Uzbek president resolves to adopt measures on construction of railroad Hairatan-Mazar-e-Sharif

Tashkent, Uzbekistan (UzDaily.com) -- President of Uzbekistan Islam Karimov signed a resolution “On measures on realization of project “Designing, construction, establishment and commission to exploitation of railroad line between Hairatan and Mazar-e-Sharif” on 20 November.

The resolution was adopted for developing Trans-Afghan railway corridor, expanding transit transportation on railway line Tashguzar-Boisun-Kumkurgan, and broadening export potential of enterprises of Uzbekistan.

Board of Directors of the Asian Development Bank (ADB) adopted decision on 30 September 2009 to allocate grant to the Government of Afghanistan to finance project “Designing, construction, establishment and commission to exploitation of railroad line between Hairatan and Mazar-e-Sharif” and Uzbekistan Temir Yollari state joint stock railway company was selected as general contractor.

The resolution said Uzbekistan Temir Yollari and Ministry of Public Works of Afghanistan initialled contract on construction of railroad for US$129 million.

The document noted that Uzbekistan Temir Yollari will participate at the project as general contractor and Boshtransloyiha OJSC as general designer, as well as legal entities, realizing goods (works and services) to general contractor in line with the signed agreements.

The resolution entrusted Uzbekistan Temir Yollari to sign agreements with Uzbekinvest national export-import company on insurance of life and health of all workers, engaged in the project, during their stay in Afghanistan.

Uzbekistan Temir Yollari in cooperation with the Ministry of Interior Affairs, National Security Service, and Ministry of Foreign Affairs was entrusted to adopt measures on signing memorandum of mutual understanding on guaranteeing security of personal, attracted to the project, construction equipment and infrastructure in the territory of Afghanistan with the authorized body of Afghanistan and Collective Security Forces, deployed in Afghanistan.

The resolution set several preferences to Uzbekistan Temir Yollari and its employees, who will participate in the project. In particular, the sum of additional payments to travel allowances, paid to employees of the Uzbek railway company, traveling to Afghanistan to realize the project, and the expenses on providing three meals a day are not included to taxable base to income taxes of legal entities and individuals.

The document said income tax will not be obliged to property, received and handed over within the structures of Uzbekistan Temir Yollari within the framework of the realized project.

Uzbekistan Temir Yollari was also exempted from custom payments, except fees for customs registration, for equipment and materials, imported and exported from Uzbekistan within the project, in line with the list, approved by the Cabinet of Ministers of Uzbekistan. The document also allowed to export some items, which were banned in line with the legislation.

Ministry of Economy of Uzbekistan in cooperation with Uzbekneftegaz national holding company were entrusted to supply combustive-lubricating materials to Uzbekistan Temir Yollari without interruption.

The ministry will also ensure realization of metal products and cement to the Uzbekistan Temir Yollari on direct agreements on average exchange prices.

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