Textile industry of Uzbekistan investment projects proposals
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1 Textile industry of Uzbekistan investment projects proposals State Joint-Stock Company «O zbekyengilsanoat» 1
2 Privileged ways of cooperation for Japan companies Green field project designed by Project initiator (we could offer land or unfinished constructions); Development of the Project in existing buildings (existing textile factories with all necessary infrastructure); Projects requiring new management to be developed in Partnership with Uzbek companies and Banks (defaulted textile companies with modern production facilities). State Joint-Stock Company «O zbekyengilsanoat» 2
3 Cotton fiber Production - 1,0+ mln tn annually Quality - Medium staple of world recognized premium quality (3 rd ranking in world export) Price - 15% price reduction of the purchase of cotton (upfront) 20% reimbursement of VAT on the purchase price of cotton Supply from one of the 20 cotton terminals from all over the country State Joint-Stock Company «O zbekyengilsanoat» 3
4 Cotton Yarn 300 thousand tons 95% produced at world class spinning capacities 60% spinning capacities less than 10 years old priced in local currency as well as in US Dollars Silk Row silk 900 tons Silk yarn 190 tons 40% produced at modern technologies less than 10 years old State Joint-Stock Company «O zbekyengilsanoat» 4
5 Uzbekistan requires investors who possess: Financial capital. Know-how (modern technologies). International management (brand). Distributions channels and access to international markets. State Joint-Stock Company «O zbekyengilsanoat» 5
6 Main incentives & benefits for textile producers producers of hosiery & ready garment are exempted from all taxes (except VAT); textile exporters (more than 80% to be exported) are exempted from property tax (3,5%). 100% exemption from payments of custom payments on technological equipment; 100% exemption from payments of custom payments on row materials not produced in Uzbekistan (synthetic fiber, fabric, etc); 15% discount from world cotton price, additional 5 % discount subject of production of finished goods; Special facilities to finance the cotton with the rule of 15% cash payment and 85% payable in 90 days, covered by bank guarantee; Zero rating VAT (20%) on export. State Joint-Stock Company «O zbekyengilsanoat» 6
7 Cost of main production factors Water $ 0,10 / 1 м3; Natural gas $ 0,015 / м3; Power energy $ 0,04 / kw/h; Petroleum $ 0,72 / l;. State Joint-Stock Company «O zbekyengilsanoat» 7
8 Investment project proposal # 1 (integrated textile production): 2nd part of Bukhorotex Date of establishment: 1974 Type of of activity: stopped 2007 for renewing and deep modernization (1 (1 st st part restarted in in 2009 with capacities combed and carded yarn) State Joint-Stock Company «O zbekyengilsanoat» 8
9 LOCATION JSC Bukhorotex Transport infrastructure: -to highway - to railway Distance km State Joint-Stock Company «O zbekyengilsanoat» 9
10 BUILDINGS AND FACILITIES Main units Production area, hectares Total area, in hectares Built year 2-part (Spinning & weaving mills) 13,36 24, part (dying house) 1,7 4, part (Finishing mill) 8,44 18, part (Mechanical factory) 0,67 1, part (Transport Department and other buildings) 0,23 1, State Joint-Stock Company «O zbekyengilsanoat» 10
11 AVAILABLE INFRASTRUCTURE Resource name Cold water Technical water Heating Power supply Drainage system Units cubic metres cubic metres Kl Kilowatt / hours cubic metres Capacity State Joint-Stock Company «O zbekyengilsanoat» 11
12 Investment Proposal 1 st Phase Production: Cotton yarn thousand tons (ring and open end) Grey Fabric mln sq meters Denim 4-8 mln sq meters Garment - 10 mln. peaces a year Investment: Reconstruction works US$ 2-8 mln. Equipment US$ mln Working capital US$ 1-3 mln State Joint-Stock Company «O zbekyengilsanoat» 12
13 Investment project proposal # 2 (spinning, knitted fabric and garment): JSC Bofanda Address: Uzbekistan, Samarkand city, st. Juravleva 166a; Project capacity: 4,0 thousand tons yarn 2,0 thousand tons of knitted fabric and 5,0 mln. units of knitwear Total cost of the project: 10,5 mln. US dollars Buildings, constructions and utilities: Total area of the enterprise 5.0 hectares. Production (covered) area sq. m. Utility units available electricity, water, gas Providing 100% with local raw materials. Private owned, currently operational (knitting, dying, sewing). The entity is proposed to implement joint project with deep modernization State Joint-Stock Company «O zbekyengilsanoat» 13
14 Investment project proposal #3 (spinning & weaving): Surkhontex (operational factory) Address: Surkhondarya Region, Jarkurgan city; Buildings, constructions and utilities: Total area of the enterprise 10 hectars. Production (covered) area 26 thousand sq. m in two building (spinning and weaving). Utility units available electricity, water Logistics: Highway 0,5 km. Railway 1 km. Airport Termez 35 km. Private owned, Current Production (spinning equipment dated 2004) Cotton yarn 4000 tons a year Grey Fabric 10 mln sq.m. Proposal to enlarge production up to 7000 tons State Joint-Stock Company «O zbekyengilsanoat» 14
15 Investment project proposal # 4 (wool yarn and blended fabric): JV Kasansay textile Address: Namangan Region, Kasansay city; Buildings, constructions and utilities: Total area of the enterprise sq. m. Production (covered) area sq. m. Utility units available electricity, water, gas, sewage Logistics: Highway nearby. Railway 5 km. Airport 25 km. Currently managed by National Bank, operational Proposed for enlargement and modernization current production State Joint-Stock Company «O zbekyengilsanoat» 15
16 Investment project proposal # 5 (spinning and weaving): JSC Kitop ip yigiruv Address: Kitop city, Kashkadarya region; Project capacity: 6 thousand tons of yarn Total cost of the project: 10,5 mln. US dollars Buildings, constructions and utilities: Total area of the enterprise 21.0 hectares. Production (covered) area sq. m. Utility units available electricity, water, gas Providing 100% with local raw materials. Private owned, not operational Proposed for establishment of new production State Joint-Stock Company «O zbekyengilsanoat» 16
17 Investment project proposal # 6 (knitted fabric and garments) JSC 8 March Address: Uzbekistan, Samarkand city, st. Navai- 25; Project capacity: 6.0 mln. units of knitwears Total cost of the project: 9.0 mln. US dollars Buildings, constructions and utilities: Total area of the enterprise 2.0 hectares. Production (covered) area sq. m. Utility units available electricity, water, gas Providing 100% with local raw materials. Private owned, currently operational Proposed for establishment of new production State Joint-Stock Company «O zbekyengilsanoat» 17
18 Investment project proposal # 7 (knitted fabric and garment): JSC named by A. Fazilov Address: Bukhara Region, Bukhara city; Buildings, constructions and utilities: Total area of the enterprise sq. m. Production (covered) area sq. m. Utility units available electricity, water, gas, sewage Logistics: Highway Buyuk Ipak Yuli 1,5 km. Railway 2 km. Airport 3 km. Partly state owned, not operational Proposed for establishment of new production State Joint-Stock Company «O zbekyengilsanoat» 18
19 Investment project proposals # 8 (cotton yarn, blended fabric): JSC Mangit Address: Karkalpakistan, Mangit city; Buildings, constructions and utilities: Total area of the enterprise sq. m. Production area sq. m. Utility units available electricity, water, gas, sewage Logistics: Highway 0,2 km. Railway 3 km. Airport 45 km. Private owned, not operational Proposed for establishment of new production State Joint-Stock Company «O zbekyengilsanoat» 19
20 Investment project proposal # 9 (yarn, woven fabric production): JSC Hodjeli Textile Address: Karakalpakstan, Hojeli city; Buildings, constructions and utilities: Total area of the enterprise sq. m. Production (covered) area sq. m. Utility units available electricity, water, gas, sewage Logistics: Highway Buyuk Ipak Yuli 0,2 km. Railway 3 km. Airport 100 km. State owned, not operational Proposed for establishment of new production State Joint-Stock Company «O zbekyengilsanoat» 20
21 Investment project proposal # 10 (terry fabric production): Branch of JSC Bukharateks (Unfinished construction) Address: Bukhara Region, Shafrikan city; Buildings, constructions and utilities: Total area of the enterprise sq. m. Production (covered) area sq. m. Utility units available electricity, water Logistics: Highway Buyuk Ipak Yuli 9 km. Railway Kiziltepa 25 km. Airport 30 km. State owned Proposed as Green Field Project with establishment of new production State Joint-Stock Company «O zbekyengilsanoat» 21
22 Investment project production # 11 (cotton yarn and fabric): Organization of textile mill (Unfinished construction) Address: Tashkent Region, Buka city; Buildings, constructions and utilities: Total area of the enterprise sq. m. Production (covered) area sq. m. Utility units available electricity, water Logistics: Highway 1,5 km. Railway 2 km. Airport 100 km. State owned Proposed as Green Field Project with establishment of new production State Joint-Stock Company «O zbekyengilsanoat» 22
23 Investment project proposal # 12 (textile complex): Organization of integrated mill (unfinished construction) Address: Harezm Region, Bagat city; Buildings, constructions and utilities: Total area of the enterprise sq. m. Production (covered) area sq. m. Utility units available electricity, water, gas Logistics: Highway 3 km. Railway 10 km. Airport 20 km. State owned Proposed as Green Field Project with establishment of new production State Joint-Stock Company «O zbekyengilsanoat» 23
24 Products offers : A wide range of high quality cotton yarn (Ne7/1-Ne40/1); A wide range of fabric made of 100% cotton (CD20xCD12 /112x56 3/1 64, CD24xCD20/76x130 3/1 70 and etc.); A big choice of textile products such as linens and underwear, upper and children s clothes. State Joint-Stock Company «O zbekyengilsanoat» 24
25 Thank you for your attention! State Joint-Stock Company O zbekyengilsanoat 45 Babur Str., Tashkent, , Uzbekistan Tel: +998 (71) Fax: +998 (71) State Joint-Stock Company «O zbekyengilsanoat» 25
26 Uzbekistan textile industry Production capacity of of textile enterprises Cotton yarn yarn thousand tons; Weaved fabric 111,7 mln. mln. sq.m; Knitted fabric --59,0 59,0 thousand tons; Hosiery 20,0 20,0 mln. mln. pare; Knitted products 197,2 mln. mln. pieces. Row Row silk silk 1,4 1,4 thousand tons; State Joint-Stock Company «O zbekyengilsanoat» 26
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