The Dec 21 Presidential Resolution has approved a program for further development of the textile and sewing-knitwear industry in the country for 2017-2019.
The document is aimed at modernizing and diversifying the industry, and also expanding the volume and range of ready garments for exports through deep processing of cotton and silk.
The Resolution has approved parameters for the manufacture of textiles and ready garments , as well as a list of investment projects to manufacture such products (parameters and list is not given).
In addition to foreign investment the projects are expected to attract the funds of Uzbek banks through their contribution to authorized capital, including through subsidiary investment companies, or loans to modernized or new enterprises.
Starting from January 1, the mandatory sale of part of foreign currency proceeds received from exports to banks has been abolished.
Until 2020, process equipment, components and spare parts imported within investment projects (according to the lists approved by the Cabinet of Ministers) are exempt from customs payments (except customs clearance fees), and economic entities - for imported parts and components to the installed equipment (also according to the list).
For the same period, enterprises specializing in manufacture of a number of non-food consumer goods are provided with tax and customs privileges and preferences.
