July 20, 2009
Politics:
Uzbekistan’s GDP grows 8.2% in 1H 2009
Economics:
Uzbek Farmers Harvest 6,610 m Tons of Grain
Uzbek-South Korean business forum held
Asaka automobile plant turns 13
Kungrad soda plant increases production volumes
Zenith Electronics produces 50,000 LG conditioners
Society:
Experts discuss political and economic reforms in modern Uzbekistan
Young Uzbek Sportswomen on World Pedestal
POLICY
UZBEKISTAN’S GDP GROWS 8.2% IN 1H 2009
The Cabinet of Ministers considered the results of the country’s socioeconomic development and measures to overcome the consequences of the global economic crisis at its session on July 17.
The government said the timely anti-crisis measures had not only prevented growth of inflation, fall of production and decrease of the investment activities, but ensured stable and balanced development of the economy, National News Agency UzA reported.
The growth of GDP in the first half of 2009 made up 8.2%, according to official data.
Industrial production increased by 9.1%, consumer goods production by 13.1%, agricultural production by 4.6%, services sector grew by 18.5% and construction works by 32.5%.
The state budget was implemented with a surplus of 0.3% to GDP, inflation levels did not exceed the forecast parameters, and the people’s real incomes increased by 25.9%.
The key factor of supporting the local producers in the conditions of fall of demand for exported products, the government said, was development of the internal demand for locally-made goods.
This is being reached through programs of development of industrial and social infrastructure, construction of residential buildings, expansion of the service sector and localization of production.
In January-June, works totaling UZS 141 billion were implemented at construction and reconstruction of the car roads of international and state level.
435 km of gas and 839 km of water pipelines were commissioned in the first half of the year, as well as 2.9 million square meters of individual housing.
233 general-education schools were commissioned, and 196 professional colleges and 18 academic lyceums will be opened by the start of the new academic year.
The state has undertaken a number of measures to support the exporters. The banks provided UZS 81 billion in credits to local exporters for replenishment of their working capital. VAT returns made up UZS 21 billion.
These and other measures ensured export growth of 13.4% and positive trade surplus of USD 1.6 billion.
Despite difficult weather conditions, the country’s farmers harvested more than 6.6 tons of grain. Fruit and vegetable production increased by 12.4%, cattle and poultry by 6.6% and eggs by 15.3%.
The volume of drawn capital investments increased in the six months by 32.7%, including foreign direct investments 2.6 times.
In the first half of the year, 667 industrial and infrastructure investment projects were implemented in the priority sectors, including new construction and modernization of production.
193 new industrial objects were commissioned in the six months, including 32 in light and textile industry, 67 in food industry and 78 in the construction materials sector.
534,600 new workplaces were created in the reporting period, including 328,000 in rural areas and 52,000 on a home-working basis.
ECONOMY
UZBEK FARMERS HARVEST 6,610 M TONS OF GRAIN
The farmers of Uzbekistan prepared the worthy gift to the 18th anniversary of the nation’s sovereignty – to be marked on September 1 each year.
They have grown an abundant harvest of crops and collected more than 6 million 610 thousand tons of grain, thus over-fulfilling the yearly contractual obligations, the Information Agency Jahon reported.
According to the Ministry of Agriculture and Water Economy of Uzbekistan, in choosing the varieties of wheat the soil and climatic peculiarities of each region have been taken into account. At the same time, agricultural techniques of cultivating crops on the irrigated soils have been bettered. That has allowed increasing their crop capacity and consumer features.
Also, a special attention is being paid towards nurturing the high-yield disease-proof breeds of wheat and their dissemination. In particular, creation by the Uzbek scholars of more than thirty early-ripe and high-yield varieties of wheat, that meet the local climatic conditions, such as “Chillaki”, “Zamin-1”, “Bobur”, “Dustlik”, “Mars-1”, “Marjon”, “Andijon-2” and others served as important factors for ensuring the high harvests.
Uzbekistan has accumulated a rich experience of cultivating crops. Year to year the grain harvests are seeing their rise. Yet recently the farmers used just to dream about harvesting 35-40 centners of crops per hectare of land, but now this indicator reaches 50-60 centners.
In comparison with last year, the crop capacity on average grew by 2 centners per hectare and made up 50 centners. The crop capacity has been high as never before not only in irrigated, but also dry soils, according to the newspapers.
On such occasion the President of Uzbekistan Islam Karimov sent the congratulatory message to the grain-growers of Uzbekistan, in which he had sincerely congratulated them for their brave achievements in securing such high harvests of crops.
“For over the last years, when the critical situation and problems in grain farming is observed, when the global demand in grain product constantly increases, we are once again becoming convinced that the issue of ensuring the food security now acquires a special urgency,” the message by President has read in particular.
Dwelling on achievements of Uzbekistan in this sphere, President Islam Karimov further wrote: “In this respect, the achievement of Uzbekistan of a grain self-sufficiency and annual dynamics of growth of volumes of laying-in the grain crops in our country allow us not only ensure in full the needs of population and economy, but also export the cultivated produce, and this is not only of an economic, but also of political and strategic significance. All this fills our hearts with a feeling of pride and gives us confidence in tomorrow”.
UZBEK-SOUTH KOREAN BUSINESS FORUM HELD
The forum of business circles of Uzbekistan and South Korea was held in Tashkent on July 16.
The event was organized by the Ministry of foreign economic relations, investments and trade and the Small and medium business federation of South Korea, UzA reported.
More than 100 representatives of 70 South Korean companies and their Uzbek colleagues considered issues of trade and investment cooperation.
At the end of the forum, a cooperation exchange was held, where the sides considered development and implementation of joint projects.
The South Korean businessmen got acquainted with the processes of privatization in Uzbekistan, economic reforms, development of small and private business, as well as preferences for investors in the Navoi free industrial zone.
The members of the South Korean delegation also visited a number of ministries and departments of Uzbekistan to hold talks on expansion of cooperation.
The total volume of direct investments of South Korea to Uzbekistan has exceeded USD 2 billion. Trade turnover between the two states made up over USD 1 billion last year, and USD 400 million in January-May 2009.
More than 350 joint ventures set up with participation of South Korean investors operate in Uzbekistan. 93 South Korean companies have their representative offices in the country.
ASAKA AUTOMOBILE PLANT TURNS 13
On July 19, Asaka automobile plant in Andijan region of Uzbekistan marks 13 years of operation. The joint venture UzDaewoo Auto was set up on the initiative of the President Islam Karimov and is currently known as GM Uzbekistan.
With launch of the car plant in 1996, a new industry was born in Uzbekistan, which is automobile building.
In the first year of operation the company produced 25,000 cars, and in the second year it made 69,000 vehicles. In the first half of 2009, the production volume made up 90,320 cars.
The plant’s first cars were Tico, Damas and Nexia models. In the following years, they were joined by Matiz, Lacetti, Tacuma, Epica and Captiva.
A large number of new enterprises appeared in the country to increase the level of localization of the car production.
Thus, AvtoOyna joint venture produces car windows, UzSozon makes steering wheels and UzExcide manufactures accumulators.
In 2008, a new joint venture GM Powertrain Uzbekistan was set up, which will produce engines with a capacity of 360,00 per year. The new enterprise will create 1,200 new jobs.
Uzbekistan currently exports automobiles to Russia, Ukraine, Kazakhstan, Kyrgyzstan and Turkmenistan. Armenia, Georgia and Moldova are on the list of new export destinations.
KUNGRAD SODA PLANT INCREASES PRODUCTION VOLUMES
Kungrad soda plant (Karakalpakstan) plans to export over 36,000 tons of soda this year. The company started exports in the second half of the last year.
The plant, which occupies a territory of 60 hectares, has a capacity to produce about 100,000 tons of soda ash per year.
In 2008, the plant produced 71,000 tons of products, and in the first half of 2008 the figure was 40,000 tons.
Among the main buyers of the plant’s products are Quartz, PharmGlass, Gazalkent Oyna, Uzqurulishmateriallari, Uzkimyosanoat, Uzbekneftegaz and other companies of the oil and fat, chemical and metallurgical industries.
The Kungrad soda plant currently employs more than 1,200 people, more than 80% of which are young people.
A branch of the Tashkent chemical technology institute functions at the plant, helping prepare qualified specialists for the production.
ZENITH ELECTRONICS PRODUCES 50,000 LG CONDITIONERS
Tashkent-based Zenith Electronics company produced more than 50,000 air conditioners of LG brand, journalists were told at a press conference in the capital on July 15.
The head of the LG Electronics office in Uzbekistan Choi De Ho said that his company had been implementing the complex program to promote its products in Uzbekistan, National News Agency UzA reported.
The LG Electronics representative office was opened in Tashkent more than 12 years ago.
Over these years, a wide network of dealers and sellers of LG products was created, along with 18 authorized service centers in all regions of the country.
According to Zenith Electronics representatives, the company launched production of LG TV sets, DVD players and air conditioners in 2004.
Since then, Zenith Electronics, one of the largest manufacturers of home appliances in the country, produced about 265,000 TV sets of 18 models, 6,000 DVD players of 4 models and more than 50,000 air conditioners of 5 models.
This year the company plans to launch production of washing machines and start exporting its products.
SOCIETY
EXPERTS DISCUSS POLITICAL AND ECONOMIC REFORMS IN MODERN UZBEKISTAN
A two-day international round table on the "Political and economic reforms in modern Uzbekistan: state and prospects" started in Tashkent on 20 July.
The dialogue has been organized by the Institute for Civil Society Studies, Center of Political Studies, Ministry of Economy of Uzbekistan, OSCE Projects Coordinator in Uzbekistan, US National Democratic Institute and the European Institute of International Relations, Uzreport Information Portal reported.
National experts and more than 30 foreign experts from the Great Britain, Germany, India, Iran, China, Kuwait, Pakistan, Russia, USA, Turkey, Ukraine, Japan, Central Asian countries gathered in Tashkent to discuss the course of political reforms in Uzbekistan, basic directions of modernization and democratic renewal of society, and issues of formation of the developed free market economy, realization of state social programs and Anti-Crisis Program, intended for 2009-2012.
Participants of the first plenary session of the forum "Political reforms: problems and basic directions of modernization and democratic renewal of society" in their statements and reports on bright examples opened prominent features and achievements of Uzbekistan in political sphere, democratization of national electoral system, essence and basic positions of social programs implemented in Uzbekistan.
Participants of the event emphasized especially the importance and vitality of the Uzbek model of cardinal reforming and the country modernization, five base principles which underlie the country's development.
Experts had common opinion that the scale reforms, carried out in Uzbekistan, gain more and more wide recognition in the international arena. The main thing is that results of the reforms begun since the first days of independence are finding practical embodiment in daily life of citizens, shown in positive change of their thinking.
Experts noted that such values as human being, his rights, freedoms and legitimate interests always were and are in the centre of democratic reforms in Uzbekistan, implemented concept of transition from the strong state to the strong civil society.
In the general opinion of experts, Uzbekistan has electoral system meeting the highest democratic requirements. The country has formed essentially new institutions and electoral mechanisms. The electoral legislation provides practical realization of a predominating constitutional principle – the principle of democracy.
Uzbekistan has also all necessary organizational-legal, material conditions for free, active participation of citizens, political parties in election processes, reliable guarantees of full realization of their electoral rights. Experts believe, on certain parameters the electoral legislation and election practice of Uzbekistan is better than the similar processes in many democratic countries of the world.
YOUNG UZBEK SPORTSWOMEN ON WORLD PEDESTAL
Bressanone city on the north of Italy has been very fortunate for Tashkent athletes Anastasia Svechnikova and Valeria Kanatova. The 16-year-old girls won gold and bronze medals, respectively, at the junior world championship here.
The second-year student of the National College of Olympic Reserves Anastasia Svechnikova who is trained by her mother Elena, already has a rich competition experience: in 2007 in Brest, Belarus, she won the first Eurasian Games, was second at the Asian Junior Championship, and even participated in the Beijing Olympics, where she was the youngest among all athletes. In Bressanone, Nastya showed the best result in javelin-throwing - 53 m 25 cm, and unequivocally made it clear that she wants to get to the Olympics again.
Valeria Kanatova, triple jump champion of the first Eurasian Games came third in Bressanone with the result 13 m 45 cm. She studies at the Information Technology College, and is trained by Galina Mikhailovna Kazakova and dreams of a trip to London in 2012 as well.
Owing to successful performance of these girls who are representing the sports community unions, the national team of Uzbekistan was at 11th place among 178 teams of the world participating in the championship. Among Asian countries only China and Thailand were ahead of Uzbekistan.