American Journal of Interdisciplinary Research and Development ISSN Online: 2771-8948 Website: www.ajird.journalspark.org Volume 41, June- 2025 67 | P a g e MAXAM-CHIRCHIQ JSC ON PRODUCTION AND ECONOMIC ACTIVITIES FOR 2024 ACTIVITIES FOR THE YEAR 2024 A'zam Kutbiddin A'zamzadeh TSEU, Senior Lecturer Abstract In this article on the production and economic activities of Maxam-ChircHIQ JSC, the following indicators are presented: the implementation of forecast indicators for the production of the main types of products, the use of production capacities, the production of consumer goods, the technical condition of fixed assets, the development of new types of products, the sale of finished products, export and imports, economic indicators of production, production indicators, production indicators, production indicators, production indicators, production indicators, production indicators, production indicators financial condition, number of personnel, selection and arrangement of personnel and labor protection and safety precautions. Keywords: Production, forecast, power, growth rate, fixed assets, costs, localization, sales, shipment, specific gravity, import, export, profitability, balance, debtor. Introduction Fulfilment of the production plan. Joint Stock Company ‘MAXAM-CHIRCHIQ’ for 2024 produced commodity products in current prices for 1,840.1 billion soums or 113.7% of the forecasted volume, while the growth rate of production volume to the last year was 108.6%. Fulfilment of the forecast indicators for the output of the main types of products is as follows: Product Name Unit Plan Produced % Plan Fulfillment Growth Rate Synthetic Ammonia tons 538,000 550,450 102.3 112.6 Including Marketable tons 72,000 59,842 83.1 116.6 Mineral Fertilizers (100% Nitrogen) tons 315,690 350,407 111.0 111.5 Ammonium Nitrate tons 450,000 536,615 119.2 108.9 Urea tons 270,000 255,413 94.6 117.8 Ammonium Sulfate tons 170,000 222,608 130.9 106.7 MAP (Mono-Ammonium Phosphate) tons 60,000 63,154 105.3 154.3 Nitric Acid (Non-Concentrated) tons 442,000 487,912 110.4 108.5 Including Marketable tons 24,000 22,044 91.8 82.6 Sulfuric Acid tons 201,100 186,170 92.6 99.7 American Journal of Interdisciplinary Research and Development ISSN Online: 2771-8948 Website: www.ajird.journalspark.org Volume 41, June- 2025 68 | P a g e 2. capacity utilisation. Capacity utilisation rates ranged from 60.1% for ammonia production to 119.2% for ammonium nitrate production. The average capacity utilisation rate for the company as a whole for the year was 80.9%, which is 3.3 points higher than set out in the Business Plan. Product Name Unit Annual Production Capacity Production % Capacity Utilization Ammonia Production tons 245,800 147,830 60.1 Ammonia-76 tons 420,000 402,620 95.9 Ammonium Nitrate tons 450,000 536,615 119.2 Urea tons 270,000 255,413 94.6 Ammonium Sulfate tons 294,000 222,608 75.7 MAP (Mono-Ammonium Phosphate) tons 60,000 63,154 105.3 Nitric Acid (Non-Concentrated) tons 662,000 487,912 73.7 The main reasons for non-fulfilment of the production target were: - lack of ammonia and carbon dioxide for urea production due to unloaded operation of the Ammonia-76 unit due to low natural gas pressure in February and December; - insufficient export shipments of commercial ammonia; - Concentrated nitric acid - lack of customer requests. 3. Production of consumer goods. In 2024, the company produced consumer goods in the amount of UZS 4,741.9 million, which is 0.2% of the total production volume. The task on production of consumer goods was fulfilled by 140.4%, the growth rate of 57.2% compared to the previous year. The main volume of consumer goods: Product Name Unit Quantity Total (million sum) Potassium Sulfate tons 7 155.3 Liquid Carbon Dioxide tons 3,415 2,858.7 Liquid Mineral Fertilizers (UAN) tons 679 1,290.7 Magnesium Sulfate tons 83 205.1 Dry Ice tons 60 137.8 Crystalline Magnesium Nitrate tons 14 35.3 Compressed Oxygen tons 32 66.0 Mineral Fertilizers in Small Packaging - - 2.4 Other NPK Fertilizers - - 13.1 American Journal of Interdisciplinary Research and Development ISSN Online: 2771-8948 Website: www.ajird.journalspark.org Volume 41, June- 2025 69 | P a g e 4. Technical condition of fixed assets. In 2024, the fixed assets were put into operation for 77,715.7 million soums. This reduced the depreciation of fixed assets of the enterprise from 76.8% at the beginning of the year to 76.1% as of 1 January 2025. Expenditures on capital repairs of fixed assets for the year totalled UZS 80,068.0 million, including: machinery and equipment - UZS 65,528.9 million, buildings and structures - UZS 9,648.9 million, vehicles - UZS 4,890.1 million. 5. Development of new types of products, implementation of production localisation projects. According to the ‘List of projects of localisation of production for 2024-2025 on “Uzkimyosanoat” JSC approved by the Chairman of the Board of “Uzkimyosanoat” JSC, “MAXAM-CHIRCHIQ” JSC in 2024 produced localised products in the amount of 284,293.9 million soums, with the plan of 82,677 million soums the implementation was 343.9%. Produced in physical terms: Product Name Unit (thousand tons) Production Sales Used for Own Needs Modified Porous Ammonium Nitrate thousand tons 5.2 5.2 - Urea with Sulfur-Magnesium Microelements thousand tons 141.6 141.6 - Magnesium Nitrate thousand tons 204.0 15.9 190.0 Anti-Caking Agent for Ammonium Nitrate thousand tons 150.0 - 150.0 MAP Solution thousand tons 11.2 11.2 - Nanometric Zinc Oxide thousand tons 50.0 - 50.0 Solid Carbon Dioxide thousand tons 92.9 85.5 7.4 In total, products worth UZS 276,733.3 million were sold under the Localisation Programme, including exports worth UZS 11.1 million. 6. Sales of finished products Mineral fertilisers were shipped in 2024 in accordance with the Forecast parameters of production and sales of mineral fertilisers approved by R. Abdukadyrov, Advisor to the Prime Minister of the Republic of Uzbekistan. Mineral fertilisers were put up for exchange trading in accordance with the approved schedules. American Journal of Interdisciplinary Research and Development ISSN Online: 2771-8948 Website: www.ajird.journalspark.org Volume 41, June- 2025 70 | P a g e In 2024, mineral fertilisers were supplied to consumers: Product Name Unit Total Sales Including: Exchange Trades Intra-Industry Deliveries Exports Ammonium Nitrate tons 378,837 354,601 2,480 21,756 Urea tons 220,603 139,624 684 80,911 Ammonium Sulfate tons 217,031 164,013 197 13,290 Chemical products were also supplied: 59,834 tonnes of ammonia were shipped, including 246 tonnes for export. Unconcentrated nitric acid (mng) - 20,020 tonnes, including 2,024 tonnes for export, Sulphuric acid - 5,143 tonnes. 8. Exports and imports. For 2024 exports realised: Product Name Unit Quantity Cost (thousand USD) Ammonia tons 246.7 47.6 Ammonium Nitrate tons 21,756.3 15,782.1 Urea tons 80,910.9 16,374.6 Ammonium Sulfate tons 13,290.1 2,225.3 Non-Concentrated Nitric Acid (nat) tons 3,495.4 747.3 MAP (Mono-Ammonium Phosphate) tons 31,221.4 5,940.9 UAN (Urea-Ammonium Nitrate Solution) tons 582.5 97.0 Carbon Dioxide tons 23.7 5.4 Liquid Oxygen tons 36.3 4.1 In total, the Company exported USD 41,224.3 thousand worth of products, the set target of USD 58,667.0 thousand was fulfilled by 70.3%. The share of product exports in total net sales revenue was 15.9%. Imports of material and technical resources for 2024 totalled USD 8,022.0 thousand. The import of material and technical resources for 2024 totalled USD 8,022.0 thousand, including foreign currency funds used for: - raw materials and materials for production of products - USD 2,853.3 thousand; - technological equipment - USD 1,419.3 thousand; and - component parts and spare parts - USD 2,009.4 thousand; - industrial services - USD 1,734.0 thousand. American Journal of Interdisciplinary Research and Development ISSN Online: 2771-8948 Website: www.ajird.journalspark.org Volume 41, June- 2025 71 | P a g e Of the total amount, imports for implementation of the Technical Audit Programme - replacement of obsolete and physically worn-out equipment (according to PP-2692 dated 22.12.2016) amounted to USD 923.49 thousand. USD. 7. Economic indicators of production. In 2024, the company sold products worth UZS 1,811.4 billion and received profit before tax of UZS 317.3 billion, after tax net profit was UZS 253.6 billion. Product profitability on net profit was 14.0 per cent. Actual expenses of the period totalled UZS 316.2 billion, exceeding the planned amount by UZS 43.5 billion, including due to: - increase in expenses for railway services - UZS 5.5 billion; - increased costs of workshops without production (during overhaul and shutdown due to lack of gas supply) - UZS 20.3 billion; - court costs, fines and penalties - UZS 2.1 billion; - annual performance bonus payments under the Collective Agreement - UZS 13.1 billion; - payments under a court judgement for infringement of the use of intellectual property - UZS 5.9 billion. The amount of overspending is partially compensated by savings on other items of expenditures of the period. A positive balance of expenses and income on financial activities was obtained in the amount of UZS 3,422.6 million, expenses on financial activities - UZS 13,698.2 million, income - UZS 17,120.8 million. 8. Financial condition. For 2024 accounts receivable increased by 47 008,4 million UZS and as of 01.01.2021 made 159 825,6 million UZS, including overdue 36 928,8 million UZS, besides the debt of ‘Uzsanoatexport’ JSC in the amount of 14,9 billion UZS is referred to the reserve for doubtful debts. Of the total accounts receivable: Accounts Receivable (million sum) Overdue Debt (million sum) Internal 65,774.6 - JSC "Uzagrokimyohimoya" 38,520.6 34,094.8 Other Debtors 55,013.6 2,833.9 Accounts payable for the year decreased by UZS 24,790.3 million and as of 01.01.2025 totalled UZS 157,616.6 million, including overdue - UZS 2,709.5 million. American Journal of Interdisciplinary Research and Development ISSN Online: 2771-8948 Website: www.ajird.journalspark.org Volume 41, June- 2025 72 | P a g e Main debts: Accounts Payable (million sum) Overdue Debt (million sum) JSC "Uztransgaz" 18,936.1 - Wage Payment Obligations 15,061.8 - Budget Obligations 4,810.3 - Obligations to Founders 97,303.3 - Obligations to State Targeted Funds 1,928.7 - The negative balance between accounts receivable and accounts payable as of 1.01.2025 totalled UZS 2,209.0 million. 11. Claims work. In 2024, the legal service of MAXAM-CHIRCHIQ JSC submitted 140 claims to third-party organisations for recovery of accounts receivable and for breach of contractual obligations in the amount of UZS 98,059.2 million, including the principal debt - UZS 82,077 million, fines and penalties - UZS 15,982.2 million. In 2020, 56 claims were submitted to the Economic Courts of RUz for the total amount of UZS 34,199.3 million, including principal debt - UZS 27,386.6 million, fines and penalties - UZS 6,812.7 million. The enterprise was presented: 21 claims for the amount of UZS 103.4 million, no statements of claim were presented. 12. labour and wages. The number of personnel is characterised by the following data: Description Unit 2024 2023 % Average Number of Employees - Total people 6,037 6,115 98.7 1. Industrial Staff people 5,463 5,485 99.6 Including: Workers people 4,312 4,330 99.6 Managers people 628 630 99.7 Specialists people 509 511 99.6 Office Staff people 14 14 100 2. Non-Industrial Staff people 340 352 96.6 3. Supervisors people 234 278 84.2 American Journal of Interdisciplinary Research and Development ISSN Online: 2771-8948 Website: www.ajird.journalspark.org Volume 41, June- 2025 73 | P a g e The headcount for the year decreased by 78 people, including industrial staff decreased by 22 people, non-industrial staff decreased by 12 people and homeworkers decreased by 44 people. Expenditure of the payroll fund and average monthly salary: Description Wage Fund (million sum) Average Monthly Wage (thousand sum) 2024 Year 2023 Year % 2024 Year Total Staff 240,288 190,139 126.4 3,500.3 Including: 1. Industrial Staff 229,191 173,118 132.4 3,672.2 Workers 161,760 117,090 138.1 3,307.1 Managers 43,456 31,396 138.4 5,775.6 Specialists 23,582 17,159 137.4 4,043.5 Office Staff 394 285 137.9 2,732.6 2. Non-Industrial Staff 9,462 8,392 112.7 2,593.6 3. Supervisors 1,635 1,587 103.0 681.2 4. Contract Workers 7,042 The wage fund for 2024 as compared to 2023 increased by UZS 50,148.7 million. In order to increase the income and living standards of the Company's employees, wages were increased by 7% from 01.02.2024 and by 13% from 01.08.2024. 12. Recruitment and placement of personnel. The number of the Company's employees as of 1 January 2025 was 6,037, including 2,212 women or 36.6% of the total number of employees. Of the total number of employees 4,145 people are production personnel, 824 persons are service personnel, 181 persons are technical staff, 571 specialists 316 persons - managers. Staff turnover for the year decreased by 2.2 percentage points and amounted to 3.3%. Educational level of employees: 793 persons have higher education 3,142 people have secondary technical and specialised education. American Journal of Interdisciplinary Research and Development ISSN Online: 2771-8948 Website: www.ajird.journalspark.org Volume 41, June- 2025 74 | P a g e Age composition of employees: Age Group Number of People Percentage of Total (%) Under 30 years old 1,662 27.5 From 30 to 50 years old 3,176 52.6 Over 50 years old 1,199 19.9 For 2024, 4,577 people were trained, including: - training of new workers - 351 persons; - retraining of workers - 503 persons; - training in related professions - 152 people; - advanced training of workers using the course method - 202 persons; - training in the personnel training and technical training department - 1,655 persons; - advanced training of engineers, specialists and workers in training centres of RUz - 699 persons; - training, knowledge testing and advanced training of workers and specialists at the enterprise - 982 persons. Expenditures on personnel training and retraining for the year totalled UZS 1,158.8 million. 13. Occupational health and safety. In 2024, 1 fatal accident was registered at the enterprise. The frequency coefficient was 0.16, the severity coefficient 0. 10,282.5 million soums were spent on labour protection, including: In addition, expenses from the Labour Protection Fund formed from net profit amounted to UZS 1,405.2 million. Description Amount (million sum) Purchase of special clothing, footwear, and other PPE 3,707.5 Provision of milk, juice, and therapeutic-prophylactic nutrition 3,396.1 Purchase and provision of cleaning agents 2,796.5 Implementation of occupational safety measures 382.5