On February 3, Shavkat Mirziyoyev approved measures aimed at attracting investments to agriculture and ensuring transparency in land allocation for this sector. The presidential decree is available in the Lex.uz database.

The president endorsed a proposal to establish a new system for allocating land plots for agricultural use. This system will be based on the principle of tenant independence and the cultivation of high-value crops.

The new system will be implemented in Karakalpakstan, Andijan, Jizzakh, Tashkent, and Fergana regions, covering a total of 3,316.6 hectares. Additionally, in five districts, individual farmers will transfer an average of 80% of the land they currently use to local authorities for auctioning.

Under the new approach, land plots ranging from 3 to 50 hectares will be put up for auction. When determining their boundaries, the integrity of contours and the operation of the irrigation system must not be violated.

During the auctions, the documentation for the lots, and subsequently the lease agreements, will specify:

  • the normative value of the plot and the soil fertility score;
  • the results of soil composition and quality analysis;
  • recommended crop rotation types for main and secondary crops;
  • water supply methods and limits;
  • a land use project that allows for the placement of up to 20 acres of service facilities (cold storage, sorting and packaging areas, field stations).

All individuals and legal entities—residents of Uzbekistan, including firms with foreign investments—will be able to participate in the auctions. The auction winner must establish a new legal entity or relocate an existing one to the region where the leased plot is located.

The tenant will receive the land for use for 49 years, with the possibility of extension. They will independently decide on the types, varieties, and volumes of crops grown on the land, as well as the methods of production and agricultural practices.

It will be permissible to transfer (sublease) rights and obligations under the lease agreement to another party during its term (either free of charge or for a fee), as well as to sublet the land. Additionally, the right to lease the land can be used as collateral for a loan.

On the other hand, the tenant will be required to organize crop rotation. The tenant must report information about the crops grown and sold to the Tax Committee system and periodically conduct soil fertility checks.

Previously, Spot reported that cotton suppliers would be allowed to freely choose their buyers.