The Union of Industrialists and Entrepreneurs of Turkmenistan (UIET), established in 2008, has become a significant force in the country’s economic development. This was highlighted by UIET Board Member Tachmyrat Gurdov at the international conference CIET 2024.
With a membership exceeding 29,000 private entrepreneurs and enterprises, the UIET represents a diverse range of industries. The construction sector is a prominent area of focus for Turkmen businesses.
Approximately 1,500 members of the UIET are involved in industrial and chemical production.
They produce plastic pipes of various sizes, bags, oil and air filters, various chemical products, detergents, personal hygiene products, various chemicals for the oil and gas industry, iodine and chemicals based on it, technical oxygen, nitrogen, carbon dioxide and argon, antifreeze, mineral and synthetic motor oils, fertilizers, car batteries, rubber products, glass products, including glass containers, and much more.
The government actively involves the private sector in the implementation of major local and regional projects. A notable example is the construction of the “smart” city of Arkadag, a project undertaken by private Turkmen construction companies. This ambitious project encompasses over 340 buildings and structures, incorporating advanced engineering solutions.
Private Turkmen companies are also contributing to the development of transportation infrastructure. One significant project is the construction of the 600-kilometer Ashgabat-Turkmenabat high-speed highway with a total investment of $2.3 billion.
In addition to the existing production zones, work is underway to create new industrial production zones near Ashgabat and on the territory of Mary Velayat.
In order to increase investment activity and create a favorable business environment in Turkmenistan, the national legislative and tax system is constantly being improved, a special state program is being implemented to support small and medium-sized businesses, land plots are provided for long-term lease, bank loans are allocated on preferential terms, Gurdov noted.
Speaking about tax incentives, he highlighted the fact that the profit tax for small and medium-sized enterprises and individuals in Turkmenistan is only 2 percent, while the profit tax for large businesses remains at 8 percent.
Turkmenistan is demonstrating significant progress in the development of the private sector. By creating favorable conditions for business and actively supporting entrepreneurial initiative, the state contributes to the diversification of the economy and increasing its competitiveness.