Serik Zhumangarin and Jamshid Khodjaev discussed the progress of joint Kazakh-Uzbek projects

A regular meeting of the working group of Kazakhstan and Uzbekistan at the level of deputy heads of government was held in Astana. The participants reviewed the implementation of joint projects, investment agreements and trade contracts planned for implementation following the negotiations of the presidents of the two countries in December 2022, press service of the Ministry of Trade and Integration reports.

Deputy Prime Ministers of Kazakhstan and Uzbekistan Serik Zhumangarin and Jamshid Khodjaev noted the active progress on individual projects of joint roadmaps and discussed ways to solve emerging barriers to improving the effectiveness of partnerships.

Bilateral documents have planned major projects in various sectors of the economy. In particular, a project to launch the production of Artel household appliances in the Karaganda region is being implemented in a timely manner. The project is divided into several stages, the start of the launch is 2025. Under the Artel brand, it is planned to produce kitchen stoves, vacuum cleaners, televisions, mini-ovens, washing machines. The development potential is $8.95 billion, of which $7.97 billion is for export. Currently, the development of the PSD has been completed, construction and installation work is underway, about 10% of the equipment has been delivered.

According to the plan, the establishment of the production of small-node assembly of Chevrolet Onix cars in the Kostanay region is moving forward. The project is scheduled to be launched in the 1st quarter of 2024 on the basis of the "СарыаркаАвтоПром". Contracts have been signed and equipment is being manufactured for welding, painting, and assembly workshops.

Projects to create textile complexes are being actively implemented in Shymkent and Turkestan region. In April 2023, the parties agreed on experimental sowing and subsequent processing at the "Zhanassyl" plant of Uzbek varietal cotton seeds. Now 30 hectares of new "Namangan - 77" seeds have been sown in the region..

In addition to major infrastructure projects, the parties intensively cooperate on projects in the agro-industrial complex. These are the construction of a plant for processing fruit and berry crops, refining sunflower oil, construction of a feedlot for 20 thousand heads of cattle and a meat processing complex, etc.

At the working meeting, in order to increase the efficiency of interaction, the participants discussed the possibility of increasing the capacity of border posts, increasing tariffs for the transportation of Kazakh coal to Uzbekistan, and activating the multimodal transport route "China - Kazakhstan - Uzbekistan - Turkmenistan-Iran".

Special attention was paid to the discussion of the possibility of reducing tariffs for the transit of Kazakh flour products through the territory of Uzbekistan. The volume of flour exports from Kazakhstan to Afghanistan on the territory of Uzbekistan reached a historical maximum in 2017 of 1,209 thousand tons. In subsequent years, this indicator decreased significantly: in 2021 - 536 thousand tons, in 2022 - 816 thousand tons. For 6 months of the current year - a total of 275 thousand tons.

Taking into account the significant potential of our country to export flour to Afghanistan, the Kazakh side asked the Uzbek side to consider the possibility of providing tariff preferences to the base tariff for transit transportation through Uzbekistan to Afghanistan by rail. The meeting participants agreed to create a joint expert working group to discuss favorable tariff conditions for rail transportation and develop specific proposals.