Korean firm to set up textile mill in Uzbekistan
Wednesday 25 May 2011
South Korea’s Textile Technologies Group has announced setting up of a modern textile mill to produce yarn, fabric and garments in Yukori Chirchik district of Tashkent region in Uzbekistan.
Textile Technologies will invest US$ 50 million in 2011-12 to set up the textile mill. This amount is in addition to the cost of 683 million sums (1,711 Uzbekistani sums equals one US dollar) payable to the Uzbek Government for acquiring land.
The Uzbekistan Government has already given permission to Textile Technologies Group for setting up of a modern textile mill with a capacity to process up to 8,000 tons of cotton fibre a year.
The investment of US$ 50 million is going to be made in two parts. US$ 30 million will be invested in 2011 itself, while the remaining US$ 20 million will be invested in 2012. This includes funds needed for installation of latest technological equipments sourced from across the world.
By 2013, the new mill is expected to produce 6,000 tons of cotton yarn, 7.5 million sq. m. of finished fabric and 5 million garments a year. Textile Technologies expects to export around 80 percent of this output.
This project is being undertaken as a part of the Uzbekistan Government’s textile industry development programme for 2010-15, under which over 100 projects are to be implemented at a total cost of US$ 1.6 billion to triple the export potential of the Uzbek textile industry.