28 April 2022

300 billion soums will be allocated for preferential loans for the purchase of seeds and seedlings

Shavkat Mirziyoyev on April 27 approved additional funding for agriculture. The resolution is published in the National Database of Legislation Lex.uz.

According to him, the Gardening and Greenhouse Development Fund will allocate loans to businesses in the agricultural industry (if there is an insurance policy):

  • agricultural enterprises will be able to receive a loan to pay for agricultural services, supply material and technical resources – in particular, seeds and seedlings;
  • processors, keepers and exporters of agricultural products will be able to replenish working capital from the Fund’s money for the purchase of crops.

    For these purposes, the Fund will receive a loan of 300 billion soums from the budget. These funds will be distributed in the form of loans at 14% per annum.

State Unitary Enterprise “Agroservice Operator” will provide farms with agricultural services on credit, supply them with seeds, seedlings and other materials. The loan is drawn up at 14% per annum for a period not exceeding the growing season of the agricultural crop for which the contract is concluded.

Agroservice Operator will choose contractors for the supply of seeds and seedlings, as well as for the provision of other agricultural services through exchange trading or on a competitive basis.

The document establishes the Commission on Financing the Costs of Agricultural Products, headed by the Minister of Agriculture. Among its tasks is to attract seeds, seedlings and the provision of agricultural business services based on PPPs.

On the same day, the head of state held a meeting on agriculture. On it, he gave a number of instructions – in particular, on the creation by the state of an agro-industrial infrastructure with its subsequent transfer to the private sector for leasing.