Opportunities for Export Diversification in Managing the Export Potential of Textile Enterprises

This research aims to examine product diversification patterns and structural shifts in textile exports of Uzbekistan, also distinguishing them by regional specifics within Andijan, Namangan and Fergana regions for 2020–2024. The study examines through Herfindahl-Hirschman Index (HHI) the extent to which exports are diversified in terms of products and destinations. The findings show that the concentration of textile exports from Uzbekistan is increasingly reduced over time, with a decline in HHI from 2668 in 2020 to 1648 in 2024, suggesting better diversification and market equilibrium. However, country level analysis exhibits increasing levels of export dependence on a small group of markets, and Russia’s market share has expanded notably; therefore moderate degree of market concentration is implied.
Regional-level, the analysis indicates divergent paths. Namangan oblast has made significant strides toward the reorientation of its export structure, eliminating completely cotton yarn exports and raising the share of end products with high added value in its overall production to 43.1 percent by 2024. Andijan region, on the other hand is witnessing a decrease in the share of export of finished goods indicating the extreme disequilibrium in diversification and branding of products. The Fergana region remained highly dependent on exports of semi-finished cotton yarn, with limited progress in the production of higher value-added goods. In general, the results stress the necessity of strategically supporting more diversified exports, technological upgrading and meeting international quality standards for Uzbek textile sector at regional level in order to become more competitive and sustainable.