Over the past five years, Uzbekistan has managed to solve the main problems in the chemical industry that have held back its development for a long time.
The chemical industry of Uzbekistan is important not only for diversifying exports and strengthening the country's defense capability, but also for meeting the vital needs of citizens. However, a number of problems existed and still exist in the chemical industry of Uzbekistan.
That is why the President of the Republic of Uzbekistan Sh. Mirziyoyev pays special attention to the development of the chemical industry of Uzbekistan. In this regard, the following decrees were signed in recent years:
- "On measures to improve the management structure of Uzkimyosanoat JSC" dated April 12, 2017.
- "On the program for the development of the chemical industry for 2017 - 2021" dated August 23, 2017.
- "On measures to improve the export-import activities of chemical industry organizations" dated August 29, 2017.
- "On measures for the accelerated development of the chemical industry of the Republic of Uzbekistan" dated October 25, 2018.
- "On measures to further reform and increase the investment attractiveness of the chemical industry" dated April 3, 2019.
- "On measures for further reform and financial recovery of chemical industry enterprises, production of chemical products with high added value" dated February 13, 2021.
All of the above documents had a great impact on the development of the chemical industry in Uzbekistan, including the increase in production and exports.
Production of chemical products from 2016 to 2020
Mineral fertilizers play important role during the production of chemical products in any country in the world.
Over the past 5 years, Uzbekistan has managed to achieve success in this direction. Thus, the production of potash fertilizers increased by one and a half times from 138 thousand tons in 2016 up to 210 thousand tons in 2020.
The next section of the chemical industry is organic and inorganic products. The production of these types of products in Uzbekistan also inspires optimism - almost all types of products have grown.
Moreover, Uzbekistan for the first time began to produce automobile tires after the implementation of 2 projects in 2019.
Export of chemical products from 2016 to 2020
The first place in the export of chemical products of Uzbekistan in 2020 was taken by ammonium nitrate with a total export value of $44,231 US (206 thousand tons). However, Uzbekistan has never exported such a large amount of nitrate; in 2016, the republic received only $23,343 US from the export of this type of product, sending 116 thousand tons abroad.
Potassium chloride took the third place in the export of chemical products in 2020 (exports increased from $20,500 US in 2016 to $36,492 US in 2020). The growth is due to the organization of the production of granular potassium chloride at LLC "Dekhkanabad Potash Plant", which is provided for by the "Road Map" approved by the President's decree of October 25, 2018 No. 3983.
A significant share in exports was taken by soda ash with a total value of exported products of $12,241 US (5952 thousand dollars in 2016). The results were achieved thanks to the expansion of the existing production of soda ash and the organization of the Kungrad Soda Plant.
It is also worth noting that for the first time in history, Uzbekistan began to export phosphate rock (exports in 2020 - $258 thousand or 3033 tons), caustic soda ($110 thousand or 322 tons), PVC ($11.680 thousand or 14,171 tons) and car tires (199 thousand dollars or 6070 tons).
|Investments in 2016-2020 in USD|| |
TOTAL for Uzkimyosanoat JSC
Over the past 5 years, due to a decrease in resource intensity and energy intensity, Uzbekistan has managed to achieve an increase in the production of chemical products, as well as its exports. However, a number of problems still remain unresolved, in particular, export diversification and modernization of current equipment. In this regard, the implementation of the decree of the President of the Republic of Uzbekistan dated February 13, 2021. №PP-4992 "On measures for further reform and financial recovery of chemical industry enterprises, development of production of chemical products with high added value” will cause the growth of this area.
Timur Niyazmatov, CERR