April 17, 2009
Politics:
Uzbek Cabinet Sums Up First Quarter Results of the Nation’s Development
Portuguese Foreign Minister to Visit Uzbekistan, Hold Talks
Economics:
Uzbek-Pakistan commission holds session
IFC presents report on business climate in Uzbekistan
CNH starts production of the TL 100 HP tractor in Uzbekistan
Bashkortostan business delegation visits Uzbekistan
WorldFood Uzbekistan 2009, AgroWorld Uzbekistan 2009 results summed up
Society:
President decrees on rewarding veterans
Anti-TB fight stepped up in Uzbek prisons - news agency
Uzbek state TV first channel is most popular in capital – survey
Tashkent to host wrestling tournament
POLICY
UZBEK CABINET SUMS UP FIRST QUARTER RESULTS OF THE NATION’S DEVELOPMENT
On April 15 this year the Cabinet of Ministers of the Republic of Uzbekistan held its session, according to the report by Jahon Information Agency.
The session saw the discussion of the outcomes of the first quarter in terms of accomplishing the most important priorities of the program for social and economic development of the country for 2009 set by President Islam Karimov at the sitting of the Government of Uzbekistan on February 13 this year.
Also, participants of the session have pinpointed the measures towards accelerating the implementation of the Anti-crisis program aimed at preventing and addressing the consequences of the global economic crisis on the nation’s economy.
The growth of the gross domestic product accounted for 7,9 percent, the volumes of industrial production – 9,9 percent, production of consumer goods – 12,5 percent, agriculture – 5,7 percent, services – 16,6 percent, and construction works – 12,1 percent. The country provided for a surplus of the State budget in the amount of 0,4 percent towards GDP, while the level of inflation did not exceed the forecast parameters.
The implementation of measures on structural changes and diversification of economy, modernization and technical renewal of the leading branches of economy, comprehensive support of the producer enterprises as a part of the Anti-crisis program served for the growth of investments by 31,4 percent, including the direct foreign investments – for 2,5 times.
During the said period Uzbekistan commissioned 54 production facilities and among them there are: the textile enterprises “MPT Textil” and “Klayna Textil” in Namangan Province, the “Besharyk Textil” in Ferghana Province, the “Aytug textil” in the city of Tashkent, the “Mili Guliston Textil” Joint-Venture in Syrdarya Province, the diary products enterprise “Kitob okila sut” in Kashkadarya Province and others.
The measures, which have been undertaken to reinforce the support of entrepreneurial activity, including the decrease of tax burden, sharp decline in a number of check-ups and expansion of privileged crediting, have provided for a further development of small business and sphere of services. For over the first quarter this year the share of small businesses towards GDP increased up to 36,2 percent against 35,1 percent and of the sphere of services – up 45,5 percent against 44,4 percent in the same period last year.
The implementation of the most important purposeful programs of development and the Anti-crisis program allowed to create 208,6 thousand new jobs.
The participants of the session have comprehensively and thoroughly analyzed the course of implementation of the Anti-crisis program, including the efficiency of measures being undertaken to support and provide for a stable work of enterprises that export goods, lower the prime cost of products of domestic manufacturers and expand on such basis the volumes of their exports.
Also, the delegates to the session have said that in the framework of the Anti-crisis program the enterprises that export goods are offered the budget and credit support in the form of an extension on debt repayment to the budget and non-budget funds, on banking credits, on consumed electrical power, natural gas and public utility services. The volumes of export of the domestic products and services increased by 6,1 percent. The positive balance of foreign trade turnover has been ensured.
At the same time, the heads of the “Uzkimyosanoat”, “Uzbekengilsanoat”, “Uzkurilishmateriallari” companies and the “Uzfarmsanoat” concern, as well as the enterprises of agricultural machine building and Ministry of Foreign Economic Relations, Investments and Trade have been instructed to take additional measures to raise exports of products by way of securing the new markets, increasing competitiveness of goods and enhancing the marketing at the enterprises.
The participants of the session have paid a special attention to a critical analysis of the efficiency of measures being taken in the nation in terms of outpacing implementation of the most important investment projects to modernize, technical and technological re-equip production. They have pinpointed the specific measures to accelerate accomplishment of the sector-wise programs of modernization and technical re-equipment of industries, as well as increase the volumes of investments being attracted for those purposes, and firstly, of the direct foreign investments.
The heads of economic entities and large enterprises have been tasked with ensuring the systemic work aimed at providing for innovative development of branches and enterprises, strengthening coordination of elaboration and examination of the project documentation on the strategic investment projects as well as those on technical modernization.
The participants of the session have discussed in detail the course of realization of measures in terms of increasing the production of domestic food and non-food consumer goods, filling the domestic consumer market with those goods, including by way of expanding and deepening the localization of products.
They have said that a broad list of tax and customs benefits offered to domestic producers in line with resolutions of President, as well as the measures pinpointed in keeping with the said resolutions on dramatically increasing their privileged crediting create all necessary conditions for a further expansion of production of consumer goods and supplying them to the domestic market.
The heads of economic entities and enterprises that produce the consumer goods, Ministry of Agriculture and Water Economy, Council of Ministers of the Republic of Karakalpakstan, khokims (governors) of provinces and the city of Tashkent have been instructed with concrete tasks aimed at implicitly ensuring the accomplishment of purposeful parameters of production of food and nonfoods, as well as their continuous supplies to consumers.
The session has also considered the issues with regard to implementation of measures in terms of accelerating the development of production and social infrastructure, extending the improvement and betterment works, as well as the measures as a part of the Year of Development and Improvement of Countryside State Program.
For over the said period Uzbekistan has commissioned 249,1 kilometers of gas and 237,7 kilometers of water pipeline networks, including 220,6 kilometers and 202,9 kilometers, respectively, at the countryside areas, as well as 1441,8 thousand square meters of housing, of them 1219,8 thousand square meters of individual housing at the countryside.
Also, the participants of the session have critically considered and analyzed the state of debit and credit debts on the companies, associations and territories of the nation, as well as the efficiency of measures being taken to cut down the past-due debts.
The activities of the “Uzbekenergo” and “Uztransgas” companies, as well as the governor’s offices of several provinces have been criticized for their poor work on reducing the past-due debts for the resources delivered to consumers, as well as technical and commercial losses of electrical power and gas.
The Ministry of Finance, State Tax Committee, the “Uztransgas” and “Uzbekenergo” companies have been instructed along with the State Committee for De-Monopolization and Central Bank to lay down the proposals on further improving the system of payments for the consumed electrical power, natural gas and public utility services.
The heads of ministries, agencies, economic associations, large enterprises, commercial banks and governor’s offices of provinces also spoke on the agenda of the session. On the outcomes of discussions of issues on the agenda of the Government’s sitting in Tashkent the relevant decisions have been taken, according to the report.
PORTUGUESE FOREIGN MINISTER TO VISIT UZBEKISTAN, HOLD TALKS
On April 15-16 this year the Minister of Foreign Affairs of Portugal Luis Amado will pay a visit to the Republic of Uzbekistan, the press-release by the Uzbek Foreign Ministry’s press-service has said.
According to the press-release, during the visit the sides will discuss the state and prospects of development of the Uzbek-Portuguese relations in the political, trade, economic, cultural and humanitarian spheres.
Also, the sides are expected to have an exchange of views on the regional and international issues of mutual interest.
In the framework of the visit the Portuguese Foreign Minister will hold talks with the Speaker of Legislative Chamber of Oliy Majlis, the Prime Minister, as well as at the Ministry of Foreign Affairs of Uzbekistan and Ministry of Foreign Economic Relations, Investments and Trade of Uzbekistan.
ECONOMY
UZBEK-PAKISTAN COMMISSION HOLDS SESSION
The session of the Uzbek-Pakistan commission for trade-economic and scientific-technical cooperation was held in Tashkent on April 16, UzA reported.
The representatives of the ministries, departments and companies of the two countries working in the fields of economy, trade, investments, fuel and energy, agriculture and water management, science, high technologies, pharmaceutics, textile, food and construction materials industries participated in the session.
Pakistan is interested in expansion of beneficial cooperation with Uzbekistan, minister of water and energy resources of Pakistan and commission co-chairman Pervez Ashraf said.
The volume of trade turnover between the two countries made up USD 23.4 million in 2008. The two states had signed agreements on avoiding double taxation and mutual stimulation and protection of investments.
60 joint ventures with participation of Pakistani capital currently operate in Uzbekistan. About 10 companies of this country have their representative offices in Uzbekistan.
IFC PRESENTS REPORT ON BUSINESS CLIMATE IN UZBEKISTAN
International Finance Corporation (IFC), member of the World Bank Group, presented a survey "Business Environment in Uzbekistan as Seen by Small and Medium Enterprises" in Tashkent on 16 April. The survey evaluates conditions for business activity and recommends measures on further its improvement in Uzbekistan, Uzreport Information Portal reported.
Vsevolod Payevskiy, IFC Uzbekistan Business Enabling Environment Project's manger, said the report is based on survey, which was carried out in all regions of Uzbekistan in May 2008. Over 500 small business representatives participated at the survey.
Payevskiy said the survey results confirmed that recent decisions of the government on improvement of business climate helped to decrease administrative barriers. It showed that number of inspections of enterprises is decreasing.
Loup Brefor, the World Bank's Country Manager for Uzbekistan, said the report is important for that it reflects views of businesses on processes, related to activity of small and private businesses.
He said that the constructive dialogue, which was established between the Government and private entrepreneurs, helped to solve some important issues on improving business climate in Uzbekistan.
Alisher Shayhov, chairman of the Chamber of Commerce and Industry of Uzbekistan, said the measures, undertaken by the government to boost businesses, helped to increase share of the small businesses in GDP of Uzbekistan from 35.1% in the first quarter of 2008 to 36.2% in the same period of 2009.
The report reviews a whole range of procedures affecting the development of entrepreneurship such as inspections, reporting, permits, registration, and tax administration, as well as relations with the financial institutions. The separate section discusses problems of production enterprises.
The survey is aimed at detecting problems, hindering to development of small businesses in Uzbekistan, as seen by small and medium enterprises. IFC develops concrete recommendations based on survey results to solve existing problems.
CNH STARTS PRODUCTION OF THE TL 100 HP TRACTOR IN UZBEKISTAN
Case New Holland , (CNH) the global manufacturer and seller of agricultural and construction equipment part of the Fiat Group (FIA.MI), is the largest western agricultural equipment company with production facilities in Uzbekistan, Uzreport Inforamtion Portal reported.
Following new agreements established with the local government, new production areas have been recently developed with the aim of further improving CNH's activity in Uzbekistan as a strategic position in the Central Asia countries.
CNH has just initiated the first extensive tractor production operations at its Tashkent plant, which includes new areas for welding cabs, assembly line and Customer Quality Audits. The new areas are aimed at the production of new ranges of tractors in the 80 - 130 horsepower segment while assuring the best levels of quality and reliability for all products. The new TL New Holland tractors have already rolled off the upgraded assembly line, while additional new models are planned to enter production later in 2009. This hp segment represents a high potential opportunity in the market, being by far the largest TIV segment.
In addition to the new production areas, CNH has recently refurbished and restructured its Parts Depot to further strengthen the level of service for the farmers provided through 13 Service Centers distributed across Uzbekistan.
"We are the first global agricultural equipment company to locate and strengthen operations in Uzbekistan. We have been operating in this country since 1993; more than 6,000 of our machines (tractors, combines, cotton pickers, planters, etc.) are helping farmers in their jobs. The introduction of the new TL tractor at our plant in Tashkent has necessitated investment for the localization of key components and the service provided by our specialists that number more than 240 in the country, and who are the key for the success of our operations," said Franco Fusignani, responsible of CNH International SA.
The plant has progressively consolidated its infrastructure and today houses key processes in welding, painting and assembly. The site includes the manufacturing area, office space and a training centre and showroom. Spare parts availability is ensured thanks to the new 3,600 m2 Parts Depot Centre and 13 service centers, each of them with parts availability.
"Following the considerable volume of New Holland and Case IH combines and big tractors operating in the market, today more than the 60% of the country's crops are cultivated by our machines and I am proud of this," added Franco Fusignani, during the delivery ceremony of the first 120 tractors to farmers.
In addition to manufacturing and service activities, CNH operations in Uzbekistan also include leasing operations, all of which are of fundamental importance in CNH's business in order to provide quality products and the right service for the customer.
CNH is a world leader in the agricultural and construction equipment businesses. Supported by about 11,500 dealers in 160 countries, CNH brings together the knowledge and heritage of its Case and New Holland brand families with the strength and resources of its worldwide commercial, industrial, product support and finance organizations. CNH Global N.V., whose stock is listed at the New York Stock Exchange (NYSE), is a majority-owned subsidiary of Fiat S.p.A.
BASHKORTOSTAN BUSINESS DELEGATION VISITS UZBEKISTAN
A delegation of business circles of Bashkortostan Republic (Russia) started a five-day visit to Uzbekistan on 15 April 2009. The delegation includes representatives of construction materials, machinery, oil and gas, oil chemical industries.
Chamber of Commerce and Industry of Uzbekistan in cooperation with the local bodies organized the visit to establish business contacts with the Uzbek and Bashkir business partners.
During the visit, heads of the Chamber of Commerce and Industry of Uzbekistan and Bashkortostan will meet. It is expected that the presentation of economic and investment opportunities of two states and hold negotiations on perspectives of bilateral cooperation and opportunities on realization of joint projects.
It is expected that the Chamber of Commerce and Industry of Uzbekistan and Bashkortostan will sign cooperation agreement. The sides will consider opportunities on opening of offices and trade houses of Bashkortostan in Tashkent and Karshi, as well as creation of the joint ventures.
The delegation will visit fair of fuel-energy complex, chemical, oil chemical and metallurgy industry and Karshi city, Kashkadarya region.
WORLDFOOD UZBEKISTAN 2009, AGROWORLD UZBEKISTAN 2009 RESULTS SUMMED UP
Ninth Uzbek International Exhibition WorldFood Uzbekistan 2009 and Fourth Uzbek International Exhibition AgroWorld Uzbekistan 2009 were held in Tashkent on 25-27 March 2009.
The exhibition united over 80 companies from 27 countries, including Austria, Belarus, UK, Germany, the Netherlands, Spain, Italy and others. The exhibition area increased by 10% this year compared to previous year.
ITE Uzbekistan, member of UFI and partner of I.T.E. Exhibitions & Conferences Ltd (UK), organized the exhibition.
The organizer said that over 40% of participants were debutants and the major part of them represented Europe.
About 70% of exposition area occupied equipment, machinery and tools for processing and storage of food and agriculture products, mini-plans for agriculture and horticulture, trade equipment, brewery, etc.
Share of foodstuff made up 25%, including fresh products, meat and meat products, dairy, tea and coffee, drinks, desserts, and others. Share of fertilizers and veterinary products was 5%.
According to poll, about 70% of exhibitors signed agreements and 80% were able to establish business contacts, while 75% studied activities of their competitors.
The exhibition was attended by 7,503 visitors, of which 50% were agri-business complex and 47% - food industry. About 72% of visitors visited exhibitions due to professional interest.
SOCIETY
PRESIDENT DECREES ON REWARDING VETERANS
The President of the Republic of Uzbekistan Islam Karimov signed a decree on 15 April on rewarding the participants of the World War Two of 1941-1945.
The document was signed in connection with the Day of memory and honor, celebrated on 9 May, and the 64th anniversary of the victory over fascism.
In accordance with the decree, the war veterans will receive a one-time reward of UZS 120,000. The related expenses will be covered from the budget.
The Ministry of finance, the Central bank, the Ministry of labor and social protection, the Ministry of interior and the National security service have been entrusted with organizing the solemn rewarding ceremonies.
ANTI-TB FIGHT STEPPED UP IN UZBEK PRISONS - NEWS AGENCY
A ceremony to open a new anti-TB department has been held at the national hospital of the main penal affairs directorate under the Uzbek Interior Ministry.
At the ceremony to open the department, Uzbekistan's deputy interior minister, Col Abdukarim Shodiyev, said that the number of inmates in the country's prisons had significantly decreased thanks to reforms in the legal system, which had been carried out since 2001.
Their living conditions and food provision have improved, as has the hygiene situation in the prisons.
UZBEK STATE TV FIRST CHANNEL IS MOST POPULAR IN CAPITAL - SURVEY
According to the Tashkent association of advertisement, the most popular TV channel in the capital is Ozbekiston, and then comes the Yoshlar youth channel.
The Tashkent association of advertisement has published the results of a survey of TV viewership for December 2008-January 2009.
In line with the survey, the most popular TV channel in the review period in the capital was Ozbekiston, then come the Yoshlar youth channel, Markaz TV and NTT.
The analysis of the TV channels' ratings depend on the time of a day and week. For example, Ozbekiston firmly takes the first place during weekdays but during weekends it cedes to Yoshlar. Markaz TV and NTT hold almost similar position both in weekdays and weekends, just taking the lead of each other in certain times.
The survey established that in average viewers spend three hours a day watching TV. At the same time, during weekends women watch 16 minutes more than during weekdays. Meanwhile, men prefer the Yoshlar channel, and women steadily choose Ozbekistan.
A comparative analysis of the programmes shows that the situation in all channels are almost the same. The most popular things to watch are soap operas, then come movies, and third place in the majority of channels are taken by programmes for children and music clips.
SIAR has been conducting permanent surveys of TV viewership in Uzbekistan since February 2008.
TASHKENT TO HOST WRESTLING TOURNAMENT
The international freestyle and Greek-Roman wrestling tournament Uzbekistan Independence Cup will be held in Tashkent on 15-18 April.
The cup, held since 1997, has a high status among the international tournament in the series of FILA.
Annually, best wrestlers from Russia, USA, Georgia, Macedonia, Bulgaria, Belarus, Ukraine, India, Cuba, Japan, Kazakhstan and other states participate in the competitions.
According to organizers, this year the cup will host the largest number of participants in its history – over 100 athletes from more than 20 countries.