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Minister of National Economy of Kazakhstan explained reasons for increasing investor interest in agriculture

by October 25, 2016 Legal

Minister said that agriculture in Kazakhstan is quite a promising sector.

“I think there are several factors played a role. Firstly, we have a sufficient amount of land, cropland, grassland, etc… In addition, “Agribusiness 2020″ program is implemented consistently. Second, despite all the difficult years, it was given a considerable amount of state support for agriculture, and especially to those enterprises and investors who invest in the processing of agricultural products, investing in the development of animal husbandry, crop production,” K. Bishimbayev said.

He added that the scope of crops, especially oilseeds sectors are of great interest.

“I also attribute this to the fact that due to the agreements of the Head of State, held in September, the Chinese market for Kazakhstani goods is opening. The relevant public authorities of Chinese Peoples Republic conducted inspection for many commodities, including oil, product oil and fat industry, and access, technical barriers, which, relatively speaking, which hindered the supply of Kazakhstani products are beginning to relaese. And when our businesses will have access to such a large market, accordingly, it generates investment interest, it becomes attractive to invest in this sector,” the head of the Ministry said.

According to K. Bishimbayev, another important factor is sanctions that the Russian Federation has adopted in respect of goods from the European Union and a number of countries. They are connected with the fact that for the agricultural and food products has opened a large niche in the market, which is occupied by both Russian and Kazakh producers.

“Taken together, all these factors are state support, external factors associated with the new markets in Russia, China, consistent elimination of all technical barriers to the adoption of uniform technical standards and requirements on the space of the Eurasian Economic Union, the reduction of tariffs for rail freight – all of these factors increase the attractiveness to the agricultural sector. Well, in general, the food is the market that never decreases, since we all consume food every day,” the Minister concluded.

Source: The Prime Minister of Kazakhstan