At a video conference on utilizing export potential and resources in the textile sector, the President put forward initiatives aimed at boosting production and exports.

In particular, it was noted that the price of yarn and fabric in Uzbekistan is, on average, 10–15% higher than that of key competitors. The reason is that cotton accounts for 90% of domestic products, whereas competitors use 30–40% cheaper synthetic materials such as polyester, viscose, and spandex.

Global demand for synthetic fiber and blended fabrics is steadily increasing. Uzbekistan currently imports around 100,000 tons of blended yarn, woven fabric, and textiles each year.

In this regard, blended fabrics and textiles will be exempt from customs duties until 1 January 2028.

Officials have been instructed to launch projects by the end of this year to produce at least 100,000 tons of blended fabrics domestically.

In a related move, if several dyeing companies jointly construct a water treatment facility, part of their costs will be covered by the Trade Promotion Company.

Last year, 55 enterprises each exported goods worth more than USD 5 million, employing at least 200 workers apiece. However, these companies are concentrated mainly in regional centres and industrially developed districts.

With support, they plan to open branches in remote, less industrialized districts. To facilitate this, the Trade Promotion Company will provide loans of up to UZS 10 billion for a period of five years at the Central Bank’s base rate. The salaries of foreign designers, technologists, constructors, and marketers will also be covered.

Enterprises receiving such support will be required to create 200 jobs and pay competitive wages.

Officials have been tasked with using these incentives to launch sewing factories in 20 districts this year and another 30 next year, starting in Karakalpakstan.