PROBLEMS OF FORMATION AND DEVELOPMENT OF REGIONAL CLUSTERS IN THE LIGHT INDUSTRY OF UZBEKISTAN
DOI:
https://doi.org/10.5281/zenodo.20138251Abstract
The article analyzes the current state and problems of formation and development of regional
clusters in the light industry of Uzbekistan. As a result of cluster policy, the number of cotton-textile clusters and
employment in the sector have grown substantially, and the country has acquired the capacity to fully process
its cotton fiber domestically. The regional analysis indicates that Fergana, Kashkadarya, and Namangan
regions occupy leading positions. At the same time, clusters face such problems as a high level of commercial
debt denominated in foreign currency, a low level of certification, regional imbalance, and a decline in export
prices. The establishment of the Light Industry Development Agency is assessed as an important institutional
response; recommendations for addressing the existing problems have been developed.
Keywords
light industry, cotton-textile cluster, vertical integration, export, regional imbalance, international certification, Light Industry Development Agency, GSP+.References
1. Decree of the President of the Republic of Uzbekistan No. PD-2 of 10 January 2023 “On measures to support the
2. activities of cotton-textile clusters, fundamentally reform the textile and clothing-knitwear industry, and further increase
3. the export potential of the sector.” lex.uz/uz/docs/-6351331
4. Decree of the President of the Republic of Uzbekistan No. PD-71 of 1 May 2024 “On measures to bring the development
5. of the textile and clothing-knitwear industry to a new stage.” lex.uz/uz/docs/-6908347
6. Decree of the President of the Republic of Uzbekistan No. PD-174 of 19 September 2025 “On the creation of additional
7. conditions for the production of high value-added products and the increase of export volume in the light industry.” lex.
8. uz/uz/docs/-7737257
9. Press Service of the President of the Republic of Uzbekistan. (12 December 2024). Meeting on measures to enhance
10. the effectiveness of reforms in the textile and leather industry. https://president.uz/oz/lists/view/7760
11. Porter, M.E. (1990). The Competitive Advantage of Nations. New York: The Free Press.
12. Porter, M.E. (1998). Clusters and the new economics of competition. Harvard Business Review, 76(6), 77–90.
13. Babadjanov, B., & Petrick, M. (2023). Uzbekistan’s cotton clusters in the context of the industrial policy debate.
14. Eurasian Geography and Economics. https://doi.org/10.1080/15387216.2023.2267093
15. Bellandi, M., & Santini, E. (2019). Territorial servitization and new local productive configurations: The case of the
16. textile industrial district of Prato. Regional Studies, 53(3), 356–365.
17. Dei Ottati, G. (2014). A transnational fast fashion industrial district: an analysis of the Chinese businesses in Prato.
18. Cambridge Journal of Economics, 38(5), 1247–1274.
19. International Labour Organization (ILO). (2019). Third-Party Monitoring of Child Labour and Forced Labour during the
20. Cotton Harvest in Uzbekistan. Geneva: ILO.
21. World Bank. (2025). Weaving a New Future in Uzbekistan’s Cotton Sector. https://www.worldbank.org/uz/news/
22. feature/2025/05/27/weaving-a-new-future-in-uzbekistan-s-cotton-sector
23. GIZ. (2024). A Textile Giant in the Making? A Look at the Textile and Apparel Sector in Uzbekistan. Tashkent: Deutsche
24. Gesellschaft für Internationale Zusammenarbeit.
25. USDA Foreign Agricultural Service. (2023). Cotton and Products Update – Uzbekistan. Report No. UZ2023-0002.
26. Tashkent: GAIN.
27. Better Cotton Initiative. (2024). Better Cotton in Uzbekistan: Country Programme Overview. https://bettercotton.org/
28. where-is-better-cotton-grown/better-cotton-in-uzbekistan/
29. Statistics Agency of the Republic of Uzbekistan. (2024). Data on production and export of textile products. https://stat.
30. uz
31. Fergana Regional Statistics Department. (2024). Industrial production of Fergana region for January–August 2024.
32. farstat.uz/uploads/press24/SN-PR-08-2024.pdf
33. Kashkadarya Regional Statistics Department. (2025). Industrial production of Kashkadarya region for January–
34. February 2025. qashstat.uz/uploads/press25/SN-PR-UZ-02-2025.pdf
35. Tashkent Regional Statistics Department. (2024). Industrial statistics: January–July 2024. toshvilstat.uz/uploads/docs/
36. pres%20reliz%202024/sanoat_iyul.pdf

