MALAYSIA remains optimistic about strengthening its economic partnership with Uzbekistan, with growing cooperation in sectors such as halal certification, Islamic finance, green technology, and tourism set to complement trade initiatives.
Speaking to Bernama and RTM, Malaysian Ambassador to Uzbekistan Ilham Tuah Illias acknowledged that trade volumes had dipped recently, largely due to the reimposition of import duties on palm oil. However, he remains confident of a rebound.
“We are hopeful that trade will pick up, if both governments can agree to waive or continue waiving the (import) tax on Malaysian palm oil. This would enable Uzbek retailers here to resume sourcing their palm oil supply from Malaysia,” he said.
Trade between the two nations reached RM369.8 million (US$80.9 million) in 2024, with Malaysia recording a favourable balance of RM360.3 million (US$78.9 million). Between January and April 2025, trade stood at RM106 million (US$25 million), maintaining Uzbekistan’s position as Malaysia’s second-largest trading partner in Central Asia.
Malaysia’s exports to Uzbekistan include palm oil, coffee, palm-based oleochemicals, margarine, shortening, processed food and coconut oil. In return, Uzbekistan exports fertilisers, fruits and textiles.
Ilham Tuah noted that Uzbek authorities are reconsidering the current 5 per cent import tax on Malaysian palm oil, a move that could potentially increase export volumes.
“We hope this move will encourage Uzbek buyers to continue to source their supply from Malaysia. Discussions between the relevant authorities in both countries will be essential in finding a mutually beneficial solution,” he said.
He also stressed the importance of raising awareness among Uzbek consumers about the nutritional benefits of palm oil. “We must continue educating the Uzbek people about the nutritional value of palm oil and counter the negative narratives promoted by certain parties,” he added.
On tourism, Ilham Tuah highlighted that more than 15,000 Uzbek nationals visited Malaysia last year—a record number facilitated by increased direct flights from Batik Air and Uzbekistan Airways.
“This improved connectivity benefits not only tourists but also students from Uzbekistan. Many are drawn to Malaysia’s beaches, as Uzbekistan is a landlocked country,” he said.
He also observed a growing trend of Malaysian travellers heading to Uzbekistan for spiritual tourism. “Many Malaysians visit Uzbekistan particularly for spiritual reasons.
They love to explore the Imam Al Bukhari Mausoleum, which is currently under renovation. Once completed, it is expected to become a favourite destination for Malaysians,” he added.
Halal certification remains a key area of collaboration, with Malaysia’s Department of Islamic Development (Jakim) having already signed a memorandum of understanding with Uzbek authorities to streamline halal certification.
“This collaboration will help local products meet Malaysian halal standards, potentially opening access to broader markets that recognise our certification,” said Ilham Tuah.
Both governments are also exploring the establishment of a Preferential Trade Agreement (PTA), which could facilitate the flow of semi-finished Malaysian goods to Uzbekistan for further processing and re-export to the European Union and Eurasian markets.
“It’s a win-win for both sides. Preferential trade agreement between Malaysia and Uzbekistan is something we are actively considering... So, the relevant agencies of both countries should meet up to discuss and explore this further,” he said.
He also urged Malaysian women entrepreneurs to tap into Uzbekistan’s growing demand for halal products and modest fashion.
“Muslimah fashion is making a strong comeback here. So I encourage Malaysian women entrepreneurs to engage with their counterparts here. There is huge demand here for Muslimah fashion, cosmetics and halal products,” he said. - June 21, 2025
