October 16, 2009

Politics:
Council of SCO Anti-Terrorist Structure holds session
Uzbekistan’s GDP grows 8% in Jan-Sep
Economics:
Statement by IMF Executive Directors at the Conclusion of their Visit to Uzbekistan
Tashkent hosts 5th International Uzbek Cotton Fair
Andijonkabel Extends Production Volumes
Society:
Health Week
Highly Effective Methods of Diagnosis and Treatment

POLICY

COUNCIL OF SCO ANTI-TERRORIST STRUCTURE HOLDS SESSION

The Council of the Regional Anti-Terrorist Structure (RATS) of the Shanghai Cooperation Organization (SCO) held its 15th session in Tashkent on October 16.

The representatives of Kazakhstan, China, Kyrgyzstan, Russia, Tajikistan and Uzbekistan participated in the session, National News Agency UzA reported.

The meeting participants considered the report of the RATS Executive Committee director M.Subanov on the implementation of the decisions of the SCO RATS Council and the Program of cooperation of SCO member states in fighting terrorism, separatism and extremism for 2007-2009.

Other issues on the agenda were improvement of cooperation in the field of combating terrorism, separatism and extremism. The participants noted that the RATS activity corresponded to the modern threats and challenges.

In the framework of the implementation of the above-mentioned program, the participants supported the proposal of China about holding the SCO meeting on exchange of information in the field of terrorism, separatism and extremism in this country in December.

The complex measures of the SCO states in assisting China and Kazakhstan in ensuring security of the international exhibition EXPO 2010 in Shanghai, Guangzhou Asian Games of 2010 and Kazakhstan Asian Winter Games in 2011 were approved.

The activity of the SCO RATS Executive Committee was positively evaluated and the plan of this body’s work in 2010 was approved.

The council adopted a number of decisions on the organizational issues, financial provision of the Executive Committee’s activity and further development of the legal basis of SCO states’ cooperation in fighting terrorism, separatism and extremism.

The representative of Kazakhstan – the first vice chairman of the Kazakh National Security Committee Adil Shayakhmetov – was elected chairman of the SCO RATS Council.

The sides agreed to hold the next session of the SCO RATS Council in April 2010 in Tashkent.

UZBEKISTAN’S GDP GROWS 8% IN JAN-SEP

The gross domestic product of Uzbekistan showed an 8% growth in the first nine months of 2009, it was announced at the session of the Cabinet of Ministers on October 16.

The industrial production increased by 9.1%, agricultural production grew by 3.3%, services sector expanded by 15.8% and construction works increased by 33.5% in January-September, UzA reported.

The state budget was implemented with a surplus of 0.2% to the GDP and the inflation levels did not exceed the forecast parameters, it was noted.

The government said the anti-crisis program implemented in the country helped to successfully neutralize the negative influence of the world economic crisis on the economy and ensured its balanced and dynamic growth.

The active investment policy and the speed-up of the most important projects have led to increase of the capital investments by 28.3%, including 2.1-times growth of foreign direct investments.

A total of 156 technical modernization projects were implemented and 371 industrial objects (including 139 in food industry, 122 in construction materials sector, 71 in light and textile industry and 13 in machinery sector) were commissioned in the nine months.

The measures of stimulation of the local producers like additional tax and customs preferences and expansion of the preferential crediting have resulted in growth of the consumer goods production by 13.7%.

In the framework of the industrial localization program, production of more than 100 new types of production was launched and the volumes of production of localized goods increased twice, with sales of localized production reaching USD 2.6 billion.

According to the government data, 743,500 new workplaces were created in the three quarters of this year, which is 36.4% more than in the same period of last year.

Of that number, 311,100 workplaces were created in the small business sector, including 203,000 in the service sector and 77,900 in the home-based work sector.

The Cabinet approved the draft Program of creation of workplaces and employment of the population for 2010, which should be approved by the Oliy Majlis (parliament).

The document envisages creating 950,000 new workplaces next year, including 282,000 in the service sector, 208,000 in the home-based work sector and 61,300 in the field of social infrastructure development.

The implementation of the state program “The year of rural development and improvement”, 4.7 million square meters of individual housing was built, and 577 km of gas and 1,680.8 km of water pipes were laid in January-September.

42 areas have been selected in the rural regions, where the construction of the new housing will be launched in the fourth quarter of 2009.

The 2010 rural housing construction program envisages building 8,500 individual houses with the living area of 955,000 square meters. Of this, the construction of 840 houses with living area of 95,000 square meters will be started this year.

A total of UZS 588.7 billion will be allocated for the financing of this program, including UZS 284.9 billion of preferential credits provided by Qishloq Qurilish Bank (Rural Construction Bank).

ECONOMY

STATEMENT BY IMF EXECUTIVE DIRECTORS AT THE CONCLUSION OF THEIR VISIT TO UZBEKISTAN

A mission of Executive Directors of the International Monetary Fund (IMF) comprising Ms. Meg Lundsager, Messrs. Age Bakker, Ambroise Fayolle, HE Jianxiong, Thomas Moser, and Klaus D. Stein issued the following statement on October 14, 2009 in Tashkent at the conclusion of its visit to Uzbekistan:

“We are grateful for the opportunity to visit the country and thank the people of Uzbekistan, the Government and Central Bank of Uzbekistan for their warm hospitality and productive discussions. This visit has provided us with the opportunity to meet with a range of stakeholders, including representatives of the public and private sectors, and visited the cities of Samarkand and Bukhara. This will enhance our understanding at the IMF Executive Board of the challenges facing the country and the IMF’s policy advice.

“Uzbekistan has remained mostly resilient to the global economic crisis as a result of the authorities’ prudent policies that enabled them to accumulate considerable resources to support growth in this period and withstand the impact of the crisis and due to its cautious approach to participation in global financial markets.

“Managing the domestic implications of the global slowdown, which impacted Uzbekistan through lower exports, and containing inflation remains the main short-term economic policy challenge. The authorities have formulated a broad range of measures to stimulate domestic demand and we welcome their policy response.

“Uzbekistan has great economic potential that needs to be utilized in order to sustain higher and broad based economic growth. The key medium-term policy challenge is to utilize the country economic potential aiming at further improving the living standards of the population.

“We support the IMF continuing excellent relationship with the Uzbek authorities.”

TASHKENT HOSTS 5TH INTERNATIONAL UZBEK COTTON FAIR

Uzbekistan is well known as one of the most important players in the world cotton market, occupying the second place on exports and the sixth on its production. The government of Uzbekistan organized the 5th International Uzbek Cotton Fair in Tashkent on October 14-15, Uzreport Information Portal reported.

During two days the country allowed world cotton industry leaders and state organizations, representatives of textile ventures and trade agents not only to meet at a round table, learn about the cotton complex development strategy, but also to participate in fair and exchange trades, conclude direct trade agreements for cotton fiber supply.

Some 300 companies and more than 500 foreign partners from 33 countries gathered in Tashkent to attend the fair's events, press service of the Ministry of Foreign Economic Relations, Investments and Trade of Uzbekistan said.

Participants of fair trades got acquainted with over 1,000 samples of Uzbek cotton fiber which were exhibited in the pavilions of Uzexpocenter. They could evaluate the cotton quality and sign contracts for the chosen type. It was possible to discuss here routes of transportation as well.

Production volumes and measures taken on improvement of the cotton industry promote the pursuance of stable export policy focused on the increase of export effectiveness, as well as keeping the share and supporting the competitiveness of the Uzbek cotton in the world market.

The growth of domestic consumption in connection with creation in Uzbekistan of new productions and increase of capacities of existing ones along with proportional decrease of fiber export volumes will promote the support of stable demand for the Uzbek cotton in the foreign sale markets.

According to organizers of the 5th International Uzbek Cotton Fair, the forum becomes one of the most important and significant events of the world cotton community this year, gives additional impulse to the further development of market mechanisms of cotton fiber sale, improvement of economic relations among the Uzbek producers and buyers.

UzA correspondents interviewed some of the participants. The following are their opinions about the cotton fair:

San Juan, Deputy General Director of China National Cotton Exchange (China): The cotton market of Uzbekistan is stable. Our company for many years buys Uzbek cotton. Because of its high quality it fully meets the requirements of Chinese industry. Previously, we bought Uzbek cotton through intermediaries. This fair provided the opportunity for direct purchases. Uzbekistan's cotton is certified by international standards and it is an important guarantee. Also noteworthy is the fact that the fair is organized at a high level. Expanding year by year the number of foreign companies participating in the forum demonstrates the growing authority of the Uzbek cotton in the world market. At the fair, we intend to conclude a mutually beneficial agreement.

Duck Soo Chang, Director of the company J&H White Gold (South Korea): Uzbekistan achieves good results in the development of cotton industry. This can be seen on the example of the growing number of participants in this fair. Over the years we have been fruitfully cooperating with your country. Our company is engaged in trade in cotton. Through the current fair, we intend to negotiate and implement mutually beneficial long-term joint projects. There is every reason to believe that our cooperation with Uzbekistan will consistently grow.

Mohammad Panahi, Commercial Manager of the company Nikoo Group (Iran): Our company is specialized in the production of textile products. Due to the high quality we strive to use in the Uzbek cotton. For the first time representatives of our company participate in the fair. Clearly, this is important in strengthening our cooperation with the Uzbek partners. The very participation in the fair of representatives of many countries reflects a growing international prestige of the Uzbek cotton.

Mehdi Al-Masud, Head of the company Global Cotton (Bangladesh): Over ten years our company buys Uzbek cotton. Every year, we are increasing volumes of purchases. We are interested in further developing ties with the Uzbek partners, since your cotton is distinguished by its high quality. We want to buy cotton of the highest quality, with excellent classification, since our manufacturers have a great need in that raw material. I think that the fair will create great opportunities for establishing profitable contacts and the development of our company.

Feng Du Seo, representative of the company Qingdao Cotton (South Korea): Our company is specialized in the textile industry and we have a huge demand for quality fiber. We came here to buy famous Uzbek fiber. This fair is a good opportunity to acquire it without intermediaries. Most importantly, different varieties of Uzbek cotton are demonstrated at the fair. And we have the opportunity to choose the products for us. Our main aim is to actively participate in this traditional fair, finding new partners and establishing mutually beneficial relationships.

Anand Singh, CEO of Yang Ming Line (Iran): We are constantly participate in the International Uzbek Cotton Fair. Our company is specialized in the textile industry. I would like to highlight the experience of center "Sifat" on examination of cotton fiber. It is noteworthy that using the most modern technology, experts in your country are improving methods of certification of fiber. A vivid example of the results is permanent international expertise. Increasing the number of foreign businessmen participating in the fair is the evidence of increasing demand for cotton grown in Uzbekistan.

Forhad Khan, Director of the company AHB Cotton (Bangladesh): In Bangladesh, too, cotton is grown, there are factories for reprocessing. Despite this, the Uzbek cotton is in great demand. We have already bought the Uzbek cotton, which is famous worldwide for its high quality and durability. However, it bought through intermediaries and traders from other countries. I now buy directly from producers themselves.

Ilikchi Ibrahim, CEO of Erdem Tekstil (Turkey): Cooperation between Uzbekistan and Turkey is developing consistently. Given that the activities of our company are connected with the textile industry, we benefit more from working directly with dealers of cotton from Uzbekistan. Uzbek cotton is of high quality. In Turkey, demand for it is increasing every year. Taking advantages of the opportunities provided in the fair, we would like to conclude a mutually beneficial agreement. It should be noted that the fair is organized at a high level. Participants are given every opportunity to review the factors that ensure the high quality of Uzbek cotton, exchange views and experiences. Traditional Fair will make a substantial contribution not only to the economic development of Uzbekistan, but also the global cotton trade.

ANDIJONKABEL EXTENDS PRODUCTION VOLUMES

Modernization in enterprises and attraction of foreign investment demonstrate a remarkable results over the entire republic and in Andijon region in particular, Uzbekistan Today newspaper reported.

The produce manufactured at the Uzbek-Russian joint venture, Andijonkabel, in Khonobod enjoys high demand not just in internal but also in foreign markets.

“Arrangement of scheduled work, introduction of modern technologies favor quality and competitive goods,” said Sokhibjon Minojov, first deputy director general at Andijonkabel. “In spite of the evolving global financial and economic crisis, the country experiences stable economic development. This can be seen by the example of the production volume in our enterprise. The export realized $10 million in the first half of the year.”

The joint venture carries out gradual technological transformation as well. Dozens of kinds of products including incombustible and high-voltage cables, conductors, steel grids, hydrophobic fillers as well as lubricants are produced there.

Andijonkabel pursues practical cost-effective strategy along with raising the products’ quality. Newly reconstructed condensing machinery is rationally used with the purpose of saving electric energy. Technological wastes from high-voltage and regional communication cables were reduced. Loading and unloading process takes less time than earlier.

Technological research plays an important role in ensuring high quality of output. Previously, communication cables were swirled separately and only after they were covered with cable shielding. Thanks to advanced technologies, the cable swirling operation is done simultaneously. As a result, human resource and electricity expenses fell down.

Introduction of the up-to-date method of winding computer wires that are placed into compact and convenient boxes encourages higher production quality. Plastic reels inside the box are produced of the recycled materials and allow for saving the funds.

SOCIETY

HEALTH WEEK

An action under this title was held in Qo’rg’ontepa, Oltinko’l and Izboskan districts. It was organized by the Andijon regional healthcare administration and the Republican Scientific and Practical Medical Center of Obstetrics and Gynecology.

During the week, doctors of the Republican Scientific and Practical Medical Center of Obstetrics and Gynecology examined about eight thousand women of fertility age, and four thousand teenage girls. Physicians consulted each of them on how to preserve and improve health, and provided specific recommendations.

HIGHLY EFFECTIVE METHODS OF DIAGNOSIS AND TREATMENT

Nihol plant is one of the largest pharmaceutical companies with scientific research units in the country. They develop test systems for diagnosis of infectious diseases and anticancer drugs.

Diagnostic test systems. A lot of them have been developed by the company for more than twenty years. For example, three years ago the first national immune-enzyme test systems were developed here for diagnosis of hepatitis B and C that provides for accurate performance of 96 tests simultaneously. Today, these products are widely applied in clinics, and scientists of the plant are completing the creation of test systems for diagnosis of immunodeficiency syndrome, lassified as third generation system by the World Health Organization.

“Since 1992, the plant has entirely satisfied the needs of medical institutions in the country for second-generation test systems on diagnosis of AIDS that have been developed in our laboratories,” commented Abdumalik Bobojonov, director of Nihol experimental plant. “Today, we are preparing a new immune-enzyme system for clinical trials that virtually excludes the probability of error and detects infection by specific fragments of immunodeficiency virus protein, using biotin and streptavidin. If successful, this will be our next contribution to the state program to tackle the spread of HIV virus.”

Anticancer drugs.

Scientists of Nihol develop these drugs in cooperation with specialists of the National Cancer Research Center. Currently, researchers are close to creating drugs that can beat prostate cancer. The main active component of the new drug is humanized antibodies with high activity against tumor cells that researchers are trying to create by crossbreed of human and mouse antibodies. A similar scheme was used to create drugs for treating other types of cancer and is widely applied by both national and foreign doctors.

“Mouse antibodies are widely used for manufacture of anticancer drugs,” commented Abdumalik Bobojonov. “However, the human immune system often resists them, which makes the drug ineffective. We have created cells that produce a lot of mouse and human antibodies. Now we must unite them to get the so-called humanized antibodies. I believe we will get such a product by next year.”