The financial situation for freight transportation in Uzbekistan is shifting its balance. Uzbek Railways recently acquired the right to more freely determine its own service charges, which has led the company to raise its tariffs on two tracks with growing international relevance. At the same time, the government is cancelling taxes for a number of rail-related services.
Not long after the government gave more freedom to Uzbek Railways to set its own prices in November 2024, the rail operator decided to raise prices on a number of rail tracks. For example, the company increased the tariff coefficient, which determines the price to be charged, for the Tashguzar – Boysun – Kumkurgan railway line from 0,7523 to 0,814. This is the railway that leads to the rail border crossing at Termiz, where more and more trains are finding their way into Afghanistan.
The coefficient on the Angren – Pap railway, which leads into the Ferghana valley and will be crucial in connecting the CKU line with the rest of Uzbekistan, will be set at 0,921, up from the previous 0,8512. When using both lines, a train’s charges will be determined using the higher coefficient of 0,921.
Zero tax rate
At the same time, the Uzbek government is cancelling taxes on a number of services that enable international trade. The provision of rail freight wagons and containers for use will be exempt from tax from the end of March, according to Kazakh media. Likewise, freight storage in forwarding warehouses, loading and unloading services, customs clearance and freight insurance will no longer be subject to tax by April.