Resolution No. 424 of the Cabinet of Ministers “On measures to supply to rural areas agricultural equipment in accordance with leasing contracts.”

The Cabinet of Ministers, in order to stimulate the equipping of agriculture with modern high-performance agricultural machinery, the creation of the necessary conditions for the development of agricultural engineering, including with the participation of leading foreign companies, and the improvement of the payment mechanism for tractors and harvesting equipment supplied to the village, establishes that new modern grain harvesters and cotton pickers, as well as modular tractors, shall be supplied to agricultural enterprises and their service organizations on lease on the following terms: (a) 20 percent of the cost of modern agricultural machinery is paid in the form of an advance payment by lessees from their own funds; and (b) 80 percent of the cost of modern agricultural machinery is financed by leasing organizations from funds provided to them on the basis of a repayable loan by the Fund for State Support of Agriculture under the Ministry of Finance of the Republic of Uzbekistan. The Ministry of Agriculture, before September 1 of the reporting year, submits data generated by the types of agricultural machinery necessary for agriculture to the State Support Fund for Agriculture. Based on the information provided, the Fund, together with the Ministry of Finance, forms sources of funds to finance the supply of agricultural machinery on leasing terms. The Fund posts information on its website about the allocation of borrowed funds for the supply of agricultural machinery under leasing terms for the next year. Based on the data posted on the Fund’s website, all leasing organizations operating in the country post preliminary applications for the supply of agricultural machinery on leasing terms on the Fund’s website. Leasing organizations enter into purchase and sale agreements with manufacturers of agricultural machinery or their official dealers, specifying the procedure and terms of payment for the supply of agricultural machinery.