Uzbekistan takes urgent measures to support textile, knitwear sectors
BAKU, Azerbaijan, May 6
By Ilkin Seyfaddini - Trend:
The Government of Uzbekistan has taken a number of additional measures to support the country's textile and knitwear industries, Trend reports with reference to Uzbek Presidential press-service.
On May 6, 2020, President of Uzbekistan Shavkat Mirziyoyev signed a resolution on urgent measures to support textile industry. According to the document, prices on domestic textile production will be adjusted to international prices, which will reduce the cost of raw materials by 10 percent.
In addiction, value added tax to be returned after exported Uzbek goods will leave the country.
Moreover, 64 types of raw materials and materials important for the industry are exempt from customs duties.
It is also planned to sharply increase export of finished products, to create large, modern textile and sewing clusters, which will function under an international brand.
In addition, a resolution on measures to further support export activities was adopted.
According to it, the list of products, transportation costs of which are subject to subsidies, has been expanded from the current 52 to 86 types. The list includes 32 types of vegetable and melon products, as well as fresh, frozen and canned fruits.
More than 2,000 exporting companies will benefit from this mechanism to cover transportation costs. The budget will allocate 360 billion soum ($35.3 million) for this purpose.
"The purpose of these measures is to quickly restore the activity of enterprises, sustainably increase exports and create wide opportunities for job creation," the report says.
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