Uzbek textile-garment exports rise by 112% from Jan to Jul

01 Sep '20

2 min read

Pic: Shutterstock

Uzbek garment-textile exports rose by 112 per cent to $1 billion from January to July as new markets opened up and new products were developed. During the period, the country exported textile-garment products to 57 countries and regions. The main destinations were Russia (39 per cent), China (18 per cent), Kyrgyzstan (13 per cent) and Turkey (12 per cent).

In addition to traditional markets, Uzbekistan also exported to Hungary, Slovakia and Greece. With the support of the Uzbek embassy in Kuwait, it exported to that country for the first time this year.

Uzbekistan optimised the export commodity structure of its industry by increasing the proportion of value-added finished products such as knitwear and readymade garments to 51 per cent, according to a report in an Uzbek media outlet.

It also started exporting new products like protective masks and clothing. Uzbekistan textile companies currently produce 6 million masks and 10,000 sets of protective clothing per day, and export them to Russia, Kuwait, Ukraine, Belarus, Georgia and other countries.

A May 6 presidential decree allowed Uzbek cotton to be sold at a rate pegged to prices on the New York Mercantile Exchange. The decree lengthened payment deadline for raw cotton from 90 days to 150 days.

The government also committed to simplifying the process whereby producers get value-added tax rebates once they ship their goods out of the country.

That effort was in line with a broader Uzbek government strategy of moving toward the production of more valuable exports, like fabrics and clothes, instead of simple raw cotton.

Fibre2Fashion News Desk (DS)

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