THE RAPID INDUSTRIALIZATION
COUNTRY’S FOURTH STRATEGIC GOAL
In order to implement the Government’s efforts to further improve Tajikistan and taking into account the importance of industry for solving economic and social issues and creating new jobs, the Founder of Peace and National Unity, The leader of the nation, the President of the Republic of Tajikistan, His Excellency Emomali Rahmon, in his message to the Majlisi Oli of the Republic of Tajikistan in December 26, 2018, announced the rapid industrialization of the country as the fourth national goal.
To achieve this goal, a project of organizational and technical measures is being developed to develop the industrial sector, and the country’s industrialization are turning to the noble initiative of the head of state in the Majlisi Oli of the Republic of Tajikistan to further promote sustainable industrial and innovative development of the country decided their job.
In light of the development trends of the modern world, in the context of globalization of all aspects of social activity, in the efforts of developed countries to promote goods and product markets, without taking into account the interests of consumer countries the President of the Republic of Tajikistan announced transformation of our republic into industrial and agricultural (the fourth strategic goal) is a logical and bold step.
To become an industrial country, first of all, there are two main factors – the source of energy and the smooth operation of the transport infrastructure. Two of the three strategic goals set by the Government exist to ensure these factors and provide a solid foundation for the fourth goal. Announcing our fourth goal, we clearly see the logical policy of the Leader of the Nation to turn Tajikistan into one of the leading nations.
The industry of Tajikistan is in its infancy, with further investments, the introduction of new technologies, the development of national scientific and technical potential, the removal of barriers between science and production, the attraction and implementation of advanced foreign technologies, the formation and improvement of structure and infrastructure modernization of fixed assets will lead to new growth rates.
It should be noted that, first of all, the industrialization of the country requires qualified and experienced engineering and technical specialists. To do this, it is necessary to strengthen the material and technical base of universities that are able to train highly qualified specialists.
Today, the industry of Tajikistan covers more than 90 areas of processing, production and production, and in 2019, products worth more than 27 billion somoni were produced, while the growth rate reached 114.4% compared to 2018.
In 2019, the volume of manufacturing products amounted to 15 billion 927.4 million somoni, which is 117.9% more than in 2018, or increased by 2 billion 407.4 million somoni.
One of the most important areas in the process of industrialization of the country is the constant increase in the share of the processing sector in the structure of industrial production.
With the support of the Government of the Republic of Tajikistan, in order to ensure sustainable growth of the national economy, the number of industrial enterprises is increasing, and production activity is adjusted depending on the availability of raw materials and market demand.
In this regard, it should be noted that the Republic of Tajikistan has significant potential in raw material reserves in the mining industry, construction materials, food industry, light and cocoon industry, as well as in the automotive and coal industries using effective technologies. Regarding the organization of production of competitive high-quality products that meet international standards, we can say that in the near future the country can be transformed from an agro-industrial country to an industrial-agrarian one.
To achieve these goals, it is necessary, first of all, to develop a number of specific regulations and specific projects, as well as to create reliable production capacities and opportunities for putting into operation existing capacities that are not yet fully operational.
Today in Tajikistan there are many opportunities for the development of high-quality industrial goods and services, increasing exports and gaining a desired position in the global market for goods and services.
The total volume of exported goods from the country amounted to more than 11 billion 379.9 million somoni (1174.4 million US dollars), which is higher than in 2018 by 979.6 million somoni (101.1 million US dollars) or 109.4%.
In 2019, industrial production is similar, primary aluminum – 96.8 thousand tons, refined ores – 360.3 thousand tons, cement – 1537.3 thousand tons, coal – 18.2 thousand tons, salt – 2300 tons, cotton yarn – 18.5 thousand tons, leather – 3.9 thousand tons, canned fruits and vegetables – 273 tons, juice and juice of the plant – 545 tons, cotton fiber 94.1 thousand tons, coloring materials 125.6 tons, drywall 399.6 thousand pieces, garments 156.8 million somoni, aluminum profiles 1439.3 tons, pipes and metal profiles 542.4 tons, 26 tractors, aluminum fluoride 2620.4 tons and decorative stones 356.6 m2, exported abroad.
The main factors for achieving this goal are the introduction and use of modern innovative technologies, improving the professionalism of entrepreneurs and their management, the introduction of modern methods of quality management and training.
In connection with the fourth national goal – the declaration of rapid industrialization of the country, the efficiency and quality of adopted programs and investment projects and an increase in the share of industry in the country’s GDP in 2019 increased to 17.4%, and by 2030 will reach 22.0% this is identified as a key priority.
In particular, the Founder of Peace and National Peace, the Leader of the Nation, the President of the Republic of Tajikistan, announced the announcement of the rapid industrialization of the country as the fourth national and two-year moratorium on inspections of business entities in the manufacturing sector will lay a favorable foundation for the country’s economy.
Economic reforms aimed at improving the investment and business climate in the country have made it possible to keep the country’s macroeconomic indicators stable over the past ten years and ensure real growth by an average of 7%.
In order to create favorable conditions for entrepreneurs, the government of the republic annually carries out important reforms in various areas of the economy, including simplifying the procedures for registering business entities, protecting and supporting entrepreneurs and investors, improving the tax system, simplifying business audits and conducting system reforms.
Moreover, in accordance with the Tax Code of the Republic of Tajikistan, the import of goods is exempt from customs duties and value added tax by newly created enterprises engaged in the full range of processing of cotton fiber for final products.
In order to support cotton processing enterprises, the Tax Code of the Republic of Tajikistan was amended and the export duty on cotton in the country was canceled, and the export duty was set at 10% in January 2017.
The benefits provided by the cotton processing sector attracted foreign investment and laid the foundation for the growth of cotton processing in the country.
Export duties are also set as raw materials for the purpose of further processing of leather and cocoons in the country by relevant decisions of the Government of the Republic of Tajikistan.
Industrial development in the context of sectorial programs, including the “Concept for the development of the coal industry in the Republic of Tajikistan until 2040”, “the Program for the development of non-ferrous and ferrous metallurgy in the Republic of Tajikistan until 2025”, ” Program for the development of light industry in the Republic of Tajikistan for the period until 2022″, “Program for the development of the food industry of the Republic of Tajikistan for 2020-2025 ”,“ Program for the development of sericulture and cocoon production in the Republic of Tajikistan for 2012-2020” and “Program for the development of weaving in the Republic of Tajikistan for 2014 – 2020” are being implemented.
These programs will help increase production, ensure its competitiveness, create new enterprises and means of protection by creating jobs and solving social problems of the state and lay the foundation for the transition of the economy from a producer of raw materials to a producer of the final product.
Using modern technologies, the volume of import-substituting products is increasing, and the market is supplied with domestic industrial products. In 2019, new import-substituting industrial products were produced, such as polypropylene yarn, non-woven silk fabric, polyethylene yarn, medical cotton, cotton balls, screws, mats, various brackets, rubber tracks, dry towels and cotton yarn.
The industrialization process has expanded and now includes the use of new modern technologies, and last year about 1 billion somoni was spent on domestic and foreign investment to create new industries, import new technological equipment and expand production capacities in industrial sectors.
Including in the construction materials industry – 12 million somoni, light and silk industries – 68.4 million somoni, coal industry – 56.4 million somoni, food industry – 166 million somoni, mining and metallurgy -537.7 million somoni, machine-building industry in the amount of 63.2 million somoni and in other industries – 42.8 million somoni were introduced with new technologies and equipment.
The widespread use of modern technologies, increasing the volume of import-substituting products, providing the market with competitive domestic products, strengthening the country’s export potential and creating new jobs will stimulate the country’s industrialists to use all conditions and opportunities. To increase the social significance of the country, we welcome the 30th anniversary of state independence of the Republic of Tajikistan with high production indicators.