Tashkent, Uzbekistan: The Uzbek government has approved investment agreements with Chinese companies ZTE (N.C.) Ltd and Wenzhou Jingshen Trade Co. Ltd. on four projects at the Jizzak special industrial zone (SIZ) at a total cost of $15.56 million. The Dispatch News Desk reports.
According to the decree ‘On Measures for the organisation of high-tech industries in the special industrial zone Jizzak’, promulgated on Monday, the Wenzhou Jingshen Trade Co. Ltd. company will start implementation of three projects worth $12.4 million this year.
In particular, the company will establish a venture to produce 1.2 million units of acrylic sanitary products worth $10 million, implement a project worth $1.4 million for the organisation of a modern production line for the waste-free processing of raw materials in the processing of leather with a capacity of 1000 tons per year, as well as another project worth $1 million to produce one million tons of pet food.
Commissioning of the first production run is scheduled for the third quarter of 2014, while the remaining projects are expected to be operational by the end of the second quarter of this year. ZTE (HK) Ltd is implementing a project for the production of mobile phones and their accessories worth $3.16 million. Production capacity will reach 100,000 phones annually and commissioning is scheduled for the first quarter of 2014.
Under the agreement, the companies are granted tax and customs privileges in carrying out the projects for a period of five years. Jizzak SIZ was created in March of this year according to the decree of the President of Uzbekistan. The main tasks and activities of the company are to attract direct investment for the establishment and effective operation of modern high-tech and innovative productions for products competitive on the domestic and foreign markets with a high added value.
The Jizzak SIZ’s operational term is 30 years with the possibility of a further extension. During this period, the special industrial zone will offer special tax concessions and customs exemptions granted for a period of three to seven years, depending on the amount of investments made.
Jizzak is located in the centre of Uzbekistan, 200 kilometres from Tashkent. Along with Jizzak, there are two more industrial zones in Uzbekistan – Free Industrial Economic Zone, Navoi (since December 2008) and special industrial zone Angren (since April 2012).
