Uzbekistan and Kazakhstan expand cooperation in the field of light industry

    Investments 14 March 2023 2347

    The governments of the two countries have agreed to launch idle textile factories in Shymkent. Since August last year, production there has been stopped.

    In August last year, a textile factory in Shymkent and a factory for the production of cotton products were forced to suspend production. In the local akimat, this was explained by certain difficulties in the supply of raw materials, as well as a shortage of personnel, the Kazakh newspaper Khabar24 reports.

    A roadmap has been signed between Uzbekistan and Kazakhstan, including joint rehabilitation of idle enterprises.

    The initiator of the project to resume the production of textiles in Shymkent will be an Uzbek investor who undertakes to invest in the purchase of raw materials, equipment upgrades and training of specialists.

    In addition, the Kazakh authorities assisted by connecting enterprises to electricity at the expense of the budget, reducing tariffs and giving tax preferences.

    In turn, entrepreneurs from the textile sector in Shymkent complain about the lack of specialists, which leads to incomplete utilization of production capacities.

    Uzbekistan and Kazakhstan will jointly develop not only this sphere. A plant for the production of soft dosage forms has been launched, as well as a factory where paper products for hygienic purposes are already being produced.