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Manufacturing

Sector overview

Manufacturing

+14% growth

Manufacturing

Engineering and food processing

67
Projects
$850M
Investments
35,000+
Jobs
+14%
Growth
Sector overview

General information

Kyrgyzstan's manufacturing sector is growing rapidly thanks to EAEU membership, providing access to a single market of 180 million consumers without customs barriers. Key areas: food processing, assembly plants, construction materials and engineering.

In free economic zones (Bishkek, Naryn, Karakol, Leylek), investors receive full exemption from profit tax, VAT and customs duties on imported equipment. This creates competitive conditions for export-oriented manufacturing.

Industrial electricity costs ($0.02/kWh) are among the lowest in the world — critical for energy-intensive manufacturing.

Manufacturing
Advantages

Why invest in this sector

EAEU market access

Duty-free export to Russia, Kazakhstan, Belarus, Armenia — unified technical regulations.

FEZ incentives

Exemption from profit tax, VAT, customs duties on equipment and raw materials. Duration: up to 25 years.

Cheap energy

Industrial tariff: $0.02/kWh. Stable power supply from hydroelectric stations.

EU GSP+

Duty-free export of over 6,200 product categories to the European Union under the GSP+ programme.

Legal framework

Legislative support

Law on Free Economic Zones (2014)

4 active FEZs: Bishkek, Karakol, Naryn, Leylek. Full exemption from major taxes and duties.

Tax Code of KR (2022)

Base profit tax rate: 10%. VAT: 12%. Accelerated depreciation for industrial equipment.

EAEU technical regulations

Unified product certification for the entire EAEU market — no repeated certification needed for each country.

Law on Investments in KR

Investment protection guarantees: prohibition of expropriation, free profit repatriation, national treatment for foreign investors.

Opportunities

Key projects and opportunities

Food processing

Dairy, meat and fruit processing for EAEU export. Raw material base: 1.5M tonnes milk, 400K tonnes meat/year.

Assembly plants

Electronics, appliance and auto component assembly from imported parts for the EAEU market.

Construction materials

Cement, brick and glass production — growing demand amid a construction boom. Cement imports: $60M/year.

Contact us

Start investing today

Our specialists are ready to answer your questions and help with project implementation

Address

Kyrgyz Republic, Bishkek, Razzakova 8/1

Working hours

Mon - Fri: 9:00 - 18:00

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