Tashkent, Uzbekistan (UzDaily.com) -- In January-November 2020, the foreign trade turnover (FTT) of Uzbekistan reached US$32.97 billion, which, compared to the same period of last year, decreased by US$4.9 billion, the State Statistics Committee of Uzbekistan said.

Of the total volume of the FTT, exports made up US$14.2 billion (by January-November 2019, a decrease of 10.5% was noted), and imports - US$18.77 billion (a decrease of 14.7%). As a result, the foreign trade balance made up a passive balance in the amount of US$4.57 billion.

Today, Uzbekistan carries out trade relations with more than 160 countries of the world. The largest volume of foreign trade turnover was recorded with China (17.4%), the Russian Federation (15.4%), Kazakhstan (7.9%), the Republic of Korea (5.8%), Turkey (5.7%), Kyrgyzstan (2.5%) and Germany (2.2%).

The necessary resource base has been created in the republic to ensure stable and uninterrupted operation of enterprises and branches of the real economy. As a result of an increase in the production of products that replaced imported goods and the diversification of industrial production, significant changes have been achieved in the structure of exports.

In addition, the strengthening of relations with neighboring states is noted, a lot of work is being done to develop relations in the socio-economic, commercial, industrial and cultural spheres with these countries.

In particular, in recent years there have been significant changes in the FTT with neighboring states, for example, with such as Kazakhstan and Kyrgyzstan. The presence of an active foreign trade balance with Kyrgyzstan, Tajikistan and Afghanistan can be viewed as a positive result in the country’s foreign trade.

Among the 20 large partner countries in foreign economic activity, there is also an active foreign trade balance with four countries, in particular with such countries as Afghanistan (US$691.9 million), Kyrgyzstan (US$555.1 million), Tajikistan (US$276.6 million) and Iran (US$33.8 million). A passive balance of foreign trade turnover remains with the remaining 16 countries.

One third of the WTO volume falls on the CIS countries and, in recent years, this indicator has changed slightly.

Despite the measures taken to strengthen cooperation with the CIS countries and comprehensive support of foreign trade, the share of foreign trade turnover of the CIS countries, compared to the same period in 2019, decreased by 2.7%. Over the same period in 2018, a decrease was noted by 6.3% and their share in foreign trade turnover, at the end of January-November 2020, amounted to 31.9%.

The volume of foreign trade turnover of other states in January-November 2020, compared to the same period in 2018-2019, accordingly increased and amounted to 68.1% of the total volume of foreign trade turnover.

In January-November 2020, the total number of exporting entities made up 5,835 units and this ensured the increase in the volume of exports, excluding special exports, to US$8.39 billion (a decrease, compared to the same period of 2019, was 26.5%).

In the structure of exports, 87.2% are goods, which are mainly industrial products (18.3%), food products and live animals (8.6%), chemicals and similar products (5.2%).

There is a difference in the direction of export of goods and services between the CIS countries and other foreign countries. So, 22.2% of exports to the CIS countries are primarily accounted for by the export of industrial goods, then, in terms of volume, there are food products and services, as well as various finished products.

During the reporting period, the fastest growing was the export of various finished products, machinery and transport equipment, industrial goods, as well as drinks and tobacco to the CIS countries, a decrease was primarily noted in the export of mineral fuels, chemicals, food products, animal and vegetable oils.

An analysis of the structure of exported goods and services in January-November 2020, sent to other countries, showed that, compared to January-November 2019, the volume of exports, mineral fuels, lubricating oils and similar materials, non-food raw materials, machinery and transport equipment as well as services fell.

Over the past three years, the volume of exports to the CIS countries has decreased and their share in its total volume has decreased from 40.1% to 26.1%. Accordingly, the share in the total export volume of other foreign countries increased from 59.9% to 73.9%.

Compared to January-November 2018-2019, our main partners in the export of goods and services in foreign trade in January-November 2020 were countries such as the PRC (12.3% of total exports), the Russian Federation (9, 3%), Turkey (6.3%), Kazakhstan (5.8%), Afghanistan (4.9%), Kyrgyzstan (4.8%) and Tajikistan (2.5%). Their share in the total export volume reached 46.0%.

In January-November 2020, among the seven large partner countries for the export of goods and services, as in the previous year, the PRC retains its leading position. The next position is taken by the Russian Federation. Kazakhstan, slightly yielding in volume to Turkey, dropped from the third position to the fourth. The geography of partner countries for the export of goods and services, compared to the same period in 2019, decreased from 177 to 147 countries.

The largest volume of exported goods among the large partner countries is made up of food products and live animals, industrial goods, as well as non-food raw materials, except for fuel.

The volume of exports of services in January-November 2020 reached US$1.82 billion, or 12.8% of the total volume of trade exports and decreased by 57.5% compared to the same period of 2019. Transport services (70.5%), travel (tourism) (13.2%), telecommunications, computer and information services (8.5%), and other business services (2.9) account for the lion’s share of the export of services.

At the same time, other services (4.9%), respectively, account for the largest share of construction (2.3%), financial services (1.0%), insurance and pension services (0.8%), etc.

The fruit and vegetable sector in Uzbekistan is an important segment in ensuring the food security of the country and regions. Therefore, in this area, all possible measures are being taken to accelerate the development of the production of fruits and vegetables, which are yielding results. Thus, the volume of exports of fruits and vegetables amounted to 1.38 million tons and, in value terms, exceeded US$936.3 million (the rate of decline, compared to the same period in 2019, was 17.8%, respectively). Based on this, 707,700 tons of vegetables were exported for US$358.7 million, as well as 381,800 tons of fruits and berries for US$339.2 million (the rate of decline in value terms, compared to the same period 2019, respectively amounted to 18.4% and 12.0%).

The main export markets for fruit and vegetable products are in Russia, Kazakhstan, Kyrgyzstan and Pakistan.

Such branches of agriculture as horticulture, horticulture and viticulture developed at an accelerated pace. So, in January-November 2020, the share of fruits and vegetables in total exports amounted to 6.6%.

The potential of the sector of production, processing and export of fruit and vegetable products in Uzbekistan today is quite high and this is due not only to the presence of favorable natural and climatic conditions, but also to the accumulation of experience by local producers. In this regard, the government pays significant attention to deepening the industrial processing of agricultural raw materials and the development of storage infrastructure for the grown product.

The largest volume in value terms of exports of fruits and vegetables falls on the Russian Federation (26.0% of the total volume of fruits and vegetables), which exceeds the volume of exports to China by 4.7 times.

The increase in the volume of exports of textile products can be directly considered as a result of reforms in the production of finished products and the formation of added value instead of the production of raw cotton. For example, at the end of January-November 2020, textile products were exported in the amount of US$1.69 billion, which amounted to 11.9% of the total export volume and, compared to January-November 2019, it increased by 15.4%.

In the structure of export of textile products, the main share is taken by cotton yarn (49.1%), as well as finished knitwear and garments (27.0%). In January-November 2020, more than 563 types of textile products were exported to 69 countries.

As a result of practical work to diversify the textile industry of the republic and stimulate the export of finished products, the potential of our country is increasing.

The largest share of textile exports falls on the Russian Federation (US$596.8 million - 35.3%), China (US$370.4 million - 21.9%) and Kyrgyzstan (US$248.8 million - 14.7%).

During the reporting period, imports amounted to US$18.77 billion (a decrease in growth rates, compared to January-November 2019, was 14.7%).

The main share in its structure is occupied by machinery and transport equipment (37.6%), industrial goods (17.2%), as well as chemicals and similar products (13.8%).

An analysis of the dynamics of imports of goods also showed that in January-November 2020, compared to the same period of 2019, the volume of imports of goods decreased by US$2.08 billion and amounted to US$17.73 billion, while imports of services reached US$1.04 billion.

An analysis of the structure of imported goods and services in January-November 2020 also showed that, compared to January-November 2019, the share of imports of industrial goods increased from 17.1% to 17.2%, machinery and transport equipment decreased from 39. 7% to 37.6%, non-food raw materials - from 4.4% to 4.1%, respectively.

The analysis of imports of services also showed that in January-November 2020, compared to the same period in 2019, the share in the total volume of imports decreased from 10.0% to 5.5%.

The decrease in the volume of imports of machinery and transport equipment is due to electrical machines, apparatus and instruments (by 29.4%), specially designed machines for specific industries (by 19.0%). There is also a decrease in the volume of imports for raw materials for non-food products, oilseeds and oilseeds (by 59.0%), metal ores and metal scrap (by 27.4%).

In recent months, the dynamics of the stabilization of the share of imports with the CIS countries and other foreign countries has been noted, which, within the limits, is a ratio of 36.3:63.7.

It should be noted that countries such as the Netherlands, Kyrgyzstan, France and Poland are included in the top twenty for imports to the Republic of Uzbekistan.

Compared to the same period of 2019, the top six import partner countries have not changed.

In general, at the end of January-November 2020, goods and services from 145 countries were imported to the Republic of Uzbekistan. A third of imports (US$13.52 billion) are accounted for by such large partner countries as China (the share in total imports is 21.2%), the Russian Federation (20.0%), the Republic of Korea (9.9%) , Kazakhstan (9.6%), Turkey (5.2%), Germany (3.5%) and the Czech Republic (2.6%).

As the investment climate in the country improves and as a result of reforms implemented in this area, the growth of imports of machinery and transport equipment is natural. So, taking into account the large volumes of investments from China, Korea, Russia, Germany and Turkey, a high share of these countries in the volume of imports of these products remains.

The volume of imports of services in January-November 2020 reached US$1.04 billion, or 5.5% of its total volume and decreased by 52.7% compared to the same period of 2019. Travel (tourism - 38.4%), other business services (15.2%), transport services (13.8%) and telecommunications, computer and information services (11.2%) account for the main share of imports of services. In addition, other services accounted for 21.4% of total imports of services, including a high share of fees for the use of intellectual property (7.9%), construction services (7.2%), maintenance and repair services (3.3%), etc.

At the end of January-November 2020, the volume of imports of building materials in its total volume amounted to 5.8% and reached US$1.08 billion. In its structure, the main share is occupied by wood and wood products (48.0%), cement (10.9 %), glass and glassware (5.3%), as well as asbestos (2.9%).

In general, the volume of imports of building materials in January-November 2020, compared to 2019, decreased (a decrease of 11.1%).

Based on the foregoing, it should be noted that the growth in imports of building materials, compared with previous years, is directly related to large-scale reforms in the field of improvement, in particular, housing construction, reconstruction and improvement of settlements.

The largest volumes of imports of building materials were recorded for wood and wood products. So, in January-November 2020, imports for these commodity items amounted to US$518.5 million (a decrease of 6.6%).

The most noticeable decrease was noted for cement, the supply of which decreased by more than 1.2 times - from US$146.6 million in January-November 2019 to US$118.3 million in the reporting period of this year.