On December 2, 2008 Decree of the President of the Republic of Uzbekistan “On establishment of free industrial economic zone in Navoi region” was adopted. During the past two years intensive works has been carried out to create legal base, required infrastructure and to attract foreign investments. Specific result of the efforts for now is the launch of the first 7 projects.
The first seven enterprises represent different directions of production, in particular electronics, production of automotive parts, polymers processing, food industry and production of cosmetics.
“AgroFresh” joint venture created by State Foreign Trade Company “Markazsanoateksport” in partnership with foreign investor – “Kefayat General Trading Co” (UAE) specializes in storage and packaging of fruit and vegetable production. Enterprise is equipped with modern controlled-atmosphere refrigerating equipment with capacity of 3 000 tons. Total cost of the project is 5.03 million US dollars. More than 20 new workplaces are created. The enterprise will be exporting about half of its production.
“Telecom Innovations” joint venture which is created between “Uzbektelekom” JSC and Singaporean “Servetechno Pte. Ltd” has annual production capacity of 50 thousands Set-top box receivers for digital television. Total cost of the project is 1.6 million US dollars. The enterprise employs more than 30 young specialists, mostly graduates of local professional colleges.
Two more plants are subsidiaries of Shurtan Gas Chemical Complex. The first plant producing polyethylene pipes has production capacity of 8.6 thousands tons pipes of different sizes. Total cost of the project is 7.2 million US dollars. The project created 70 new workplaces. In its full production capacity export volume of the plant will be 5.9 million US dollars. The other plant has annual production capacity of 2 300 running meters of polypropylene pipes of different sizes. Total cost of the project is 5.2 million US dollars. The enterprise employed more than 40 young specialists - graduates of local professional colleges. 50% of the production will be exported.
“UzĹăŕĺCable” joint venture created by “Uzavtosanoat” JSC and Korean company - “Erae cs Ltd”, annually produces 150 thousand kilometers of automotive wires. Total cost of the project is 13 million US dollars. Main consumer of the production is JV “UzKodje” that supplies automotive wiring harness to “GM Uzbekistan” plant. The remaining 20% of the production is to be exported to General Motors plants in the neighboring countries.
“UzMinda” JV, created by “Uzavtosanoat” JSC and Indian “Minda Capital” produces speedometers and security systems for automobiles with perspective of further extension of production nomenclature. Production capacity of the enterprise is 251 thousands automobile sets. The enterprise creates 195 new workplaces - 191 for local specialists.
Another enterprise that started to operate in “Navoi” FIEZ is “Navoi Beauty Cosmetics” JV founded by “Navoiazot” OJSC and Korean “DK Cosmetics” company. The new plant will be annually producing more than 2.1 million units of production of cosmetics and cleaning agents. The enterprise will employ 42 people.
All the new enterprises are equipped with modern, high technology equipment and produce competitive production.
Currently there are additional projects under realization in Navoi FIEZ. In the next stage launch of more projects is planned. These projects will be on production of different production such as energy saving and LED lamps, LCD monitors, electronic gas metering equipment, pharmaceutical production, automobile compressors and alternators, hygienic items and cosmetic production.
On May 4th in Tashkent National Bank of Uzbekistan and State Joint-Stock Commercial Bank Asaka have signed agreements with Export-Import Bank of Korea on allocation of US$ 50 mln and US$ 25 mln respectively.
These lines of credit are aimed to support financially investment projects that are realized in FIEZ “Navoi”.
The Export-Import Bank of Korea (Korea Eximbank) is an official agency providing comprehensive export credit and guarantee programs to support Korean enterprises in conducting overseas business. The bank also provides overseas investment credit, natural resources development credit, import credit, and information services related to business opportunities abroad.
On April 22, 2010 in Tokyo, Japan will be held investment conference - New investment opportunities in Uzbekistan for Japanese partners.
The conference aims to make presentation of new investment opportunities in Uzbekistan and in particularly special advantages of doing business in FIEZ “Navoi”.
Participation of wide range of Japanese companies, governmental and economic organizations, Japanese associations of producers of industrial equipment, home appliances, etc, and large Japanese companies such as Sanyo, Morinaga, Kawasaki, Mitsubishi Heavy Industries, Toyota Motors and others is expected.
Large and representative delegation of organizations and companies of Uzbekistan will be also represented in the conference.
During the conference there will be made presentations of investment potential of Uzbekistan and FIEZ “Navoi”, industries, and also leading companies of Uzbekistan. Second part of the conference will be held in the form of round tables on specific areas of partnership. This will give chance to potential partners to have direct meetings and as results to sign agreements on starting mutually beneficial cooperation.
The event will be a good chance to for Japanese and Uzbek companies to discuss concrete directions of partnership on realization of investment projects in FIEZ “Navoi” and Uzbekistan in general.
As Minister of commerce and industry of Oman Maqbool bin Ali Sultan is visiting Uzbekistan Uzbekistan-Oman business forum was held in Tashkent on March 23.
The event is organized by Ministry of foreign economic relations, investment and trade of Uzbekistan and Ministry of commerce and industry of Oman.
During the forum, business circles of Oman received information on opportunities of investing to priority areas of the economy of Uzbekistan - fuel-energy complex, chemical industry, machinery, construction materials, IT, tourism, and also to FIEZ “Navoi”.
As results of the event several documents has been signed between companies of Uzbekistan and Oman on establishing and expanding cooperation in implementing joint investment projects, including in FIEZ “Navoi”.
From March 14 to 19 delegation of representatives of Honeywell Corporation (USA) headed by Jerome Maironi, Vice President & General Counsel of Honeywell Process Solutions and Daniela Pandrea, Director Government Relations for EMEA region visited Uzbekistan.
During the visit of the Honeywell corporation several meetings were organized in different ministries and companies. During the visit documents expanding cooperation with Honeywell were signed.
On March 19 Jerome Maironi and Daniela Pandrea visited FIEZ “Navoi” and currently constructed residential area “KAL Village”. There they were informed with the infrastructure of the industrial zone and conditions created for foreign investors.
Spanish Initec Energia S.A. which won tender of the Uzbekenergo state joint-stock company to modernize Navoi thermoelectric power station with the cost of 450 million euros in July this year has placed orders to Japan’s Mitsubishi Heavy Industries Ltd. to supply combined-cycle plant. Delivery of the 477 megawatt plant will be started in December 2010 and will be finished in March 2011.
The order is declared to be worth 20-30 billion yen (US$224-336 million).
The project of modernization of Navoi FIEZ will be financed due to the resources of the Fund for Reconstruction and Development of Uzbekistan and own resources of Uzbekenergo.
Navoi thermoelectric power station was built in 1963 and is one of the largest power stations in Central Asia. Its capacity is equal to 1,250 megawatt.
The aim of the event was to discuss the issues of expansion of the trade, economic and investment cooperation between the two countries.
The deputy minister for foreign economic relations, investments and trade of Uzbekistan Shavkat Tulyaganov and the Deputy Director General of the CIS Department of the Norway Foreign Ministry Bard Svensen noted that the relations between the two states were developing successfully.
The Norwegian businessmen received information on the priority directions of attraction of investments to Uzbekistan, the privatization process, reforms in the economy, banking, oil and gas, small business and other sectors. They also familiarized with the opportunities in the Navoi free industrial-economic zone.
“Uzbekistan is a country with huge economic potential,” Bard Sendsen said. “Favorable investment environment in the country attracts the attention of the foreign businessmen.”
The trade turnover between Uzbekistan and Norway increased almost two times in January-September 2009 compared to the same period of last year.
The representatives of about 10 large companies of Norway that participated in the forum expressed interest to the development of cooperation with the Uzbek businessmen.
The members of the Norwegian delegation also visited a number of ministries and departments of Uzbekistan for talks on expansion of cooperation.
The aim of the event was to discuss the issues of expansion of the trade, economic and investment cooperation between the two countries.
The deputy minister for foreign economic relations, investments and trade of Uzbekistan Shavkat Tulyaganov and the Deputy Director General of the CIS Department of the Norway Foreign Ministry Bard Svensen noted that the relations between the two states were developing successfully.
The Norwegian businessmen received information on the priority directions of attraction of investments to Uzbekistan, the privatization process, reforms in the economy, banking, oil and gas, small business and other sectors. They also familiarized with the opportunities in the Navoi free industrial-economic zone.
“Uzbekistan is a country with huge economic potential,” Bard Sendsen said. “Favorable investment environment in the country attracts the attention of the foreign businessmen.”
The trade turnover between Uzbekistan and Norway increased almost two times in January-September 2009 compared to the same period of last year.
The representatives of about 10 large companies of Norway that participated in the forum expressed interest to the development of cooperation with the Uzbek businessmen.
The members of the Norwegian delegation also visited a number of ministries and departments of Uzbekistan for talks on expansion of cooperation.
Source: UzA
Directorate of "Navoi" FIEZ; Address: 210100, 4, A. Temur str., Navoi city; Phone: (998-79) 220-00-77, Phone/Fax: (998-79) 220-00-22
