Tashkent, Uzbekistan (UzDaily.com) — On 9 October, Mubin Mirzaev, Deputy Chairman of the Tax Committee of Uzbekistan, announced that Uzbekistan will be granted a transition period when it joins the World Trade Organization (WTO).

He emphasized that three key legislative changes are necessary for Uzbekistan’s accession to the WTO:

1. Unified VAT Rates: After joining the WTO, VAT rates must be uniform for both imported goods and those sold on the domestic market. If imported goods are already subject to VAT, then domestic goods cannot receive exemptions and must also be taxed accordingly. The same applies to excise taxes.

2. Customs Duty Harmonization: Customs duties must be aligned with the levels established by WTO member countries under international agreements.

3. Impact on Businesses: These changes are expected to enhance competitive conditions, particularly for small businesses, creating a more favorable business environment. However, they may adversely affect large enterprises that will lose existing exemptions from excise taxes and other tax benefits aimed at stimulating production.

Mirzaev stressed that a transition period of 2-3 years will be provided for large enterprises that might be negatively impacted by these changes, in agreement with other countries.

According to Mirzaev, Uzbekistan’s accession to the WTO will bring significant benefits. Currently, Uzbek export goods face high customs duties in other countries, limiting their market access. Joining the WTO will simplify these processes, open foreign markets for Uzbek products, and improve their selling conditions. While some sectors may experience negative effects, the long-term outlook is positive for economic growth and increased production volumes in the country.

It was previously reported that Uzbekistan plans to join the WTO by the time of the 14th Ministerial Conference, scheduled to take place in Cameroon in 2026.