As part of the agreement Russian companies will have a minimum 51% share in the joint venture which is planned to start later in the year.
Boris Alyoshin said the new enterprise will mainly work in the military interests of Uzbekistan and some other countries. Its main aim is to repair Mi-8 Hip and Mi-24 Hind helicopters, their modifications, as well as components and assembly parts for them.
Russia and Uzbekistan are both members of a regional security organization, the Collective Security Treaty Organization (CSTO), which also comprises Armenia, Belarus, Kazakhstan, Kyrgyzstan and Tajikistan.
Uzbekistan is one of Russia's key partners among the members of the Commonwealth of Independent States (CIS), a loose alliance of the former Soviet republics. As a political dialogue between the two countries has been actively developing with the Russian and Uzbek presidents meeting nine times last year bilateral trade in 2006 increased by 30% to total $2.4 billion.
Representing the Russian side in the joint venture are Oboronprom united industrial corporation and Rosoboronexport state arms export monopoly; and Chkalov's Tashkent Aircraft manufacturing enterprise along with Uzmakhsusimpex state enterprise - from Uzbekistan.
