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Wednesday, September 18th, 2019

A discussion of new AIC development state program for 2017-2021 was held

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In the new message, the head of state once again highlighted AIC as one of the top priorities.Clear and big problems were put before the Ministry – the agricultural sector should become the new driver of the economy of Kazakhstan.

Kazakhstan has all conditions to take their own niche on the world food, primarily due to organic food. To achieve these objectives, the Head of State approved new state program of development of agrarian and industrial complex on February 14 this year. Its main priority was the saturation of the domestic market and the development of export potential of domestic product, the maximum involvement of small and medium-sized farms in the agricultural cooperation, efficient use of water resources and the development of trade and logistics infrastructure.

An appropriate plan of action was developed to fulfill the goals and indicators of the state program, which is was adopted on February 28 at the Government session.

One of the main approaches in the implementation of the state program is the involvement of small and medium-sized farms in the agricultural co-operatives.

On behalf of the Head of State, the implementation of the project was launched last year. 157 cooperatives with coverage of 15 thousand smallholders were created. More than 100 milk collection centers and 7,000 family feeding sites were organized on the basis.

The mayor’s office plans to create 410 cooperatives (with plan of the State program on SCC 326) in 2017.

Specific indicators substitution on sensitive goods imports, increase exports and revised state support measures were identified,

as part of the domestic market saturation and the development of export potential of the domestic production and efficient use of financial public support measures specific indicators substitution on sensitive goods imports, increase exports and revised state support measures.

11 kinds of inefficient subsidies were excluded, changes in regulations 39 types of subsidies were made.

As a result, the coverage of budget support measures for the producers will increase by 7.5 times (from 67 to 500 thousand.), And, above all, small farms and cooperatives.

At the same time, new mechanisms aimed at the end result – the yield, weight gain and loading of processing capacities.

Also, a transfer of state regulation in the digital technology – namely, the automation of processes for public services and subsidies; traceability, records of production and processing of products is provided.

To date, application is filed through the portal of “electronic government” by two subsidies (livestock breeding, fertilizer) out of 17, and the review process and decision-making is not automated.

This year, full automation will be implemented even in three directions (interest rate, fertilizer, herbicides). Next year. we plan to complete the automation of the issuance of all subsidies. This will reduce processing times of applications by 2.5 times (from 18 to 7 days). In addition, it will reduce the risks of corruption in the issuance of subsidies.

Also, the State program provides for the revision of fertilizer subsidy mechanism and broad support for agricultural chemistry, which will increase the amount of fertilizer to 376 thousand tonnes by 2021.

Specific indicators in the context of each year were set to solve the problem of increasing the export of food products by 40% by 2021, specific indicators in the context of each year were set.

In the current year ,it is expected to increase exports by 10%.

As part of the task of the efficient use of water resources and the creation of conditions for the efficient use of land resources, measures for the reconstruction of the 41st of emergency water systems and hydraulic structures, construction of 22 new reservoirs and infrastructure rehabilitation of irrigation and drainage systems will be implemented. These measures will fulfill the mandate of the Head of State on putting into circulation of more than 600 thousand hectares of land and regular irrigation to increase their area in 2021 to 2 million ha.

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Source: The Prime Minister of Kazakhstan

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