Uzbekistan - Country Commercial Guide
Food Processing

This is a best prospect industry sector for this country.  Includes a market overview and trade data.

Last published date: 2022-07-08

Overview 

Uzbekistan seeks to increase the production and export of higher value-added food products.  The country’s food processing industry has substantial room to grow, given current capacity shortfalls.  Only 15% of the 20 million tons of fruits and vegetables grown each year is processed for longer shelf-life, while 30% is lost due to insufficient storage and processing capacity.  Only 16% of meat and milk is processed.  Uzbekistan set the target to increase food production to 7.4 million tons and to increase processing of milk (32%), meat (25%), and fruits and vegetables (28%) by 2026.  Fifty investment projects in this sector, worth $440 million, are planned for 2022.  On June 4, 2021, the government approved the list of 676 types of technological equipment (including several models of food processing equipment) to be exempted from customs tax and VAT when imported into the country.  Uzbekistan’s 1,500 existing refrigerated warehouses can accommodate only 4.5% of the harvest, and the government plans to triple its cold-storage chain capacity by 2025.  The current development plan calls for adding 3.4 million tons of processing capacity by 2030, accommodating 30% of the harvest.  The President’s decree of September 9, 2020, instructed an establishment of a Main Directorate for the development of the food processing industry at the Ministry of Agriculture.  It is tasked with creating conditions for productive collaboration between producers of agricultural products and food processing companies, devising a strategy for the development of food processing industry, facilitating construction of necessary trade and logistics centers, and promoting export of food products.  The Minister of Investments and Foreign Trade has been tasked with attracting funds from IFIs. 

 

Food Processing Market Size, Million USD 

  

2019 

2020 

2021 

2022 estimated 

Total Local Production 

3,781 

4,215 

4,920 

5,400 

Total Exports 

1,518 

1,390 

1,409 

1,500 

Total Imports 

1,885 

2,197 

3,011 

3,600 

Imports from the US 

0.3 

0.9 

1.4 

N/A 

Total Market Size* 

4,148 

5,022 

6,522 

7,500 

Exchange Rates** 

8,839 

10,056 

10,610 

11,100 

*Total market size = (total local production + imports) – exports 
**Exchange Rates = Uzbek soums per $1 
Units: $ millions 
Source: The State Statistics committee of Uzbekistan.  Data for 2022 was estimated by Post using company project implementation progress reports.  Imports from the U.S. data is from the U.S. census bureau.   
 

Leading Sub-Sectors 

  • Juices 

  • Fruit and vegetable processing 

  • Meat and milk processing 

  • Packaging material (cardboard, paper, aluminum foil, stretch films) 

  • Compact processing machinery for use by small businesses 

Opportunities 

The best sector opportunities in production and processing/packaging equipment supply lie in the areas of juice, fruit, vegetable, meat and milk processing.  Uzbekistan’s government encourages private sector development in these areas.  The greatest demand for packaging material is for cardboard, paper, aluminum foil, and stretch films.  Small businesses have a great need for small-scale equipment.   

For specific opportunities, businesses should contact companies involved in Uzbekistan’s food processing sector.  Some of the larger companies currently doing business in food processing in Uzbekistan include Lactalis, Coca-Cola, and PepsiCo.  Local companies prefer working with a foreign partner and value foreign management, technology, technical expertise, and export market access. 

Resources 

U.S. companies and individuals interested in learning more about the food processing and packaging sectors in Uzbekistan, upcoming procurements, and export opportunities are encouraged to visit the following websites: