Production of coal briquette

12 000 000 USD

Project information

IRR

36%

NPV

$4.2 million

PP

2 years

Jobs created

150

Sector

Mining and metallurgy

Project status

Open for investment

Contact person

Industry Outlook

Uzbekistan is a key player in the Central Asian energy sector, with significant coal reserves and a growing demand for alternative energy sources. The country is focusing on the development of its coal industry to meet domestic energy needs and reduce environmental impact. Coal briquettes are increasingly seen as a cleaner, more efficient alternative to raw coal, supporting the country’s efforts to modernize energy production and reduce carbon emissions.

Uzbekistan's coal production has been steadily increasing, with efforts to modernize extraction processes and improve efficiency. The country is aiming to increase its coal production capacity, which creates an opportunity for coal briquette manufacturing to contribute to energy diversification and environmental sustainability.

Infratructure costs

Uzbekistan offers competitive infrastructure costs, making it an attractive location for manufacturing investments. Key costs include:

- Gas: 12 cents per m³

- Electricity: 7 cents per kWh

- Water: 20 cents per m³

Labour availability

Uzbekistan offers a skilled and cost-effective labor force, ideal for the manufacturing sector. In this field the country has:

- 4 higher education institutions

- 8 faculties

- 1,300 graduates annually

Trade access

GSP+ agreement allows to export to EU at reduced or zero tariff for 6 200 products. CIS Free Trade Agreement creates more integrated and open market with CIS countries.

Tax holidays

Investors in Free Economic Zones (FEZs) can benefit from tax exemptions on land, property, water, and corporate income tax (CIT).

3 years: for investments between 0.3 - 3 million USD

5 years: for investments between 3 - 5 million USD

7 years: for investments between 5 - 10 million USD

10 years: for investments over 10 million USD

Project location