Sustainable development of agro-industrial clusters in extreme ecological environments: an eco-economic framework for cotton and textile value chains in Karakalpakstan

Abstract

This research paper presents an integrated eco-economic analysis of agricultural cluster transformation within vulnerable ecosystems, focusing on the cotton and textile sector of the Republic of Karakalpakstan. The Aral Sea ecological crisis presents severe environmental boundaries, including acute water deficits, severe soil salinization, and climate-induced yield volatility. Traditional market-driven cluster integration often fails to internalize these ecological externalities. This study proposes an eco-efficiency assessment framework and evaluates strategic economic mechanisms to incentivize water-saving technologies, mitigate environmental production risks, and strengthen value-chain resilience. Empirical findings confirm that combining green procurement premiums, public-private-environmental partnerships, and circular agricultural practices significantly enhances resource productivity, farm-level profitability, and long-term regional economic stability.