Uzbekistan has officially launched the “Surkhan-Agro” free economic zone in Sherabad District, Surkhandarya Region, marking a major strategic initiative to develop modern agricultural infrastructure through large-scale greenhouse complex construction. The zone came into force on March 28, 2026 and will operate for 30 years, with extension possibilities, establishing a new institutional framework for agricultural technology and facility development in Central Asia.
The zone will accommodate modern greenhouse complexes spanning at least 940 hectares, with mandatory standards requiring that heating systems derive at least 50 percent of their capacity from energy-efficient or alternative energy sources by 2027. The focus on Sherabad District reflects strategic planning to develop concentrated production infrastructure in a regionally significant location. Operations are managed by a dedicated state institution, ensuring coordinated support and uniform application of zone regulations.
Regulatory incentives for zone participants
The zone framework includes a comprehensive package of incentives designed to reduce investment barriers and operational costs. Land access is provided through competitive electronic auctions at zero rental rates for the first five years — substantially reducing property costs during the critical development phase. Water cost exemptions apply for three years on volumes used for production processes and infrastructure, addressing a major operational expense in production facilities requiring significant water inputs.
Utility infrastructure, including power, water, and transportation connections, is provided free of charge through June 2028, eliminating typical connection costs that represent significant capital requirements. Participants engaged in cooperative product distribution networks receive free infrastructure support, reducing transaction costs for collective marketing arrangements.
The regulatory framework acknowledges regional climate challenges by permitting coal burning during exceptional cold weather periods, provided that established environmental standards are maintained.
Environmental standards and operational discipline
The zone framework includes commitments to gradually phase out operators generating significant air pollution, ensuring that infrastructure development prioritizes modern production standards and environmental compliance over legacy technologies.
Significance for international investors and building specialists
For construction firms and project developers, the development program represents a substantial multi-year project pipeline. Modern greenhouse complex construction requires specialized engineering expertise, systems integration, facility design, and compliance with established standards.
For manufacturers of climate control systems, heating infrastructure, and alternative energy solutions, the mandatory energy efficiency standards create direct demand for advanced equipment and technologies. The requirement that heating systems derive at least half their capacity from sustainable sources drives equipment sourcing across multiple technology categories including solar thermal systems, biomass heating, heat pump technology, and other renewable energy solutions.
For infrastructure developers and utilities specialists, the zone’s expansion creates demand for electrical distribution systems, water management infrastructure, and integrated utilities management. The 30-year operational framework and established incentive structure provide market certainty that enables long-term supply contracts and commercial planning.
For international companies in construction, manufacturing, and infrastructure development seeking to enter Central Asian markets, Surkhan-Agro signals Uzbekistan’s strategic commitment to modernized production facilities and technology-driven infrastructure development. The comprehensive incentive package combined with mandatory modern standards creates a structured market opportunity where investment and standardized facility requirements align to reduce market uncertainty.
