Coal becomes absolute leader in price increase in Uzbekistan

Uzbekistan Materials 12 June 2019 14:25 (UTC +04:00)

Baku, Azerbaijan, June 12


Coal has become the absolute leader in price increase in Uzbekistan over the five months of 2019, Trend reports with reference to nuz.uz. Official statistics recorded that coal prices rose 1.7 times in May 2019 compared to the same period of 2018.

In March this year, Uzbekistan agreed to transfer Uzbekugol (Uzbek coal) JSC to the management of ProgressGorTech LLC, a Russian company. In accordance with the presidential decree, a subsidiary of ProgressGorTech LLC was attracted for trust management with the transfer of 45 percent of the shares of Uzbekugol. Now, the coal price is formed on the basis of operating expenses, capital expenditure and at least 10 percent of the profitable level.

Uzbekugol’s major goals and activities are to develop coal deposits, expand and use rationally the resource base, upgrade the coal industry enterprises, and pursue a unified technical policy in industry aimed at further diversifying production. Besides, the company is involved in developing inter-sectoral industrial cooperation based on the priority use of domestic raw materials to ensure import substitution, and it also conducts an active investment policy.

According to the presidential decree on measures for further liberalization of trade and the development of competition in commodity markets,dated October 30, 2018, the customs privileges to coal importers are extended until January 1, 2020.