How one of the largest clusters in Uzbekistan functions

Tashkent, Uzbekistan ( — On 21 July 2023, the Association of Textile and Clothing and Knitting Industry Enterprises of Uzbekistan Uztekstilprom organized a press tour to Syrdarya region to get acquainted with the reforms in the agricultural and cotton-growing sectors of the region.

Uzbekistan has a centuries-old agrarian and textile history and traditions, most of the country’s population is employed in these sectors of the economy. The Indorama Group makes a great contribution to the development of the agricultural and textile industries of Uzbekistan and the region, having invested more than US$500 million, of which more than US$200 million has been invested in the agricultural sector of the country.

Indorama Agro, part of the Indorama Industries group of companies, present in 30 countries, is one of the largest agricultural producers in the Republic of Uzbekistan. Indorama Industries develops textile, agricultural and chemical industries in Uzbekistan. The company, founded in 2018, is a major producer of cotton, wheat and other crops, processing over 50,000 hectares. Another 25,000 hectares owned by the company are leased to independent producers. The company employs more than 3,000 people. The company is introducing new agricultural practices in Uzbekistan, bringing the latest technologies and methods to the country.

Indorama Agro is also deeply committed to corporate social responsibility and sustainability, working with international consultants, government stakeholders and local communities to improve soil quality, reduce water use and improve environmental management.

From the first days of its establishment, the company has been actively working on the development of the cluster system, introducing the best company practice in the agricultural sector. In Syrdarya region, Indorama Agro cultivates 27 thousand hectares of land (Sardoba – 15 thousand hectares, Okoltin – 12 thousand hectares). A Logistics Center, a cotton-cleaning plant, a machine and tractor park, and a biological laboratory have been created.

Indorama Agro introduces the best innovations in the development of cotton growing in Uzbekistan. For this, more than 900 different types of equipment (tractors, harvesters, seeders, etc.) from the world’s leading companies, such as John Deere, Case, Man and others, were purchased in the amount of US$90 million.

To achieve the best results, the best experts from Australia, India and Uzbekistan were involved. In order to improve farming practices, Indorama Agro is implementing fully mechanized harvesting and modern farming practices borrowed from Australia and the United States. In addition, a sustainable business model focused on soil conservation and efficient water use is being adopted. The company also works closely with international consultants to reinforce its best practices. By the way, this year the company received the best harvest in the region.

The company adheres to the principle of comprehensive assistance and good neighborliness, actively supports more than 40 mahallas located in 4 regions of Kashkadarya and Syrdarya regions. During 2022, 108 projects were completed aimed at improving the lives of the population.

For example, journalists visited preschool educational institution No. 2 in Okaltyn district. This institution was reconstructed by Indorama Agro in 2021 free of charge. The pupils of the institution celebrated the Day of Water, in honor of which a big holiday for children was organized. According to the manager, the local population is satisfied with the company’s policy in the field of supporting the local population and noted the readiness of the company’s management to improve the life of the population.

Another example is the fact that the company distributed 16 tons of grain to the residents of the Sardoba district, and in winter, when the temperature dropped, it supported them with drinking water.

Also, the management of the company Indranil Muzhambar paid special attention to the issues of rational use of water resources. Indorama is working with some of the world’s best Israeli irrigation companies to revolutionize their water management practices. Drip irrigation not only reduces water consumption by 40-50%, but also reduces fertilizer use by 30% and labor costs by 10%. This method controls weed growth, works on uneven ground, and allows for varying water qualities. The environmental benefits are ~70% water savings, weed control, ~30% fertilizer savings, ~10% labor cost savings, saline soil and uneven ground operation. We use innovative technologies to conserve water resources. For example, 26 John Deere high performance tractors.

One of the company’s best practices is the creation of biolaboratories. The company takes a holistic approach to crop protection that addresses these risks while also supporting farmers and their livelihoods. At Indorama Agro, cotton growers control over 200 different types of insects that can damage crops at all stages of cultivation. Our farmers prevent the spread of these pests, such as bollworm and sucking pests, by releasing other so-called “bioactive” insects into the fields. Insects such as trichogramma and green lacewing can help control pest populations. Indorama Agro breeds these beneficial insects in two specialized laboratories located in T. Mallik, Syrdarya region and Kasbi, Kashkadarya region. The bioagents produced in these laboratories can help control pest populations in 35,000 hectares of cotton crops, reducing the need for toxic chemical pesticides and providing a lower environmental impact, controlling harmful insect pests without disturbing the natural ecology.

The Sh.Rashidov logistics center covers an area of 11 hectares of land. There are a machine and tractor park, four 6 ton elevators for grain storage, warehouses and a guest house for expats, a laboratory, and an office building. In this logistics center there are various agricultural machinery.


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