Uzbekistan Grants Tax and Customs Incentives to Textile Industry Enterprises

Tashkent, Uzbekistan (UzDaily.com) — President of Uzbekistan Shavkat Mirziyoyev has signed a resolution “On measures to accelerate reforms and expand export potential in the textile and knitwear industry” (No. PP–290 dated 19 September 2025).

The document sets key targets for 2026: a 9% increase in production, reaching 146 trillion soums, and boosting exports to US$3.3 billion.

To support financial recovery, measures include restructuring the debts of cotton-textile clusters on loans issued from the State Agricultural Support Fund for the 2022–2023 harvest. For clusters with collateralized assets, interest payments will be deferred until the principal is repaid. Those who met obligations on time will be refunded 50% of interest paid, while accrued penalties on overdue interest as of 1 August 2025 will be written off.

To ensure uninterrupted cotton harvesting in 2025, farmers will receive subsidies of 1 million soums for each ton of raw cotton sold to processors via exchange trading. Clusters and enterprises financing cotton cultivation or procurement with their own funds will be reimbursed 10% of its cost.

Starting from 1 September 2025, a reduced social tax rate of 1% will be applied for three years to cotton-textile clusters and textile/knitwear enterprises. In addition, customs duties will be waived on blended fabrics, textiles, and raw materials for the leather and silk industries not produced in Uzbekistan, based on approved lists.

The state budget will also allocate subsidies to preschool educational institutions established by enterprises with over 200 employees. These will receive support under the same conditions as non-state family kindergartens.