Association of oil-and-fat industry enterprises (“Uzyogmoysanoat”) to be established on the basis of “Uzpakhtayog”

In compliance with the presidential decree, the Association of fat-and-oil industry enterprises (“Uzyogmoysanoat”) will be created on the basis of “Uzpakhtayog”.

This is being done because of the limited resource base and workload of the existing production capacity does not exceed 50%.

This, in turn, leads to the inefficiency of the oil-and-fat industry enterprises with state participation and reduction of their competitiveness.

“The actual situation in the industry indicates problems associated with the lack of a unified management system for the oil-and-fat industry, ineffective product quality control mechanisms which negatively affect the introduction of advanced technologies, attracting investment and development of the industry as a whole,” the document says.

Members of the association are enterprises and organizations of the oil-and-fat industry, they enter on a voluntary basis.

Main objectives of the association are development of a strategy for the improvement of the oil-and-fat industry as a single complex for the processing of oilseeds, production of oil and fat products, organization of marketing research in domestic and foreign markets, as well as much more things.

The association receives the following benefits:
• it is exempt from property tax, as well as corporate income tax;
• deductions of organizations under contracts to the Association “Uzyogmoysanoat” are excluded from the taxable base for corporate income tax.

Member enterprises of the “Uzyogmoysanoat” are exempt from the following taxes until January 1, 2021:

• customs payments (except for customs clearance fees) for imported volumes of oil resources (soy beans, sunflower seeds and other oilseeds) for the production of vegetable oils;
• VAT on producers of vegetable oil in terms of volumes produced on the basis of imported oilseeds.

In addition, they also receive a deferment of VAT for a period of 90 days from the day the customs declaration was accepted while importing equipment and other selected materials (for example, caustic soda) until 2022.