Free economic zones of Uzbekistan

In recent years Uzbekistan has been actively working on the creation of free economic zones (hereinafter - FEZ). Currently there are seven FEZs: FEZ "Navoi", FEZ "Angren" and FEZ "Djizak", FEZ. "Urgut", FEZ "Gizhduvan", FEZ "Kokand" and FEZ "Khazarasp".

For today, investors willing to carry out their production activities on the territory of free economic zones are granted tax, customs privileges and preferences. At the same time, the construction of all necessary production and communication infrastructure for enterprises located in these zones is carried out by the state.

The period of FEZ operation is 30 years with the possibility of further extension. All this time, special tax, customs and currency regimes will operate in the territories of free economic zones. In particular, the participants of the zones are exempted from payment of customs duties, a number of taxes and mandatory contributions to state funds. For example, with an investment of $ 300,000 to $ 3

million, benefits will be granted for three years, from $ 3 million to $ 5 million for five years, from $ 5 million to $ 10 million for seven years. If a participant invests more than $ 10 million, he will be exempted from paying taxes and fees for 10 years, applying for the next five years the income tax rate and a single tax payment of 50% below current rates.

In accordance with the objectives of creating FEZ on their territories, the implementation of investment projects is gradually implemented with the introduction of advanced innovative technologies for in-depth processing of the raw materials available in the country and the production of competitive export-oriented products with high added value.

Thanks to the created conditions, to date, 19 enterprises with a share of foreign investors from countries such as South Korea, China, Singapore, India, the UAE and others have successfully operated in the Navoi FEZ. Since the creation of the Navoi free economic zone, production facilities have been put into operation For 24 investment projects for a total amount of more than 125 million dollars. Using high technologies, production of such products as modems and television set-top boxes, power cables, mobile and fixed telephones, cosmetic products Automotive cables and wires, compressors and generators for cars, ready-made medicines and others.

On the territory of the Angren FEZ, high-tech products have been produced for 16 projects for a total of $ 213.4 million, including the production of energysaving LED lamps, copper pipes of various diameters, briquette coal, sugar, technical silicon, plasterboard. Also, 22 projects involving foreign companies totaling $ 113.5 million for production of mobile phones, solar water heating systems (collectors), sanitary ware, processing of livestock products and feed production, etc. have been implemented in the territory of the "Dzhizak"

In 2017, another 25 investment projects will be implemented on the territory of these zones, providing for the organization of modern and high-tech industries. In particular, this year it is planned to commission new production facilities for the production of a wide range of modern electrical products, electronic electricity meters, the production of solar panels, the production of sanitary products, the production of profiles and other PVC products, the production of aluminum profiles and other aluminum products.

In addition to creating favorable conditions for attracting foreign and domestic investments in the creation of modern facilities for the deep processing of mineral and raw materials and agricultural resources that ensure the production of competitive products with high added value, in demand on foreign markets, as well as the integrated and effective use of productive and resource potential Regions of the republic adopted the Decree of the President of the Republic of Uzbekistan "On the establishment of free economic Zones "Urgut", "Gijduvan", "Kokand" and "Khazarasp".

During the whole period of operation, special tax, customs and currency regimes will operate in the territories of these FEZ. Logistics centers and customs posts will also be established on the territory of the FEZ.

The main tasks and activities of the FEZ "Urgut", "Gijduvan", "Kokand" and "Khazarasp" are:

• •    Attracting direct investments of foreign and local investors to create modern production facilities for the production of high-value-added products in demand on foreign markets and import-substituting products;

• •    ensuring comprehensive and effective use of production and resource potentials in Samarkand, Bukhara, Fergana and Khorezm regions;

• •    Creation of new modern productions in the sphere of deep processing, storage and packaging of fruit and vegetable and agricultural products, textile, carpet, shoe and leather goods, environmentally safe chemical, pharmaceutical, food, electrical engineering, machine building and automotive, building materials and other industries;

• •    deepening the processes of localization of production of high-tech products based on local raw materials and materials on the basis of establishing close

cooperation ties and developing industrial cooperation between enterprises of free economic zones and the republic as a whole;

• •    creation of scientific and production centers for standardization, certification and labeling of products in accordance with international standards and taking measures to ensure international recognition of their decisions.

The directorates of the newly created free economic zones are exempted from paying taxes and mandatory contributions to state trust funds for the entire period of their functioning.

With a view to implementing this decree, the Cabinet of Ministers of the Republic of Uzbekistan adopted Resolution No. 106 of April 10, 2017, "On measures to organize the activities of free economic zones," where relevant provisions regulating their activities were approved.

Used sources:

• 1.    The Cabinet of Ministers of the Republic of Uzbekistan adopted Resolution No. 106 of April 10, 2017, "On measures to organize the activities of free economic zones,"

• 2.    Alexey Kireev. International Economics. Part one. Moscow. International relationships. 2000

• 3.    Scientific and Practical Journal The market, money and credit, 12/2012.

• 4.    .World economy. O.V. Kornienko. M: Peter. 2010.