American Journal of Interdisciplinary Research and Development ISSN Online: 2771-8948 Website: www.ajird.journalspark.org Volume 10, Nov., 2022 330 | P a g e THE ORGANIZATION OF JOINT ENTERPRISES IN THE REGIONS OF THE FERGHANA VALLEY AND THEIR ROLE IN THE ECONOMY OF THE COUNTRY Oybek Turdimamatovich Nurmatov Senior Teacher at the Department “Theory of Civil Society” of Andizhan State University, Republic of Uzbekistan ABSTRACT In the article, the establishment of joint ventures in the regions of Ferghana Valley and their role in the country’s economy is analyzed in detail with the help of primary sources and information from scientific literature. Keywords: Ferghana Valley, Andizhan, Namangan, Ferghana, investment, joint venture, domestic and foreign policy. INTRODUCTION During the years of independence, the Republic of Uzbekistan has been conducting an independent domestic and foreign policy, forming political and economic relations to join the ranks of developed countries, following the principles that meet the world’s requirements, and taking its place in the international community. In order to expand foreign relations and stimulate the development of export opportunities of the republic, the main legal documents were adopted, which created the legal basis for the liberalization of all foreign economic activities. RESEARCH METHODS In this regard, there are Laws "On Foreign Economic Activities" and "On Foreign Investments and Guarantees of Foreign Investors", as well as legal documents adopted in the Republic. and it was possible to create the basic conditions for their implementation, to ensure the protection of the economic interests of Uzbekistan, legal entities and citizens abroad, and to establish legal guarantees for the activities of foreign investors in the territory of the republic. RESULTS AND DISCUSSIONS Especially in this regard, the Law of May 5, 1994 on Attracting Foreign Investments to the Republic of Uzbekistan is of great importance in that the Law calls for attracting foreign financial, material, intellectual and other resources, modern American Journal of Interdisciplinary Research and Development ISSN Online: 2771-8948 Website: www.ajird.journalspark.org Volume 10, Nov., 2022 331 | P a g e foreign technology and management experience in the development of Uzbekistan's economy and its integration into the world economic system. making and using them wisely [1]. In order to expand direct foreign economic cooperation and increase the introduction of foreign capital into the economy of Uzbekistan, the establishment and establishment of foreign-invested enterprises, international organizations and associations, and the establishment of their procedures, implementation of their activities, the Cabinet of Ministers of the Republic of Uzbekistan on November 12, 1991 "The Republic of Uzbekistan has received foreign investments The adoption of the special Resolution on the procedure for establishment of enterprises, including joint ventures, international associations, their operation and state registration[2] became important. In fact, in our opinion, the reasons for the establishment of enterprises with foreign investments can be divided into three categories: internal, external and strategic, using the investment environment created for internal reasons, mastering innovative methods in management, applying a system compatible with national aspects, expanding the effective use of local skilled labor resources, foreign acceleration of penetration into markets, improvement of staff qualifications, etc. can be included [3]. As for external reasons, it is possible to include healthy and effective competitive environment in the process of integration into the international world market, expanding the scope of foreign economic relations, and ensuring compliance with the requirements of local authorities. The group of strategic reasons includes the possibility of using modern advanced business methods in the country, having a solid base of raw materials, technology transfer, production expansion, etc [4]. One of the most reasonable forms of attracting foreign investments to the economy of the Republic is the establishment of joint ventures. In 1991, the number of enterprises with foreign investments in the republic was 191, in 1993, 237, 380 in 1994, and 537 in 1995. Accordingly, 19 joint ventures were established in Ferghana region in 1993, and 14 in 1994, and registered with the Ministry of Finance of the Republic [5]. 340 new jobs were created in these 33 joint ventures. In 1993, 800 mln. Soum worth of products were produced[6]. In 1991- 1994, the establishment of joint ventures was analyzed in terms of regions of the region. In this regard, Italy, Germany, Korea, Austria, Turkey, the USA, China, Afghanistan were involved in the establishment of joint ventures in the cities of Ferghana, Kokand, Margilan, Kuva, Beshariq, and the districts of Uzbekistan. and agreements were signed with businessmen of countries such as Pakistan on the establishment of joint ventures in trade, industry, and energy sectors in various sectors of the economy [7]. By 1994, more than 28,000 people were employed in joint ventures in Andizhan region, 33 joint ventures were established to produce American Journal of Interdisciplinary Research and Development ISSN Online: 2771-8948 Website: www.ajird.journalspark.org Volume 10, Nov., 2022 332 | P a g e mainly consumer goods, and the volume of produced consumer goods and services was increased by 42 times compared to 1993 [8] . As of April 1, 1996, the number of foreign-invested enterprises registered in the Republic of Uzbekistan is 2191, of which 386 are pure foreign enterprises[9]. Accordingly, in the regions of the Ferghana Valley, including 4 in the Ferghana region in 1991, 11 in the Andizhan region, and 21 in the Namangan region in 1992, foreign partner enterprises were registered by the Ministry of Justice of the Republic[10]. Territorial geographical locations of joint ventures established and operating in the republic are also important. In the regions of the Ferghana Valley, joint ventures with foreign partners were established mainly in trade and service areas. For example, the Central Department Store owned by the "Andijonsavdo" concern, in cooperation with the "Vostok- Zapad" association of the "Andijon-Trade-Company" joint venture, and the People’s Republic of China, owned by the "Central Department Store" 400 sq. m. meters of commercial space, together with a general catering trust, they signed memorandums of understanding on the establishment of an 80-seat Andizhan- Chinese restaurant[11].In 1993, 25 joint ventures and 20 large enterprises with foreign economic relations were established in the territory of Namangan region [12]. 14 developed countries of the world, such as the USA, England, Canada, Japan, Italy, and Turkey, can be included among the countries where these relations have been established. In the city of Namangan, 21 joint ventures operate in 9 sectors of the economy, and 12 of them produce consumer goods. A memorandum on the production of women's robes and bedclothes was signed in cooperation with the Polish company "Natalex" and the joint enterprise "Natal-Guzal" in the city of Namangan. Along with the positive results of the measures taken to establish joint ventures in the valley regions, these joint ventures were forced to stop their activities before they started their activities due to serious shortcomings in the establishment of joint ventures [13]. The main reason for the occurrence of this situation was the fact that the joint ventures did not have the statutory funds, the incompleteness of the business plans, and in some cases even the working capital of the joint venture was insufficient. An example of such joint ventures is the Uzbekistan-China "Center Photo Drujba" joint venture established in Namangan in 1992 [14]. In 1998, the Uzbekistan- Kozogistan "Raffag" joint enterprise was established in the city of Namangan. These joint enterprises operated for a short time, and then they stopped their activities due to the failure of the machines installed for the production process and the lack of charter fund. Accordingly, in Andizhan region, in 1996, construction and other organizational works were carried out in 12 joint ventures, and 10 of them were temporarily American Journal of Interdisciplinary Research and Development ISSN Online: 2771-8948 Website: www.ajird.journalspark.org Volume 10, Nov., 2022 333 | P a g e suspended due to organizational and financial problems and interruptions in relations with foreign partners. In 1997, 6 joint ventures were forced to completely stop their activities in the region due to the problems and shortcomings mentioned above [15]. Taking into account the socio-economic progress of the republic, the introduction of the "under the film" cultivation technology, which is an advanced technology used in the cultivation of cotton raw materials in the agricultural sector, caused problems in the import of film raw materials necessary for this process from abroad in 1997. The enterprise was established in cooperation with investors from the People's Republic of China [16]. This joint venture has the capacity to produce 18,000 tons of film products per year, and when the company started its operations in August 1997, it delivered 8,000 tons of film raw materials until March 1998, when the spring planting season began [17]. Diplomatic relations between the Republic of Uzbekistan and the Republic of South Korea were established on January 29, 1992, and they developed in a positive spirit and successfully in various fields [18]. On June 19, 1992, the declaration "On the foundations of interstate relations and cooperation between Uzbekistan and South Korea" was signed, and long-term plans were determined. It was agreed with the management of DAEWOO Corporation in South Korea to build a car factory in Asaka[19]. After the joint venture "UzDAEWOOavto" started its activities, the joint venture "Uz- Dong Yang Ko" was opened, which produces interior decoration parts for cars brought from South Korea, based on the localization program adopted for the cars produced at the enterprise. In 1992-1996, the design and construction of the Uzbekistan-South Korea joint automobile plant "UzDAEWOOavto" was carried out [20]. The plant started producing cars on March 25, 1996. The scope of cooperation between the countries is trade, investment, export-import, oil and energy, chemistry, transport and logistics, automotive industry, mining industry, light industry, food, agriculture, information technology and telecommunications, medicine, tourism, science and education and covering many fields, such as culture, since 1994, trade relations between the two countries have been showing positive results year after year. CONCLUSION In conclusion, it should be noted that in the first years of our independence, through the rational domestic and foreign policy of our head of state and government, our country's economy was able to deliver goods to the domestic market and abroad based on the principles of market economy in a short period of time. In order to achieve such results in a short period of time, the conditions created for our foreign partners and the joint ventures established with them have a great role and service. As a result, thousands of our compatriots are getting permanent jobs. American Journal of Interdisciplinary Research and Development ISSN Online: 2771-8948 Website: www.ajird.journalspark.org Volume 10, Nov., 2022 334 | P a g e REFERENCES 1. Usmanov K. History of Uzbekistan.-Tashkent: Ukituvchi, 2010. 76 p. 2. Karimov I.A. Uzbekistan towards a great future. -Tashkent: Uzbekistan, 1999. - p.272. 3. Laws and Decrees of the Republic of Uzbekistan. –Tashkent, 1995. -184 p 4. Laws and Decrees of the Republic of Uzbekistan. -Tashkent: 1995. pp. 301-304. 5. Makhmudov N.M., Majidov Sh.A. Organization and financing of investments.-T. TDIU, 2012.-p.89-90. 6. State archive of Ferghana region, volume 1220, list 2, case 58, 12-15. page. 7. State archive of Ferghana region. Volume 1220, list 2, case 58, 13 page. 8. State archive of Ferghana region, volume 1220, list 2, case 58, 14 page. 9. Andizhan Region Department of the Archives of the Administration of the President of the Republic of Uzbekistan. Fund 4141. List 4, collective volume 106. page 1. 10. Ferghana: thanks to independence. "Fargona" 2011. Page 15. 11. Abdullaev O. Namangan region (nature, population, economy) Namangan 1995. 146 pages. 12. Archive of the Administration of the President of the Republic of Uzbekistan, Andizhan region branch. Fund 4141. List 1, Volume 73. page 28. 13. Archive of the Administration of the President of the Republic of Uzbekistan, Andizhan region branch. Fund 4141. List 1, Volume 73. page 33-34. 14. Rapigaliev B. We are always friends // The truth of Namangan. 1993. October 21.206 15. Khaidarov G' Namangan region: 70s and today. "Namangan", 2014. Page 122. 16. Soliev A.S., Mirzaakhmedov H.S., Jumakhanov Sh.Z. Geography of joint ventures. Namangan. 2006.p. 17. Archive of the Administration of the President of the Republic of Uzbekistan, Andizhan region branch. Fund 4141. List 13, Volume 46. page-40. 18. Archive of the Administration of the President of the Republic of Uzbekistan, Andizhan region branch. Fund 4141. List 13, Volume 46. page-41. 19. Archive of the Administration of the President of the Republic of Uzbekistan, Andizhan region branch. Fund 4141. List 11, Volume 99. page 34. 20. Rajabov K World countries Tashkent: 2015. - p.20.