The investment capacity of the Leather Industry of Uzbekistan and the prospects of investment cooperation

The Association consists ofThe Association consists of 53 industrial enterprises, including:53 industrial enterprises, including: - 22 enterprises for processing of hides and skins; - 22 enterprises for processing of hides and skins; - 25 enterprises for the production of footwear; - 25 enterprises for the production of footwear; - 4 leather business; - 4 leather business; - An enterprise for the production of artificial leather; - An enterprise for the production of artificial leather; - A company specializing in the manufacture of ceramic tiles. - A company specializing in the manufacture of ceramic tiles. The Association "Uzbekcharmpoyabzali"

Structure of Association "Uzbekcharmpoyabzali"

Development projects at the expense of foreign investment JV «PENG SHENG» - manufacture of leather, footwear and construction materials - $ 30 million JV «ORIENT TECHNOLOGY» - manufacture of leather - $ 5.0 million PI «KENTAVRUS DPKS» - leather production - $ 2.0 million IP "SHI GUO" - shoes $ 1.8 million

The Republic of Uzbekistan Potential markets for products The country's population million people Need mln.par of shoes a year The country's population million people Need mln.par of shoes a year The proximity and availability of simplified customs rules with the CIS countries, whose population - more than 260 million people

PROPOSED ACTIVITIES FOR THE ORGANIZATION OF NEW PRODUCTION Creating a new production of leather goods Creating a new venture for the production of children's and women's shoes Creating a new enterprise for the production of leather garments Renewal of a shoe factory

Organization of production of leather goods Factors determining the prospects of the project: - The constant and increasing demand of local people for such products -Ability to export to the CIS countries, Central Asia The presence of local high quality raw materials - the skins of cattle and small cattle Currently, 50% of such products imported for import

Production of leather goods The cost of the project – 3.0 mln. USDThe cost of the project – 3.0 mln. USD The foreign party – 3.0 mln.USDThe foreign party – 3.0 mln.USD as follows:as follows: Plant construction – 0.5 mln. USD Equipment – 2.0 mln.USD Supply of raw materials – 0.5 mln.USD Total amount of production:Total amount of production: Leather accessories – 500 thousand units (bags, belts, gloves, etc.) Current manufacturers:Current manufacturers: "Andijon charm", "Huzhaobod“, "Orzu”, "Tredvel International". Domestic demand - 50%.Domestic demand - 50%. Ability to export 20-30% of production in the CIS countriesAbility to export 20-30% of production in the CIS countries

Organization of production of child and women's shoes Factors determining the prospects of the project: - The constant and increasing demand of local people for such products -Ability to export to the CIS countries, Central Asia The presence of local high quality raw materials - the skins of cattle and small cattle Currently, 80% of such products imported for import

Production of children's and women's shoes The cost of the project – 1.5 mln. USDThe cost of the project – 1.5 mln. USD The foreign party – 1.5 mln. USDThe foreign party – 1.5 mln. USD as follows:as follows: Plant construction – 0.4 mln. USD Equipment mln. USD Raw materials mln. USD Total amount of production:Total amount of production: Children's and women’s footwear – 0.7 mln. pairs Current manufacturers:Current manufacturers: "Nafis” "Vella milenium“ "Farovon shoes” "Bugatti shoes" Domestic demand - 20%.Domestic demand - 20%. Ability to export 10-20% of production in the CIS countriesAbility to export 10-20% of production in the CIS countries

Production of leather clothes Factors determining the prospects of the project: - The constant and increasing demand of local people for such products -Ability to export to the CIS countries, Central Asia -The presence of high-quality local hides and skins -Currently, 85% of such products imported for import

Creation of an enterprise for the production of leather garments The cost of the project thousand. USAThe cost of the project thousand. USA The foreign party thousand. USAThe foreign party thousand. USA as follows:as follows: Construction of buildings, 400, 0 thousand dollarsConstruction of buildings, 400, 0 thousand dollars Supply of process equipment thousand dollarsSupply of process equipment thousand dollars Supply of raw materials, 300, 0 thousand dollarsSupply of raw materials, 300, 0 thousand dollars Power generated by the production:Power generated by the production: Leather clothing in stock - 60,000 units of product per yearLeather clothing in stock - 60,000 units of product per year Current manufacturers:Current manufacturers: FE "Tredvel International"FE "Tredvel International" Ensuring the needs of 15%.Ensuring the needs of 15%. Ability to export 10-15% of production in the CISAbility to export 10-15% of production in the CIS

Suggested items for redemption Terms of sale "Delta Invest" Ltd. (footwear) The minimum cost (UZS) 5.7 billion sum Term LeasingNo more than 7 years

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