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May 9, 2016

Vitamins All Year Round 


Uzbekistan is setting the stage for a new effective system of procurement, storage and export of fruits and vegetables in coming months. Uzbekistan Today reporters have found out about the key directions of this work.

The introduction of the state order for the purchase of fresh fruits and vegetables, potatoes, grapes and melons, starting with the 2016 harvest, ranks among the most interesting innovations.

The state order should ensure stable provision of processing plants under the O’zbekoziqovqatholding Company with the feedstock, procurement for the winter-spring period to sustainably supply the domestic consumer market, as well as exporting of fresh fruit and vegetable products that enjoy demand in foreign markets.

Local administrations and integrated development departments of regional administrations and districts will be responsible for ensuring the accuracy of accounting of the output of agricultural farming enterprises, and monitoring the implementation of their contracting agreements.

Fresh fruit and vegetables, potatoes, melons and grapes will be purchased by O’zbekoziqovqatholding Company for further industrial processing, procured by O’zbekoziqovqatzahira Association for the winter-spring period, and exported by specialized foreign trade company Uzagroexport. It is important that fresh products will be purchased from farming enterprises on contractual basis and at market prices.

Provision of new customs exemptions for product processing companies is another essential component of this process. In particular, the above-mentioned companies were exempt from customs duties on imports of up-to-date equipment and technologies, regardless of their affiliation.

Moreover, the processing plants under the O’Uzbekoziqovqatholding Company are exempt from income tax, property tax for legal entities, the single tax payment for micro and small enterprises, mandatory contributions to state funds, except for the unified social payment.

The funds released as a result of tax and customs privileges, should be mandatorily invested in technical re-equipment and modernization of production. In case of misuse of the released funds, they are subject to withdrawal to the budget and corresponding state trust funds.

Enhancement of effectiveness of export deliveries is a special part of this process. The President of Uzbekistan Islam Karimov approved the resolution on holding the annual International Fruit and Vegetable Fair in Tashkent.

The first fair is scheduled for June 2016. Its main objective comes to signing contracts for the exports of fresh and processed fruit and vegetables, harvested in 2016. In the future, it is planned to hold the annual fair in October. The related ministries and agencies are currently busy with involving foreign companies in the fair to conclude export agreements for the next year. The final parameters of the event will be determined by the government resolution.

It is worth noting that the Uzbek government has lifted the ban for exports of fruit and vegetables by trucks, which was effective in the country from  September 1, 2015. Starting July 1, 2016, legal entities and individuals will be permitted to export fruit and vegetables, potatoes, melons and grapes by vehicles. The only condition for them is to have a license for the international carriage of goods by vehicles.

Thereby, Uzbekistan intends to ensure the growth of exports of fresh and processed fruit and vegetable products more than 2.7 times, including canned food, concentrates and juices 2.5 times by the end of 2020.