Industrial Upgrading and Modernization of the Carpet-Weaving Industry in Tajikistan

Promoting the carpet-weaving, embroidery and traditional textile sectors in Tajikistan

This project aims to contribute to the development of the traditional textile, carpet-weaving and embroidery sectors and to improve the international position of Tajikistan in manufacturing value added, manufactured exports and global competitiveness. The project also aims to increase job creation capacity and the development of sector-specific skills, while decreasing the gender wage gap and enhancing the position of women in the beneficiary enterprises. The practices established in the beneficiary enterprises as a result of the project’s implementation should stimulate the adoption of similar activities in other enterprises in the manufacturing sector. Thus, the project ill contributes to the implementation of the country’s National Development Strategy and the ‘Programme on the development of carpet-weaving in Tajikistan for the period 2014–2020’. The project supports private sector development, job creation, and upgrades to existing industry, as well as inclusive and sustainable industrial development with equal opportunities for all. 

In 2015, within the framework of regional and South-South cooperation and taking into account the national development goals of Tajikistan, the Governments of China and the Russian Federation agreed to support the Tajik Government in implementing its National Development Strategy and development objectives for the carpet-weaving sector. The project’s pilot phase aimed to increase the productivity and competitiveness of enterprises in Tajikistan, in both the carpet-weaving and embroidery sectors. It identified regional and international export markets, improved technology and industrial modernization, introduced innovative marketing tools and strengthened national expertise to provide the required technical support and services to local enterprises on a sustainable basis.  

Phase II of this project, from 2019 to 2022, will take advantage of opportunities for regional integration by strengthening productivity, export and employment-generating capacities in the national carpet-weaving, embroidery and traditional textile sectors. In particular, the project will improve the productivity and competitiveness of Tajik enterprises operating in these sectors by identifying regional and international market opportunities, supporting enterprise upgrading, modernizing technology, introducing innovative marketing tools and building the capacity of national experts and business support institutions for the long-term sustainability of the project.  

During the first phase, the United Nations Industrial Development Organization (UNIDO) organized over 40 capacity-building activities in several regions of Tajikistan, reaching up to 535 participants, of whom 75 percent were women and some were refugees from Afghanistan. The indirect awareness-raising impact has been far-reaching, encompassing up to 1,000 textile specialists across the country. The training activities for experts covered various aspects of the production and market access cycle, including product design, personnel management, business financial management and marketing. 

Since the beginning of the second phase, from May to December 2019, over 25 capacity-building activities have been organized for textile industry experts, involving over 250 specialists of various professional profiles, including designers, craftsmen, textile artists, textile industry specialists, students and university professors. 

With the technical support of UNIDO, pilot project beneficiaries created three new collections under the umbrella brand LA’AL Textiles, including two home textile and accessories collections, both handmade and machine-made, as well as a carpet collection. LA’AL Textiles won several awards in the country’s Brand of the Year Competition, including the 2017 Peak of Fame, the 2018 Best National Brand to Contribute to Sustainable Development and the 2019 Golden Award. This highlights that the brand has established itself as a flagship for innovation in the country’s textile industry by adhering to international quality standards and cutting-edge practices in the field of environmentally friendly production. 

Since 2016, employment at the pilot beneficiary enterprises has increased by 140 percent as a direct result of the UNIDO project. Yearly turnover has grown by 68 percent, while exports and local market sales have increased by 106 percent and 66 percent respectively. 

The project aims to support the retention of knowledge in Tajikistan to ensure the project’s long-term sustainability. Expertise and skills gained through the UNIDO intervention will enable local counterparts and beneficiaries to replicate these experiences and practices in other industrial sectors. Lessons learned during the successful implementation of this project could potentially be replicated in other developing countries and economies in transition, particularly in countries that seek to modernize traditional textile industries.