On May 10, President Shavkat Mirziyoyev chaired a meeting on developing the leather and silk industries and enhancing employment opportunities for the population. 
Uzbekistan is witnessing the implementation of numerous large investment projects. At the same time, we also need small and medium-sized enterprises that can create employment, produce exportable goods, and yield high profits. Local industries offer the most promising prospects in this regard.
In recent years, favorable conditions for entrepreneurial activity in these areas have been significantly expanded. Thus, 16 small industrial zones dedicated to leather production have been established and 40 million USD in low-cost resources were made available for new projects.
Last year, the production output in the leather industry reached nearly 3 trillion UZS. However, half of this production was concentrated in the Andijan and Fergana regions. This figure is relatively low in regions like Karakalpakstan, Bukhara, Jizzakh, Surkhandarya, and Khorezm, despite the abundance of leather raw materials there. 
The industry's exports are dominated by primary products, with finished products accounting for only about 30 percent. Leather processing volumes are also insufficient. The potential of livestock clusters is not fully utilized.
Therefore, the activities of the Charmsanoat Association will be changed, and the Xalq Banki will be assigned to the industry. With regional hokims, projects worth 100 million USD will be developed in small leather industrial zones.
Leather clusters will also be created in Sharaf Rashidov and Akhangaran districts. 40 million USD in cheap resources will be allocated to construct treatment facilities and buildings. Foreign brands manufacturing natural and artificial leather products will be involved in the projects. To facilitate this, up to 30,000 USD will be reimbursed to enterprises for expenses incurred with sourcing companies.
Livestock clusters will receive low-interest loans to purchase feed crops and purebred livestock.
The meeting delved into a comprehensive analysis of the silk industry as well.
Recently, a cluster system has been introduced in this sphere. Specifically, 74 sericulture clusters and 11 grain production enterprises have been established. The area dedicated to mulberry plantations has expanded from 40 thousand hectares to 55 thousand hectares. Consequently, the production volume of silkworm cocoons has surged by 2.5 times, reaching 26 thousand tons, while the export of silk products has tripled.
However, agrotechnics for silkworm care and disease protection are not sufficiently developed. As a result, the cocoon loss is relatively high.
The industry’s exports are still based on raw materials. In this regard, the need for in-depth processing of cocoons and increasing the production of finished products, fabrics, and home textiles was emphasized. This should help secure a place in the European market, which accounts for 45 percent of global silk imports.
The most pressing problem in sericulture remains the food supply. Addressing this issue requires an expansion of the cultivation of new high-yielding varieties of mulberry. Planting mulberries in one or two rows along the edges of cotton fields can also create an additional food source.
Hokims were instructed to organize new mulberry plantations covering an area of 105 thousand hectares. These lands will be subdivided into plots and made available to the population through an auction system, with the initial plot price set at 10 percent. Unemployed citizens, including women, will undergo short training courses in mono-centers and sericulture clusters.
Previously, the low purchase price for cocoons failed to generate interest among the population. In response, a recent Presidential Decree has raised the purchase price of cocoons by 25 percent. Additionally, sericulture farmers are now exempt from income and social taxes, while a tax rate of 10 percent has been set for mulberry plantations.
Another approach to enhance industry efficiency is by adopting alternative methods. For instance, silkworm farming on castor beans, a technique widely utilized in China, could be adapted to suit our climatic conditions.
The Plant Protection Agency has been instructed to import castor bean seeds and silkworms that feed on its leaves for testing at the Institute of Sericulture.
Hokims and officials in the industry were given several instructions on the quality organization of the silk season.
Carpet production also holds significant importance in creating employment opportunities for the population, and fostering the growth of the local industry. Last year, the centralized purchase of polypropylene showed its effectiveness. This successful experience will be extended, with funding doubled, taking into account the period before foreign exchange earnings are received. Entrepreneurs will be supplied with polypropylene for up to one year.
During the meeting, the Head of State held an open dialogue with entrepreneurs in these industries. After hearing their concerns and suggestions, he directed responsible officials to aid entrepreneurs in acquiring certificates to access European markets, to attract foreign specialists, to facilitate the entry of domestic leather, carpet, and silk products into foreign trading houses, and to arrange the training of skilled mid-level personnel, among other tasks.
The second issue on the agenda was the implementation of the Saykhunabad experience.
As a result of the initiatives launched in April, significant progress has been achieved. Employment opportunities have been created, with 365 thousand individuals venturing into entrepreneurship. Banks have established close collaborations with their clients, facilitating the employment of 115 thousand people. Moreover, 70 thousand micro-projects have been successfully implemented in mahallas. Cultivation of crops has begun on 465 thousand hectares of private plots.
However, there are regions where progress is lagging. For instance, when studying 7 districts, it turned out that no crops were planted on dozens of household plots.
Therefore, 382 officials at the district level were dismissed from their positions due to these shortcomings.
The President again emphasized that employment and income issues are paramount and warned leaders at all levels.
Tasks have been identified for qualitatively organizing Saykhunabad’s experience in districts and mahallas, creating permanent jobs and income sources for the population.
Another crucial issue in mahallas is the organization of well-regulated and safe labor migration.
In the initial four months of this year, 115 thousand working abroad citizens returned to the country. By the end of the year, another 250-300 thousand migrants are expected to return. The importance of their employment and assistance with social issues were emphasized.
Responsible persons were instructed to create a unified information platform on migration and integrate it with the “Mahalla of Seven” system.
The meeting included presentations from industry and regional leaders regarding the discussed issues.