Uzbekistan - gets number of advantages.
Chemical fertilizer is largely a product of processing ore and natural gas. Enterprises for their production are usually located near the places of extraction of raw materials. Natural gas (raw material for the production of nitrogen fertilizers) as well as phosphate and potash ores are distributed unevenly in the world.
Uzbekistan, which has its own stockpile of raw materials (natural gas, Qizilqum phosphorus and Tyubetagan and potassium salts) and enterprises on its processing take a winning position. The country can become a major exporter of compound fertilizers to intensive and growing markets of other countries that lack or do not have their own natural resources and production of fertilizer, experts believe.
In conditions of annual increase of international trade of mineral fertilizers and raw materials for their production on the background of population growth and demand for food commodities, the regional conference of the International Fertilizer Industry Association (IFA), which will be held on April 2-4 in Tashkent becomes particularly important.
According to experts, holding of this event in Uzbekistan will increase its cooperation with international manufacturers of fertilizers. In addition, it will play a significant role in attracting potential investors to implement projects in the chemical industry of the country. The purpose is the construction of modern facilities for production of highly liquid and competitive on the international markets products, diversification of the structure and geography of exports of mineral fertilizers produced by enterprises of SJSC Uzkimesanoat.
According to Goskomstat, in 2012 the Uzkimesanoat produced 1.17 million tons of fertilizers (36 thousand tons in 2010). Most of them were nitrogen fertilizers: 924.3 thousand tons (- 31 tons in 2010).
The second and third places went to phosphate fertilizers: 139.4 thousand tons (-9.3 tons) and potassium fertilizers: 108 thousand tons (+78 tons).
In the next two years, Uzbekistan has substantial plans to increase production of potash fertilizers. For this purpose, the country implements a project on expansion of production capacity at Dehkanabad potash fertilizer plant. (Source: UzReport.com)
Uzbekistan Airways constructs new airport building in Navoi
Uzbekistan Airways constructs new airport building in Navoi
Uzbekistan Havo Yollari, a national airline of Uzbekistan, (Uzbekistan Airways) is constructing a new airport building at the Navoi International Airport.
Pravda Vostoka newspaper reported that the construction works are conducted within the programme on development of land infrastructure of Uzbekistan Havo Yollari and modernization of the airports.
Prommontajspetstroy OJSC is a general contractor of the project. The airport building is constructed due to resources of Uzbekistan Havo Yollari.
The capacity of the new terminal will increase up to 400 passengers an hour and it will process 260 units of luggage an hour.
In line with the international standards, the airport building will have arrival and departure corridors, local and international flights’ hall. New luggage delivery system was installed. (Source: UzDaily.com)
Uzbekistan plans to attract US$3.3bn of foreign investments
Uzbekistan will continue active investment policy in 2012. It is planned to increase the volume of capital investments, directed to development of economy of the country. Their growth compared to 2011 will make up 9.3% and its share in GDP – 24.5%.
The volume of foreign investments and loans will grow by 16% and make up over US$3.3 billion, of which over US$2.3 billion or 70% will be foreign direct investments, which indicates interest and trust of foreign investors into economy of Uzbekistan.
In 2011, total volume of used investments in economy made up over US$10.8 billion, or grew by 11.2% year-on-year. At the same time, its share in GDP made up 24%, which is rated as above average level in line with international criteria.
The highest growth of investments was recorded in such sectors as automobile, chemistry, electrotechnical, textile, pharmaceutical, which produce ready products with high added cost.
In total volume of used investments share of internal sources – budget funds, off-budget funds, Fund for Reconstruction and Development, own resources of enterprises, bank loans and population resources – made up 73% in 2011. External investments was 27%.
The decrease of single tax payment for microfirms and small enterprises from 7% to 6% helped to increase investment activity of businesses, which allowed to direct 80.3 billion soums (Exchange rate of CB 1USD-1839,40 soums) of freed funds to re-equipment and introduction of new technologies.
Total volume of used foreign investments and loans exceeded US$2.6 billion in 2011, of which over 84% of them were foreign direct investments.
Over 73.5% of all investments were directed to construction of production capacities and about 45.3% of investments were used to purchase of new equipment.
The active investment policy in 2011 helped to launch new modern enterprises, among them are GM Powertrain Uzbekistan on production of automobile engines, enterprises on production of automobile generators and compressors, production of energy saving lamps, production of Samsung washing machines, gas ovens, air conditioners, etc.
Construction-assembly works are underway on such large projects as construction of combined-cycle plant at Navoi thermal power station, construction of the third line of Uzbekistan-China pipeline, construction of Kandym field with construction of gas processing plant.
Navoi free industrial and economic zone is operating successfully, where production of automobile wires, compressors, TV-tuners, energy saving lamps, modems, and other goods were launched.
Within the implementation of the project on construction and reconstruction of the Uzbek national automobile highway, Uzbekistan laid 302.5 km of modern roads. New passenger terminals of local flights were launched in Tashkent and Bukhara.
High-speed train Talgo-250 started to run between Tashkent and Samarkand. The train passed 344 km within 2.5 hours. To launch this train, wide-scale work on modernization and improvement of railway was conducted. Some 600 km of railway roads were rehabilitated and 68 km of new roads were constructed. Railway stations of Tashkent and Samarkand cities were reconstructed and equipped.
President of Uzbekistan adopted several resolutions, which are directed at further development and increasing competitiveness of economy of the country. Among them are programme on measures on production and launch of production of new competitive goods and On priority directions of industrial development of Uzbekistan for 2011-2015, etc.
In 2012, it is planned to launch 1,375 objects due to centralized sources of financing, and special attention will be paid to construction of educational and medical establishments, sport complexes, etc.
This year, it is planned to complete over 270 investment projects. Among them is to launch production of new car Cobalt with the project capacity of 125,000 units, construction of combined-cycle plant at Navoi thermal power station, over 25 textile capacities, etc.
Uzbekistan implements several projects on processing natural gas, including construction of Ustyurt gas chemical complex at Ustyurt field and Mubarek gas chemical complex with field construct with the capacity of 800,000 tonnes of polyethylene and 100,000 tonnes of polypropylene, production of liquidized synthetic fuel, expansion of ash soda production at Kungrad Ash Soda Plant, etc.
The country will also work on development of communication-transport system, including railway and air infrastructure. In particular, it is planned to electrify Karshi-Termez railway with extension of 325 km and Marakand-Karshi railway with the extension of 140 km.
Uzbekistan Havo Yollari implements project on modernization and unification of its fleet through purchasing 10 aircrafts of Airbus A-320, four planes of Boeing 767-300 ER and two planes – Boeing 787-800.
Implementation of the investment projects in industry will help to boost production of industrial goods in Uzbekistan. It is planed that the industrial production growth will make up 9-12% a year within 2011-2015 due to implementation of the projects. Share of industry in GDO will rise from 24.1% in 2011 to 28% in 2015, while exports of the industrial goods in total volume of production will grow from 42.3% in 2011 to 63.2% in 2015. (Source: UzDaily.com)