Chaired by President Shavkat Mirziyoyev, a Video-Conference on the Development of the Chemical Industry Has Commenced
Economy
Uzbekistan is initiating a radical structural overhaul of its entire chemical industry. Against the backdrop of dynamic national economic growth, the chemical sector has lagged significantly behind: despite billions in foreign investment, domestic production accounts for barely over half of the market demand, while factories continue to burn scarce natural gas to churn out low-efficiency fertilizers. President Shavkat Mirziyoyev spearheaded a sharp, critical review, declaring a shift away from an outdated agricultural-raw model toward the deep processing of domestic mineral resources. The sweeping master plan spans the fast-tracked launch of specialty chemical units, extracting high-value metals for the electronics industry, and incubating state-backed consumer chemical brands for their subsequent offloading to the private sector.
President Shavkat Mirziyoyev chaired a video-conference framework targeting a sweeping overhaul of the nation's chemical industry. It was noted that while the sector secured $8.3 billion in capital injections and deployed 87 large-scale capacities in recent years—enabling the manufacturing of PVC, green hydrogen, and BOPP films—the industry's growth trajectory (below 3%) trails severely behind the national industrial average of 6,3%. Annual imports hit a critical $4.5 billion, plugging the deficits of a domestic output that fails to cover even 60% of local demand. The Head of State sharply criticized JSC Uzkimyosanoat for overlooking systematic cooperation with over 5,000 private sector enterprises across the field.
The primary directive of the reform dictates an immediate departure from resource-inefficient production. Currently, the country burns over 1 billion cubic meters of natural gas to yield 1.5 million tons of ammonium nitrate, whereas global pioneers are transitioning to porous nitrate and urea. To pivot, 10 specialty chemical projects valued at $1 billion will launch within the Navoiyazot cluster, transforming commodities like cyanide salts into high-margin acrylic polymers.
Simultaneously, a three-year geological program will commence to map and extract sodium, potassium, and bentonite reserves. In Jizzakh and Karakalpakstan, at least $200 million will fund the deep processing of serpentinite ores. This will pave the way for the production of premium magnesium oxide alongside the extraction of nickel, chromium, and cobalt—critical feedstocks for the electrical engineering sector.
Special emphasis was allocated to the regional consumer chemical market, valued at $2 billion. The Angren FEZ served as a prime benchmark, where the global giant Henkel acquired a local facility to anchor its CIS export supply chain. To scale this model, the government will deploy $50 million to set up urban consumer chemical plants in Tashkent, which will be auctioned off to the private sector as ready-made, profitable turnkey businesses. In total, the strategy mandates the rollout of at least 100 new domestic brands.
The primary directive of the reform dictates an immediate departure from resource-inefficient production. Currently, the country burns over 1 billion cubic meters of natural gas to yield 1.5 million tons of ammonium nitrate, whereas global pioneers are transitioning to porous nitrate and urea. To pivot, 10 specialty chemical projects valued at $1 billion will launch within the Navoiyazot cluster, transforming commodities like cyanide salts into high-margin acrylic polymers.
Simultaneously, a three-year geological program will commence to map and extract sodium, potassium, and bentonite reserves. In Jizzakh and Karakalpakstan, at least $200 million will fund the deep processing of serpentinite ores. This will pave the way for the production of premium magnesium oxide alongside the extraction of nickel, chromium, and cobalt—critical feedstocks for the electrical engineering sector.
Special emphasis was allocated to the regional consumer chemical market, valued at $2 billion. The Angren FEZ served as a prime benchmark, where the global giant Henkel acquired a local facility to anchor its CIS export supply chain. To scale this model, the government will deploy $50 million to set up urban consumer chemical plants in Tashkent, which will be auctioned off to the private sector as ready-made, profitable turnkey businesses. In total, the strategy mandates the rollout of at least 100 new domestic brands.
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