Industry in Uzbekistan

Industry in Uzbekistan
Uzbekistan is a country with a developed industry. Forty percent of production and more than a million people are engaged in this sector of economy. The share of the sector in making the country's GDP makes up 14 percent.
Leading sectors of the industry are: cotton cleaning, machine building, textile, gas, precious metals, electronics, instrument making, aviation, oil processing, car making, and agricultural processing.
Other sectors, including chemical and oil and chemical, power, metallurgy, sector of construction materials and light industries are developing fast.
More than 2,200 concerns, companies and enterprises, engaged in more than 100 sectors of the economy, produce a wide variety of goods. They are aircrafts, tractors, automobiles and trucks, mechanical cotton harvesters, cables, looms, excavators, lifting cranes, elevators, power transformers, compressor stations and pipe compressors, TV-and radio-sets, refrigerators, fertilizers, construction materials, varnishes and paints, fabrics, cotton-fiber, and many others.
The largest sectors of industry on the amount of production are fuel and energy (25 percent), light and food industries (30,6 percent).
Before 1991, Uzbekistan used to import nearly 6 million tons of oil. After the country gained its independence, it had set to fulfill the strategic task of total reconstruction of oil and gas industries, and secure the self-maintenance in oil products.
The use of the latest technology and equipment jointly with foreign companies such as US "Kellog" and Japan's "Nisho Iwai" at Kokdumalak oil and condensate deposit allowed raising the oil extraction.
In 1997 the Bukhara oil refinery has been launched. It was built jointly with French "Technip" and Japanese "Marubeni". Currently, the reconstruction works of yet another oil refinery in Ferghana are under way jointly with participation of Japanese "Mitsui", which would allow for processing of the local oil, as well as extract the car gas, diesel fuel, and aircraft kerosene.
Uzbekistan has powerful thermoelectric power stations, which generate almost 90 percent of electric power in the country. Annual electric power generation is sufficient for total consumption needs of the country.
The metallurgical industry is comprised of companies that extract, treat and process raw, ferrous and non-ferrous metals, This sector makes more than 10 percent out of the total of industrial production. There are many predicted reserves of gold, silver, copper, uranium, lead, zinc, tungsten, molybdenum, lithium, aluminum, and other rare metals and minerals in the country. Given that, the share of the metallurgy is expected to further rise in the total amount of industrial production. Products put out by the industry, especially those of non-ferrous and precious metals, are considered to be a rare at the world market, and will serve a good reason to extend their export with a view of enriching the country's currency fund.
The non-ferrous metallurgy, with its main base in the Angren and Almalyk mining industrial area, includes production of copper, refractory and heatproof metals, and gold, respectively. The largest enterprise of the sector is the Almalyk Mining and Smelting Enterprise.
The share of the chemical -and oil and chemical industry in the total industrial production comes to a 5,3 percent. It includes four branches such as basic chemistry, oil and chemical, microbiology, as well as chemical and pharmacological. The main objective behind extending chemical industry was to solve the problem of agriculture, that is, to supply the sector with fertilizers. This explains the huge share of the chemical sector in the total production in the given sphere.
The chemical industry is comprised of companies that make fertilizers, chemical fibers and filaments, synthetic washing tools, varnish and paints, plastic and synthetic pitch, and others. The oil and chemical industry produces more than 20 kinds of goods, 15 of which are now locally produced en lieu of being imported.
The companies in microbiological sector such as the Chirchik Electric and Chemical Enterprise, the Samarkand Super-phosphate Enterprise, and others, put out protein, various spirits, including table and ethyl. With a view of improving the ecological situation, and use of the latest technology, the Ferghana "Azot" Company and Chirchik "Electrokhimprom" were reconstructed.
The machine building - the basis of reequipping of all of the sectors of economy - saw the large-scale improvement, as well. The sector, which manufactures machines, used in farming, take the leading role in the sphere. There are more than 300 machine building and metal processing enterprises in the country. uzbekistan industry textile
The initial cotton processing and other activities related to it influenced much the development of the sector because it had begun to manufacture the machinery for harvesting, cotton cleaning, and textile industries. Other fields such as aviation, automobile, electronics, and heavy machine building are also developing.
Jointly with South Korea's "Daewoo" the JV "Uzdaewooauto" was built in the town of Asaka, the Ferghana Valley. Cars such as "Nexia", "Tico", "Damas", “Lacetti”and "Matiz" put out at the joint venture are popular not only in Uzbekistan, but also abroad, for example, in the newly independent states.
Also, another JV, "SamKocauto", that produces buses and trucks has been launched in Samarkand jointly with Turkish partners in the field.
Thus, the creation of the new branch of economy- the automobile building - is under way.
In addition, there are associated enterprises are now launched based on production of assembly parts.
There is a largest aviation plant, and the only one that makes the military-transport aircraft, namely "IL-76" in the country.
Over the last years, the share of the heavy industry within the total amount of industrial production has increased. And accordingly, the share of the light and food industries has decreased. The given tendency calls for creation of the new independent national economy.
During the first stages of economic reforms, the country chose to limit the consumer market by redirecting all the efforts and funds onto structural changes in the economy, and grounding the foundation for the modern export-oriented production, equipped with the latest technology.
The light and textile industry is also significant in creating and extending the industrial complex of the country. More than third of the total number of industrial companies in Uzbekistan are concentrated in the given sector, as well as make up the country's basic funds and number of personnel engaged, huge share of the foreign trade balance, and currency revenues. Given the specific features of the country with its large farming practice, the diverse light industry was put in place incorporating production of the cotton-fiber, cotton and silk cloths, raw silk, ambary fiber, hosiery, upper and linen knitted wear, ready-made garments, footwear, and other. The making of carpets, haberdashery, and china-faience ware is considered to be a part of the country's light industry. 
The main centers of raw silk and silk cloth production are in Ferghana, Namangan, and Bukhara provinces. There are cloth factories now operating all around the nation. The city of Khiva is famous for its carpet making industry.
The cotton-cleaning sector is the dominant one in the industry. The enterprises in the sphere are usually based in the areas close to cotton sowing regions. However, the industry still lacks in such enterprises given there are new areas explored for cotton sowing practice.
The food industry is mostly based upon processing of local agricultural raw. The oil making with processing of cottonseeds is one of important sectors of the given industry. The flour grinding, production of diary and meat, non-alcoholic drinks as well as bakery, and confectionary put in place nationwide. There are various companies, specialized in making of cans, oils, macaroni, tobacco, wine, liqueur and cognac, fresh and dry fruits, vegetables, melons and water-melons, and other kinds of products of high demand among the population.
The sphere of consumer goods production is going through fundamental changes, as well. The target goal is to import high-quality goods and-those, which are impossible and economically non-profitable to produce locally. Local producers are new actively attracting foreign investment and capital into the sphere.
The role of the gold-mining industry in the country's economy is very important. The quality of Uzbek gold meets the highest world standards. There are several companies, and some of them are established jointly with foreign capital, now operating in the sphere. In 1995, in cooperation with American "Newmont Mining", Uzbekistan launched a joint venture, namely "Zarafshon-Newmont" on the mining and processing of precious metals. Now, it operates for 24 hours a day, and processes more than 37 tons of ore dump a day with further extraction of world-class gold and silver. The enterprise is equipped with the latest technology.
Also, with participation of the same "Newmont Mining" and credits, allotted by the European Bank for Reconstruction and Development (EBRD), another joint venture has been launched on production of gold from the dump that come out from the Navoi Mining and Smelting enterprise. Other projects are also under way on the mining and processing of non-ferrous, precious and rare metals.
The fuel industry is another equally important sector of economy. The given sector mainly comprised of gas extraction and brown coal mining. The amount of extracted gas not only allows meeting domestic needs, but also it allows exporting it abroad.
The largest deposits of gas are in Gazly, Uchkir, Urtabulok, Mubarak, and Shakhpakhty. The Mubarak gas processing plant is now operating.
The quick explorations of oil deposits allowed Uzbekistan import no more oil products.