Manufacturing

Manufacturing

Manufacturing in Uzbekistan is mostly developed in the textile, automotive, and the (already discussed) aerospace industries. The building of machinery and electrical equipment, and the production of chemicals are other significant sub-sectors of the manufacturing sector.

Textiles

Uzbekistan is among the largest  producers of cotton, silk and karakul in the world. Enterprises process approximately 15 percent  of cotton fiber out of 1.3 million tons of cotton produced in the republic.

It was decided to  increase processing of cotton fiber up to 300.000 tons by the year (2000).
There are 9 silk spinning mills in the country with a designed capacity of producing over 700    tons of raw silk thread and 7 mills producing almost 3.5 million linear meters of silk fabric. Apart from that, over 30 tons of high quality yarn is produced. A program for the further development of the textile industry envisages the growth of export potential at the expense of refitting existing enterprises with modern technological equipment from leading foreign firms, construction projects, attracting direct investment and loans.

Automotive

A number of Government Branches related to the automobile industry aim to implement significant changes in the process of economic reform. The Association Uzavtosanoat coordinates the activities of this area of   production. To date, the Branch consists of more than 100 enterprises at home and abroad. Approximately US$ 1 billion has been invested, with the basic infrastructure providing raw materials for processing by the automobile branches.
The UzDAEWOO assembly plant is a pioneer in the area of automobile manufacture. The founders of this joint venture are the South Korean Corporation - DAEWOO - and Uzbekistan's Uzavtosanoat. The plant produces two types of cars: Nexia and Tico, and a microbus called Damas. Annual production of the plant is 200,000 vehicles. The production of "complete sets" is carried out locally with the aim to achieve 70 percent production in the region and then attract neighboring Kazakhstan and Kyrgystan into the program.

Machinery

Uzbek Machine Building Association - Uzmashprom - consists of 36 enterprises and organizations and a number of joint stock companies. Different kinds of machines are produced including: chemical equipment, turbo compressors, cotton cleaning jin-lint equipment, forklifts, cranes, gate valves, diamond dusts, metal cutting tools and textile machines. German and American companies are involved in joint venture enterprises within the branch, and large investment projects include companies from Turkey, Germany, Korea, America and others.

Electrical Equipment

The association of radio-electronic, electrical industry and instrument-making - Uzeltechsanoat - includes 38 of the nation's largest companies. A large selection of goods are being produced including cables, electric motors, power and welding transformers, low-tension instruments, electronic equipment, alkaline batteries, lifts, semiconducting instruments, resistors, and switches to mention a few. Production satisfies domestic demand, and 30 percent of the total volume (or about US$ 21 million) is exported. The association is participating in over 20 joint ventures with foreign companies, and foreign companies are invited to cooperate in other projects such as: equipment for tractor machinery; compressed and liquid gas supply; auto electronics: road signs, traffic lights and railway guides; scales for trading organizations and bazaars; water, electricity, gas and fuel meters; " radio receivers; consumer appliances; electronic games and toys; bicycles, cycle simulator, wheelchairs; motor compressors for air conditioners and refrigeration; systems for drip irrigation and electronic control systems; cable-conducting production including optical-fiber; and thermal energy equipment for industrial and other users.

Chemicals

There are 40 enterprises involved in chemical production, generally using advanced technology and with significant individual output levels by machines, producing products of world standard. The government established a program for the industry, which will increase productivity from US$ 400 million in 1997 to US$ 1.2-1.3 billion by the year 2002. Furthermore, exports are expected to grow from US$ 51 million in 1997 to more than USS 500 million in 2002. There are also plans to introduce new ideas to provide for a structural and technological change in the industry. For example, the general manufacturing organization for caustic soda, chlorine, saline acid, disinfectants, artificial fibers and spreads, paper, lacquer-colors, etc. Different investment projects will amount to 1)8$ 2.5 billion over the next 10 years.

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