Regional Trade Set for Enhancement through 2027 Launch of Kazakhstan-Uzbekistan Industrial Cooperation Center, Contributing to Local Economies
Kazakhstan and Uzbekistan Crank Up Economic Ties
Witness the economic powerhouses of Kazakhstan and Uzbekistan teaming up to create the Central Asia International Industrial Cooperation Center along their shared border. Members of the Kazakh parliament, specifically the Mazhilis, gave their seal of approval to this agreement.
Credit: freepik
According to Kazakhstan's Minister of Trade and Integration, Arman Shakkaliyev, the center will become the Turan industrial zone. The government's vision involves finding an investor to manage the center's industrial and logistics facilities.
Credit: Kazakh Ministry of Trade and Integration
The industrial zone will be a joint venture between the main investor and a cooperative from the Turkistan Region, with responsibility for organizational and administrative tasks. Boasting quasi-state status, the zone will be subject to specific legal obligations and privileges, according to the ministry's press service on Feb. 5.
Split evenly between the two nations, the center will occupy 100 hectares, with each nation contributing 50. A portion of the area will be designated as a regional industrial zone.
Equipped with production sites, warehouses, and transport infrastructure, the center aims to streamline logistics, lower costs, and bolster production collaboration within the North-South corridor. The center's development will be funded by extra-budgetary investments, with construction estimated to wrap up by 2026 and the grand opening set for 2027.
Industries such as textiles, agriculture, and manufacturing will be served by the center, creating new job opportunities and business ventures. The Global Textile company will also establish a project for producing finished textile goods here.
Kazakhstan and Uzbekistan, with a shared goal of increasing their trade turnover to $10 billion, are working tirelessly on this ambitious plan. This scheme includes 34 joint projects valued at $4.5 billion and seven trade agreements amounting to approximately $300 million. Already endorsed by the deputy prime ministers of both countries, the plan outlines targeted actions across various sectors to attain this trading objective.
[1] China's investment in the Shieli cement plant - Kazinform[3] Uzbekistan Launches New Industrial Park - Radio Free Europe/Radio Liberty[4] Regional Connectivity Increasing in Uzbekistan - Asia Plus[5] Foreign Investment in Uzbekistan - Baker McKenzie
The Central Asia International Industrial Cooperation Center, a joint venture between Kazakhstan and Uzbekistan, will be managed by an investor, focusing on industries such as textiles, agriculture, and manufacturing to create new business opportunities. Meanwhile, Kazakhstan and Uzbekistan are actively engaging in financial partnerships, aiming to increase their trade turnover to $10 billion, with the funding of extra-budgetary investments for the development of the industrial center.
