Ambassador of Uzbekistan Saidikram Niyazkhodjaev: The dynamics of our countries in trade and economic cooperation are very high. We are now actively working to increase trade turnover to 10 billion US dollars, for this we have all the opportunities and c
Joint projects help strengthen cooperation between Kazakhstan and Uzbekistan, contribute to their prosperity and development, allied relationships are based on mutual respect, trust and understanding, on trade and economic relations, tourism, sports, as well as on joint actions on the problem of water resources in Asia, in Ambassador Extraordinary and Plenipotentiary of Uzbekistan to Kazakhstan Saidikram Niyazkhodzhaev spoke in an exclusive interview with Akmaral Abenova information and analytical group “Eurasia: Politics and Culture”.
He emphasized the importance of expanding partnership and cooperation between Uzbekistan and Kazakhstan in such areas as economy, trade, culture, education, tourism and others.
He expressed confidence that deepening cooperation contributes not only to the economic development of both countries, but also to the strengthening of peaceful and friendly relations in Central Asia. The Ambassador noted that the countries have common interests and goals, so it is important to work together to achieve mutual success.
- Saidikram Parkhatovich, please tell us about tourism interaction, the development of tourism between Kazakhstan and Uzbekistan.
- Our peoples are very close. There are historical objects and personalities that unite our peoples. Naturally, our peoples are interested in studying the history of their countries. Today, in Uzbekistan, as in Kazakhstan, great importance is attached to the development of tourism. After all, it is one of the new points of economic development. Due to the development of tourism, 16-17 sectors of the economy are developing. Starting from the hotel industry, services, handicrafts, industry, healthcare, agriculture, in addition, the creative industry and science are developing. We pay special attention to tourism in such industries as historical, gastronomic, ecotourism, extreme tourism, and a new direction - industrial tourism. Residents of both countries visit historical and cultural sites and study the history of our peoples. For example, we tell you that Beket ata received his education in Khiva, Tole bi and Aiteke bi are buried in Uzbekistan. Likewise, many tourists come to Kazakhstan from Uzbekistan. They visit the Turkestan region, Shymkent; the city of Almaty, Almaty region, occupies a special place in tourism.
I’ll tell you more about common projects. A large international exhibition KITF was held in Almaty, where Uzbekistan participated with a separate stand. At the event, contracts were concluded between our tour operators to create a single package. We are currently working on the “One tour for the entire region” project. We hope that it will bear fruit and those tourists who come to our countries from third countries will visit the sights of both Uzbekistan and Kazakhstan even more. Some statistics: in January, more than 150 thousand Kazakhstanis visited Uzbekistan. I am pleased that we have opened flights Turkestan-Samarkand, Almaty-Samarkand. We are now working on the issue of opening Almaty-Nukus. By the way, in the city of Nukus we are implementing a joint project to save the Aral Sea, planting trees and vegetation along the dry bottom of the Aral Sea.
Also, themed events also attract tourists very well. For example, EXPO, events to promote the preservation of the cultural heritage of our countries , sporting events - in the summer the V World Nomad Games will be held in Kazakhstan, we will also take part. After all, this is an advertisement for our national sports. I am confident that the Nomad Games will be held at a high level. Now there is a lot of preparation, I wish you success for this event. May the best man win. But in fact, we all win because we promote and open our national sports and our traditions to the whole world. By the way, we recently held a world championship in Shymkent in the Uzbek sport - Zhang San'ati, an Uzbek martial art. Thus, we show the whole world our cultural values and traditions.
I would also like to note that during the first visit of the President of the Republic of Kazakhstan K-Zh. Tokayev to Uzbekistan, we held the international exhibition “Altyn Adam”. Every year, children from Uzbekistan come to Burabay during the summer holidays.
We, Uzbekistan and Kazakhstan, have something to show the world, both in the field of science, sports, history, and cultural heritage.
- Mr. Ambassador, let's open the topic of investment projects of Uzbekistan in Kazakhstan.
- The dynamics of our countries in trade and economic cooperation are very high. We are now actively working to increase trade turnover to 10 billion US dollars, for this we have all the opportunities and conditions. There is a separate issue of industrial cooperation.
Large projects that have been implemented in Kazakhstan - our auto industry, together with the Kazakh company Allure, organized such a good project for the production of Chevrolet cars. The entire model range is produced at the enterprise in Kostanay. Just recently, a production facility for electrical household appliances was opened in the city of Saran, Karaganda region. In the textile industry, in 2019 we launched a project in the Turkestan region for tailoring. 1 thousand new jobs were created. Today we are working in a new direction for Kazakhstan to create a sericulture cluster. We plan to plant several million mulberries from which we will grow silkworms and then obtain silk threads. Then the products of the third stage, i.e. silk will be produced. Also, together with our Kazakh partners, we are developing the cultivation of cotton and the production of textile products. Uzbekistan and Kazakhstan have reached an agreement on the creation of an International Center for Industrial Cooperation, where it is planned to implement joint projects in the automotive industry, production of phosphate and complex mineral fertilizers, in the electrical industry, pharmaceutical production and agriculture. We separately consider issues of geological exploration projects.
Regarding investments from Kazakhstan. Companies producing construction materials, raising cattle, and processing meat and dairy products operate successfully in Uzbekistan. Urban planning is being developed with the participation of Kazakh businesses - housing and hotel complexes have been built. Recently, the Ministers of Energy of Uzbekistan, Kazakhstan and Azerbaijan, during the Tashkent International Investment Forum, entered into an agreement on cooperation to connect the energy systems of the three republics. The document provides a plan to study the possibilities of connecting energy systems by laying a high-voltage cable both along the bottom of the Caspian Sea and on the territory of other countries. The purpose of such a connection is to ensure the most efficient trade of green energy between these countries.
We are now considering the issue of building a railway across the territories of Uzbekistan, Kazakhstan and Afghanistan. In order to ensure access of our products to the countries of Southeast Asia and the Persian Gulf.
- What opportunities will there be for cooperation between enterprises of the two countries in the development of food security, as well as for exports?
- When creating the International Cooperation Center, we resolve these issues first. Naturally, a tax regime is provided. To open our production, we are currently generalizing and unifying the tax regimes in the free economic zones of both countries according to legislation. The place of creation of the MCC is the Syrdarya region on the Uzbek side, and the Turkestan region on the Kazakh side. This area has very good transport links. In this case, we will use the “Short Leverage” principle. Logistics companies will work out issues of transporting products. From Kazakhstan you can enter the markets of Uzbekistan, India, Afghanistan and Pakistan. From Uzbekistan to Kazakhstan, Russia, Azerbaijan, Europe, China. In addition, all engineering communications pass there.
Also in the Turkestan region, construction is underway on a new railway that will connect Kazakhstan and Uzbekistan. A new checkpoint across the Kazakh-Uzbek state border will also be opened there. The Darbaza – Maktaaral line is being built on behalf of the President of Kazakhstan Kassym-Jomart Tokayev. It is expected that it will give impetus to the further development of the transport and transit potential of the republic.
We pay special attention to the healthcare sector, because... Our markets have a low content of locally produced medicines. Thus, in Shymkent we are launching a joint project, a medical and pharmaceutical cluster. In this regard, the country plans to create three Medical and Pharmaceutical Clusters in the cities of Astana, Shymkent and Aktobe, which will significantly reduce dependence on imports and ensure national drug safety of the Republic of Kazakhstan.
Speaking about the conditions for Kazakh investors in Uzbekistan, over the past 7 years the legislation has been fully reviewed. About 60 changes were introduced to regulatory documents. We have developed a new investment law that meets the standards based on the requirements of the World Trade Organization. For this purpose, a working group was created with the European Bank for Reconstruction and Development. Now a separate law on subsoil is being prepared, which takes into account the fact that our countries have critical minerals. We plan to develop the extraction of these minerals.
Then, an arbitration court was created in Tashkent, the members of which are international authoritative judges.
Recently, a decision was signed that a foreign investor who bought shares of Uzbek companies would be exempt from paying taxes on dividends received for 3 years.
Under a separate program for the privatization of 250 large enterprises and more than 1 thousand objects, we invite foreign investors.
We also plan to develop the IT industry and are working to increase services to $5 billion.
All investors are provided with certain benefits and preferences depending on the volume of investments that will be made in Uzbekistan. For example, the term of the agreement on free economic zones was increased to 49 years.
The tourism industry also provides benefits, such as the return of part of the funds that were invested in the construction of these facilities, and are also exempt from customs duties on technological equipment, with the exception of customs duties.
Joint projects in the field of irrigation and land reclamation - opening a branch of the Tashkent Institute of Agricultural Mechanization Engineers in Almaty.
There are also joint projects to introduce modern resources for water-saving technologies, including energy-saving technologies.
A separate issue of the agro-industrial complex for the conservation of biodiversity in the Aral Sea regions. Joint developments in forestry, namely the cultivation of a new variety of rice that does not use so much water.
At the moment, we are forming a composition of our large farmers to create joint projects in Akmola, Pavlodar and other regions of Kazakhstan.
Our countries have very good allied relations, the legislative framework consists of more than 290 bilateral documents, in addition to the above areas, we also work on energy security, cultural and humanitarian issues, issues of countering terrorism and extremism, and combating drug trafficking.
- Please tell us how problems with water resources are solved in Asia.
Speaking about water and energy cooperation between Kazakhstan and Uzbekistan, I will give an example: the heads of energy departments of Kazakhstan, Kyrgyzstan and Uzbekistan agreed on the joint construction of Kambarata HPP-1. The reservoir will be able to store 5 billion cubic meters of water and use it for agricultural supplies during the irrigation period. In simple words, in winter we supply electricity to Kyrgyzstan, and in summer we take water from them, at the same time they have a power plant, and you know hydropower is one of the cheapest types of electricity. This is renewable energy and thus we comply with agreements and agreements, obligations that were signed within the framework of carbon neutrality. Then we are considering the issue of joint construction of hydraulic structures in our territories. After all, it is important to take measures for the rational use of water to avoid environmental consequences. By the way, there are joint projects with Tajikistan and Turkmenistan that allow us to respond to certain environmental disasters. Today, the agenda of Central Asia includes environmental issues, green energy, food and energy security. Active joint work is also underway in these areas.