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11 March 2023

The first results on the privatization of grain enterprises have been achieved

In accordance with the Presidential Decree № PD-10 dated November 15, 2021 "On introduction of market principles to ensure free competition in the production and sale of grain", tasks on privatization of grain enterprises have been identified.

Consequently, according to the Presidential Decree № PD-168 dated March 18, 2022 "On additional measures for further reducing state participation in the economy and accelerating privatization" the processes of step-by-step privatization of grain enterprises by offering them to public auction have started.

In order to ensure the implementation of these decrees, in accordance with the announcement of the State Assets Management Agency dated July 30, 2022, sales processes for grain enterprises have been organized in 2 stages and commercial proposals of applicants have been accepted through the electronic trading platform "E-auksion" in electronic form, as well as proposals received from applicants have been submitted to the State Commission on conducting tenders for sale of state property for general consideration and making a relevant decision.

As a logical continuation of the work started to bring the reforms to a new level, aimed at increasing the competitiveness of the agricultural and food sector, the State Commission on conducting tenders for the sale of the state property made the relevant decision:

  • UCHKOPRIK GALLA KLASTER LLC, which provided the best commercial offer on purchase of 56,8% block of shares of Okhangaron Don JSC, is declared the winner of the auction with the purchase price payment condition of 131,0 billion UZS;
  • DIMINUR GROUP LLC, which provided the best commercial offer on purchase of 51,0% block of shares of Andijondonmahsulot JSC, is declared the winner of the auction with the purchase price payment of 58,0 billion UZS.

At the same time, the successful applicants take the obligation to maintain the main activities of grain enterprises for at least 5 years, not to reduce the existing capacities for grain storage, as well as the obligation to store grain for the state reserve in exchange for the payment of remuneration on the basis of contracts, in the manner prescribed by law.

At the same time, in accordance with the above-mentioned decrees, privatization processes for the remaining grain enterprises are ongoing.

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