Uzbekistan Offers Pakistani Investors 29 Textile Enterprises for Acquisition

Tashkent, Uzbekistan (UzDaily.com) — Uzbekistan has expressed strong interest in selling 29 of its textile enterprises specializing in yarn and fabric production to Pakistani investors, according to the DNA news agency.

As part of the discussions, the establishment of a dedicated Uzbekistan–Pakistan textile industrial zone within the country was proposed, with the provision of tax incentives aimed at stimulating joint industrial growth and strengthening mutual economic cooperation.

The initiative was announced by Rukhullo Zikrillaev, Deputy Director of the Agency for the Development of Light Industry of Uzbekistan, who led the Uzbek delegation during meetings with the leadership of the Islamabad Chamber of Commerce and Industry (ICCI).

He noted that Pakistani investors would be able to acquire textile enterprises on favorable installment terms of up to five years, supported by low-interest financing and guaranteed repatriation of funds.

Zikrillaev also emphasized the readiness of Uzbek entrepreneurs to co-invest in Pakistani companies, including the establishment of joint production facilities for finished garments for European and American brands, using high-quality Uzbek fabrics.

According to him, this would increase value added and stimulate exports from both countries.

In addition, cooperation was proposed under which Pakistani companies purchasing Uzbek textiles would receive cashback of up to 5 percent of the export volume.

The Deputy Director highlighted Uzbekistan’s cost competitiveness, noting that electricity tariffs stand at just 8 US cents per unit.

Uzbekistan also benefits from GSP Plus status with the European Union and free trade agreements with CIS countries, making it particularly attractive for export-oriented investments.

For his part, ICCI President Sardar Tahir Mehmud stressed that Pakistan and Uzbekistan recognize the vast potential for cooperation in trade, transport, energy, tourism, and regional connectivity.

He expressed confidence that the visit of the Uzbek delegation would give new momentum to bilateral relations and help translate friendly intentions into concrete economic projects.