Tashkent, Uzbekistan (UzDaily.com) - A webinar on “Export of textile products from Uzbekistan to Europe in the new economic conditions” with the participation of domestic manufacturers of textile products and business representatives of the Benelux countries was organized by the Embassy of our country in Brussels in conjunction with the Uztekstilprom Association, Dunyo reported.

The event discussed the changing situation in the European textile markets caused by the coronavirus epidemic, the existing problems on the export of textile products in Uzbekistan, the scenarios of the actions of exporters, and their support in our country in the new conditions.

The Uzbek side provided information on the export potential of the domestic textile industry, support for manufacturers and experience in cooperation with foreign partners during the pandemic. It was noted that today in the country there are about 50 textile companies producing high-quality competitive products. However, one of the main problems is the lack of the necessary quality certificates and steady contacts with large buyers in the European market for many exporters.

In turn, the head of the Belgian company “Group Ace Ltd” K. Ducolombier noted significant changes in the European market due to the pandemic - the closure of stores throughout Europe, changes in the consumer culture of Europeans and others.

It was noted that today the main global production of textile products is located in Asian countries, and therefore, most traders acting as intermediaries are based in the cities of Hong Kong and Bangkok, where almost all major European retail chains have their own purchasing offices.

In this regard, there was an opinion about the advisability of attracting large European buyers to Uzbekistan and opening manufacturers' offices in Hong Kong and Bangkok for direct access to large buyers.

The event also voiced opinions on the feasibility of establishing operational work on the delivery and logistics of domestic products to Europe, including involving foreign companies in these processes, as well as revising the payment system taking into account European practice.

Talking about his four years of experience in Uzbekistan, G. Faykin, Commercial Director of the Czech company Orient Eurotrade (supply of Uzbek textiles to Eastern Europe), shared his opinion on the competitiveness of Uzbek products. In particular, he noted that it is influenced by the fact that European entrepreneurs, as a rule, purchase goods in small batches to make sure of their quality and the integrity of the supplier. This, in turn, does not allow for price competition, since transportation of a small batch is expensive. Moreover, when importing into the Czech Republic, Uzbek textile products are taxed at 9.6%, which also reduces its competitiveness.

In this regard, the European side was informed that the government of Uzbekistan has introduced the practice of reimbursing exporters part of the costs associated with transporting products to foreign markets. In addition, deliberate negotiations are underway with Brussels on the issue of obtaining the status of beneficiary of the general system of preferences "GSP +", which will allow duty-free import into the EU, in particular, textile products.

Commenting on the situation around the boycott of Uzbek cotton and textile products, the Uzbek side announced that Tashkent had a dialogue with the Cotton Campaign NGO, whose representatives were invited to Uzbekistan this year to monitor the cotton harvest.

Separately, it was noted the possibility of establishing close cooperation with clusters operating in the country, in which the whole process is carried out from cotton cultivation to its processing and production of finished products. This will ensure transparency and guarantees that children or forced labor were not used in the production of this product.

Participants in the event received comprehensive answers to all their questions. As a result of the event, the participants agreed to hold such meetings on a regular basis.