February 26, 2024

Preferential loans will be provided to investment projects of the electrical industry

On 13.01.2024 Presidential Resolution No. PP-15 “On additional measures to further increase the productive and export potential of the electrical industry” came into force.

In accordance with the Resolution, the main targets for the development of the electrical industry for 2024-2025 were defined, which provide for:

– bringing the processing capacity of copper raw materials to 140 thousand tons in 2024 and up to 160 thousand tons in 2025;

– an increase in the volume of production to 30.8 trillion. soums in 2024 and up to 38 trillion soums in 2025;

– ensuring the volume of exports of products in the amount of $1.5 billion in 2024 and $2 billion in 2025.

The consolidated parameters for the launch of investment projects implemented within the framework of the Program for the creation of new production facilities and diversification of production in the electrical industry have been approved.

To finance investment projects implemented in the electrical industry, in 2024-2026, commercial banks, based on their applications, will open a credit line in the amount of $ 100 million for a period of 10 years, with a three-year grace period, at a rate of 5% per annum.

At the same time, banks provide loans to business entities at a rate of 7% per annum (including the bank’s margin of 2%), for a period of 10 years, with a three–year grace period.

By January 1, 2027, tax benefits will be provided in the form of a reduction in income tax and property tax rates by 50% to enterprises in the electrical industry, the amount of proceeds from the sale of electrical products of which is at least 80% of total revenues.

Starting from April 1, 2024, domestic manufacturers, with their participation, along with foreign suppliers, will be provided with price preferences from the DDP (Delivered Duty Paid /Delivery with payment of duties) (Uzbekistan) price of imported goods in the following sizes within the framework of public procurement:

– 15 % – with the participation of 3 or more domestic producers;

– 2 % – with the participation of 2 domestic producers;

– 8% – with the participation of 1 domestic manufacturer.

The resolution also approved a list of products, the import of which to Uzbekistan from February 1, 2024 requires the presence of authorized representatives or official dealers of the manufacturer, ensuring their quality, safety and service guarantees.

From February 1, 2024:

– when importing raw materials and components for production needs by enterprises of the electrical industry, including when paying with a delay of 120 days, in a system that allows VAT to be taken into account, the procedure for simultaneously sending a cargo customs declaration in any volume, collecting VAT on imports, primarily due to the amount of VAT accounted for by the tax authorities, followed by foreclosure on the missing part of the funds held in the customs deposit;

– enterprises operating in this industry, regardless of membership in the “Uzeltehsanoat” Association, are included in the register of “authorized economic operators” based on the recommendation of the association;

– registration, issuance of a certificate of conformity and registration of a declaration of conformity of household appliances products subject to mandatory digital labeling are carried out strictly after receiving the appropriate labeling code;

– a separate page is being created on the National Industrial Portal for the procurement of electrical products of domestic production;

– the issuance of certificates of conformity for electrical products by certification bodies that do not have a testing laboratory accredited in accordance with the established procedure in the field of technical regulation is prohibited.

For the development of high-tech electrotechnical products of a new type and its components, the “Eltech Industrial” technopark is being created on the basis of the “OhangaronTech Industrial” Technopark.