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Investment Guide for Tashkent


 

 

Tashkent City is the capital of the Republic of Uzbekistan. It is located in the north-east part of the country, in the valley of Chirchik River, at 440 – 480 m above sea level. Area of the city is 250 sq. km. The city possesses the highest economical, scientific and cultural potential in the country.

Tashkent is political and economical center of the Republic of Uzbekistan. The office of the President of the Republic of Uzbekistan, legislative chamber of Oliy Majlis, Senate of Oliy Majlis, Cabinet of Ministers, embassies of foreign countries, public organizations, as well as head offices of all the ministries and agencies of the Republic of Uzbekistan are located here. 

City consists of 11 districts: Bektemir, Mirzo-Ulugbek, Mirabad, Sabir Rahimov, Sergeli, Uchtepa, Hamza, Chilanzar, Shayhantahur, Yunusabad, Yakkasaray.

As of 1 January 2008, permanent population of the city is 2 180 000 people.

 

 

 

 

Scientists count twenty five centuries of the history of Tashkent – from first rare settlements to today’s megacity with its high buildings, crowded avenues and flowsof cars. When you approach to the city at night, glow of lights takes half of the sky. 

Tashkent was mentioned in Avesta, ancient Chinese sources. It emerged in Chirchik River valley, on the boundary of oasis and prairie, as rendezvous point of farmers and cattle breeders, settled population and nomads for mutual trade. The place appeared to be so successful, that the town survived despite of all sufferings – wars, invasions and sieges. In ancient chronicles, it was known under names of Yuni, Chach, Shash. According to Beruni and Mahmud Kashgari, the proper name of Tashkent appeared in Turkic sources of IX – XII centuries. City always was an interlink between countries of the East and West, North and South. Beneficial geographic position and favorable climate made Tashkent even in ancient times one of the main junction points on trade routes of the Great Silk Road.

Destiny of Tashkent was often dramatic. Stronger neighbors were always attracted by it as a rich trade city. In VII century, Tashkent was ‘summer’ capital of Western Turkic Chaganate, in VIII century, it had been ruined by Arabs, but revived and in the beginning of XIII century city was occupied by Horezmshah Muhammad, who afterwards surrendered it to Kuchlik khan. In XIV century Tashkent was a part of the Empire of Tamerlane who assigned it to his grandson Ulugbek. In XVI century city was owned by Sheybanides, and in the next century it was occupied by Imam Kuli-han of Bukhara who left his vice-regent there. In the beginning of XIX, Tashkent became a domain of Kokand ruler Alim han. And in the same century, city was included into the Russian Empire and became administrative and political center of the Turkestan Region. Finally, in XX century, Tashkent experienced Soviet Power and became absolute capital of Uzbekistan – sovereign and independent state.

Eventually, Tashkent was born under lucky star. The city lives and grows, continuously expanding its boundaries. If in the middle of XIX its population was about 100 000 people, in the beginning of XXI century its number is above 2 million.

In the twentieth century, city has survived two critical events within one generation period. First one was the catastrophic earthquake of 1966 which terminated the era of old one-storied Tashkent. This is reminded by the Courage monument installed in the earthquake hypocentre. Now, only ‘islands’ of old development have left.

Another event which changed the image of both the capital and the entire country was declaration of the Independence of the country. High-rise buildings of glass and metal, multi-level overpass viaducts, new parks, museums, fountains – Tashkent is quickly becoming a modern developed international megapolis.

New architectural image of the capital city has formed. Retaining national traditions of architecture, new buildings are erected to match world standards of urban planning.

The Uzbek capital is called “Orient Star” and “Peace Ambassador”, those names remarkably harmonically conjoin with the essence of the city which symbolically enlightens life of its inhabitants and way of travelers for more than twenty centuries by now.

 

 

 

 

Growth rate of the basic economic indicators of 2007 (compared with 2006) keeps on high level, with the scope of gross regional product amounting to 4158,9 billion Soums (USD 3300 million), growth rate - 114.7%.

Growth rate in the industry makes up 121,6% (2206,8 billion Soum, or USD 1751,4 million), in consumer goods production – 122,6% (882,9 billion Soum, or USD 700,7 million), investments – 101,0% (856,7 billion Soum, or USD 679,9 million), lease services and construction – 121,0% (581,2 billion Soum, or USD 461,3 million), retail trade – 123,7% (2559,2 billion Soum, or USD 2031,1 million), services – 125,6% (3260,2 billion Soum, or USD 2587,5 million), goods and services export – 145,8% (2597,0 million). Growth of these indicators assisted economical growth of the city.

Growth of gross regional products (GRP) was significantly influenced by such sectors of economy as industry – 1.9%, construction – 1.7%, transport and communication – 4.7%, trade and public catering – 3.5%, others – 2.1%, tax payments and fees – 1%.
In GRP share of the industry makes up 14.2%, construction – 8.3% (7.2%), transport and communication – 16,4% (15,7%), trade and public catering – 13,0% (13,3%), other services – 37,1% (37,0%), taxes – 11,0% (11,9%).
 

 

 

 

 

106 branches of 27 commercial banks (20 out of which are branches of republican central institutions and City of Tashkent offices, 6 offices of Tashkent province, and also 80 subsidiaries) operate in Tashkent. As of 1 January, 2008, banking system also includes 227 minibanks, 147 pay desks for public utilities, 575 savings banks, 236 special pay desks and also 47 mobile

For the convenience of banking services provision for the population and commercial banks clients 5 branches, 57 minibanks and 74 specialized pay desks were additionally created.

Aiming at granting small businesses and population with microcredits 21 credit unions and pawnshops operate. In 2007 12 credit unions and 9 pawnshops were granted a license for carrying out an activity.

In 2007 cash turnover in commercial banks’ pay desk amounted to 4263,6 billions UZS, which compared to the similar period of the last year grew by 50,5% or by 1430,6 billions UZS.

Total cash turnover includes inflows from trade in total - 527,6 billions UZS (45,0%), monetary services – 123,7 billions UZS (32,0%), out of which inflow from public utilities fees – 43,4 billions UZS (24,0%) and foreign currency disposal – 437,7 billions UZS (50,7%).

 

 

 

 

 

 

 

 

In 2007 positive dynamics of development of industrial production was kept. Growth rate of added value in the industry compared with the similar period of last year made up 112.7%.

As of 1 January 2008, 6304 industrial enterprises operate in Tashkent, out of which 5685 (96,1%) are small business entities. Number of large enterprises is 162, their portion in the total volume of production is 58,7%.

Industrial production volume totally amounts to 2206,8 billion soums (USD 1751,4 million), growth - 121.6 %. Mainly, industrial production volume is influenced by such factors as increase of domestic demands of population and business entities, stabilization of financial position and certain increase of working assets of enterprises as well as increase of real incomes of the population.

Main sectors of industry are: mechanical engineering and metal processing – 31,8% of total production, food industry – 21,6%, light industry – 6,3%, chemical and petrochemical industries – 6,9%, polygraphy – 5,8%, production of construction materials – 6,2%.

 

 

Priority directions of development of industrial production of Tashkent city are:

- in textile industry: increase of production of fabrics with width more than 150 cm, blended fabrics with chemical fibers, with special types of finish; introduction of automatic flow lines in spinning production for fiber opening and mixing; introduction of equipment of periodic and continuous action in finishing production of both purely cotton fabrics and for fabrics using chemical fibers and threads;

- in garment industry:  increase of production of cotton underwear and light knitted sportive over clothes; enterprises’ equipment with high class circular knitting machines; expansion of production of high comfort outer knitwear; enterprises’ equipment with electronic circular knitting machines;

- in woolen industry:  development of production of lightened overcoat and suit fabrics for women and men garments; development of production of woolen yarn for carpets manufacture, and also of production of dress fabrics with various threads and printed patterns; expansion of woolen fabrics range;

- in leather and footwear industry: production of natural leather with set of consumer properties; expansion of high quality footwear for children and youth product range; creation and development of resource-saving technologies on the base of new chemical materials; increase of production of leather garments; expansion and increase of product range of materials for furniture upholstery and car compartments; 

- in chemical industry: production of methyldethanolamine (MDA) which is used for cleaning of sulphurous compounds of natural gas and is imported from Russia and Germany; resolving the issue of production of ethylene glycol;

- in pharmaceutical and perfumery industry: increase of production of wide range of medicaments, essential oils used in perfumery on the basis of herbs;

 - in construction sector: industrial development of sand and gravel materials:

- in food industry: increase of industrial processing of fruit and vegetable products; industrial processing and packing of meat and dairy production; industrial development of production of gossipol-free cotton oil, food and fodder protein; 

 

 

- in consumer goods production industry: re-equipment of enterprises producing high-quality furniture, outer children and adult garments, raw silk, carpets, toilet soap and glycerin, etc.;

- in tourism sector: construction and modernization of hotels.

 

 

 

 

For the period January-December 2007, foreign economic turnover of Tashkent city has grown by 130.2%, totally amounting to USD 5305.3 million (in 2006 – USD 4074.2 million), export made up USD 2596,9 million increasing by 145.8%, import – USD 2708,3 million (118,1%). Tashkent city foreign trade turnover red ink made up 111.4 million USD. Number of participants of foreign economic activity is 3069, including 792 exporters and 2277 importers. 

Following changes took place in the structure of export: export of machinery and equipment increased by 175%, food products – by 186.2%, energy resources – by 169.3%, services – by 122.8%, ferrous and nonferrous metals – by 124.2%, export of chemical industry production, consumer goods, textile and knitted goods decreased.

In import structure importation of machinery and equipment decreased by 94.4%, services – by 95.1%, when importation of chemical industry production increased by 114.9%, ferrous and nonferrous metals – by 260%, energy resources – by 210%, food products – by 103.7%. 

 

 

 

 

 

 

 

 

For the period January-December 2007 growth of foreign trade turnover with CIS countries, such as Russia, Ukraine, Tajikistan, Kazakhstan, totally amounting to 3347.1 million USD was observed. Foreign trade turnover with foreign countries, such as Turkey, Germany, Great Britain, Iran, made up to 1958,2 million USD.

 

 

At present transportation services are provided to the population by 6 types of transport: buses, minibuses, taxi, tram, underground and trolley buses. Toshshahartranshizmat Association includes 10 bus parks, 5 taxi parks, 1 tram park, 1 trolley bus park, Aralashgan depot, 3 underground lines – Chilanzar, Yunusabad, Uzbekistan (29 stations with

total length 36.1 km). Number of workers in this sector of services is 10.5 thousand people.
In 2007, the amount of cargo transportation by all means of transport was 104.8 million tons, by 5.3 % more than in 2006. Transport cargo turnover, compared with 2006, increased by 12.1 % and amounted to 10167,4 million tons/km.
 

Length of tram way system is 149.1 km, trolley bus – 125.6 km, motor transport – 2688 km. Every day, the city transport on 177 routes provides services to 1.5 million passengers.

Tashkent is full of archeological monuments. No other town of the Central Asia has been surveyed by the scientists as the capital of Uzbekistan. If ten years ago, only 39 archeological monuments were in the city, now there are above 240 of them.

The Kukeldash madrasah, a monumental building kept in good condition, stands on the Navoi Avenue, opposite to Chorsu tower hotel on the hill, and behind it the domes of the Juma mosque, the main Tashkent mosque, linked with the name of its builder – Hoji Ahrar, the greatest religious person of the epoch of Tamerlane successors, are seen.

 A remarkable monument – Mazar Kaffal Shashi is located in the historical part of the city Hastimom. This simple brickwork building with remains of majolica decoration is crowned with high dome. It is burial place of one of the first Islam preachers in Tashkent, Abu Bakr ibn Ismail Kaffal Shashi living in X century. The mausoleum was built in the sixteenth century above his grave which became the shrine for believers.

To the south of the mausoleum, there is one of the best architecture monuments of the Central Asia of XVI century – the Barak-khan complex including madrasah and two mausoleum, one of which was built above the burial place of the first governor of Tashkent from the Uzbek dynasty of Sheybanids – Suyujikhan. Grandson of Ulugbek, an enlightened ruler, he attracted scientists and poets to his court, and invited as the tutor for his son Barak-khan the famous Herat poet Zaynaddin Vasifi, who wrote of Tashkent: “Anyone who will see that city, will not want to leave it, will cease dreaming of heaven’s pleasures”. At present Religious Administration of Muslims of Uzbekistan is based in the Barak-khan complex.

As of 1 January 2008, 3007 enterprises with foreign investments (FIE) have been registered in Tashkent. The number of operating FIE is 2635, out of which 1033 operate in the industry, 121 - in transportation and communications, 171 - in construction sphere, 725 - in trade and public catering. In 2007, 621 foreign investment enterprises have been established.

 

 

 

 

 

National regime for foreign investments has been established in the Republic of Uzbekistan, which provide foreign investments with conditions no less favorable than relevant conditions for investments implemented by legal entities and individuals of the Republic of Uzbekistan.

 

 

 

 

 

 

 

 

 

 

No. Description and Purpose of Project Amount of Project / value of property, shareholding (thousand USD)
Electrical Manufacturing Industry
1 Organization of production of large power photovoltaic power plants (above 2 kW) on the basis of OJSC “Foton” 3600
2 Sale of 45.4% of capital stock of OJSC “Algoritm” evaluation in progress
3 Sale of 54.92% of capital stock of “Oniks” Joint-Stock Company (production of lighting fixtures, dishware of crystal and glass, electronic appliances) 3 100
4 Finalization of construction of factory for production of 9.4 thousand tons of fibre-optic combined roving cord on the basis of JV “Uzglasseiden” 9 500
Machinery Industry
5 Sale of 50% of capital stock of OJSC “Uzpahtamash” (production of machinery for cotton ginnery industry) 6 567
6 Organization of production of high-quality agricultural machinery on the basis of OJSC “Uzpahtamash” 2 000
7 Sale of 82.75% of capital stock of Tashkent Tractor Factory evaluation in progress
8 Development and introduction of new transmission for assembly of advanced energy-saturated tractors up to 120 h.p. and more on the basis of Tashkent Tractor Factory 20 000
9 Sale of 99.98% of capital stock of OJSC “Motor Plant” evaluation in progress
10 Sale of 51% of capital stock of “Tashselmash” evaluation in progress
11 Sale of 79.52% of capital stock of OJSC “Tehnolog” evaluation in progress
12 Sale of 95% of capital stock of Suvsanoatmash evaluation in progress
13 Sale of 47% of capital stock of Suvmash evaluation in progress
Textile Industry
14 Auction sale of the property complex of JV “Tashtextile” 15 580
15 Auction sale of the property complex of JV “Sagbon Textile” evaluation in progress
16 Auction sale of the property complex of JV “Aydemir Textile” evaluation in progress
Footwear Industry
17 Organization of production of 33 million pairs of children shoes on the basis of Joint-Stock Company “TPOO No.1” 300
Production of Construction Materials
18 Auction sale of the property complex of JV “Hobas Tapo” 91 603,1
19 Organization of production of 1.5 million sq.m of facing ceramic tiles with double roasting on the basis of OJSC “TashKSM” 2 000
20 Auction sale of the property complex of JV “Agrokeramika” (ceramic and glazed tiles) evaluation is in progress
Fruit and Vegetable Products Processing
21 Organization of production of more than 1 thousand tons of tomato paste and ketchup on the basis of Inter Asia LLC 1 000
Food Industry
22 Auction sale of the property complex of JV “Pasta Kamola” (production of bakery and confectionery foods) 792,9
Chemical Industry
23 Auction sale of the property complex of JV “Bioorganic” (production of organic and mineral fertilizers) 4 916
Pharmaceutical Industry
24 Auction sale of the property complex of Meditex LLC 553,3

The list of investment projects proposed for implementation with foreign investors can be changed with time being. Updated information on the projects currently proposed is available on the web site of Uzinfoinvest Agency at:  www.investuzbekistan.org

ELECTRIC MANUFACTURING INDUSTRY

1. Organization of production of large power photovoltaic power plants (above 2 kW) on the basis of OJSC “Foton”
1. Information of initiating enterprise:

Name:

“FOTON” Open Joint Stock Company

Location:

Tashkent City

Business Object:

production of semiconductor devices, TV sets, cash registers

Date of establishment:

29.12.1995

Number of employees:

704

Management:

M. Saydumarov

2. Objective of the proposed project:
Organization of production of large power photovoltaic power plants (above 2 kW)
3. Techno-economical parameters of the project: 

Project Amount:

3 600 000 USD

Required investment:

3 200 000 USD

Own funds:

400 000 USD

Estimated payback period:

5 years

4. Finished product sale markets:
domestic market
5. Available infrastructure and preparation of business plan:

Available infrastructure:

Water and gas supply, power supply, heating

Distance to railway:

2,7 km

Distance to motor road:

1,8 km

Availability of business plan:

not available

ELECTRIC MANUFACTURING INDUSTRY

2. Sale of 45.45 % of capital stock of OJSC “Algoritm”
Investment obligations: at least USD 30 million within 3 – 5 years for arrangement of production of ‘brand-made’ export-oriented home goods at the factory.
Date of tendering for sale of stockholding: under decision of State Tender Commission
1. Main Information of the Company

1. Name of issuer:

“Algoritm” Open Joint Stock Company

2. Legal Address:

100208, Tashkent City, I. Usmanov Street, 71

3. Industry:

electric manufacturing industry

4. Chairman of Board (name):

Mirilyas Ulmasovich Azimov

5. Contact phone, fax, e-mail:

170-56-33, 170-56-52, e-mail: oao-algoritm@sarkor.uz

6. Number of employees, including office

376 people

7. Total area (ha):

22,9

8. Production area (ha):

5,06

9. Feedstock for production: 

Metal, paints, chemicals, component parts

2. Information of issue and placement of securities

1. Authorized Capital (thousand Soums):

395 046

2. Total number of issued shares (pcs):

395 046

3. Par value of shares (Soums):

1 000

3. Financial indicators


Indicators

Years

2004

2005

2006

1. Authorized Capital (thousand Soums)

395 046

395 046

395 046

2. Cost of fixed assets (thousand Soums)

2 911 209

2 914 310

1 915 073

3. Payment of dividend (%)

2,8%

-

1,5%

4. Profitability of assets (%)

7,3%

4,7%

10%

5. Gross profit (thousand Soums)

342 029

239 820

235 447

6. Net profit (thousand Soums)

11 196

4 691

18 741

7. Account receivable (thousand Soums)

38 241

106 147

49 608

8. Accounts payable (thousand Soums)

132 328

337 214

834 351

 

 

 

 

4. Brief description of the company
 

 

“Algoritm” Open Joint-Stock Company, established in 1982-1987, is a member of Uzbek Association of Enterprises of Radioelectronic and Electric Industry and Instrumentation “Uzeltehsanoat”. Its total production area is 75 thousand sq.m, total area is 22.9 ha. “Algoritm” specializes in production of electronic, electrical products, home appliances and consumer goods.
The enterprise is located in Tashkent city, in the district with developed system of motor and railway transport. Due to good layout planning, restructuring of the enterprise is possible.
Production infrastructure is in good condition. Reliable power supply, gas and water supply, drainage, treatment facilities are available.

 


5. Prospective Plans of Enterprise Development
 

 

One of global trends of development of last years is active development of information and communication technologies, radio technical and electronic appliances. This sector of world economy including scientific research and development works production and use of computers and other equipment, shows the highest growth dynamics unmatched with other sectors of economy, and serves as some kind of powerful motor of development of all other sectors of production and services.
According to evaluation of CIS experts of information technologies market, Uzbekistan is one of dynamically developing countries of the Central Asia in the field of information and communication technologies. In Uzbekistan, as in the majority of countries of the world, development of the information and communication technologies is acknowledged as strategic direction of social and economic progress – it is given priority in investments, legal regime, human resources supply.
In Uzbekistan up to 200 thousand TV sets, 100 thousand DVD sets, 80 thousand PCs, 1 million mobile and stationary communication devices are sold annually, the program for introduction of commercial electricity metering is in progress (up to 4 million single-phase electronic meters) and many more. All the above products are imported in finished form into country or in form of components for screwdriver assembly.
At present there is no manufacturing factories in the country of full production cycle, but “Algoritm” with its experience of turnaround production cycle could provide the country’s market and related enterprises of the industry with required competitive products, components and units for assembly production of home electronic appliances and devices.
Due to lack of own circulating assets “Algoritm” is unable to independently purchase new competitive goods and products, as large investments are necessary for support of sable financial and production operation of the factory.
In case of investing “Algoritm” is ready to develop the following technologies and arrange in its production facilities:
1. Production of printed-circuit boards for TV, PC motherboards, video and network adapters, communication units, electric meters, etc. – approximate required investment – USD 4.5 – 5.0 million.
2. Production of electronic modules – development of production of SMD (surface-mountable devices) (TV, PC, communication electronic blocks, electric meters) – approximate required investment – USD 3.0 – 3.5 million.
3. Production of technological accessories (press molds, dies) – approximate required investment – USD 1.5 – 2.0 million.
4. Production of communication facilities, mobile and stationary phones – approximate required investment – USD 3.5 – 4.0 million.
5. Production of electronic single-phase and three-phase electric meters – approximate required investment – USD 2.0 – 2.5 million.
6. Organization of production of LCD and CRT monitors – approximate required investment – USD 3.5 – 4.0 million.
7. Organization of production of electric motors with power 1.0 to 90.0 kW. Approximate required investment – USD 12 – 15 million.
8. Circulating assets – feedstock, component parts – approximate required investment – USD 3.0 million.

 

ELECTRIC MANUFACTURING INDUSTRY

3. Sale of 54.92% of capital stock of Joint-Stock Company “Oniks” (production of lighting fixtures, dishware of crystal and glass, electronic appliances)
Date of tendering for sale of stockholding: 
under the decision of State Tender Commission
1. Main Information of the Company

1. Name of issuer:

“Oniks” Open Joint-Stock Company

2. Legal Address:

Tashkent City, Mirpulatov Street, 51

3. Industry:

Electric manufacturing industry

4. Chairman of Board (name):

Tahirjan Tilavkulovich Ashurov

5. Contact phone, fax, e-mail:

tel.: 248-02-70, fax: 144-32-48,           
e-mail:  oniks_mikond@mail.ru

6. Number of employees, including office

704 people

7. Total area (ha):

17,34

8. Production area (ha):

7,05

9. Feedstock for production:
 

Red lead paint, potassic saltpeter, zinc white, potash, quartz sand, hydrofluoric acid, ceric oxide, erbium oxide, diamond grinding wheels, polishing wheels, potassium dicyanurate, ferrous and non-ferrous metals, cable and wires, polypropylene, wrapping paper and corrugated cardboard, wood and plywood

2. Information of issue and placement of securities


1. Authorized Capital (thousand Soums):

102 300

2. Total number of issued shares (pcs):

132 000

3. Par value of shares (Soums):

775

3. Financial indicators


Indicators

Years

2004

2004

2004

1. Authorized Capital (thousand Soums)

102 300

102 300

102 300

2. Payment of dividend (%)

20

40

40

3. Gross profit (thousand Soums)

568

736

1 350

4. Net profit (thousand Soums)

77

50

232

5. Account receivable (thousand Soums)

150

323

528

6. Accounts payable (thousand Soums)

125

154

74

 

 

 

 

4. Brief description of the company
 

 “Mikond Factory”, now “Oniks” Open Joint Stock Company, had been established in 1948. Main products manufactured were electronic units. Main consumers of the products manufactured were defense industry enterprises located in various republics of former USSR (Russia, Ukraine, Belarus, Lithuania, Latvia, Estonia). Since 1971, for first time in the Central Asia, the company started production of assorted glassware of crystal and home crystal and other lighting fixtures of various modification.
Main business object: production of consumer goods, home and office lighting fixtures, crystalware and glassware and electronic products.
Glass-melting facility, electroplating facility, cleansing installations, machining process shops, electronic products shops, electric ceramic shop, assembly shop are functioning at the factory.


5. Prospective Plans of Enterprise Development
 

Project of Modernization of Crystal Production at “Oniks”. The purpose of the project is to satisfy the demand of domestic market for crystal products, raising of competitiveness of produced crystal in Asian and European markets through raising the level of quality of crystal and ability of flexible processing thereof at high artistic level.

ELECTRIC MANUFACTURING INDUSTRY

4. Finalization of construction of factory for production of 9.4 thousand tons of fibre-optic combined roving cord on the basis of JV “Uzglasseiden”
1. Information of initiating enterprise:

Name:

Uzglasseiden Joint Venture

Location:

Tashkent City

Business Object:

production of technical fiber

Date of establishment:

06.11.1998

Number of employees:

10

2. Authorized Capital and Founders of the Company:

Authorized Capital:

Euro 5 764 800

Founders:

Rovitex S.a.r.l. (50%), Oniks (28,2%), TAPOiCh (21,8%)

Management:

Y. Tsoy (Director)

3. Production: 

Production of technical fiber is planned. Construction of the factory is not completed, production is not started.

4. Objective of the proposed project:
Completion of construction of factory for production of 9.4 thousand tons of glass fiber combined roving cord
5. Technical and economic parameters of the project: 

Project Amount:

USD 60 726 000

Required investment:

USD 9 328 000

Estimated payback period:

9 years

6. Availability of raw materials for planned production: 

Required raw materials

kaolin, limestone, saw-timber, boric acid, fluor-spar, sodium sulfate, sizing compound, cardboard, chemicals for water treatment

Sources of raw materials:

purchase at domestic market, import from Russian Federation

7. Finished product sale markets:

domestic market

50 %

export

50 %

8. Available infrastructure and preparation of business plan:

Available infrastructure:

water and gas supply, power supply, heating and drainage

Distance to railway:

available

Distance to motor road:

available

Availability of business plan:

available, approved by Decree of Cabinet of Ministers of Republic of Uzbekistan¹475-f, dated 8 October, 1999

MACHINERY INDUSTRY

5.  Sale of 50% of capital stock of OJSC “Uzpahtamash” (production of machinery for cotton ginning industry)

CEO: I. M. Rahmetov
Industry: Uzselhozmash Holding Company
Legal address: 92, Tulpanov drive, Tashkent
Established: 1946
Main business object: Production of machines for cotton ginning industry

Parameters

Value

Amount of assets for sale

50% stockholding

Terms of sale

 Under decision of State Tender Commission

Date of put up for sale

Starting value

USD 6 567 000

Authorized Capital

76,00

Number of employees

312

Total area
 For production

10,5 ha
8,7 ha

Information of production activities:

Business Object:

Production of machinery for cotton ginning industry

Sale market:

Domestic market, export to Kazakhstan, Azerbaijan, Turkey

Feedstock:

Rolled metal, electric motors, bearings, belts

Total area:

10,11  ha

Production area:

3,3 ha

Amount of Authorized Capital and its Structure:

Amount of Authorized Capital:

76 428 000 Soums (60 000 USD)

Structure of Capital:

Share of Goskomimushestvo - 25%; share of "Uzinterimpeks" - 8,33%; share of "Uzmarkazimpeks" - 8,34%; share of "Uzprommashimpeks" - 8,33%; share of Sogdiana PTF - 7,62%;
share of other legal entities - 5,1%; share of individuals - 37,28%

Indicators of production activities

Description of Product

Unit of measure

2006

1st half of 2007

1.Marketable products in established prices, total

million Soums

2633,5

1760,0

2. Process equipment for cotton ginning industry and spare part thereto

2555,5

1712,4

3. Consumer goods

1,9

1,9

4. other products

76,5

46,0

In money terms, production volume for 1st half of 2007 is 1760 million Soums, for 2006 - 2633,5 million Soums.
Main financial indicators (million Soums)

¹

Indicator

2006

1st half of 2007

1

Long-term assets

226,1

255,1

2

Circulating assets, total

2593,4

2990,5

3

Accounts payable

1398,1

1808,8

4

Income

3187,7

2157,4

5

Expenses

2952,2

1971,3

6

Profit before tax

235,5

186,1

7

Net profit

196,9

147,1

MACHINERY INDUSTRY

6. Organization of production of high-quality agricultural machinery on the basis of OJSC “Uzpahtamash”
1. Information of initiating enterprise:

Name:

“Uzpahtamash” Open Joint Stock Company

Location:

Tashkent City

Business Object:

Production of process equipment

Date of establishment:

1947

Number of employees:

337

2. Authorized Capital and Founders of the Company:

Authorized Capital:

61 100 USD

Founders:

Goskomimushestvo of RUz (25%), Uzinterimpeks (8,3%), Uzmarkazimpeks (8,3%), Uzprommashimpeks (8,3%), Sogdiana PTF (7,6%), individuals (37,3%)

Management:

I. Rahmetov (Director)

3. Production (2006):                    thousand USD

Product

amount

Process equipment

1649

Spare parts

395,4

Consumer goods

1,2

Other products

2106,8

Sale market:

domestic market, export to Kazakhstan, Turkey, Afghanistan

4. Financial information:                                         thousand USD

Description

2005

2006

Income from business operations

38,8

188,4

Profit after tax

12,6

157,3

5. Objective of the proposed project:
Re-equipment of the factory and organization of production of high-quality machinery for cotton ginning industry
6. Technical and economic parameters of the project: 

Project Amount:

2 000 000 USD

Required investment:

457 900 USD

Estimated payback period:

7 years

7. Availability of raw materials for planned production: 

Required raw materials:

Rolled metal, electric motors, bearings, belts

Sources of raw materials:

Import from Russian Federation

8. Finished product sale markets:

domestic market

75 %

export

25 %

9. Available infrastructure and preparation of business plan:

Available infrastructure:

Water and gas supply, power supply, heating and drainage

Distance to railway:

1,5 km from Salar railway station

Distance to motor road:

1 km

Availability of business plan:

available

MACHINERY INDUSTRY

7. Sale of 82.75% of capital stock of “Tashkent Tractor Factory”
1. Information of enterprise:

Name:

“Tashkent Tractor Factory”
Open Joint-Stock Company

Industry:

machine industry

Location:

Tashkent City

Date of establishment:

1942

Number of employees:

3 231 

2. Information of production activities:

Business Object:

Production of various tractors, trailers and semitrailers

Sale market:

Domestic market

Feedstock:

Component parts, electric equipment, metal products

Total area:

134,24 ha

Production area:

30,6 ha

3. Amount of Authorized Capital: 2 954 953 000 Soums (USD 2 317 560)
4. Information of sale of stockholding:

Amount of assets for sale:

82,75%

Basis for sale:

Decree of the President of the Republic of Uzbekistan #PP-672, dated 20 July 2007 

Appraised value:

Evaluation is in progress

Type of sale:

Bidding

Bidding Organizer:

Goskomimushestvo (State Property Committee) of the Republic of Uzbekistan

Time of bidding:

2007 – 2008

Place of bidding:

Tashkent City

Additional terms of sale:

with investment obligations

MACHINERY INDUSTRY

8. Development and introduction of new transmission for assembly of advanced energy-saturated tractors up to 120 h.p. and more on the basis of “Tashkent Tractor Factory”
1. Information of initiating enterprise:

Name:

“Tashkent Tractor Factory” Open Joint-Stock Company

Location:

Tashkent City

Business Object:

Production of tractors and trailers

Date of establishment:

1942

Number of employees:

326

2. Authorized Capital and Founders of the Company:

Authorized Capital:

2 363 900 USD

Management:

J. Isaev (Director)

3. Objective of the proposed project:
Development and introduction of new transmission for assembly of advanced energy-saturated tractors up to 120 h.p.
4. Technical and economic parameters of the project: 

Project Amount:

USD 20 000 000

Required investment:

USD 18 000 000

Estimated payback period:

6 years

5. Availability of raw materials for planned production: 

Required raw materials:

Component parts, electric equipment, metal products

Sources of raw materials:

Foreign and domestic market

6. Finished product sale markets:

domestic market

90 %

export

10 %

7. Available infrastructure and preparation of business plan:

Available infrastructure:

water and gas supply, power supply, heating, drainage

Distance to railway:

3 km

Distance to motor road:

2 km

Availability of business plan:

available

MACHINERY INDUSTRY

9. Sale of 99.98% of capital stock of OJSC “Motor Factory”
1. Information of enterprise:

Name:

“Motor Factory” Open Joint Stock Company

Industry:

Machinery industry

Location:

Tashkent City

Date of establishment:

1981

Number of employees:

207

2. Information of production activities:

Business Object:

Production of motors and spare parts to them

Total area:

49,6  ha

3. Amount of Authorized Capital and its Structure:

Amount of Authorized Capital:

5 177 160 800 Soum (USD 4 060 420 )

Capital Structure:

State share - 99,98%;
Staff share - 0,2%

4. Information on sale of stockholding:

Amount of assets for sale:

99,98%

Basis for sale:

Decree of the President of the Republic of Uzbekistan # PP-672, dated 20 July 2007 

Appraised value:

Evaluation is in progress

Type of sale:

Bidding

Bidding Organizer:

Goskomimushestvo (State Property Committee) of the Republic of Uzbekistan

Time of bidding:

2007

Place of bidding:

Tashkent City

Additional terms of sale:

with condition of retaining the business profile for a certain term

MACHINERY INDUSTRY

10. Sale of 51% of capital stock of “Tashselmash”
CEO: Rahmatjon Holdarjonovich Mamadaliev
Industry: agricultural machinery production
Legal Address: 160, J. Obidova Street, Tashkent
Established: in 1941

Parameter

Value

Amount of assets for sale

51% stockholding

Basis for sale

Decree of the President of the Republic of Uzbekistan # PP-672, dated 20 July 2007 

Terms of sale

Under decision of State Tender Commission

Date of put up for sale

Additional information will be provided

Authorized Capital (million Soum)

91,1

Number of employees

409

Total area

19,2 ha

Information of enterprise:

Parameter

Value

Amount of authorized capital

2 774 135 000 Soums

Total area

38,29 ha (including that for production – 12,5 ha)

Year of establishment

1926

Number of workers

887

Financial indicators:

¹

Indicator

2006

1st half of 2007

1

Long-term assets

797,927

797,629

2

Circulating assets, total

2408,101

1850,555

3

Accounts payable

2142,462

1618,447

4

Income

3493,290

2329,106

5

Expenses

3251,215

2182,094

6

Profit before tax

242,075

147,012

7

Net profit

181,237

113,095

MACHINERY INDUSTRY

11. Sale of 79.52% of capital stock of OJSC “Tehnolog”
1. Information of enterprise:

Name:

“Tehnolog” Open Joint Stock Company

Industry:

machine industry

Location:

Tashkent City

Date of establishment:

1967

Number of employees:

483 people

2. Information of production activities:

Business Object:

Development of non-standard equipment, new technologies

Total area:

10,5  ha

Production area:

9,7 ha

3. Amount of Authorized Capital and its Structure: 250 704 600 Soum (USD 196 630)
4. Information of sale of stockholding:


Amount of assets for sale:

79,52%

Basis for sale:

Decree of the President of the Republic of Uzbekistan # PP-672, dated 20 July 2007 

Appraised value:

Evaluation is in progress

Type of sale:

Bidding

Bidding Organizer:

Goskomimushestvo (State Property Committee) of the Republic of Uzbekistan

Time of bidding:

2007 – 2008

Place of bidding:

Tashkent City

Additional terms of sale:

with investment obligations

MACHINERY INDUSTRY

12. Sale of 95% of capital stock of “Suvsanoatmash”

Business Object: machinery industry
Industry: Ministry of Agriculture and Water Management of the Republic of Uzbekistan
CEO: Ozodbek Yuldashevich Komilov
Legal Address: 120, Usta Shirin Street, Tashkent
Established: in 2003

Parameter

Value

Amount of assets for sale

95% stockholding

Terms of sale

bidding

Date of put up for sale

Additional information will be provided

Authorized Capital (million Soum)

508,9

Number of employees

180

Total area
Area taken for production

6,3 ãà
2,6 ãà

Information of production activities:
Description of the factory:
“Suvsanoatmash” is one of the important enterprises in the field of water resources development of the country. It has unique metal-cutting machine tools for manufacturing of various spare parts for pump stations and earth-moving machinery.
Type of activity:
Production of steel and cast iron molding, non-standard equipment, screw elevators, drain washers PDTP-200, spare parts for excavators E-652, EO-4111.
Product sale market:
Products are sold in domestic market. Main customers are subdivisions of the Ministry of Agriculture and Water Management of the Republic of Uzbekistan.
Raw materials:
Cast-iron and steel metal scrap, casting components (ferromanganese, ferrosilicon, pellets), rolled metal

Indicators of production activities

Description

Unit of measure

2006

1st half of 2007

Cast steel

tons

124,6

46,8

Cast iron

tons

6,4

21

Non-standard equipment

tons

116,8

9,8

Excavator spare parts

tons

18723,7

23313,3

Heavy trailer

tons

-

2

Drain washer

tons

6

4

Mobile house (wagon)

tons

17

35

Elevator

tons

98

32

Other products

tons

343298,7

235487,7

In money terms, production volume for 1st half of 2007 is 711,4 million Soums, for 2006 - 982,5 million Soums, for 2005 - 793,5 million Soums.
Main financial indicators (million Soums)

¹

Indicator

2006

1st half of 2007

1

Long-term assets

245,3

265,6

2

Circulating assets, total

747,0

611,6

3

Accounts payable

379,3

209,1

4

Income

315,1

144,6

5

Expenses

233,2

104

6

Profit after tax

81,8

40,5

7

Net profit

59,9

32,2

MACHINERY INDUSTRY

13. Sale of 47% of capital stock of “Suvmash”

Business Object: Manufacturing of pump and power equipment
Industry: Ministry of Agriculture and Water Management of the Republic of Uzbekistan
CEO: Genadiy Alekseyevich Pleshev
Legal Address: H. Baykaro Stret, Bektemir District, Tashkent
Established: in 1971

Parameter

Value

Amount of assets for sale

47% stockholding

Terms of sale

bidding

Starting price

2 307 300 000 Soums

Investment obligations

500 000 USD.

Authorized Capital (million Soum)

1132,9

Number of employees

364

Total area
Area taken for production

13,6ãà
2,4ãà

Description of the factory:
“Suvmash” is the only pump manufacturer in the Central Asia. The products are made using the advanced engineering solutions and scientific developments.
Type of the activity: Manufacturing of electric pumps, repair of electric centrifugal horizontal pumps with double inlet, type D, borehole pumps type ÝÖÂ, K, A50GO, SNP 5/10 (PG-50), A40GP.
Product sale market: Products of the factory are sold in domestic market. Main customers are subdivisions of the Ministry of Agriculture and Water Management of the Republic of Uzbekistan.
Raw materials: Rolled metal, cast-iron and steel metal scrap, casting components (ferromanganese, ferrosilicon, pellets).

Main financial indicators (million Soums)


¹

Indicator

2006

1st half of 2007

1

Long-term assets

1231,7

1392,5

2

Circulating assets, total

3061,5

4172,9

3

Accounts payable

443,6

590,3

4

Income

3821,1

4010,0

5

Expenses

2753,5

2993,0

6

Profit after tax

565,5

624,4

7

Net profit

474,5

546,0

TEXTILE INDUSTRY

14. Auction sale of the property complex of JV “Tashtextile”

  • Legal address                  -        Tashkent City, Hamza District
  • Business Object               -        Production of knitwear goods
  • Area of land plot              -        4 ha
  • Area of buildings and facilities     -       2 ha
  • Availability                       -        production infrastructure - 100 %, labour resources    - 100 %
  • Equipment                       -        Made in Turkey, Germany, USA Deterioration degree: 15%
  • Terms of sale                  -        complex
  • Appraised value               -        USD 15 580 000

TEXTILE INDUSTRY

15. Auction Sale of the Property Complex of JV “Sagbon Textile”

  • Legal address                  -        Tashkent City, Sabir Rahimov District
  • Business Object               -        Production of textile goods
  • Capacity                         -        2 500 pcs per day
  • Area of land plot              -        0,38 ha
  • Area of buildings and facilities     -       0,24 ha
  • Availability                       -        production infrastructure - 100 %, labour resources    - 100 %
  • Equipment                       -        Made in Turkey, Germany, Austria, Japan, Deterioration degree: 15%
  • Terms of sale                  -        complex
  • Appraised value               -        Evaluation is in progress

TEXTILE INDUSTRY

16. Auction sale of the property complex of JV “Aydemir Textile”

  • Legal address                  -        Tashkent City, Yakkasaray District, Usman Nosir Street, 12
  • Business Object               -        Production of textile goods
  • Area of land plot              -        0,3 ha
  • Area of buildings and facilities     -       0,2 ha
  • Availability                       -        production infrastructure - 100 %, labour resources    - 100 %
  • Terms of sale                  -        complex
  • Appraised value               -        Evaluation is in progress

FOOTWEAR INDUSTRY

17. Organization of production of 33 million pairs of children shoes on the basis of Open Joint-Stock Company “TPOO No. 1”
1. Information of initiating enterprise:

Name:

“TPOO No. 1” OJSC

Location:

Tashkent City

Business Object:

Production of footwear

Date of establishment:

1927 ã.

Number of employees:

39

2. Authorized Capital and Founders of the Company:

Authorized Capital:

8 thousand USD

Founder:

U. Kuchkarov (100%)

Management:

U. Kuchkarov (Director)

3. Objective of the proposed project:
 Organization of production of 33 million pairs of children shoes
4. Technical and economic parameters of the project: 

Project Amount:

300 000 USD

Required investment:

200 000 USD

Estimated payback period:

6 years

5. Finished product sale markets:

domestic market

75 %

export

25 %

6. Available infrastructure and preparation of business plan:

Available infrastructure:

water and gas supply,
power supply, drainage

Distance to railway:

15 km

Distance to motor road:

10 km

Availability of business plan:

not available

PRODUCTION OF CONSTRUCTION MATERIALS

18. Auction sale of the property complex of JV “Hobas Tapo”

  • Legal address                  -        Tashkent City, Hamza District
  • Business Object               -        Production of plastic pipes
  • Area of land plot              -        10 ha
  • Area of buildings and facilities     -       2,4 ha
  • Availability                       -        production infrastructure - 100 %, labour resources    - 100 %
  • Equipment                       -        Made in Germany
  • Terms of sale                  -        complex
  • Appraised value               -        USD 91 603 100

PRODUCTION OF CONSTRUCTION MATERIALS

19. Organization of production of 1.5 million sq.m of facing ceramic tiles with double roasting on the basis of “Tashkent Construction Materials Factory”
1. Information of initiating enterprise:

Name:

Tashkent Construction Materials Factory

Location:

Tashkent City

Business Object:

Production of ceramic tiles

Date of establishment:

01.03.1972ã.

Number of employees:

100

2. Authorized Capital and Founders of the Company:

Authorized Capital:

66,3 thousand USD

Founders:

General Investment Department of Tashkent City Administration  (35,7%), Endovour LLC (USA) (25%), Stenfird Trading LLC" (USA) (10,3%), Mulk Privatization Investment Fund  (10,6%)

Management:

H. Asomutdinov (Director)

3. Production (2007): 

Product

Amount

Facing ceramic tiles 

1 364 million Soums

Sale market:

domestic market

4. Objective of the project proposed project:
Organization of joint venture for production of 1.5 million sq.m of facing ceramic tiles with double roasting
5. Technical and economic parameters of the project: 

Project Amount:

USD 2 000 000

Required investment

 

- direct foreign investment:

USD 150 000

- foreign credit funds:

USD 1 850 000

Estimated project payback period:

4 years

6. Availability of raw materials for planned production: 

Required raw materials:

kaolin, quartz sand, pegmatite, soda ash, frit, zircon

Sources of raw materials:

Purchase in domestic and foreign market

7. Finished product sale markets:

Domestic market

65 %

Export

35 %

8. Available infrastructure and preparation of business plan:

Available infrastructure:

water and gas supply, power supply, drainage

Availability of business plan:

available

PRODUCTION OF CONSTRUCTION MATERIALS

20. Auction sale of the property complex of JV “Agrokeramika”

  • Legal address                  -        Tashkent City, Bektemir District
  • Business Object               -        Production of ceramic tiles and glazed tiles
  • Area of land plot              -        2,3 ha
  • Area of buildings and facilities     -       1 ha Availability                       -        production infrastructure - 100 %
  • labour resources    - 100 %
  • Terms of sale                  -        complex
  • Appraised value               -        Evaluation is in progress         

FRUIT AND VEGETABLE PRODUCTS PROCESSING

21. Organization of production of more than 1 thousand tons of tomato paste and ketchup on the basis of Inter Asia LLC
1. Information of initiating enterprise:

Name:

Inter Asia LLC

Location:

11, Bratislava Street, Yakkasaray District, Tashkent City

Business Object:

Production of tomato products

Date of establishment:

1 March 1996

2. Authorized Capital and Founders of the Company:

Authorized Capital:

196,8 thousand USD

Founders:

K. H. Yuldashev - 88%, K. H. Yuldashev - 4%,            F. H. Yuldashev - 6%, N. M. Kahhorov - 2%

Management:

B. T. Turgunhujaev

3. Objective of the proposed project:
 Organization of production of more than 1 thousand tons of tomato paste and ketchup
4. Technical and economic parameters of the project: 

Project Amount:

USD 1 000 000

Required investment:

USD 5000 000

Estimated payback period:

30 months

5. Finished product sale markets:

domestic market

30 %

export

70 %

6. Available infrastructure and preparation of business plan:

Available infrastructure:

water and power supply, drainage, gas supply and heating

Distance to railway:

10 km

Distance to motor road:

1 km

Availability of business plan:

available

FOOD INDUSTRY

22. Auction sale of the property complex of JV “Pasta Kamola”

  • Legal address                  -        Tashkent City, Uchtepa District
  • Business Object               -        Production bakery and confectionery goods
  • Capacity                         -        80 kg/h
  • Area of land plot              -        1 ha
  • Area of buildings and facilities     -       1 ha
  • Availability                       -        production infrastructure - 100 %, labour resources    - 100 %
  • Equipment                       -        Made in Italy, deterioration degree – 60%:
  • Terms of sale                  -        complex
  • Appraised value               -        USD 792 900

 CHEMICAL INDUSTRY

23. Auction sale of the property complex of JV “Bioorganic”

  • Legal address                  -        Tashkent City, Sergeli District
  • Business Object               -        Production organic mineral fertilizers
  • Capacity                         -        80 kg/h
  • Availability                       -        production infrastructure - 100 %, labour resources    - 100 %
  • Terms of sale                  -        complex
  • Appraised value               -        USD 4 916 000

PHARMACEUTICAL INDUSTRY

24. Auction sale of the property complex of Meditex LLC

  • Legal address                  -        Tashkent City, Uchtepa District
  • Business Object               -        Production of medical bandage
  • Capacity                         -        100 000 pcs/year
  • Area of land plot              -        2,9 ha
  • Area of buildings and facilities     -       1,7 ha
  • Availability                       -        production infrastructure - 100 %, labour resources    - 100 %
  • Equipment                       -        Made in Russia, deterioration degree – 25%:
  • Terms of sale                  -        complex
  • Appraised value               -        USD 553 300

Telephone numbers in Tashkent city are seven-digit. For dialing to Tashkent city from other province of the Republic of Uzbekistan, one should dial 8 – long beep – 371 (telephone number). International format for telephone dialing to Tashkent City is +99871 (telephone number).

For subscribers of mobile communication, dialing codes are different and are dialed in international format:

  1. - for subscribers of MTS Uzbekistan +99897 (subscriber number);
  2. - for subscribers of Beeline +99890 (subscriber number)
  3. - for subscribers of Coscom (U-Cell) +99893 (subscriber number)

Telephone numbers:

Organization
Phone
Governmental Authorities
Tashkent City Administration

233-90-69

236-77-31

General Department of Economy of Tashkent City 233-76-19
Statistic Department 150-10-01
Finance Department 233-11-24
Committee for Demonopolization

233-76-86

233-75-52

Tax Department

233-99-82

252-64-83

Department of Labour 236-00-25
Department of Foreign Economic Relations, Investment and Trade

233-72-45

233-14-91

State Property Committee

233-21-54

233-23-52

Chamber of Commerce and Industry

150-31-02

150-31-01

Real Estate Exchange

299-84-48

299-80-28

Banks
Central Bank

233-30-59

236-73-09

National Bank for FEA (NBU) 244-35-60
Pahta Bank

120-88-18

273-25-06

People Bank 244-41-24
Ipoteka Bank

233-11-22

150-48-88

Promstroybank

233-12-72

239-45-17

Microcredit Bank

273-28-11

273-05-90

Asaka Bank

120-81-11

120-81-15

Turan Bank

244-32-52

700-55-55

Galla Bank

236-38-29

236-04-30

Information Service
Railway Terminal Information Service 005
Central (Northern) Railway Terminal

199-92-73

199-92-74

Tashkent Airport Information Service

140-28-02

066

Long-distance and international phone calls 8 191
Information of international codes and rates of Tashkent City

239-49-10

238-11-11/14

Automatic telephone exchange information service

064

237-63-13

Tashkent City Information Services

140-09-09

120-09-09

064

 

 

























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