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Uzbekistan: Measures defined to support greenhouses

President Shavkat Mirziyoyev of Uzbekistan gave a presentation of additional measures the government is taking to support greenhouses. The instruction was given at a meeting on food security held on 5 September.

There are more than 3 thousand greenhouses in Uzbekistan. Their total area is more than 6.3 thousand hectares, of which 4.3 thousand hectares of greenhouses have been constructed over the past five years. The products grown in them make an important contribution to the domestic market and have helped increase the country's food exports.

Recently, however, restrictions on foreign markets and breaks in transport and logistics ties have had a negative impact on this area. In particular, if the business plan of most greenhouses includes the cost of production at the rate of $600 per 1 ton, then in 2020, this figure increased to $900, and in 2021 – up to $1200. Some greenhouse farms have arrears on loans and taxes for natural gas and electricity.

In this regard, the President said, problems in the sphere and entrepreneur's proposals were studied. Based on them, a new mechanism for growing products in greenhouses and its implementation has been developed.

Thus, the Agency for Development of Horticulture and Greenhouses will supply greenhouses with seeds, seedlings, mineral fertilizers, and other material resources, purchase, and export products. The Plant Quarantine and Protection Agency will provide crop care services.

At the same time, financial incentives will be provided to farms. In particular, it is envisaged to extend the repayment terms of loans allocated by international financial institutions and state trust funds for greenhouses and warehouses with freezers from 7 to 14 years and the grace period from 3 to 5 years. The repayment terms of the loan will be adjusted considering the timing of harvesting and sale.

To stimulate the production of export products, it is planned to allocate bank loans in foreign currency at a rate of 4 percent per annum. A decision was taken to put up for open auction solid areas for the creation of modern greenhouses of industrial type and logistics centers.

The Head of the state approved these measures. Instructions were given on the creation of shopping complexes with storage, sorting, and packaging of fruit and vegetable products, laying water and electricity supply networks to new greenhouses.

Source: UzA


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