The clusters created by BMB Trade Group in Jizzakh region are bringing results

As it is known, in recent years in our country creation of clusters and thereby further expansion of production of quality food products in agriculture is considered an urgent issue to fully meet the needs of the population in agricultural products.

On March 23 this year, under the chairmanship of President of the Republic of Uzbekistan Shavkat Mirziyoyev, a video conference was held to discuss major tasks to increase food production and effectively organize the spring field season.

It has been noted that in the last two years, the global food inflation has not decreased below 15-20% per year, the world prices of vegetable oil, milk and meat have risen to a record high level for the last 30 years, and the prices of grain products and sugar - to the highest in the last 10 years.

President of our country noted that in order to systematically organize the export of fruits and vegetables, to establish relations between the producer and exporter, there is a task to introduce the cluster system into the network. Above all, the importance of correct formation of contractual relations within the system, clear definition of interests, responsibilities and liability of the producer, processor and exporter of products was underscored:

At the same time, studying the experience of foreign countries achieving high results in fruit and vegetable production, as well as foreign investments is important for the development of the sector.

In this regard, BMB Trade Group is one of the companies with sufficient experience in implementing major investment projects aimed at improving infrastructure, processing and export of agricultural products in Jizzakh province. In accordance with the Decree of the President of the Republic of Uzbekistan dated December 15, 2021 No PQ-52 "On measures for further development of the system of state support for horticulture, cluster and cooperation in the industry" on the basis of horticultural cluster BMB agrocluster

In 2022 in Gallaaral, Arnasay and Sharaf-Rashidov districts of Jizzak region 7 types of agricultural products were grown and delivered to domestic and foreign markets.

On the basis of analysis of demand on agricultural products in external markets and experience of 2022, this year agro-cluster plans to grow 16 types of vegetables, gourds, pulses and oilseeds on the area of more than 10.0 thousand hectares in 4 districts of Jizzakh region.

Also, for deep processing, packing and exporting of fruit and vegetable products to European countries on the base of agricultural cluster in Sharaf Rashid district of Jizzakh region is implementing investment project with total value of 8.6 million Euro (including 6.1 million Euro at the expense of credit funds of "SQB").

For information: The project annually processes 24 thousand tonnes of produce to produce dried fruits, vegetables, jams, preserves, puree and other products.

From growing produce in the fruit and vegetable cluster encompasses the whole chain from deep-processing to downstream processing. Also, an accredited laboratory will be set up on the basis of the project to involve German specialists in the production, processing and packaging of products. It should be noted that the processed finished products will be exported directly to Germany by way of a certificate.

Currently, BMB Trade Group Company jointly with German Landgard Company reached an agreement on establishment of "hub" for deep processing, packing and delivery to European markets of fruit and vegetable products grown in the republic.

For reference: Landgard is one of Europe's largest companies with an annual turnover of more than 4 billion euros.

The company supplies products from wholesalers and retailers to supermarkets. The Landgard Group currently comprises around 40 companies.

Under the agreement, an Uzbek-German joint venture has been set up in Stuttgart in the Federal Republic of Germany to attract foreign direct investment to set up an accredited laboratory of European quality in our country.

Also, a modern greenhouse, which is planned to be built in Sh. Rashidov district using Dutch technology, will provide the domestic and foreign markets with high-quality agricultural products that meet world standards.

In case of growing of vegetable products on the basis of cooperation, plans will be made for production of agricultural products, including by types and varieties, and sorting, packing and reselling directly to consumers through the organized trade platform, based on the requirements of world standards, of fruits and melons grown by private farms and peasants, personal garden plots in the area covered by the cooperation. On a contractual basis, cluster members will be provided with farming equipment, fuel and lubricants, fertilisers, seeds and seedlings, as well as chemical protection agents.

Regular monitoring of agro-technical activities on cluster members' lands will be carried out. Cluster members will provide agrotechnical, accounting, advisory, mediation and other services, as well as attract qualified agronomists, entomologists and laboratory specialists from abroad.

One of the features of the project is that it integrates the whole cycle based on the principle "from field to counter", as already mentioned: cultivation of fruits and vegetables, their storage in warehouses, primary and deep processing, freeze-drying capacities are installed.

Organisation of exports of fruit and vegetable products, compliant with international and national standards. This is implemented by a modern agro logistic complex, which is being built in the Sh. Rashidov district. This, in turn, provides an opportunity to increase exports abroad of freshly harvested, dried, canned and processed products.