International Journal of Scientific & Engineering Research Volume 10, Issue 4, April-2019 731 ISSN 2229-5518 DIRECTIONS OF EFFECTIVE USE OF INDUSTRIAL POTENTIAL: IN CASE KASHKADARYA REGION Mahmudov Mirabbos Fazliddinovich1 1researcher of Tashkent state university of economics, Tashkent, Republic of

Abstract— In the paper has been discussed the importance of industrial development in the regions and identifies the main directions of effective use of industrial potential in the regions of the country. It also covered the principles of effective deployment of industrial sectors in the regions and regional factors of industry and assessed factors, regional conditions and sources of industrial development in Kashkadarya region.

Index Terms— Kashkadarya region, regional factors, industry, light industry, textile, GDP, industrial potential.

——————————  —————————— 1 Introduction Formation of new regional centers in 2. Literature review the form of globalization, large agglomera- The issues of scientific study and tions, growth points and special economic elimination of regional economic problems zones leads to increased competition in at- have always been in the focus of attention of traction of investments, high-skilled work- economists. Specifically, theoretical and force and promising infrastructure projects. practical aspects of the issue, regional com- Large regional centers account for 75% of petitiveness have been widely shared by global GDP, 58% of exports and 76% of in- foreign economist scientists, in particular vestments. This, in turn, stimulates the B.Robert, M.Fujita, P. Crugman, A.Venables, competitiveness of other regions and coun- M.Enrayt, B.Shaun, H.Glenn . tries, in particular, their effective utilization Among the CIS economist scientists of their domestic economic potential and are A.G.Granberg, Yu.A.Gadjiev, comparative advantages. O.G.Dmitrieva, N.Zubarevich, Today IJSERin our country, the issues of S.V.Kazantsev, I.N.Merenkova, A.N.Nosov, improving regional economic policy and ef- O.Panteleeva, D.Sepik, L. A. Serebryakovs fective and rational use of rich economic po- [2-13] focused on theoretical issues of re- tential of the regions are becoming more gional economic development, regional and more urgent. At the same time, special economic growth and development, region- attention is being paid to the issues of deep al economic development, regional econom- processing of industrial raw materials and ic potential and competitiveness. mineral raw materials for industrial produc- As in other countries, the issues of tion, primarily for the production of fin- development and management of the re- ished goods, the increase of employment gional economy and the effective use of and income of the population on the basis of economic potential of the regions are the accelerated development of modern high- subject of scientific interest of the econo- tech industries. In particular, on January 3, mists of the republic. 2017, the Decree of the Cabinet of Ministers Particularly, issues such as modeling of the Republic of Uzbekistan "On Approval socio-economic development of regional in- of the Regulation on Information and Ana- dustrial complexes, development of a com- lytical Department on Complex Socio- plex of regions, territorial organization and Economic Development of the Regions" and management of production forces, im- the Decree of the President of the Republic provement of methodological bases of rais- of Uzbekistan No. UP-4947 of February 7, ing the competitiveness of regions of Uzbek- 2017 " One of the concrete steps in this di- istan are presented by S.Gulomov, A.M. rection was the adoption of a Strategic Ac- Sodiqov, B.Rozmetov, T.M. Akhmedov, tion Strategy on the Five Priorities of the Sh.B.Imomov, A.Kayumov, Republic's Development.[1] F.T.Egamberdiev, P. Z.Hashimov,

IJSER © 2019 http://www.ijser.org International Journal of Scientific & Engineering Research Volume 10, Issue 4, April-2019 732 ISSN 2229-5518 A.M.Kodirov and Sh.N.Nazarov are widely comparative advantages in the following studied. [14-16] economies: However, most of the aforemen- . Large natural economic resources tioned research is devoted to the issues of in the region that can be profoundly public-economic development and place- processed on the basis of modern ment of productive forces directly in the re- technologies, distinguishing quality, in the gions, and the research topic chosen has not production of fruit and vegetables, meat been studied as a separate research object. and dairy products; Moreover, in most of the studies conducted · Regional comparative advantages in the republic, relative superiority is devot- and raw materials base in the development ed to the complex development of regions. of light industry, production of high-quality This does not provide a comprehensive pic- fine-grained cotton fiber in , ture of the sustainable development of the Mirshark, , Koson, Janinov, Yangi- industry and its efficient use of industry Mirishkor, Yangi-Nishon, Pulati, Karshi, based on the current development condi- Availability of valuable raw material in the tions of the study area and does not ensure production of leather and leather raw the achievement of the industry develop- materials and wool products in Chirakchi, ment goals in Kashkadarya region. Dehkanabad and Yakkabag districts) and Due to the above considerations, the availability of cheap labor force; lack of attention paid to the problem and its . Formation of experience and controversial nature requires a new scien- traditions in timber processing in Kasim, tific approach to the issue under discussion Kasan, , Kamashi districts. and creates enormous opportunities for de- The comparative advantages, termining the relevance, purpose and range restrictive factors and other sources of socio- of issues to be solved. economic development of the regions were the basis for determining the strategic 3. Analysis and results directions of the Kashkadarya region The processing industry in the industry. These trends were selected based Kashkadarya Province has a low level of on existing factors and potential sources. development, while on the one hand, the 1. Development of the fuel and development and location of regions has not energy complex in the form of an industrial been balanced, and on the other hand, cluster based on oil in the region (Kamashi, unilateral, IJSERnon-diversified industrial Shakarbulak, Urtabulak zones) and gas production (cotton ginning, food and fuel fields (Mubarek, Shurtan, Uva, Pirnazar, industry specialization). Janinov, Aknazar regions); A number of negative factors, such as 2. Creation of a light industrial the fact that the regions are away from each cluster in the areas of high-quality cotton other and away from the center, lack of fiber production, taking into account the infrastructure, lack of technical re- leading role of the region in the country, in equipment and modernization of which there is a possibility of deep production, and depreciation of fixed assets, processing and production of finished hinder the efficient use of existing natural goods with high added value (sewing and resources and production capacities in the knitwear products) (Guzar and Shakhrisabz region. As a result, it is possible to observe regions); the incomplete launch of production 3. Development of construction capacities, inadequate production of the materials industry on a cluster basis in the population's demand for basic consumer presence of mineral resources (cement raw goods, inadequate competitiveness of materials, mortar, building blocks, bricks finished goods and non-export orientation. and sand gravel), which are the largest Nevertheless, the region has a rich reserves in the area of Karaulykubin, Jovuz, natural-economic potential and relative Gumbulak; advantage in the development of industry, 4. Establishment of small industrial thereby achieving rapid industrial zones aimed at production of construction development of the region. materials and consumer goods on the basis The development of Kashkadarya of low-powered, inefficient or lean region's industry can be compared with manufacturing capacity, taking into account

IJSER © 2019 http://www.ijser.org International Journal of Scientific & Engineering Research Volume 10, Issue 4, April-2019 733 ISSN 2229-5518 relatively low industrial potential of the timely identify internal and external region and lack of modern technologies; demand for industrial products and so on. 5. Development of deep processing of fruits, Based on the above, the main vegetables, meat and dairy products to expand the purpose of industrial development is to range of import substituting foodstuffs due to increase industrial potential of the region as domestic capacity. To create the necessary well as fully meet the domestic demand for conditions for the storage of raw materials and industrial products and to enter the finished goods throughout the year; international market based on the formation 6. Establishing a special information of competitive products. To achieve this database, involving them in various goal, it is advisable to carry out the industries, including the use of available following tasks (Figure 3.1): human resources in rural areas, including - modernization and expansion of rational use of the available workforce in the existing industrial capacities; region, to collect data on skilled and - diversification of industry due to experienced professionals in the region; the placement and development of new 7. The use of internal financial production lines based on deep processing resources, in particular enterprises and the of local raw materials; population, commercial bank loans, - Expansion of local production of domestic remittances from migrants to form and production by finding, developing and operate productive capital in industry; implementing local initiatives, and ensuring that the 8. Marketing on a modern basis to needs of the population are better;

Existing Industrial Production Capacities modernization and expansion on finding, based local initiatives through production local by expanding needs local better Providing

Purpose developing and implementing initiatives local to meet the domestic demand for

IJSERindustrial products, as well as to increase industrial capacity, to enter the external market based on the formation of competitive products processing of raw local materials

Formation of industrial production in the form of local clusters of industrial clusters, ensuring the interconnection of industrial enterprises on the basis of the chain of additional value creation and implementation of innovative projects in this area Diversification of placementto the development industry and of production new lines due based on deep

IJSER © 2019 http://www.ijser.org International Journal of Scientific & Engineering Research Volume 10, Issue 4, April-2019 734 ISSN 2229-5518

Fig. 1. Strategic trends of local industry development in Kashkadarya region

- Formation of industrial production domestic raw materials, the creation of in the form of regional industrial clusters in small industrial zones in the region, their the region, ensuring the interconnection of service, home-based and handicraft industrial enterprises in the chain of value industrial production entities. added and implementation of innovative Thus, it is desirable to estimate "potential projects in this area. growth points for industrial production" in the Based on the above, the industrial regions of the region, based on the assessment of strategy of the region is based on the potential and comparative advantages inherent to following: growth in the form of high the Kashkadarya region, analysis of development technology and industrial clusters, the trends, and perspective development sources. development of regional processing of

The method of identifying the "growth points method. of industrial production" in the region is as follows: This methodology identifies sufficient The growth points for industrial production in the capacity and capacities for the development of region will be determined by assessing potential and specific industries in the medium and long term in comparative advantages inherent in the region's the regions. It is possible to develop industrial industry, trends in development, and perspective complexes where necessary mineral resources are development sources, and will be implemented in found and used. the following stages: The attractiveness and capabilities of First stage: Determine the source and type of production are assessed through the "coordinate raw materials (based on the geological survey axes". At the same time, the attractiveness of results) for each district and city in the area. production is determined by the demand for Phase 2: SWOT analysis of the production products both at domestic and foreign markets and capacities and capacity level for each raw material with export-oriented production capacities, as well type. The main focus is on S and W Factor Analysis. as natural raw materials and labor potential, roads The third stage: the level of demand (automobile and railways), drinking water, natural (attractiveness) of the products planned to be gas and electricity and will be assessed through the produced in the domestic and foreign markets of provision of each raw material typeIJSER is analyzed by SWOT. The This methodology allows investors to main focus is on S and W factors analysis. evaluate the investment attractiveness of the region's The fourth stage: the capability and capacity regions and districts, and this is the prospect of level in the industrial production identified by the promoting investment projects by sector and district. SWOT analysis of the districts is placed in the order Today, Kashkadarya region has a rich of distance from the top to the axis of the coordinate processing potential for domestic raw materials and system x (in the presence of capacity and capacity). agricultural products. In the region, there are regions In this case, a collection of points that represent and areas with high fiber, cotton, gardens, vineyards, parallel regions relative to the axis. vegetables and potatoes, melons, corn, walnuts. In Fifth stage: The level of demand particular, food industry in Yakkabag, Shakhrisabz, (attractiveness) of products on internal and external Karshi, Koson and Book districts is very wide markets, determined by SWOT analysis of districts, developed. is placed in the order of distance from the bottom up Therefore, it is recommended that the to the axis of coordinate system (required level of development of processing industries in these production planned production). At the same time, regions, their effective location in the region, and the the coordinate axes of the regions and their distance establishment of a 4 - step system for the deep from the center represent the potential and processing of existing mineral and raw materials and attractiveness of their respective products, as well as agricultural products. Including: the increased demand for the planned production. First stage: preliminary processing of raw Sixth Phase: The geometric role of the districts materials, preparation of semi-finished products; formed in the sectors of promising industry sectors Second stage: transforming industrial-based of the coordinate system, the reasonableness of materials into ready-to-use materials; industrial production in clusters, large, medium and third stage: production of finished goods for small forms will be based on the SWOT analysis consumption;

IJSER © 2019 http://www.ijser.org International Journal of Scientific & Engineering Research Volume 10, Issue 4, April-2019 735 ISSN 2229-5518 fourth stage: recycling of industrial waste from secondary sources and consumption.

In order to develop industrial production in the market infrastructure development, labor resources, region, it is necessary to develop a "industrial and fixed capital and quality, and to establish passport" of each district, with a focus on the level of interdistrict value added chains in the region's food mineral resources availability in the districts and its industry and mining operations (3.4). geographical location, the level of industrial and Today, there are great potential for the Development of this network will allow to development of light industry in the region and its create more than 20 types of products in the near regions, where the production of high-quality fiber- future (Figure 3.5). rich cotton raw materials in the country plays an In Kashkadarya, Mishkor, Yakkabag, important role in the development of the region's Chiroqchi districts, more than half of the cattle and light industry. Rich expertise in cotton production sheep registered in the region will be able to produce and the public's commitment to novelties make it ready-made leather products and footwear at the possible for the industry to develop in all regions of raw materials base in such areas as Pirnazar, Girsar, the region, particularly in the areas such as Karluk, Langar and Dikob. ready products can be produced. Beshkent, Shakarbulak, Pulatti, New Zone.

Manufacture of textile and Manufacture of leather goods apparel products and footwear

Textile products Clothes, Leather cleaning Commodities of decorative and and decoration skin painted fabrics

- knitted and - Articles of apparel; Charm and crocheted IJSER- accessories for rubber shoes knitted goods clothes; and socks; - dresses; - insulating - sportswear; materials; - special clothing - other products

Fig.2. Expansion of types of light industry in the perspective of Kashkadarya region

In the regions such as Kamashi, Mirshark, Chirakchi, following components that are interconnected: Koson, Janinov, Yangi-Mirishkor, Yangi-Nishan and - cluster nucleus: the most important component of Pulati, Kashkadarya region, it is proposed to create the cluster's investment attractiveness is the large light industrial clusters as "the basis of industrial enterprises which serve as the basis for the development". production of semi-finished products and ready- Such lightweight industry clusters include the made products and introducing innovations to the

IJSER © 2019 http://www.ijser.org International Journal of Scientific & Engineering Research Volume 10, Issue 4, April-2019 736 ISSN 2229-5518 internal and external market; energy sources and modern energy saving - joint production: other manufacturing enterprises technologies. This problem is especially relevant in for the production of finished goods. These include the Shuvalan and Mubarek districts, where the small businesses, large businesses, and households industry is relatively well-developed; that work together in the classroom; 8. Assisting local producers, foreign firms and - Improvement of educational process in higher and entrepreneurs in identifying investment projects and secondary specialized educational institutions, partners within cluster activities. training of highly skilled engineers and specialists, distribution of information and placement of The export potential of the Kashkadarya region is product sales objects in the markets, production relatively less developed and diversified, mainly units (including inactive production facilities, focused on the export of cotton fiber and foodstuffs. transport networks, research institutes and At the same time, the region has sufficiently laboratories) ); comparable advantage in expanding its export - Cluster Coordination: This is the functional structure. responsibilities of the regional, city and district The cultivation of cotton fiber in practically all khokimiyats, local authorities, as well as districts of the region (Dehkanabad, Kamashi, nongovernmental nonprofit organizations in the Koson, Mishkor, Nishan, Kasbi, Yakkabag) and management and control of the cluster. existence of several large ginning factories create the Today, the Kashkadarya region has great internal basis for the production of high value added interiors in the development of construction products and bring them to foreign markets. materials industry, and it is necessary to solve the There is also a comparative advantage of the region following tasks: in the production and export of drugs on the basis of 1. To critically examine the mineral raw material local herbal medicines (in particular, Kitab and base of the region (including more accurate Kamashi districts). assessment of mineral reserves) for transition to In addition, there are large fruits and vegetable ready-made competitive products and mastering resource bases in the region, which can produce and new types of products, various productive groups process high quality fruit and vegetable based on attracting investors, private entrepreneurs, banks modern technologies. and others, building production of new generation At present "Oqsaroy Textil" LLC produces 4800 tons technology based on production technologies and of yarn, "Bunyodkor" LLC, 2000 tons of yarn, involvement in production; " Xumo Teks" - 450 tons of yarn. In this 2. Increase productivity and competitiveness of industry, the principle of "raw materials from semi- industrial enterprisesIJSER of building materials by finished products, to ready-made products" follows. reducing energy intensity, material capacity and One of the peculiarities of the region is its wealth of capacity; natural resources. In particular, in the district of 3. Formation of the system of personnel support, Kitab, natural marble stone, cement and fire resistant improvement of the management system in the bricks, porcelain and glass in Yakkabag district, wall construction sector, including the introduction of plaster for construction in Dehkanabad district, staffing, personnel management, product keramzit in and raw gypsum raw standardization; materials in . Taking this into 4. Optimization of the construction of specialized account, over the past years, the region has been terminals, delivery of building materials, their manufacturing construction materials based on processing and storage with the purpose of increase state-of-the-art technologies: microcalcite, lacquer of cargo capacity; and plaster. 5. Creating a system of economic incentives for More than 10 new types of products have been producers of building materials for waste recycling. created in the region over the past period. Providing privileges for enterprises producing Laminated furniture raw materials, karakul hats and competitive and export oriented products; men 's overalls, footwear, cosmetic soap, coal 6. Solving the problem of uninterrupted supply of briquettes, sunflower oil, sour cream oil, dried, electricity to electricity, gas and water. It is necessary roasted and packed, fruit and vegetable products, to create industrial zones and place the enterprises in biscuits, packed honey, washing powder, artificial a compact area with access to infrastructure. This, in marble , porcelain and glass products. turn, provides infrastructure and problem solving Fruit and vegetable, meat and dairy products grown with minimal costs; in the region are important. Currently, 49 fruits and 7. Successful projects should be developed to vegetables, 17 processing of meat and 61 milk increase energy resources based on alternative processing enterprises operate in the region. Last

IJSER © 2019 http://www.ijser.org International Journal of Scientific & Engineering Research Volume 10, Issue 4, April-2019 737 ISSN 2229-5518 year the region implemented five projects on bricks and crushed stone). Along with identified processing of fruits and vegetables, 5 meat comparative advantages, there are also opportunities processing products and 11 projects for dairy to expand export potential in the region (Table 3.1). products processing. In particular, "Asl konserva" in Unlike other provinces of the region, high quality Book district annually produces about 3,000 tons of cotton production and competitive cotton fiber fruit, 150 tons of milk processing per year at the production on the external market are the key areas private enterprise "Renewal of production" in of the project, namely New - Nishan, Yangi - Nishon district. Mirishkor, Karluk, Kamashi and Karakalpak Today, 20.5% (137 thousand tons) of fruits and districts. vegetables grown in the region, 12.8% of meat (29.8 Also, there is a great experience of silkworm thousand tons) and 11.8% of milk (104.8 thousand breeding (Koson, Kamashi, Mirshark, Nishan, tons) are processed. Chirakchi, Kasbi and Guzar districts), Charm Compared to other regions of the Republic (in (Chirakchy, Yakkabag, Dehkanabad and Kitab particular, Bukhara, Jizzakh and Samarkand districts) and Khundan (Chirakchi, Nishan, Guzar regions), the mineral resources rich in the region and Yakkabag Districts) There are valuable raw allow increasing the export of construction materials materials for the production of products. (cement, raw materials, mortar, building blocks, Table 2 Prospective areas for development of export potential of Kashkadarya region

Regions

of silk raw materialsraw of silk

Cotton fiber Agricultural processing products (limestone,Mining ornamental stone, ceramic and bricks) Silk carpets, sucrose and satin export Exports of hydrocarbons (oil, coal coal)and brown Export Building industry materials The city of Karshi IJSER ● ◙ ◙ Guzor ◙ ● ● Dehqonobod ● ● ● ● Kamashi ● ● Karshi ● ● ◙ Koson ● ● Кitob ◙ ● ● ● Мirishkor ● ● Мuborak ◙ ● Nishon ● ● ● Кasbi ● ● ● ◙ Chiroqchi ● Shakhrisabz ● ● ◙ Yakkabog ● ◙ Conditional Charac- ● - high potential, ◙ - medium-sized ters:

The region has the capability of producing Shahrisabz and Kasbi districts). The region also has and exporting cement, ferro - concrete products, the resources of oil, gas, salt and other natural bricks, bruschet and tile, slate, lime, ruberoid, resources, on the basis of which it is possible to gypsum, plaster and other construction materials (in expand the export of many industries. In particular, particular, Guzar, Kitab, Kamashi, Nishan, fuel in the Mubarek district has a great potential for

IJSER © 2019 http://www.ijser.org International Journal of Scientific & Engineering Research Volume 10, Issue 4, April-2019 738 ISSN 2229-5518 diversifying energy resources. Therefore, it is At present, the export structure of the region necessary to create a deep processing of energy is composed of the following types of goods (Table resources in the region and a technological set of 3.2). production links. Table 1 Commodity composition of exports in January-December 2016 in Kashkadarya region Change in size, Share in total exports, percentages percentage calculation In percent to January- January-December 2015 January-December 2016 December 2015 Export Structure 100,0 100,0 96,7 cotton fiber 44,0 46,0 102,4 food products 6,0 10,0 160,3 chemical products and 24,0 15,0 61,8 articles thereof energy resources and 3,0 2,0 83,8 petroleum products ferrous and nonferrous 0,0 0,0 0,0 metals machinery and 0,0 0,0 8,5 м equipment services 17,0 20,0 115,6 others 6,0 7,0 72,5

If we look at the region's export structure, then we in contrast to the finished product market and the can see that the structure of cotton fiber in this level of fluctuations in it is high. The main reason for structure is the highest (46%). It is possible to this is that the elasticity of demand for raw materials conclude that the export structure of the region on the price and yield is low. Therefore, this should be improved and it is desirable to increase situation can adversely affect macroeconomic the share of industrial products. stability and economic growth; It should be noted that the continuing advantage of Another negative feature of the raw-material export the share of raw commodities in the structure of structure is that in the world markets, where the commodity structure ofIJSER exports can be caused by the prices for raw materials are high, there is a rise in the following adverse consequences: national currency exchange rate in the countries- . Value added in raw materials value added to exporters. This leads to a decrease in the finished products is low. In this regard, we can say competitiveness of national processing enterprises that sustainable economic growth can only be and the level of inflation. achieved through deep structural transformations in Countries with a large share of the region's foreign the economy and the increase in the share of ready trade turnover now include Russia, China, Turkey, products in the structure of produced and exported Iran, Bangladesh, Kazakhstan, Afghanistan, India, goods; Malaysia, South Korea, Singapore, Azerbaijan, . The world market of raw commodities is unstable Georgia, Pakistan. All regions of the Kashkadarya region provide expand and improve the quality of exported goods subtropical climate and climatic conditions for based on the intensification of processing of cultivation, cultivation, processing and export of agricultural products grown in the regions. dates, pomegranates, figs, grapes, cotton and other Production of shoes and other leather products in hothouse plants according to climatic conditions. In Shakhrisabz, Karshi, Nishan and Kasbi districts on addition, it is also possible to grow and reproduce the basis of large and small cattle raw material base non-traditional subtropical plants, such as olives, in Chirakchi, Yakkabag, Guzar and Dekhkanabad topinambur, stew, and expand the export structure districts, which occupy more than half of cattle and of the region. sheep in the region, can be redirected. Enormous wealth of agricultural raw materials Nowadays, it is necessary to take the following (including cotton, silkworm, wool, karakul) creates measures to increase the export potential of an inter-cluster cluster that produces ready-made Kashkadarya region: products in accordance with external market 1. To establish agro-centers to increase the export requirements. At the same time, it is necessary to potential of the provinces and to combine them with

IJSER © 2019 http://www.ijser.org International Journal of Scientific & Engineering Research Volume 10, Issue 4, April-2019 739 ISSN 2229-5518 producers of agricultural products, preparatory and - Possibility to involve the population in the transport organizations. In these centers, it is economic sphere through the development of labor necessary to create conditions for promotion of productivity in the field of qualified personnel and canned fruits and vegetables exporters. At present, processing of agricultural raw materials; the regional center of ECONATURAL - Increase of investment activity of KASHKADARYA has a training center for population, enterprises and organizations, regional Uztadbirkoreksport. However, this Preparatory entrepreneurs, ability to accumulate domestic Center does not have the capacity to fully meet the investments through development of the securities needs of the region (Figure 3.6); market; 2. It is necessary to improve the functioning and - The availability of favorable agro-climate management system of local authorities on the conditions and rich recreational resources that will marketing of foreign markets. It is also important to enhance the investment attractiveness of the regions. make an effective use of the capacities of annually It should be noted that there are many held cotton, textile, construction and innovation regional and local issues that affect the investment exhibitions; activity in the region or its regions. For example, 3. Direct foreign investment should be encouraged some settlements, particularly in remote and within the framework of regional investment mountainous areas, are poorly supplied with programs to expand and technical and technological electricity and gas, while gas pipelines have a re-equipment of canned fruits and vegetables; significant decline in winter. In addition, there is a 4. In the process of processing cotton fiber and problem of drinking water supply in most districts. preparing finished products it is necessary to create It is well known that the effectiveness of small joint ventures with foreign capital. At the same time, industrial zones is evident in the acceleration of it is necessary to carry out marketing researches to development of the region's economy, ensuring determine the preferences and preferences of employment, filling the consumer market with consumers in order to increase the export of finished quality products. knitted goods. Today, industrial zones have been established Today, the region has a great investment in 3 regions - Karshi, Shakhrisabz and Nishan potential, including many promising projects for the districts - on an area of 6.8 hectares. Approximately production of polyethylene items, sporting goods, 30 production entities have been selected on a plastic and cardboard boxes, children's toys in the competitive basis in these regions. They have non-food industry. already been supplying various consumer goods to It is planned that $ 3 billion 984.5 million will the domestic market. be spent on the projectIJSER for the production of There are 12 business entities operating in the liquefied synthetic fuel based on methane-based small industrial zone built on the empty land lot of methane in the Shurtan gas and chemical complex. the former Keramzit plant in Karshi. Production As a result, 863.4 thousand tons of diesel fuel per areas within the industrial zone are given to long- year, 304 thousand tons of kerosene, 393.5 thousand term lease without the use of the relevant tons of oil, 11.2 thousand tons of liquefied gas will be coefficients, based on the type of activity carried out produced. It is also planned to build a gas-chemical on the leased area at the rental rate of the state for complex worth $ 2.5 billion at the Mubarek Gas the use of real estate. Processing Plant by the end of 2016. However, there is still not much experience in The main factors influencing the investment establishing small industrial zones in the region, and activity of the Kashkadarya region are the following: as a result some of the specific problems occur in - Investment projects in light, food and places. Based on this, the following are construction materials industries, including projects recommended stages and procedures for involving foreign investors, and mineral raw establishing small industrial zones (Figure 3.7). materials and agricultural raw materials for the In the region, the business environment is not implementation of these projects, capable of sufficiently developed to increase investment multilateral impacts on regional economic activity. While there are a large number of hotels and development; other service companies in the region, most of them - The presence of a relatively developed are in urban areas and there are still fewer staffers. internal transport system, particularly the Within the framework of the Regional Investment availability of railways, will enable the fast and high Program financial institutions are slowly quality transportation of industrial products; implementing the projects. - availability of opportunities for development In order to implement investment projects for the of export-oriented and high-tech production; development of the real sector of the economy, the

IJSER © 2019 http://www.ijser.org International Journal of Scientific & Engineering Research Volume 10, Issue 4, April-2019 740 ISSN 2229-5518 activity of commercial banks is reflected in the development of other industries and sectors. In accumulation of free funds of the population and particular, the development of industry's food and enterprises. Due to the identified problems, the main light industry sectors will stimulate the development goal of the investment policy of Kashkadarya region of agriculture, forestry and fisheries. The is to consider the issues of wide use of domestic development of the processing industry also has a investment resources and attraction of direct foreign strong impact on the development of services. investments in the development of regional 2. The statistical analysis shows that the share economy. of Kashkadarya region in the republic's industry was To achieve this goal you need to: 9.4% in the city of Tashkent (19.4% in the republican - demonstration of the attractiveness of the industry), Tashkent (14.8%), Andijan (10.1%) and Kashkadarya region in domestic and foreign markets Navoi province (9.5) Occupies 5th place with 0 for the purpose of accelerating the development of percent. However, while the share of Kashkadarya industrial potential and attraction of investments region in the industry belongs to the 5th place, into the sector; however, the share of "industry in gross regional - attracting financial resources, new technologies to product" occupies the second place after Navoi specific investment projects, which are of great region. Also, labor productivity in the Kashkadarya importance for the development of the regional region industry is characterized by a high rate of economy, taking into account the natural and performance. economic potential in the regions intended for 3. The analysis shows that the share of raw placement of industrial enterprises in the future; materials in the industrial production of the - Enhancing the confidence of entrepreneurs in local Kashkadarya region, which has a large industrial authorities in solving the existing problems and production capacity, remains relatively high. developing the business environment, establishing Therefore, the development of the processing multifaceted partnership with private businesses industry in the region and their effective deployment and enhancing control over compliance by law in the provinces, as well as the development of enforcement agencies; industry only on the basis of the growth of the gross - introduction of beneficial forms of population regional product, can lead to a unilateral approach to savings for efficient use of existing financial and determining the future direction of the region, the other investment resources available to businesses forecast value of added value, which should be and population; created not in the region, is considered as - attracting foreign investors to finance the methodical. prospective investment projects and attracting new 4. The analysis of the problems identified foreign investors. IJSERduring the research shows that there is a "territorial Increasing the investment attractiveness of the imbalance" in the region, with only 65.6% of the region in the implementation of these priorities is an region's industrial production in the three regions - important issue. In this regard, local authorities, Karshi (13.3%), Guzar district (22.2% percent) and business community representatives and other Mubarek districts (30.1%), while other regions of the stakeholder organizations and individuals in the region account for 34.4% of all industrial production. region should develop measures to reduce It requires a critical analysis of the situation in which investment risk and to continue to improve the foreign investment, first of all the foreign direct capacities. The main thing to do is to find the investment, is in the process. The share of such investment attractiveness of the sector and the search investments fell by 30 percent. Attracting foreign for new investment projects. investment in the regions of the country is extremely unsatisfactory, with $ 55 million for implementation 4.Conclusion of only 18 projects in Kashkadarya, Namangan and As a result of the research, the following Surkhandarya regions, or $ 3 million of foreign conclusions were developed: investments per project. Therefore, taking into 1. Many studies indicate that industrial account the fact that the region has a raw material growth is a major force for economic growth, and base and cheap workforce, it is required to actively this opinion in many of the studies is explained by invest in this area and to effectively distribute it. the high probability of using a new combination of 5. According to the analysis, in 2016, 38.1% of innovation and knowledge in industry relative to the total industry of the region will work in the other sectors of the economy. This leads to labor mining and open pit mining industries, 53.8% in productivity and production growth, resulting in industry, 7.7% in electricity, gas, vapor supply and economic growth. The dynamics of the industrial air conditioning, and the percentage of water supply, sector also have a significant impact on the sewage system, waste collection and utilization. It is

IJSER © 2019 http://www.ijser.org International Journal of Scientific & Engineering Research Volume 10, Issue 4, April-2019 741 ISSN 2229-5518 evident that there is a need to accelerate the regional zones are far from one another and far from development of processing industries in the region. the center, a high level of infrastructure provision, a For this purpose it is necessary to effectively lack of technical re-equipment and modernization of implement the 4-stage process of industrial production, and the depreciation of fixed assets, processing. In particular, the first stage is the hinder the efficient use of the rich natural resources primary processing of raw materials, ie the and production capacities in the region. As a result, preparation of semi-finished products, transforming it is possible to observe the incomplete launch of them into ready-to-use materials at the next stage, production capacities, inadequate production of the production of ready-made products at the third population's demand for basic consumer goods, stage, and the final recycling of industrial waste inadequate competitiveness of produced goods and from the final consumption. non-export orientation. Therefore, it is necessary to 6. According to the analysis, the production of develop a medium and long-term development food, beverages and tobacco products in the program of the regional industry and to address Kashkadarya region was 34.6%, rubber and plastic these issues. goods - 28.6%, textile, apparel, leather and related 9. It is recommended to consider the comparative products - 27.8% production of other non-metallic advantages and competitive advantages of the mineral products by 4.9%, coke and oil refinery region in the further development of the products by 2.1%, furniture, wood, cork, knitted and Kashkadarya region: crocheted production by 1.1%, production and repair . Large natural economic resources in the region of machinery and equipment and installation, motor that can be profoundly processed on the basis of vehicle c sites, trailers, semi-trailers and other modern technologies, distinguishing quality, in the finished products 0.6%, paper and paper products, production of fruit and vegetables, meat and dairy printing, recording services, chemical products, basic products; pharmaceutical products and pharmaceuticals and · Regional comparative advantages and raw metallurgy industry 0.1 percent. It can be seen that materials base in the development of light industry, in Kashkadarya region most industrial production production of high-quality fine-grained cotton fiber accounts for low-tech industries. Therefore, the in Kamashi, Mirshark, Chirakchi, Koson, Janinov, regional policy of the region requires relative Yangi-Mirishkor, Yangi-Nishon, Pulati, Karshi, advantage to the development of high-tech Availability of valuable raw material in the industrial production. production of leather and leather raw materials and Currently, the region has 76.6 thousand wool products in Chirakchi, Dehkanabad and hectares of forest, with the majority of forests being Yakkabag districts) and availability of cheap labor mulberry and saksaul.IJSER Mountain slopes are covered force; with various grasses, as well as bushes. Mountain . Creating experiences and traditions in wood forests are composed of spruces, almonds, pistachio processing in Kasim, Kasan, Shakhrisabz, Kamashi trees and jungles. In the mountains grow wax, districts and others. dandruff, chakanda, anzur bulbs, black mint, and 10. The regional industrial program, which is to be others. These medicinal herbs and herbs provide developed in the Kashkadarya region, is desirable: sustainable development of the pharmaceutical - rational use of existing resources and resources that industry in the region. Also, geographical location are not available in the region and rich in raw and strategic opportunities of Kashkadarya region materials and resources; have particular economic importance in the - Ensuring the development of networks in close development of the mining industry of the region. contact with the region; Therefore, the Kashkadarya region is characterized - organization of production of existing industrial by a high share of the mining industry in the total enterprises in full use, in empty buildings and industry compared to other regions of the country structures; and this indicator is 38.1%. Based on these - production of high-tech products with high added opportunities, it is recommended to set up and value through diversification of production and develop the fuel and energy complex in the region. deep processing of existing raw materials; 8. The processing industry in the - increasing employment of the population through Kashkadarya region is poorly developed; on the one creation of new jobs. hand, the development and location of the regions have not been balanced, and on the other hand, References: unified, diversified industrial production (cotton [1] The Decree of the President of the Republic of ginning, food and fuel industry specialization). A Uzbekistan dated February 7, 2017 N UP-4947 "On the Strategy for Further Development of the Republic of number of negative factors, such as the fact that the

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