Yarn Goods Company Investment Opportunity in Bukhara Province, Uzbekistan

- Manufacturer of silk thread, silk yarn, and silk wool.
- The factory was established in 2004 to manufacture silk thread from raw material supplied by farmers located in the Bukhara region of western Uzbekistan.
- In the past 10 years, the company has invested USD 10M in the business through shareholder funds and bank loans, primarily on production equipment and technology.
- The company’s annual silk output is currently 90 tons of raw silk thread and 30 tons of silk wool.
- It serves export markets in Asia, particularly Vietnam, China, and Iran but with investment would like to enter the European market.
- Sales are forecast to double from USD 2.4M in 2021 to USD 4M by 2024.
- The machinery used in the production process is Chinese. The oldest equipment (15 years old) was installed when the company was established. The most recent equipment was installed 6 years ago.
- A new factory wing was built in 2020, totaling 3,000 square meters, to accommodate new equipment intended for the company’s extension of production into manufacturing silk fabric and finished products.
- In total, there are 285 employees of whom 254 are skilled workers. This includes 120 staff in the main factory and 65 agronomists who are engaged in breeding silkworms. The company also works with numerous farmers on long-term supply contracts.
- This transaction is being brokered by a development organization based in Ireland. It is an organization that is working with the Government of Uzbekistan to attract FDI. The point of contact for this transaction frequently travels.