World Bank Document

labor resources. Uzbekistan’s agriculture remains dominated by cotton and wheat which still account 

for 70 percent of cultivated land but less than 20 percent of gross agricultural output. Cotton exports 

remain an important source of foreign exchange for the government, though the current tax and 

subsidy regime pays low prices to farmers which limits its profitability. While land reforms have 

increased the space for private agriculture, the land base available remains limited. The government’s 

approach so far has been based on an administrative re-allocation of land in designated areas, rather 

than increased flexibility in land use and cropping decisions. Thus, agriculture remains largely 

managed by the state and dominated by state-controlled monopolies, which has limited innovation 

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and efficiency. Beyond cotton and wheat, there is limited value-chain organization, research and 

extension, or services to farmers and access to finance. 

 

5. 

The government’s long-term vision is to transform Uzbekistan into an industrialized