Mongolian Government supports leather and hides production.The Government of Mongolia is granting soft loan for the construction of an Industrial and Technology Park to process animal raw materials, renew equipment and technology and increase cash flow. Also, additional subsidy is given to herders who sell animal products such as sheep and camel wool to domestic factories. “New Asia Group” LLC is granted the 4 year special permit to run the Industrial and Technology Park in western Zavkhan province. The Industrial and Technology Park will be located next to the planned 100 megawatt power station and complex water treatment facilities with the purpose to process animal raw materials according to the standard. Zavkhan province is a perfect location to collect animal raw materials from five western provinces with more than 20 million heads of livestock. The animal raw material production at the Industrial and Technology Park in Zavkhan is hoped to replace the import and to increase the export of value added products.
Light Industrial Technological Park
Within the framework of Government Action Plan which is to construct infrastructure for leather industrial complex in Mongolia and for the purpose of developing cooperation between government and private sectors, supporting participation and initiations of them and cooperating on attraction of investment according to laws and regulations, the Memorandum of Understanding, which is to execute Leather processing factory project, was signed by and between the Ministry of Industry and Agriculture and New Asia Group LLC. The project will commence from September, 2013. NEW ASIA GROUP.