Contribution to the Support Program for Socially, Environmentally, and Financially Sustainable Cotton Value Chain in the Republic of Uzbekistan Multi-Donor Trust Fund (MDTF)


The goal of the contribution to the World Bank’s Multi-Donor Trust Fund is to strengthen Uzbekistan’s cotton value chain, by making it environmentally more sustainable, promoting value addition to raw cotton and accessing international markets, generating income opportunities, ensuring decent work and inclusion of woman and vulnerable groups. The Projects will help to sustain progress achieved regarding labor rights and eliminating forced labor. It supports the Uzbek green growth strategy.

Paese/Regione Tema Periodo Budget
Uzbekistan
Impiego & sviluppo economico
Creazione di occupazione
Dialogo sociale
01.11.2022 - 31.12.2025
CHF  1’000’000
Contesto

Agriculture remains important for poverty reduction in Uzbekistan and generates 20% of GDP. Cotton is the dominant cash crop and alone its harvest provides 2 million seasonal jobs that often involved child and forced labor. Civil Society Organizations launched the Cotton Campaign to boycott Uzbek cotton and put pressure on the Government. In response, the World Bank together with the International Labour Organization established the Multi-Donor Trust Fund “Support Program for the Socially, Environmentally, and Financially Sustainable Production of Cotton in Uzbekistan” that included third-party monitoring of labor conditions. Early 2022 the boycott was lifted, since Uzbekistan eliminated forced and child labor.

More income-generating opportunities for vulnerable groups, expanding value adding diversification and access to international markets are thus imperative.

Obiettivi Contribute to the development of a socially, environmentally and financially sustainable cotton value chain that is free of forced labour, environmentally responsible, generating more income opportunities, including for woman and vulnerable groups, and based on principles of fair trade, non-discrimination and decent work.
Gruppi target
  • Farmers and agricultural communities; textile processors and other cotton cluster firms, international brands; government officials at all levels; civil society groups and trade unions; international brands
  • Targeted beneficiaries are women, persons with disabilities, and their families, unemployed rural poor
Effetti a medio termine

Outcome 1: The cotton value is free of forced labor: 
The Project will help to sustain the gains achieved in terms of improved labor rights in and beyond the cotton sector, which is a prerequisite to attract international brands to source textiles from Uzbekistan.

Outcome 2: Uzbekistan’s agriculture is more environmentally sustainable:
The Project will support the sustainable intensification and/or diversification of agriculture production and strengthen environmental monitoring as part of the Government’s green growth strategy.

Outcome 3: Income-generating opportunities for vulnerable groups in the cotton value chain are in place:
The Project will support the creation of income generating opportunities for rural woman, and other vulnerable groups in higher value parts of the cotton chain.

Risultati

Risultati principali attesi:  

  • Reports on farmland tenure security, sustainability of cotton textile clusters, job market analysis
  • Civil society monitoring reports on labor and environmental conditions
  • Management training including on non-discriminatory hiring and worker grievance mechanisms in cotton and textile clusters
  • Awareness-raising products about the benefits of employing women and persons with disabilities
  • Study tours, conferences and other outreach events for international textile and garment brands


Risultati fasi precedenti:  

  • Mechanisms to monitor labor and environmental conditions in the cotton value chain are established to ensure compliance with international standards
  • Awareness about the legal and policy requirements with respect to labor practices and environmental sustainability have increased
  • Capacities of producers, private sector cotton clusters, government and civil society are strengthened
  • Role of the state in the cotton sector has been reduced
  • Production targets and interference in trade and price setting have been eliminated
  • Systemic use of forced labor has been eliminated and the international boycott of Uzbek cotton ended


Direzione/Ufficio responsabile DSC
Partner del progetto Partner contrattuale
Istituzione finanziaria internazionale
  • Other WB


Coordinamento con altri progetti e attori Coordination and synergies are expected with the Swiss Vet4Uz, NWRM and CR IWRM in ZRB projects; IFC/ILO Better Work Program; Better Cotton Initiative; FAO; USAID; JICA; EBRD.
Budget Fase in corso Budget Svizzera CHF    1’000’000 Budget svizzero attualmente già speso CHF    1’020’000 Progetto totale dalla prima fase Budget Svizzera CHF   5’000’000 Budget inclusi partner del progetto CHF   1’000’000
Fasi del progetto Fase 1 01.11.2022 - 31.12.2025   (Fase in corso)