On the meeting chaired by the President of Uzbekistan discussed results and additional opportunities in industrial sectors
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Yesterday, President Shavkat Mirziyoyev chaired a videoconference to discuss the productivity of industries for 9 months of this year and tasks for the period up to the end of the year, reports IA “Dunyo” correspondent.
As the Press Service of the President of Uzbekistan informs, the impact of the pandemic has also seriously affected the pace of industrial production. In this regard, the state has taken urgent measures to support each sector. Production facilities continued to operate during the quarantine period. As a result, it was possible to protect the industry from significant potential losses.
It is noteworthy that the processing industry, which provides high added value in the economy, grew by almost 3 percent in 9 months. In particular, the production of electrical equipment increased by 25 percent, textiles by 12 percent, metal ore mining by 7 percent and construction materials production by 6 percent.
Also, the export of vehicles increased by 1.5 times, electrical equipment by 1.3 times, textiles by 16 percent and copper wires by 15 percent.
As a result, the positive dynamics of growth of the gross domestic product remained 0.4 percent and budget revenues were fulfilled with a surplus of 1.9 trillion UZS.
At the same time, there were shortcomings in some industries and regions, as a result of which the total volume of industrial production decreased by 2.7 percent.
Factors that caused the decline were critically analyzed, measures to ensure production volumes by the end of the year were considered at the meeting. In particular, reserves that are not used in industries and regions and measures necessary for their mobilization were considered in detail. The ultimate goal is export, income, profit and economic effect.
“There are problems in the management system of industrial enterprises. We need to reduce the cost of production. This is an important basis for creating a competitive environment”, the President said.
The state of the oil and gas industry was analyzed first of all. The activity of lagging enterprises was criticized, the issue of compliance of their managers with their positions was considered.
Instructions were given on ensuring the enhancement of natural gas production and additional gas supplies to the domestic market by the end of the year. The task was set to produce 740 thousand tons of oil and condensate, 203 thousand tons of liquefied gas and 125 thousand tons of polythene.
As it was noted at the meeting, Uzkimyosanoat JSC has great possibilities for increasing production and exports. It was instructed to take measures to modernize the first stage of Kokand Superphosphate Plant and launch the Ammonia-Urea Complex at Navoiazot JSC.
It was emphasized that the production of tractors and seeders has halved in the agricultural machinery industry, which was transferred to Uzautosanoat JSC leadership. The need for increasing car production to 62,000 units in the fourth quarter, export for $165 million, as well as start selling components and spare parts on the foreign market was noted. It was instructed to work out a strategy for the development of automotive industry in the country together with international experts.
The presence of unused reserves in production of construction materials, electrical equipment and light industry was indicated.
11 projects on building materials will be implemented by the end of the year. Thanks to this, the production of new types of products will be mastered, the capacity of enterprises will increase, and import substitution will be achieved.
It is planned to localize 12 types of products in the electrical industry. The Head of the state noted the importance of putting these capacities into operation as soon as possible, ensuring competition, reducing the cost of production and expanding the export of goods.
Uztuqimachiliksanoat Association was tasked to fully utilize the existing capacities, assist over 100 new enterprises in obtaining international certificates recognized in the United States and Europe, and orient their products for export.
Transformation of industries where market mechanisms are not fully approved is becoming increasingly important. In this regard, the President gave instructions for improving the activities of industrial enterprises and introducing an international management system.
Creation of additional production facilities at the expense of existing reserves of industrial enterprises in the regions was also discussed at the meeting.
55 regional localization projects have been disrupted, and target production volumes for 144 projects have not been met over the past 9 months. As a result, the opportunity to produce products worth 720 billion UZS was missed.
Relevant ministries and hokimiyats were instructed to solve problems in lagging projects, study new promising areas of import substitution and include them in the localization program.
The importance of implementing major 80 industrial and 44 regional projects worth $7 billion in the remaining three months of 2020 was emphasized.
The issue of increasing export by expanding production was considered.
“Today I signed a decree on expanding financial support for exporting companies. Now additional funds will be allocated for such enterprises through the Export Support Fund that is being created. The Fund is allocated $100 million for this purpose. They will be used to form working capital of enterprises for uninterrupted supply of products to a foreign market”, noted Shavkat Mirziyoyev.
Deputy Prime Ministers were instructed to promptly address the tasks, as well as to achieve targets set for the end of the year.
Heads of industries and regions reported on the issues discussed at the meeting.