Success Stories

Prakash Kejriwal,

Indorama Group

Chief Representative for Uzbekistan

Indorama started as a small textile company in the 70s and in the 90s it launched to produce polyester fibre, which was a raw material for its textile business. The organization was fortunate to see the tremendous growth opportunities for polyester and decided to focus on the polyester value chain.  Today, Indorama is the largest producer of polyester and PET resins in the world.  In 2006, Company diversified into the manufacture of polyolefin, which has become an important part of its business now.

Indorama has 39 manufacturing sites in 22 countries across 4 continents including Indonesia, Thailand, India, China, Sri Lanka, Netherlands, UK, Lithuania, Italy, Turkey, USA, Mexico, Egypt, and Nigeria.  Indorama has a global business perspective and the decision on new investment destination is taken based on the long term business opportunities. 

Indorama commissioned a state of the art cotton yarn spinning plant in Uzbekistan in September, 2010 using the most advanced compact combed technology.  Uzbekistan is one of the largest exporters of cotton in the world and Indoramas plant would convert cotton fibres into high quality yarns for the textile sector in its global markets.

Uzbekistan is also one of the worlds largest producers of natural gas and maintains significant reserves as well.  However, very little natural gas is being converted into petrochemical products.  Indorama and Uzbekneftegaz, the state owned oil and gas Company are working on a project together to produce polyethylene from natural gas.

The first investment in any new destination is always challenging as one need to familiarise with localised business and cultural environment. Fortunately, we worked with good local partners and had active support from the Government. This helped us overcome the initial challenges and familiarise with local practices quickly. The result of this was that we could commission our green field cotton yarn facility in less than a year. After successfully commissioning the first plan in 2010, we are now constructing our second plant which we hope to commission in third quarter of 2013. This clearly reflects our confidence in the investment climate of the country.   

Though the basic challenge in setting up any new venture remains very similar in most of the countries, however the Uzbek experience was different because the active support from the Government helped us ride through our initial hurdles and this left a very positive impression. The outcome has been very positive and we continue to grow our business in the country.

From our point of view, Uzbekistan has an abundance of natural resources which can be converted into higher value products within Uzbekistan itself. Secondly, even though the country is in the process of industrialization it has a relatively superior infrastructure compared to its peers. Moreover, the law and order in the country is very good and quality of life in cities is relatively comparable, which provides sense of confidence to the expatriates who work and live in the country.

The country relatively has superior infrastructure compared to many countries in the cusp of industrialisation. For example electricity is abundantly available and is competitively priced. The country has a significant young and educated population which provides a good based for technically competent local workers. If you look at Central Asia and countries surrounding Uzbekistan you will see that it has been one of the most stable countries in the region.

We would certainly recommend Uzbekistan as an investor-friendly and progressive country in the region. A new investor should tap on the strength of the countries natural resources and monetise it to export high value added products.

MFERITMEDEF InternationalInternational Business CenterGov.uzPress ServiceOliy MajlisUzASARIO