20 March, 2006
Content:
Politics
Uzbek, Kazakh presidents discuss ties, trade-economic cooperation
Uzbek, Kazakh delegations start negotiations
Economy
Uzbekistan, Kazakhstan discuss supply of fruits, vegetables
Uzbek, Kazakh business to hold meeting in Tashkent
Uzbek-French business forum held in Paris
Treasury budget execution discussed in Tashkent
Ukraine has potential to develop cooperation with Uzbekistan
Russian company to issue magazines in Uzbekistan
Society
Uzbek-Chinese project to improve soil conditions in Karakalpakstan
Conference discuss ICT development in Uzbekistan
Uzbek customs officials detain 5 kg of marihuana
Culture
Uzbek theatre to participate CIS festival in Russia
Tourism
Uzbek tourism businesses participant in Belgian exhibitions
Uzbek delegation participates in German tourism fair
Japanese tour operators consider Uzbekistan's potential
POLITICS
UZBEK, KAZAKH PRESIDENTS DISCUSS TIES, TRADE-ECONOMIC COOPERATION
Durmen residence of the Uzbek President Islam Karimov hosted an official welcoming ceremony of President of Kazakhstan Nursultan Nazarbaev, who arrived in Tashkent with state visit on 19 March.
After official welcoming ceremony, the leaders of Uzbekistan and Kazakhstan held face-to-face negotiations. The sides considered issues on current state and perspectives of relations between two states, as well as international issues of mutual interest.
Presidents of two countries will also participate in the negotiations of official delegations of Uzbekistan and Kazakhstan in expanded structure. The sides discussed issues on further development of trade-economic relations, in particular expansion and stimulation of direct contacts among entrepreneurs and regions of the countries. The Uzbek and Kazakh officials considered issues on simplification of customs and border control, rational use of transport communication and water-energy resources, as well as processing and supply of agriculture goods.
On the result of the talks, it is expected Uzbekistan and Kazakhstan will sign agreement on transport communication.
UZBEK, KAZAKH DELEGATIONS START NEGOTIATIONS
Official delegations of Uzbekistan and Kazakhstan started expanded negotiations at Durmen residence with participation of presidents of both states.
The sides will consider issues on further development of trade-economic cooperation, in particular expansion and stimulation of direct contacts among entrepreneurs and regions of the countries.
The Uzbek and Kazakh officials considered issues on simplification of customs and border control, rational use of transport communication and water-energy resources, as well as processing and supply of agriculture goods.
On the result of the talks, it is expected Uzbekistan and Kazakhstan will sign agreement on transport communication.
ECONOMY
UZBEKISTAN, KAZAKHSTAN DISCUSS SUPPLY OF FRUITS, VEGETABLES
Foreign Ministry for Foreign Economic Relations, Investment and Trade hosted a session dedicated to direct supply of fruits and vegetables from Uzbekistan to Kazakhstan. Representatives of corresponding ministries and departments of two states, administrations, business circles and experts participated in the event.
The session considered issues on expansion of agriculture turnover between two states, in particular supply of fruits and vegetables to Kazakh markets.
Uzbekistan produces over 5 million tonnes of agriculture products annually, of which 2.5 million tonnes consumed domestically. Uzbekistan exported 660,000 tonnes of agriculture products in 2005 from available 2.5 million tonnes. Half of export volumes fell to share of Russia. The share of Kazakhstan made up only 4%.
Kazakhstan expresses great interest in import of fruits and vegetables. But non-coordination f administrative, technical and customs rules and norms hinders expansion of trade between Uzbekistan and Kazakhstan.
The participants exchanged opinion on conducting joint customs measures, improvement of cooperation in transportation and storage, development of direct contacts between regions of two countries.
UZBEK, KAZAKH BUSINESS TO HOLD MEETING IN TASHKENT
Business circles of Uzbekistan and Kazakhstan will be a cooperation exchange in Uzbekistan on 20 March.
The exchange will be organised in cooperation with Chamber of Commerce and Industry of Uzbekistan and Kazakhstan.
The Kazakh delegation includes representatives of over 30 large companies, including companies operating in hotel business, construction, road constructing, machinery, pharmaceuticals and others.
UZBEK-FRENCH BUSINESS FORUM HELD IN PARIS
Uzbek-French business forum held at headquarters of Chamber of Commerce and Industry of Paris, Jahon news agency of Uzbek Foreign Ministry said.
The forum was attended by over 28 entrepreneurs from Tashkent and over 70 companies of France, French officials, administration of Paris.
Elisabeth Ducotte, vice-president of Chamber of Commerce and Industry of Paris, said in the opening ceremony that French business circles are interested in stirring up and expansion of mutual beneficial cooperation with Uzbekistan.
Francois Marque, Counsellor on Economic and Commercial Affairs of French embassy in Uzbekistan, said Uzbekistan has good conditions to conduct successful business for French companies – political stability, favourable investment climate, natural and labour resources.
He expressed bewilderment with passivity of French businesses in Uzbekistan and noted vast potential in trade-economic cooperation.
During the presentation, the Uzbek side presented course of social-economic development, export and investment potential of Uzbekistan.
The Uzbek and French companies also held negotiations to discuss cooperation projects, the report said.
TREASURY BUDGET EXECUTION DISCUSSED IN TASHKENT
On 13 March 2006 in Tashkent in "Markazyi Hotel" the seminar "Introduction of Treasury Budget Execution" started for employees of regional treasury departments. More than 150 financial experts will study new methods of work within the implementation of treasury system.
Mr. Rustam Azimov, Minister for Finance, opened the seminar. In his introductory word he noted the importance of introduction of new finance management system and wished students successful graduation of the course.
Mr. Martin Raiser, World Bank Country Manager in Uzbekistan, said that introduction of a treasury would mean new system of finance management when appropriate level and composition of public expenditures are allocated according to national goals and priorities and when policy making is linked to budgeting; when public expenditures are monitored in an on-line mode and the status of a Single Treasury Account is known at every moment.
It also means that public resources are managed in more effective way. During the first day there was also a presentation made by Regional IMF Adviser, Mr. John Zohrab, about best treasury practices, including comparative analysis of Russian, Bulgarian and Norwegian treasury systems.
During five seminar days participants learnt action plan of gradual introduction of treasury system in Uzbekistan, management and reporting within the Treasury system of State Budget execution, main principles of Treasury system of State Budget execution, Information technologies in Treasury system of State Budget execution and others.
UKRAINE HAS POTENTIAL TO DEVELOP COOPERATION WITH UZBEKISTAN
A positive tendency in the development of Ukrainian-Uzbek trade was maintained in 2005. Thus, the foreign trade turnover between the two countries made up US$330.8 million, exceeding 2004 showings by 18%. This was reported on 17 March at the press conference at the Ukrainian Embassy in Tashkent.
The event was timed to the parliamentary elections to be held in Ukraine on 26 March. In view of this fact, a special foreign election centre was opened in the Embassy in Tashkent, where the citizens of Ukraine currently residing on the territory of or temporarily visiting Uzbekistan will be able to submit their votes.
The polling will be held on 26 March from 7.00 a.m. to 10.00 p.m. Tashkent time. The elections of deputies will be conducted in accordance with the proportional system practiced in Ukraine – votes are given for party lists. There are currently three leading political parties, which, evidently will be the main acting political factors in Ukraine for a quite long period of time. Their rating in Ukraine in general is as follows: "Regions of Ukraine" party – 23.9%; "Our Ukraine" bloc – 19.1%, and "The Bloc of Yulia Timoshenko" – 19.8%. Meanwhile, "The Bloc of Yulia Timoshenko" is an absolute leader in Kiev with 28%. Falling behind are "Our Ukraine" with 17.1% and "The Regions" with 7.9%.
The rating of the other political powers, both in Kiev and Ukraine as a whole, does not exceed 5-7%. In particular, Socialist party has 6.4%, People's Bloc of V. Litvin (speaker of the Upper Chamber of Ukrainian Rada) – 6%, Communist party – 5.4%, Ne Tak bloc (including the first President of Ukraine L. Kravchuk, and a number of politicians of ex-President L. Kuchma's administration) – 3.7%, PORA-PRP – 3.7%, and "The Bloc of N. Vitrenko" – 3.5%.
Speaking of trade and economic cooperation between Ukraine and Uzbekistan on the results of 2005, Charge d'Affaires of Ukraine to Uzbekistan Oleg Klinchenko said the positive tendency in the development of Ukrainian-Uzbek trade observed in 2004 became even stronger in 2005. Ukraine is the fifth largest exporter to Uzbekistan. Ukraine's export reached US$246.8 million, having increased by 44.3% against the preceding year. The surplus in favour of Ukraine made up US$162.8 million.
The products of Ukrainian industrial companies are traditionally valued for their quality and correspondingly find a high demand in Uzbekistan. They are seen as a good combination of price and quality. Many companies of Uzbekistan use Ukrainian equipment, machinery and pipes – the supplies of these products to the gas, oil and gas and chemical industries of Uzbekistan make up a major share of the Ukrainian export. Machinery and equipment made up around 55% of Ukraine's exports, metal ware – 25%.
Besides, Ukraine is one of the main suppliers of equipment for mining and chemical industries, as well as railroads of Uzbekistan. The increase in supply of these products was the key determinant of the rise in the volume of Ukrainian exports in 2005. Relations are developing actively in textile and food industries, non-ferrous metallurgy, power industry, and transportation.
The Ukrainian diplomat said the infrastructure of Uzbekistan, one of the largest countries of Central Asia, improved substantially in the past few years, additional benefits were established for foreign investments, and the activity of joint ventures, creating even more incentives for the development of trade and economic cooperation. Another positive moment is the growth in the number of Ukrainian businesses in the Uzbek market (to 120).
Over 30 Uzbek-Ukrainian joint ventures operating in machine engineering, metal processing, construction, chemical, light, and food industries, communication and trade-intermediary services are officially registered in Uzbekistan. Ukrainian Embassy is providing assistance in establishing new prospective long-term forms of cooperation, working out new joint economic projects, including the ones directly approaching Uzbek companies.
Touching upon the latest tendencies in the investment sphere, Klinchenko said, the UkrRosMetal Corporation held negotiations with Uzbekneftegaz (Uzbek Oil and Gas) National Holding Company regarding the possibilities of arranging joint production of compressors using the capacity of the holding. In addition, Uzbekiston Temir Yollari (Uzbekistan Railways) and Uzbekenergo state companies showed interest in the products of the corporation.
Soj Invest Ukrainian industrial-financial company is expanding its presence in Uzbekistan, according to Klinchenko. Along with its operations in the Uzbek market of copper and supplies of domestic pipes, the company is working out projects on the construction of a plant in Tashkent to specialize in production of beer and non-alcoholic beverages, and organization of joint venture to produce metal and plastic pipes on the base of Tashkent based Algoritm plant.
It is worth mentioning that prospects for the development of investment cooperation are opening up with the development of oil and gas on the territory of Uzbekistan, as the need to modernize the energetic equipment of Ukrainian production operated on a number of electric stations of Uzbekistan, such as the Syrdarya HES (equipment operated since 1982) and Navoi HES, is increasing.
"The analysis of the structure of Ukrainian exports to Uzbekistan, the business climate and prices for Ukrainian products allow us to claim that Ukraine has all the opportunities to expand its presence in the Uzbek market," said the diplomat. "Along with this, I am sorry to note that in 2005 Uzbek exports to Ukraine declined. They decreased from US$109,4 million in 2004 to US$84 million in 2005, constituting a drop of 25.2%. This is mainly the result of a significant cut in the supplies of cotton fibre to Ukraine. Ukraine is still very interested in restoring direct supplies of Uzbek natural gas, not involving the intermediaries.
In order to create incentives for cooperation in production and creation of joint ventures, it is necessary to speed up the negotiations between the parties regarding the level of ad valour share in the price of the finished good, which is an important condition to the signing of the "Rules for identification of the country of good's origin" on bilateral basis and implementation of the single methods of customs statistics of bilateral trade by the parties.
"The intergovernmental protocol on the elimination of waivers and limitations from the free trade regime between the countries signed on 15 June 2004 became a unique document for Uzbekistan. It fully complies with the principles and requirements of the World Trade Organisation, which both of our countries are striving to join," he said, adding that Ukraine fulfilled all of the intergovernmental procedures required for the protocol to take effect. The process of ratification of this document is still not completed in Uzbekistan.
Klinchenko expressed hope that 2006 will be marked by the quality improvement of the basis for bilateral cooperation in the best interest of both countries and nations. Successful development of Ukrainian-Uzbek trade and economic cooperation should particularly assist the creation of the two countries' joint ventures. "We put a lot of hope into further development of interregional cooperation. In this context, it is worth mentioning the initiative of the Uzbek party to conduct a number of round table discussions in different regions of the republic, the first of which was held with participation of the representatives of Ukrainian Embassy on 15 March in Ferghana".
As for the indicators of socio-economic development of Ukraine in 2005, the diplomat mentioned a few relevant figures. Thus, the country's real GDP increased by 2.4% against 2004, totaling some US$69.9 billion. The highest growth figures were observed in the sphere of transportation (up 8.1%), mining (4.4%) and processing industry (3%).
A substantial growth – 7.1% was observed in machine engineering, which observed the development of high tech spheres, such as production of computers and office machines (up 29.8%), equipment for radio, television and communication (up 29.5%), automobile transportation (up 22,8%), household electric devices (up 22,1%), as well as chemical and petrochemical industries (up 9,8%). Meanwhile unfavourable conjuncture in the foreign market led to a certain decline in the production of power-consuming industries, such as metallurgy (down by 1.5%). At the same time a growth of 15.7% and 10.2% is observed in metal processing and pipe production.
RUSSIAN COMPANY TO ISSUE MAGAZINES IN UZBEKISTAN
International Centre for Finance-Economic Development-Uzbekistan (MTSFER-U) held presentation of the company, which officially launched its activity in Uzbekistan.
MTSFER-U is created by Russian International Centre for Finance-Economic Development (MTSFER), which is one of the largest holdings, rendering services to corporate clients. MTSFER-U is strategic partner of Russian company in Uzbekistan and it will be work in several directions.
The presentation of the company was held at Radisson SAD Hotel Tashkent on 17 March. The event presented activity of the company in Uzbekistan.
Sunatulla Umarov, executive director of the company, said MTSFER-U would work in publishing, modern information technologies and education. It is expected that MTSFER-U will publish magazine on tax and accounting in cooperation with state bodies and professional organizations.
MTSFER-U will also render consulting services, introduction of new technologies to corporate management and others.
The company is also carrying out work on development of programme directed to improve skills of Uzbek specialists, including distance education, Umarov said.
The creation of such companies in Uzbekistan is one of the results of fruitful cooperation of Russia and Uzbekistan. It added the agreement on allied relations between Uzbekistan and Russia, singed on 14 November 2005, became important step in strengthening bilateral relations, Umarov said.
SOCIETY
UZBEK-CHINESE PROJECT TO IMPROVE SOIL CONDITIONS IN KARAKALPAKSTAN
Uzbekistan and People's Republic of China are implementing a joint project "Reconstruction of the irrigation and drainage infrastructure of southern Karakalpakstan and restoration of artificial water reservoirs".
Vecherniy Tashkent reported on 17 March the project's goal is to improve soil condition and to strengthen the outflow of underground water to the Aral Sea.
CONFERENCE DISCUSS ICT DEVELOPMENT IN UZBEKISTAN
Tashkent Information Technologies University hosted a scientific-practical conference "Globalisation of information and national mentality" on 17 March.
Committee on information and communication technologies of Legislative Chamber of Oliy Majlis organised the conference.
The event was directed study results of development of information technologies, reforms in Uzbekistan, strengthening legal base and ensuring information security.
UZBEK CUSTOMS OFFICIALS DETAIN 5 KG OF MARIHUANA
Uzbek customs officials detained 5 kilos of marihuana in Navoi region. The customs officials arrested Uzbek citizen Salihan Kojabaev, entering Uzbekistan from Kazakhstan.
During the examination of car of Gaz-69A, the custom officers seized over 5 kilos of marihuana. According to detainee, he purchased drug from his friend in Kazakhstan.
The criminal case was opened.
CULTURE
UZBEK THEATRE TO PARTICIPATE CIS FESTIVAL IN RUSSIA
Youth Theatre of Uzbekistan will present play Tarttyuf at the Eight International Festival of Russian Theatres of CIS and Baltics "Vstrechi v Rossii" (Meetings in Russia).
The festival will take place in Saint Petersburg on 7-15 April. Theatres from Ukraine, Armenia, Azerbaijan, Belarus, Georgia, Kazakhstan, Kyrgyz Republic, Moldavia, Russia and Tajikistan will participant in the event.
The Uzbek theatre will present classic comedy based on play of Moler, staged by famous Uzbek director Nabi Abdurakhmanov.
It is expected that the festival will present many classic plays. Besides, it is planned to stage play of Maxim Gorkiy "Na Dne" with participation of actors of Uzbekistan, Ukraine, Tajikistan, Moldavia, Georgia and Russia.
TOURISM
UZBEK TOURISM BUSINESSES PARTICIPANT IN BELGIAN EXHIBITIONS
Representatives of Uzbek tourism business participated in several exhibition in Belgium during February.
Tourism exhibitions Brussels Holiday Show, Salon Vacances Loisirs and BelAsia were held in Belgium, the report said.
Uzbekistan was represented by Bukharatourist, Sogda Tour, Sitara International and Bukhara Palace Hotel Complex.
Brussels Holiday Show is largest tourism exhibition in Belgium and over 110,00 people visited it during five days. Uzbekistan participated in the work of the event for the first time.
The exposition of Uzbekistan, designed in national style, attracted attention of visitors. The stand presented information on Tashkent, Samarkand, Bukhara, Khiva and other cities of Uzbekistan. Within the exhibition, the potential of tourism of Uzbekistan was presented.
H.E. Vladimir Norov, Ambassador of Uzbekistan to Belgium, and Lyudmila Serebryanskaya, head of marketing and tourism of Bukharatourist, acquainted the guests with Uzbek tourism industry and proposed projects on expansion of inflow of tourists to Uzbekistan.
Documentaries "Welcome to Uzbekistan" and "Pearls of Uzbekistan", telling on history, culture and tourism sights of Uzbekistan, were demonstrated within the presentation.
Mr. Johan De Deygere, director of the Brussels Holiday Show, welcomed interest of Uzbek companies to exhibitions in Belgium and expressed confidence that it will allow intensify tourism exchange between countries. He said Uzbekistan has unique historic and cultural riches and Uzbekistan is perspective direction for Belgian tour operators.
Salon Vacances Loisirs in Charleroi is largest exhibition of frank region of Belgium – Wallonia. According to date of organizers, over 70,000 Belgians visited the exhibition.
Mr. Jacques Van Gompel, the Burgomaster of Charleroi, said the administration of city was happy to host a delegation of Uzbekistan. He said Charleroi citizens heard about beauty of Uzbek cities, located on the Great Silk Road.
He said that the exhibition of Uzbekistan attracted attention of Belgians and many visitors expressed wish to visit the country.
Uzbek delegation also took part in the work of BelAsia, which was held in Wemmel. The event gathers Belgians and tour operators, working with tourists interested in travels to Asia.
Mr. Mark Geleyn, Director-General of Head Department on bilateral relations and international economic relations of Foreign Ministry of Belgium, said the exposition of Uzbekistan in Wemmel helped him to know more about Uzbekistan. He said the Europeans should know more about history and culture of this beautiful country.
Along with Uzbek tour companies, Uzbek handicrafts participated in the work of the exhibition and presented their work from wood, ceramics, national fabrics and other products.
UZBEK DELEGATION PARTICIPATES IN GERMAN TOURISM FAIR
A delegation of Uzbekistan, comprising of Uzbektourism and private tour operators, participated in the work of international tourism fair IBT-2006 in Germany.
The report said the fair collected over 10,000 participants from 183 countries of the world.
Uzbek embassy in Berlin hosted a presentation of tourism potential of Uzbekistan within the framework of the fair. Secretary-General of UNWTO (UN World Tourism Organisation) Francesco Frangialli, political and business circles of Germany, tour operators of Europe participated in the event.
Rustam Kurbanov, chairman of Uzbektourism, attracted attention of participants to huge potential of tourism in Uzbekistan and provided with detailed information on infrastructure, investment opportunities. He called European companies to mutual beneficial cooperation in this sphere.
Francesco Frangialli said in his turn that he is proud to be honourable citizen of Khiva and he is familiar with life of Uzbekistan and its tourism sector. He said that Uzbekistan pays more attention to tourism compared to other CIS states. Having such cities as Samarkand, Bukhara, Khiva, Uzbekistan has incredible tourism potential. He said the UNWTO in cooperation with UNDP is developing project Great Silk Road, in which Uzbekistan has important role.
The organisers of the presentation presented products of craftsmen and photo exhibition "Uzbekistan: modernity and traditions". The documentary on Tashkent, Samarkand, Bukhara, Khiva and Shakhrisabz were presented.
JAPANESE TOUR OPERATORS CONSIDER UZBEKISTAN'S POTENTIAL
Tokyo hosted a seminar entitled "Opening of new routes: destination - Uzbekistan", dedicated to tourism potential of Uzbekistan.
Japan Association of Travel Agents (JATA) and Proco Air Service Inc. organised the event, which was attended by over 30 tourism companies of Japan.
Japan is one of the largest donors of tourism industry, Jahon news agency reported. According to the UN World Tourism Organisation (UNWTO), over 20 million Japanese visit foreign countries and spend over US$30 billion annually.
Yoshinori Katagiri, head of international affairs of JATA, said the historic and architecture monuments, beauty of nature of Uzbekistan, rich cultural heritage and traditions of Uzbekistan attract interest of foreign tourists. He said over 20 companies offer their service on Great Silk Road route.
The seminar discussed development of tourism and tourism infrastruture in Uzbekistan. In particular, it was noted that flight of Uzbekiston Havo Yollari Tashkent-Tokyo-Osaka-Tashkent is important factor for increasing of tours to Uzbekistan.
Toshiaka Kasahara, executive director of Proco Air Service Inc., said that it is time to stir up work on promotion of tourism potential of Uzbekistan in Japanese market.
Kasahara said in interview to Jahon that Japan tour operators are following development processes of tourism of Uzbekistan. He noted that Uzbektourism stirred up its activity and the country is increasing number of hotels and improving service quality. The most important Uzbekistan prepared enough number of guides-translators, who know Japanese.
In April it is planned that a group of Japanese tour operators will visit Uzbekistan to acquaint with current state and opportunities of Uzbek tourism industry, Kasahara said.