Assessment of the

7.2 CONSIDER ALCS AS MARKETING & LOGISTICS CENTERS RATHER THAN PRODUCTION 
AND PROCESSING-FOCUSED CENTERS 
The emphasis of the ALC should be on trans-shipment of high-value horticulture to large domestic 
markets or export markets. Currently, as it reads, the ALC proposal seems to focus more on handling 
and processing, rather than on product movement to market. The former is typically done in specialized 
facilities. The emphasis of the ALC should be on product distribution efficiency, by serving as a gathering 
point for buyers, sellers, and transportation assets. As such, the ALC will need to have adequate parking 
and facilities for all stakeholders involved (even carrier drivers).

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29 | ASSESSMENT OF REGIONAL AGRI-LOGISTICS CENTERS IN UZBEKISTAN USAID.GOV 
The original business model included as related to the team was a straight fee for service design, managed 
by a General Contractor, with service subcontractors leasing space and equipment within the ALC. The 
WFLO recommends consideration of a modified business model as provided for in the table below.
Finally, the WFLO recommends that the GoU support and enhance the clusters to facilitate the ICC as 
it will take a strategic focus on all levels to develop it effectively. 
ALC BUSINESS MODEL RECOMMENDATIONS 
ORIGINAL BUSINESS MODEL 
SUGGESTED BUSNESS MODEL 
ALC chooses a GLOBALG.A.P. Certified Management Company 
to oversee the entire ALC and all tenants who charge fees for 
services.
Farmers bring or service providers pickup products and 
deliver to local “Cluster Service” provider to begin 
immediate post-harvest services, including sorting, 
grading, waxing, cleaning, chemical application, hydro pre-
cooling, vacuum pre-cooling, forced-air pre-cooling, etc.
The farmers typically pay the service providers directly for 
these services. 
The GoU owned ALC owns all of the equipment that provides 
the services, and the tenants are charged rent/lease for their 
space and usage of equipment 
Transportation Provider picks up product from pre-
cooler/packing house and delivers it to the ALC 
refrigerated warehouse for short- or long-term 
warehousing. The ALC pays for this transportation and 
charges it back to the farmer as a deduction from the sales 
price of their product at the (MC) Market Center. 
Farmers bring products to the ALC and have all of the services 
performed for them, sorting, grading, pre-cooling, put away into 
storage, etc. The farmer is charged for this service (most likely 
based on tonnage) by the various tenants/service providers. 
MC chooses a GLOBALG.A.P. Certified Management 
Company to oversee the entire MC and all CERTIFIED 
(GLOBALG.A.P., HACCP, and ISO 22000) tenants who 
charge fees for services.
The GoU owned MC owns all of the equipment that 
provides the services, and the tenants are charged 
rent/lease for their space and usage of equipment. 
Traders/Buyers visit the ALC and assess the samples of each 
product they are interested in and in an auction format, bargain 
with the ALC management on the price to be paid per ton. 
Traders/Buyers visit the ALC and assess the samples of 
each product they are interested in and in an auction 
format, bargain with the ALC management on the price to 
be paid per ton. 
Trader/Buyer pays at the “window” for the product. 
Trader/Buyer pays at the “window” for the product. 
Trader/Buyer goes to the Customs desk, pays and receives all 
documentation for product transfer across border. 
Trader/Buyer goes to the Customs desk, pays and 
receives all documentation for product transfer across 
border. 
Trader/Buyer can bargain with trucking/carriers, rail, air desk to 
transfer product and pays them OR, the Trader/Buyer can 
supply his own transportation. 
Trader/Buyer can bargain with trucking/carriers, rail, air 
desk to transfer product and pays them OR, the 
Trader/Buyer can supply his own transportation. 
Product exits the building via one of the Transportation Modes 
with all certifications for GLOBALG.A.P. compliance, and all 
GoU Customs requirements. 
Product exits the building via one of the Transportation 
Modes with all certifications for GLOBALG.A.P. 
compliance, and all GoU Customs requirements. 

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USAID.GOV ASSESSMENT OF REGIONAL AGRI-LOGISTICS CENTERS IN UZBEKISTAN | 30