Uzbekistan abolishes monopoly rights of several state-owned companies as part of plan to join WTO
TASHKENT. June 4 (Interfax) - The authorities of Uzbekistan, in order to accelerate market reforms and harmonize national legislation with the requirements of the World Trade Organization (WTO), have deprived several large state-owned companies in the metallurgy, chemical industry and energy sectors of their exclusive economic rights.
The corresponding decree, signed by the country's President Shavkat Mirziyoyev, was published on Tuesday.
The document says that the monopoly right of Uzmetkombinat for the procurement (purchase) of scrap and ferrous metal waste on the territory of the republic is abolished as of January 1, 2025. In addition, Uzikkilamchiranglimetal (Uzvtortsvetmet) is deprived of the same right to the procurement and removal of scrap and non-ferrous metal waste.
Uztrade lost its monopoly right to ship food flour and wheat, as well as products from small businesses, private entrepreneurs and farmers to the addresses of trading houses without providing bank guarantees or insurance policies for export contracts, which cover political and commercial risks.
The right of Uzkimyoimpex to be the sole agent for the export of products of enterprises of Uzkhimprom, as well as for the import of spare parts, components and raw materials for the production needs of the chemical industry, has been cancelled.
UzGasTrade is deprived of the right to be the sole exporter and importer of natural gas as of July 1 2026. The same right to export and import electricity in a centralized manner was relinquished by Uzenergosotish.
The decree says that as of January 1, 2025, a licensing procedure for the procurement (purchase), processing and sale of scrap and waste of ferrous and non-ferrous metals, as well as wholesale and retail trade in natural gas and electricity will be introduced.
Uzbekistan's Ministry of Transport has been instructed to submit a draft decision to the Cabinet of Ministers providing for the abolition of the practice of providing discounts on freight transportation by rail on the territory of the republic from October 1, 2024 to April 1, 2025, followed by a phased unification of tariffs for transport services through 2030.
Uzbekistan resumed work on accession to the WTO in 2017. The country submitted an updated memorandum on its foreign trade regime to the WTO in July 2019 to consider the country's application to join the organization. Negotiations between Uzbekistan and WTO member countries began in June 2022 on the conditions for joining the organization.
At negotiations at the WTO headquarters in Geneva in May, Deputy Prime Minister Jamshid Khojaev announced Uzbekistan's intention to become a member of the organization by 2026. The WTO working group called on the government to "take on additional responsibilities."
