Latvian MFA talks trade relations with Uzbekistan amid COVID-19
BAKU, Azerbaijan, Jan. 11
By Klavdiya Romakayeva - Trend:
The trade turnover between Latvia and Uzbekistan in the nine months of 2020 decreased by 17 percent compared to the same period last year, the representative of the Ministry of Foreign Affairs of Latvia told Trend.
According to the ministry, the trade and economic cooperation between Latvia and Uzbekistan has fallen in recent years. This was also partly affected by the circumstances of the global COVID-19 pandemic and its impact on logistics and supply chains.
Following the data compiled by the Central Statistical Bureau of Latvia, the trade turnover between Latvia and Uzbekistan in the nine months of 2020 decreased by 17 percent compared to the same period last year. Both exports and imports have declined, and total trade from January through September 2020 amounted to 67 million euro.
The total exports of Latvia to Uzbekistan in the 9M2020 have declined by nine percent, amounting to 57 million euro and imports from Uzbekistan to Latvia have declined by 43 percent, amounting to 10 million euro.
The flow of direct investments from Uzbekistan in Latvia had a positive dynamic during the reported period. In this period the investments from Uzbekistan in Latvia have increased by three percent and amounted to 31 million euro (the same amount was fixed in the whole year of 2019).
However, Latvia’s direct investments in Uzbekistan have declined by 29 percent, amounting to five million euro compared to the same period in 2019. The number of companies registered in Latvia with the capital from Uzbekistan has a tendency to decrease. Currently, Latvia has 190 companies with Uzbekistan capital registered in Latvia.
“We believe that the trade volume does not reflect the current potential business and cooperation between our countries. We should continue to work towards developing and strengthening the bilateral cooperation,” the ministry noted.
The ministry also noted that the global COVID-19 crisis had an impact on promotion of economic relations with Uzbekistan. This year, the eighth meeting of the Intergovernmental Commission on economic, scientific, technical and cultural cooperation between Latvia and Uzbekistan was scheduled to take place in Uzbekistan.
“Given the current restrictions and safety measures established to mitigate the effects of the COVID-19 pandemic, we have postponed the meeting to 2021,” the source said.
Recently, on December 9 the experts from both sides of the Intergovernmental Commission have had a virtual meeting to discuss further steps to be taken in order to activate and promote bilateral economic cooperation.
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