TASHKENT (TCA) — In line with the resolution of the Cabinet of Ministers of Uzbekistan dated 5 August 2016, a joint venture will soon be established on the grounds of the Tashkent Agricultural Machinery Plant (formerly Tashkent Tractor Plant) with Germany’s СLAAS, one of the world’s leading agricultural machinery producers, Novosti Uzbekistana news agency reports.
According to official sources, Uzbekistan and the German company plan to invest more than $50 million in modernization of the largest agricultural machinery plant in Uzbekistan.
Modernization will be carried out in several stages and would complete by the end of 2019. During the first stage in 2016-2017, the plant will deepen its production localization and extend production of components for agricultural machinery of the German company.
During the second stage in 2018-2019, the plant plans technological modernization of its foundry, hot stamping and forging facilities, and organization of engines assembly.
In the early 2015 the former Tashkent Tractor Plant saw the beginning of a bankruptcy procedure. According to local media reports, the plant operated at only 20 percent of its production capacity, due to the absence of modern equipment, low purchasing power of the domestic market, and poor export.
The Tashkent Tractor Plant was built in 1942. During the Second World War it produced military machines, and later manufactured tractors for Uzbekistan’s agriculture. The plant’s design capacity was 12 thousand tractors and 13 thousand trailers per year.