Regulation on the procedure for reimbursing transportation costs for exporting products from the State budget of the Republic of Uzbekistan

The Government Decree approved the Regulation on the procedure for reimbursing transportation costs for exporting products from the State budget of the Republic of Uzbekistan (№ 660, 10.08.2019).

In accordance with the Regulation, a procedure has been established for reimbursement to local exporting enterprises of up to 50 percent of expenses for exporting products for transportation by rail at the expense of the State budget.

The export promotion agency is determined by the authorized body to provide compensation to interested parties.

Also, interested parties have the right to apply for compensation in the amount of up to 50 percent of transportation costs for exported products from May 1, 2019.

When documents are fully submitted, the authorized body considers applications within 7 working days.

The Ministry of Finance, by order of the authorized body, transfers the funds of subsidies from the State budget to the authorized body within 3 business days, and the authorized body transfers these funds to the bank account of the interested entity within 3 business days. A register of interested parties to which compensation is issued is maintained.

In order to provide compensation to interested parties in accordance with the Regulation approved by the Government, it is necessary that:

-the interested entity has state registration in Uzbekistan;

-products manufactured in Uzbekistan;

-products are exported to countries not bordering Uzbekistan (with the exception of egg products);

-products are exported in the prescribed manner;

-at least 30 percent of the payment for the products has been received or the bank has opened a letter of credit;

-in the export contract, the cost of delivery of the products is borne by the interested entity, and payment of these costs is made by this entity.

The following documents must be attached to the application for compensation:

-export or mediation agreement;

-copy of the cargo customs declaration;

-a copy of the contract for the carriage of goods by rail with the interested entity;

-a copy of the document confirming the payment by the interested entity to the railway organization;

-a copy of the consignment note with the mark of the State Customs Authority into which the products are exported and the railway station in which the goods were received;

-information about the distance from the cargo departure station to the last cargo reception station;

-a copy of the certificate of origin.