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    Uzbekistan World Economics

    Uzbekistan's limestone production increases 2.3 times in 4M24

    Uzbekistan's limestone production increases 2.3 times in 4M24

    In the first quarter of 2024, Uzbekistan's construction materials sector experienced growth, particularly in limestone production. Statistics Agency informed on May 29 that limestone output surged to over 91.8 thousand tons, more than doubling from the previous year's figures.

    Photo: In the first quarter of 2024, Uzbekistan's construction materials sector experienced growth, particularly in limestone production.
    Source: Statistics Agency

    By the end of March, limestone producers had contributed 74.9 thousand tons, maintaining steady production levels throughout the quarter. This uptick in production reflects efforts to meet rising demand both domestically and internationally.

    Moreover, Uzbekistan's exports of construction materials saw a notable increase during the same period, reaching nearly $153 mn. 

    Looking ahead, Uzbekistan has set ambitious targets for the construction materials industry in 2024. With expectations to produce construction materials valued at UZS 37.9 trillion ($3 bn), and a focus on local production under the localization program, the country aims for self-sufficiency while reducing reliance on imports.

    Additionally, Uzbekistan plans to boost construction materials exports to $1.1 bn this year, signaling a commitment to enhancing trade relations and generating foreign exchange earnings.

    Uzbekistan has implemented changes to the excise tax rates on limestone for cement production as outlined in the legislation accompanying the main directions of tax and budget policy for 2024.

    Initially, the Ministry of Economy and Finance proposed reducing the rate from UZS 22,500 ($1.01) to UZS 11,250 ($0.91) per ton, indicating a 50% decrease. However, the final amendment led to a more substantial reduction to UZS 6000 ($0.48) per ton.

    In January 2024, Uzbekistan's leading enterprises produced 627,900 tonnes of cement, showing a notable increase of 2.3 times compared to the corresponding period in the previous year. This growth in production could be attributed to the difficult conditions experienced in 2023.

    During that time, severe cold weather and power shortages hampered the operations of many enterprises across the country, affecting not only cement production but also the output of various other commodities. In January 2023, cement production was reduced by more than 50%. Therefore, the 2.3-fold increase in 2024 indicates a return to the production levels of 2021, a year that also saw a decline. In 2021, 619,100 tonnes of cement were produced. The information for 2024 suggests that enterprises were able to increase production by a modest 1.4%.

    Earlier Daryo reported that green buildings in Uzbekistan address 40% of the global CO2 emissions generated by the construction industry.

    30.05.2024, 23:04   Comments (0)   1563
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