HomeBusinessMalaysian Firm Invests $4.78M in Uzbekistan

Malaysian Firm Invests $4.78M in Uzbekistan

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Tashkent, (TDI): The Ministry of Agriculture of Uzbekistan has announced a partnership with Malaysia’s Meraque Group, a leading DroneTech company, to improve agricultural sector.

A memorandum of understanding was signed between the two parties, focusing on the introduction of advanced agricultural technologies across Uzbekistan’s 4.3 million hectares of cultivated land.

Meraque Group has pledged an investment of 20 million Malaysian ringgits ($4.78 million) over the next three years.

The investment aims to establish a production facility that will generate 1,000 jobs and cover 100,000 hectares of farmland in Uzbekistan.

Additionally, the company plans to raise another 30 million ringgit ($7.17 million) for further technological advancements in the sector.

Central to the partnership is the development of drone technology for agriculture, designed to boost productivity and sustainability for 100,000 Uzbek farmers.

Training and knowledge-sharing programs will also be implemented to support drone operations, according to the Ministry’s report.

Read Also: Uzbekistan, US Enhance Critical Minerals Partnership

Meraque’s CEO, Razali Ismail, stated that the cooperation would significantly contribute to the agricultural progress of both nations.

European Union ‘s Grant

Earlier this year, the European Union granted €6 million ($6.4 million) to Uzbekistan to bolster its National Food Security and Healthy Nutrition Strategy.

The EU is set to provide an additional €20 million ($21.4 million) to support the country’s National Agriculture Development Strategy from 2020-2030.

Read Also: ADB Grants Uzbekistan $300m

Meanwhile, Uzbekistan faces significant environmental challenges, with 3 million hectares of agricultural and pastoral lands degraded, and 2 million hectares suffering from salinization.

Experts warn that water resources could shrink by 6% by 2030 due to climate change.

In response, the Uzbek government has launched a national program aimed at adapting agriculture to climate change, backed by $2.94 million in grants.

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