24.11.2021

On November 24, a videoconferencing was held under the Chairmanship of President Shavkat Mirziyoyev on measures to develop the horticulture and dekhqan (peasant) farms.

In the process of development of agriculture in our country, priority is given to a cluster system. In the cotton-textile, grain, viticulture clusters, the qualitative and quantitative indicators of production are steadily growing.

The clusters are also established in the fruit and vegetable sector of agriculture. However, the results of their work do not yet correspond to the potential. Thus, according to estimates, the industry is able to export products for $5 billion, now this figure is $1.2 billion.  In particular, the fruit and vegetable clusters in Asaka, Angor, Denau, Jambay, Samarkand, Altiaryk, Quva, Yuqorichirchik and Yangikurgan districts are currently successfully exporting products for $20-25 million.

The existing opportunities and problems in the sphere were analyzed and the measures to increase productivity and employment were discussed at the meeting.

«Previously, in cotton growing, we sold only raw materials. In the years with the best outcomes, the income was about $1 billion. Hence, today by processing cotton at home, we have reached $3 billion. And that’s just the export figure. Also, many more jobs, sources of income and taxes have been created. If the work is properly organized, such a result can be achieved in horticulture. The opportunity is just next to us», - the President said.

It was pointed out that a new system for the development of fruit and vegetable clusters, dekhqan and subsidiary farms, their financing, as well as expanding the provision of agricultural services will be introduced.

Thus, from December 1 of this year, the preferential loans will be provided to producers of fruits and vegetables through the State Support Fund for Agriculture. For this, a tripartite agreement will be concluded between the cluster, the farmer and the bank. The loans will be issued for a period of one year at a rate of 14% with a grace period of 6 months.

The clusters will also have access to 12-month «revolving» loans to purchase products from the population. That is, the clusters will use the funds as needed and pay interest payments only for the period of using the loan. 2 trillion soums will be allocated for these purposes.

To create small intensive orchards, vineyards and develop horticulture growing, the loans without collateral in the amount of up to 100 million soums at a preferential rate of 14% per year will be provided. For these purposes, $100 million of funds from international financial institutions will be allocated.

In addition, 50% of the costs of clusters for crop insurance of fruits and vegetables against risks will be compensated from the budget.

The relevant ministries were instructed to organize this system.

Yesterday, on November 23, the President of the Republic of Uzbekistan signed a resolution on measures to develop family businesses in the field of horticulture and viticulture, to increase the share of dekhqan farms in agricultural production. The resolution provides for the provision of 80,000 hectares of land to the population for the organization of dekhqan farms, released due to the reduction of cotton and grain areas.

The plots ranging from 10 ares to 1 hectare will be leased for a period of 10 years based on the results of an open electronic competition.

The President has noted that the main criterion in this case should be the number of jobs created and the agricultural experience of applicants, and when selecting them, a special attention should be paid to the low-income strata of the population.

As a part of the family business programs, the newly formed farms will be provided with loans for a period of 2 years with a 6-month grace period. However, if the land is not used effectively, the lease may be terminated by courts.

The responsible officials were instructed to put up land for an open bid and cadastral registration of the provided plots in accordance with the above requirements.

The country’s population has about 500,000 hectares of household land at its disposal. Next year, it is planned to allocate $100 million for their effective use. The funds will be provided on a concessional basis under the family business program.

The enterprises servicing part-time farms will also be provided with loans in the amount of up to 300 million soums without collateral. On the basis of enterprises with high performance indicators, it is envisioned to create clusters of subsidiary services that will provide services for the construction of nurseries, have their own fleet of vehicles, a cold store, and equipment for drying, sorting and packaging products.

For the purchase of products harvested by subsidiary farms, the cooperatives will be created at each district, they will be provided with subsidies.

The issue of irrigation of agricultural crops is also relevant. It was determined that the procedure for partial compensation from the budget for the costs of irrigating household lands and out of circulation areas in areas where access to water is difficult will be extended until January 1, 2026.

Keeping chickens, rabbits and livestock in the subsidiary farm is an important source of abundance and income in families. In this regard, the meeting has paid a special attention to the development of poultry breeding, the organization of veterinary services and incubators in each region, and the delivery of feed.

The task was set to organize project offices for the development of fruit and vegetable growing and viticulture in the regions.

The Deputy Prime Ministers, heads of industries and regions reported on the issues discussed at the meeting.