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B. Sagintayev instructed to include a set of measures for development of meat livestock farming in State Program of AIC

by April 24, 2018 Key Issues

As Arman Yevniev noted, the analysis of strategic directions of the development of agricultural sectors was conducted, following which 15 priority directions for the development of export and import substitution of agricultural products were identified.

“We see a great potential for the development of beef cattle and sheep breeding. All the necessary resources for the development of the meat industry in the country are available,” the First Vice Minister of Agriculture stressed.

The implementation of the program, according to the Ministry of Agriculture, will create a new class of livestock farmers. It will ensure the growth of farms from 20 to 100 thousand, jobs for the rural populationfrom 100 to 500 thousand. At the same time, the number of cattle will increase from 7 million to 15 million heads, the production of beef and muttonfrom 600 thousand tons to 1, 6 million tons, the export earnings of the industryup to $2.4 billion, labor productivity per employeefrom $1000 to $8000.

According to Arman Yevniev, farms will be the basis of the production model. They will unite in questions of trade, training and veterinary services. Provision of land and loans will be based on the selection of the best farmers. An indispensable condition is the use of genetics of pedigree animals and breed improvement in livestock. Feed production, including irrigated land, will be concentrated on feeding grounds.

Speaking about the mechanism for financing a typical farm, A. Yevniev noted that the costs of constructing a pasture inflow infrastructure will be covered by investment subsidies from akimats. Mobile lodging car, farm animal housing, mobile machinewill be provided through lending of the Fund for Financial Support of Agriculture JSC. Pedigree bulls for pedigree transformation will be provided by feeding grounds on a free basis. Acquisition of the same cows is planned to be carried out at the expense of credit resources under the Program of Productive Employment and Mass Entrepreneurship. Equipment for harvesting will be provided for leasing or borrowing through the KazAgro NMH.

The program will increase the investment attractiveness of the agricultural sector. At present, large meat companies have confirmed their participation in the implementation of the proposed strategy, including Inalca Eurasia (Europe), Cedar Group (Australia), and Chinese corporations Rifa Holding and Citic Group. In addition, the attraction of investment from Tyson Food, JBS and others is under consideration.

The MA RK has developed a detailed Roadmap for the implementation of the program for the development of meat livestock breeding with specific objectives and the time frame for their fulfillment. The Roadmap is proposed to be included in the State Program for the Development of the AIC for 2017-2021.

Source: The Prime Minister of Kazakhstan