Many underdeveloped countries have great potential in the logistics and transportation industries but due to the poor conditions of different aspects of the industry, there are not enough resources and facilities to provide the proper level of the per...
Many underdeveloped countries have great potential in the logistics and transportation industries but due to the poor conditions of different aspects of the industry, there are not enough resources and facilities to provide the proper level of the performance. One such country is Uzbekistan, which is situated in the central part of the Eurasian continent and in the middle of its transport network. Through the country pass many corridors to Europe, the Russian Federation, China, India, Pakistan, Kazakhstan and others. Uzbekistan has beneficial characteristics and logistics potential that makes the country a good place to invest and a good location for Euro-Asian trade and business development.
The current study reviews Uzbekistan’s current logistics performance status, providing background information and analysis of development trends in activity during past decade, including major features of the economy, transportation and other logistics related areas. The most important contributions and potentially beneficial projects of the industry have been extracted and presented for the further development of Uzbekistan’s logistics activity. Accordingly, information is given concerning ideas for an ambitious logistics project between Korea and Uzbekistan. This project concerns Navoi Cargo Terminal, which could be devoted to becoming a logistics hub for the promotion of Euro-Asian international trade.
The state of Uzbekistan’s logistics directly impacts upon the ability of their international partners to provide efficient transportation and trade. Therefore the logistics activity of the country needs to become more developed and mature in order to create a proper platform for business activities. The presented work describes the problematic and underdeveloped areas of logistic management and transportation performance in Uzbekistan, viewed internally and externally. The positive and negative features of logistics maintenance, and the factors that indicate the development of the activity, were established for detailed study and categorized into three clusters. The clusters are presented schematically to reveal the interdependency and origin of each problem. By combining the practical and theoretical experience of countries, international firms, and researchers successful in logistics, theoretical and practical methods are suggested for the salvation of the present situation.
The second branch of the research is dedicated to providing background information on Korean-Uzbekistan collaboration and business projects which can stimulate further partnership. As Uzbekistan is an attractive investment asset for Korea (not only due to its bountiful natural resources), there are a great number of Korean companies in the country opened as joint-ventures. Uzbekistan’s logistics is developing under the influence of Korean logistics companies, adopting experience and skills from its foreign partners. Meanwhile, more efficient logistics performance expands new business fields and opens affordable markets for Korean companies. The improvements provide more effective and convenient transportation that accelerate trade and lead to higher profitability, while Uzbekistan’s economy grows with international investment. This relationship leads to a win-win situation for both of the countries