Uzbekistan's Ministry of Investments and Foreign Trade has signed a framework agreement with DP World for a strategic partnership to develop the country's trade networks and boost international trade.

In a statement, DP World said the deal will enable it to expand its presence in Uzbekistan, boosting global trade flow and supporting the development of the country's digital infrastructure.

"The agreement covers a broad areas of cooperation, all which will boost Uzbekistan’s trade networks, and position DP World as a strategic partner in boosting international trade," it said, adding that prioritising the flow of trade in the country, the agreements include the establishment of a new inland logistics network, supporting the expansion of the Navoi Free Economic Zone (FEZ) and the cargo terminal at Navoi International Airport.

It will also involved launching new consumer e-commerce and fintech platforms in the country, and streamlining customs operations.

DP World said it will deploy its advanced Port Community System by CARGOES, to provide stakeholders in trade and logistics with seamless, paperless access to services including dry ports, logistics parks, ICDs, railway stations and depots.

"DP World is committed to being a strategic partner for Uzbekistan enabling trade. Our agreements signed will help design and shape a world-class trading ecosystem in the country. The Uzbekistan economy continues to grow at a strong pace, making it an attractive destination for long-term investments," said Sultan bin Ahmed Sulayem, Group Chairman and Chief Executive Officer of DP World.

"We look forward to working with the Ministry of Investments and Foreign Trade to promote economic growth and prosperity for the people of Uzbekistan, leveraging our capabilities across trading, logistics, infrastructure and digital technology."

Uzbekistan's growth cited

The World Bank is predicting that Uzbekistan’s economy will grow by 5.6% in 2022. The country is Central Asia’s largest consumer market, and a leading exporter of cotton and textile, automotive, fruits and vegetables.

With its growing economy driving domestic consumption complemented by demand for exports, the country’s trading ecosystem is set to unlock numerous benefits.

Sardor Umurzakov, Deputy Prime-Minister, Minister of Investments and Foreign Trade of Uzbekistan, noted that "Uzbekistan is keen to cooperate with DP World on facilitating the development of logistics sector of the country through implementation of portfolio of projects in key regions of the country."

"DP World is a world class ports and free zones operator. Combination of DP World’s experience and capacity with Uzbekistan’s unique geographical location and favorable business environment will boost regional trade and contribute to further improvement of regional connectivity," Umurzakov said.

Developing new trade infrastructure

DP World said it will establish a state-of-the-art, rail-linked and road-linked, inland logistics network offering customers efficient solutions across all major distribution and consumption centers in and around Tashkent.

The company will develop a 100-hectare road-and-rail linked greenfield site in Uzbekistan’s recently established Special Economic Zones.

The agreement will see DP World becoming a strategic partner for the growing Navoi FEZ and the connectivity of the Navoi air cargo terminal linking it to major international hubs, leveraging the company’s expertise in developing, owning, and operating the Jebel Ali Free Zone (JAFZA), the world’s largest free zone, in Dubai.

New consumer e-commerce, fintech platforms

Uzbekistan and DP World also agreed for the company to facilitate the development of a consumer e-commerce platform, leveraging its experience from launching DUBUY.com, an e-commerce platform empowering SMEs and microbusinesses to expand their business and penetrate new markets.

In the statement, DP World said the company aims to build the most preferred online shopping destination of the region powered by DP World’s cutting-edge technology.

Uzbekistan had previously joined the WLP as a Gateway earlier this year to boost global trade networks and partnerships - allowing it to access the benefits of the WLP when trading via the UAE, where it joins a network of 24 Hub countries and many other Gateways that span Latin America, Asia, the Middle East and Africa.

Meanwhile, the framework agreement was signed by Shukhrat Vafaev, deputy minister of Investments and Foreign Trade, Republic of Uzbekistan DP World’s Chairman, Sultan bin Ahmed Sulayem, in the presence of Sardor Umurzakov, deputy prime minister, Minister of Investments and Foreign Trade of the Republic of Uzbekistan.