Uzbekistan to cut exports of cotton-fibre

He said that the government of Uzbekistan is continuing a policy on decreasing exports of cotton-fibre due to creation of new production capacities and increasing internal processing of cotton-fibre.

Annually Uzbekistan produces about 3.5 million tonnes of raw cotton and 1-1.2 million tonnes of cotton-fibre. In last ten years, internal processing of cotton-fibre rose from 15% to 40%.

It is planned that Uzbekistan’s cotton crop will be at the same level as in 2013, when the country collected 3.35 million tonnes of raw cotton. Uzbekistan collects raw cotton in September-October.

According to forecast of the International Cotton Advisory Committee (ICAC), Uzbekistan will decrease cotton-fibre exports by 15% in season 2014-2015 compared to season 2013-2014 to 500,000 tonnes.

Main importers of the Uzbek cotton are companies and traders from Bangladesh, China, South Korea, UAE, Pakistan and Russia.

In 1991, Uzbekistan internally processed only 7% of cotton-fibre and the figure reached 44% in 2014. Currently, share of light industry in GDP of Uzbekistan is 2.7%, industrial output – 26.2%, production of non-food consumer goods – 44%.

According to Uzbekyengilsanoat, Uzbekistan will direct US$1 billion to modernize textile industry in 2015-2020. The programme envisages to increase volume of internal processing of cotton-fibre from 44% in 2014 to 70% in 2020.

International Uzbek cotton and textile fair is held in Tashkent for the tenth time. According to the Ministry of Foreign Economic Relations, Investment and Trade of Uzbekistan, foreign trade companies of Uzbekistan are planning to sign export agreements for over US$1 billion within the fair. Over 600,000 tonnes of cotton-fibre of 2014 crop will be put for trades within the fair. About 50,000 tonnes of cotton-fibre will be traded via Uzbekistan Commodity Exchange.