President of Uzbekistan Signs Decree to Boost Exports and Financial Recovery of Light Industry

Tashkent, Uzbekistan (UzDaily.com) — The President of Uzbekistan Shavkat Mirziyoyev has signed a decree titled “On Measures to Expand the Participation of Local Light Industry Enterprises in International Supply Chains and Strengthen Their Positions in Foreign Markets.”

The decree introduces a comprehensive support program for the sector’s enterprises, including a classification system based on economic and financial indicators into “green,” “yellow,” and “red” categories, with targeted assistance provided depending on the business’s condition.

Under the program, commercial banks are authorized to provide textile enterprises with loans of up to US$2 million, using resources from the Agency for the Development of Light Industry, secured against purchased or self-produced raw materials. Enterprises with potential for financial recovery may be granted extensions on previously issued commercial loans for up to seven years. Additionally, in 2026–2027, repayment schedules for loans obtained to purchase cotton may be adjusted, allowing payments due in January–February to be evenly spread over the last six months of the loan term.

From 1 January 2026, light industry enterprises are permitted to sell surplus electricity generated by renewable energy installations of up to 5 MW beyond their own consumption.

Cotton collection points will benefit from a 50% reduction in property and land taxes from 1 January 2026 to 1 January 2028, taking into account the seasonal nature of their activities.

From 1 January 2026, to 1 January 2029, VAT exemption will apply to investors acquiring assets of textile and garment enterprises held on the balance sheets of commercial banks.

Investors who fully restore production within six months will also benefit from a 50% reduction in property tax for one year. At the same time, existing tax incentives for profit, property, land, and turnover taxes are extended for leather and footwear enterprises, fur businesses, and organizations involved in livestock slaughter and skin processing.

The measures aim to enhance the resilience of light industry enterprises, expand their export potential, and integrate them into international production and distribution chains.