Uzbekistan Strengthens Transit Governance and Trade Facilitation

Uzbekistan continues to advance reforms aimed at simplifying trade procedures and strengthening the country’s role as a regional transit hub. Recent presidential amendments have expanded the mandate of the Interagency Council for the Development of Transit Potential, reinforcing its strategic role in coordinating transit policy, aligning national procedures with international standards, and ensuring the effective use of Uzbekistan’s transport and logistics infrastructure.

These changes form part of broader administrative and economic reforms focused on trade facilitation, digitalization, and deeper integration into global trade systems.

Strategic Context of the Reform

 

Uzbekistan’s geographic position at the crossroads of major international transport corridors gives it significant transit potential. The recent amendments are designed to:

  • Improve the efficiency of cross-border movement of goods;
  • Reduce administrative and procedural barriers in transit operations;
  • Strengthen institutional coordination in the transport sector;
  • Align national transit practices with international norms, particularly those applied within the multilateral trading system.

The expanded responsibilities of the Interagency Council reflect the growing importance of transit policy in national economic development.

New Responsibilities of the Interagency Council

 

Under the updated framework, the Interagency Council has been entrusted with additional tasks aimed at improving the governance and regulation of transit operations.

Modernization of Transit Procedures

 

The Council is now responsible for:

  • Improving transit procedures in line with recommendations of the World Customs Organization;
  • Approving transit-related instructions;
  • Coordinating the activities of state authorities involved in transit operations.

A particular emphasis is placed on the use of digital technologies to streamline procedures, enhance transparency, and reduce processing times.

International Coordination and WTO Engagement

 

The Council has also been tasked with:

  • Reviewing inquiries, proposals, and requests from World Trade Organization member states related to transit transportation;
  • Notifying WTO members of the transit procedures applied in Uzbekistan.

This role strengthens Uzbekistan’s institutional capacity to meet international transparency and notification obligations and enhances predictability for foreign trade partners.

Trade Facilitation and Institutional Coordination

 

By centralizing responsibility for transit-related coordination, the reform aims to:

  • Eliminate fragmentation among government agencies;
  • Ensure consistent application of transit rules across transport modes;
  • Improve responsiveness to issues raised by international partners and domestic stakeholders.

The Interagency Council serves as a platform for policy alignment across customs, transport, trade, and digital governance bodies.

Extension of Zero Import Customs Duty for Selected Raw Materials

 

In addition to transit-related changes, the amendments also extend the application of a zero import customs duty rate for certain raw materials and semi-finished products used in industrial production.

The extended preferential treatment applies to specific categories of surface-active organic substances, detergents, and cleaning agents (excluding certain soap-based products). The extension replaces an earlier, shorter validity period and provides manufacturers with greater regulatory certainty.

Economic and Industrial Impact

 

The extension of zero-duty import treatment is expected to:

  • Reduce production costs for domestic manufacturers;
  • Support the expansion of competitive industrial output;
  • Improve access to essential inputs for downstream industries;
  • Enhance the overall investment attractiveness of the manufacturing sector.

Combined with improved transit procedures, these measures contribute to a more favorable trade and production environment.