Weaving a New Future in Uzbekistan’s Cotton Sector

Uzbekistan is among the world’s largest producers of cotton. Until 2017, the country mobilized almost two million people, adults and children, to harvest cotton from September to November each year. It was the largest seasonal mobilization of labor in the world, with 15% of the pickers forced to work in the fields. These labor rights violations sparked international concern and numerous global fashion brands and retailers joined a 2010 pledge led by a coalition of civil society organizations calling for a boycott of Uzbek cotton.

In response, the Uzbekistan government launched an effort to reform the agricultural sector as part of a transformational agenda to transition from a centrally-planned to a sustainable and inclusive market economy. Key reforms in the agricultural sector included the elimination of state control over cotton production and elimination of systemic forced labor and child labor.

Authorities have been easing state control of cotton production and its processing, and grouping cotton farming, processing and textile manufacturing together through ‘textile clusters’ across the country. This effort was also aimed at reducing the proportion of raw fibre as a total of the country’s cotton exports. Since 2023 Uzbekistan is able to convert 100% of raw cotton into yarn, transitioning towards higher value-added apparel production. Last year, the domestic textile industry employed about 600,000 people, many of them women and youth, compared with 188,000 in 2018.

A Multi-Donor Trust Fund (MDTF) on Sustainable Cotton, established in 2014 with the participation of the European Union, the United States, Switzerland, and Germany, and administered by the World Bank, has supported the government of Uzbekistan and international partners to implement agricultural reforms, establish systems for third-party and independent monitoring of the harvest, eliminate forced labor and child labor in the cotton sector, and develop the textile value chain. Specifically, the work has focused on policy reforms and training government staff, employers and workers, to create an environment to address labor rights violations, while also liberalizing the cotton industry.

In March 2022, the International Labor Organization (ILO), which had been monitoring the cotton harvest in Uzbekistan since 2015 under an agreement with the World Bank, verified that the Uzbek cotton was free from systemic forced labor and child labor. This landmark achievement also ended the international boycott of Uzbek cotton.

Nodira and Inoyatkhon

Uzbekistan’s efforts have improved the lives of former cotton pickers like Nodira Zarifova and Inoyatkhon Normatova.

As new economic opportunities opened, Nodira moved from field to factory. Her husband was hesitant at first to leave their village, she said. “When we came to the factory in 2022, we found that the working conditions were excellent. We receive our wages on time, they provide us with good meals, and the work schedule is much better than when we worked in the cotton fields,” said the 36-year-old from Fergana Valley.

As cotton farmers, the couple’s combined income barely met their basic needs. “Now, my husband’s salary covers our food costs, while mine allows us to repair our home and other expenses. I am so grateful that I can now spend more time with my kids and my husband,” said Nodira.

Inoyatkhon, on the other hand, chose to continue to work in the fields: “I grew up in the cotton fields and I’m proud to pick cotton every season,” she emphasized. “I love being outdoors. Fieldwork offers more flexibility than a factory shift. Also, factories are farther from my home, and I prefer to be close by so I can balance work with family life.”

Improved working conditions across the cotton value chain allow workers more viable options in their livelihoods.

Supporting Farmers

The government’s efforts to liberalize agricultural markets for cotton and wheat, which eliminated the state dominance in the agriculture sector and improved farmland tenure security among other reforms, have helped farmers boost production, enabling more and better quality jobs

“We started this farm in 2001 with only one piece of machinery. At that time, we faced a lot of difficulties and uncertainty. Ordering chemicals was a problem, money was scarce, and there were other challenges,” says Jamoliddin Usmonov, a cotton farmer in the Fergana Valley. Now, he can buy chemicals and receive payments from buyers on time.

Jamoliddin has increased production and now employs over 30 full-time workers, including machine operators and irrigation specialists, and more than 100 seasonal employees.

A Multi-Partnership Effort

A combination of government-led reforms, grassroots advocacy, and collaborative initiatives contributed to transforming Uzbekistan’s cotton sector. Key achievements include:

• Third-party monitoring of child labor and forced labor during the cotton harvest, led by the ILO in collaboration with local civil society activists, and funded by the MDTF. 
• Removal of the state quota for production and procurement of cotton.
• Awareness raising and capacity building among local authorities, cotton pickers, and the public on labor rights and conditions.
• An increase in the capacity and number of inspectors at the Ministry of Labor as well as establishment of complaint mechanisms accessible to all citizens.
• Higher wages for cotton pickers, which incentivized volunteers to sign up for harvests.

In addition to the MDTF, the International Finance Corporation (IFC), a member of the World Bank Group, and other development partners have supported specific initiatives to transform the cotton sector and expand the private sector’s participation in cotton and textile production. IFC and the ILO are also supporting the government improve labor conditions in textile and garment manufacturing companies through a Better Work program.

Progress is ongoing. The World Bank Group remains committed to helping the country build a more resilient and sustainable future for its citizens, including in the cotton sector.