Friday, June 22, 2012 -
Uzbekistan plans to boost its national output of sugar by building a factory in the Tashkent region capable of producing 1,000 tons of sugar per day, according to a government news report.
The $108 million project will be implemented with the backing of companies from Singapore and Austria.
Uzbekistan’s foreign partners in the deal – Welton International Enterprises and Kito Investment Ltd, both from Singapore, and Seid Nandelsgesellschaft of Austria – will be exempt from paying income and property taxes and a package of other tariffs related to the project for a period of seven years.
The company will be located within the Angren Free Zone near the capital city of Tashkent to benefit from a package of financial incentives.
The project is part of a wider three-year state expansion and development plan of the food industry.
Uzbek firm Xorazm Shakar will construct the facility, which is expected to begin operation in 2013, the semi-official Uzreport.com news agency reported.
The country has a poor reputation in maintaining positive relations with foreign investors, and has caused investors from Turkey, the U.K. and elsewhere to flee after seizing its enterprises and freezing its accounts.