This year has been very fruitful for Karakalpakstan. The region launched new industrial enterprises, tourist facilities, energy facilities, and an IT park. A new road and railway bridge with a length of 423 meters was opened, which connected Karakalpakstan with Khorezm. As a result, the distance for cargo and passenger transportation was reduced by 180 kilometers.

At the cost of $323 million, a 240-kilometer part of the “Kungrad-Beyneu” highway was built and put into operation. This creates prerequisites for increasing transit and other services by $200 million annually. Work will soon begin on electrification of the 196-kilometer section of the “Miskin-Nukus” railroad.

The region has more than 50 privileges and preferences in industry, entrepreneurship, and infrastructure. In particular, only in Karakalpakstan investors can directly receive land plots for projects.

This year, an open dialogue between the President of Uzbekistan and entrepreneurs took place in Nukus, demonstrating the potential of the region. Foreign investors and specialists note the emergence of vast profit-making opportunities here.

Thus, a comprehensive economic potential analysis was conducted, revealing opportunities in the agro-industrial complex, tourism, and services worth $2.5 billion.

An average of 28 centners of cotton per hectare is harvested from 87 thousand hectares, with low profitability in 10 districts. Experts suggest reducing the area under low-productive cotton and replacing it with fodder crops and sesame. According to calculations, the cultivation of fodder crops could generate an additional profit of 6.5 trillion UZS from meat and milk production, while sesame exports could be increased by $500 million. At the same time, a significant amount of water will be saved.

In addition, Muynak alone has the potential for at least $1 billion worth of tourism projects. By developing integrated tourist facilities, it is possible to receive 1 million tourists annually and provide jobs for 5 thousand residents.

In ethno- and ecotourism, not all opportunities have been implemented yet. There are more than 200 cultural heritage sites, such as Chilpik, Ayazkala, and Tuprakkala, as well as more than 10 types of folk games. All this could attract 3 million tourists and keep them in the region for days.

It was noted that the leaders of the country, which has such potential, as well as hokims of districts, should increase personal responsibility. It is necessary to demonstrate the region’s opportunities to entrepreneurs, offer them investment projects, and provide support. Such an approach will create new jobs, increase added value and exports, and increase the population’s income.

At the meeting, the Chairman of Jokargy Kenes of the Republic of Karakalpakstan presented plans to utilize available resources, increase investment, and create jobs. 

The Head of State drew attention to the structure of the announced projects. In particular, out of $3.1 billion of investments planned for the next year, only $500 million will be allocated to regional projects.

The need to use all regional opportunities and increase this share was emphasized in this regard. For this purpose, additional regional projects worth $1 billion will be formed, enabling the launch of 120 new enterprises and increasing exports to $500 million.

In addition, 85 large enterprises will be brought to full capacity. By organizing new production, trade, and service sites, 150 thousand people will be employed, reducing the unemployment rate to 5.4 percent. New sources of income will be opened for 20 thousand low-income families, reducing the poverty rate by 7.6 percent.

A 1 GW wind power plant is currently under construction in Karakalpakstan. Projects have been launched to build similar plants with a total capacity of 9.3 GW, generating 33 billion kilowatt-hours of electricity per year. The region also has significant natural gas reserves. In this regard, the expediency of locating large-scale, energy-intensive metallurgical, chemical, and construction enterprises in Karakalpakstan was underlined.

It is also necessary to increase efficiency in agriculture. It is planned to create industrial orchards and vineyards with a total area of 3 thousand hectares on irrigated lands. It is envisaged to grow sesame on 31 thousand hectares and mungbean on 22 thousand hectares with a focus on exports. Besides, a project to cultivate licorice on 30 thousand hectares will be implemented within three years.

These measures reflect only a part of Karakalpakstan’s potential, and their practical implementation will ensure the region’s dynamic development. 

Therefore, a project office will be established in the country to develop three main areas – agriculture, industry, and tourism. This structure will analyze the growth points of each district, provide recommendations on the choice of crops, and increase land use profitability. It will prepare and provide district hokims with projects on processing raw materials and producing finished products, develop proposals on opening new tourist destinations, and organize appropriate infrastructure there.

Responsible persons have been instructed to ensure special control over the progress of investment projects and the implementation of employment and export plans. Instructions were given on elaborating a development strategy for each district with the involvement of authoritative foreign experts.