President of Uzbekistan Islam Karimov signed a decree for creation of new special industrial zone Jizzakh on 18 March 2013. The branch of the zone will be in Syrdarya region.
The zone was created in line with a memorandum of understanding on implementation of project on creation of Uzbek-Chinese industrial park in Uzbekistan. It was created to form favourable conditions for attracting foreign and local investments to creation of high technologic industrial capacities, production of competitive products with high added price, complex and effective use production and resource potential of Jizzakh and Syrdarya regions.
The special zone was created for 30 years with possibility of extension. The decree set tax and customs preferences for enterprises, operating in the zone. The enterprises, located in the zone, will be exempted from payment of income tax, property tax, tax for accomplishment and social infrastructure, single tax, and mandatory payments to Road Fund.
Four projects worth US$15.5 million will be implemented in Syrdarya branch of the zone. Production of mobile handsets, ceramic tiles, processing of products of husbandry and forage was launched at the zone.
Uzbekenergo implemented a project “Organization of production of solar water heating systems (collectors) at the SIZ JIzzakh. The enterprise started its work in August 2014. Currently, works on improvement of territory and certification of products are underway at the enterprise.
Uzbektelecom and several Chinese companies are implementing four projects for US$6.5 million at the SIZ Jizzakh, of which US$2.7 million are foreign direct investments.
The company in cooperation with Asia Telco Technologies Co. (Atel) will produce banking terminals and telemetry. In cooperation with Zhong Xing Telecommunication Equipment Company Limited (ZTE), it is planned to launch production of video and IP-telephony devices, while with Jiangsu Zhongtian Technology Co. Ltd (ZTT) – equipment and accessories for construction of optic-fibre networks.
Uzbektelecom and Huawei Tech. Investment Co. Ltd will launch production of stationary equipment OLT, subscriber hubs MXU, user terminals ONT, and distribution lines IFDT. It is planned that localization level will reach 20% after three years.
Buy Fitting Product of Uzbekistan and Urumqi Partnec Biotechno- logies Co. Ltd are implementing a project with the cost of US$4 million, of which US$3.5 million are foreign direct investments. The partners will be engaged in the issue of polypropylene pipes, fittings, valves and accessories (clips) for pipe installation. At first level, the localization level will be 24% and about 40% of production will be exported.
Golden auto parts of Uzbekistan and Fujian Huari Automobile Parts Co. Ltd of China will produce brake pads and linings for vehicles and rail transport. The Chinese company invests US$3 million to the project. Localization level will reach 48% in the first stage and will grow gradually.
Sell Screw Products and Xinjiang Nixan International Logistics Co. Ltd are implementing a project for US$4 million, of which US$3 million are foreign direct investments. Annually, the enterprises will produce 2,000 tonnes of wire products and 10,000 tonnes of metal shapes. The enterprise will supply its products to internal and external markets.
Jizzakh regional administration initiated a project “Organization of production of polypropylene yarn and carpet products”. The enterprise receives equipment from Europe and construction assembly works are underway at the object.
Uztroymateriali implements the project “Organization of production of glazed and decorated tiles”. Roison will implement a project on production of TV-sets, refrigerators, washing machines, air-conditioners, vacuum cleaners, electric and gas stoves.