Zero VAT to Apply to All Agricultural Products Except Cotton and Grain from 2026

Tashkent, Uzbekistan (UzDaily.com) — Starting in 2026, Uzbekistan will eliminate the value-added tax (VAT) on agricultural products for farmers and dehkan households. The exemption will cover fruits, vegetables, meat, milk, eggs, and other agricultural products, with the exception of cotton and grain.

Minister of Agriculture Ibrokhim Abdurakhmanov told Uzbekiston 24 that all types of agricultural products, except cotton and grain, will be exempt from VAT. “Currently, there are around 100,000 farmers in the country, of whom about 48,000 will directly benefit from this state support. This will reduce their tax burden,” he noted.

The profitability of farms is expected to be 5–7%, but with the new support measures, it could rise to 15%. The share of the shadow economy will also decrease, as small orchards will no longer compete with industrial agro-parks, which previously limited their export potential.

The minister emphasized that farmers and dehkan households will retain significant working capital, which they can invest in developing their farms. This is expected to increase agricultural output and promote greater transparency in the sector.

The Ministry of Agriculture, together with the Tax Committee, will announce the list of products exempt from VAT starting in 2026. The president has instructed that refunds be provided via cashback within three days through a dedicated electronic platform.

According to the presidential press service, the VAT elimination on agricultural products will leave farmers and dehkan households with an additional 400 billion soums annually.