ASTANA, Kazakhstan, February 22. In 2025, approximately 1.5 trillion tenge ($3 billion) will be allocated for the development of investment projects in the agricultural sector through the Agrarian Credit Corporation (ACC) and KazAgroFinance, Trend reports via Kazakhstan's Ministry of Agriculture.
The funds will be directed towards spring fieldwork, harvesting,
implementing investment projects, purchasing essential supplies,
replenishing working capital, and leasing agricultural
machinery.
When financing projects, priority will be given to the following
areas:
Processing of agricultural products and food production (priority to socially significant food products);
Irrigation development (sprinkler systems, irrigation structures, drip irrigation);
Industrial greenhouses (reducing seasonal price fluctuations of vegetables);
Infrastructure development (packaging, storage, transportation).
Development of large-scale feed production. Investment project
financing will focus on increasing investment in the agricultural
sector, developing domestic production to reduce food inflation
imports, ensuring a stable supply of domestic products to the
internal market, and realizing export potential.
To expand project coverage, credit limits for projects through ACC
will be increased from 7 billion tenge ($14 million) to 15 billion
tenge ($30 million), the scope of the Baiterek Guarantee Fund will
be extended, guarantees from Damu Fund will be provided for large
long-term ACC projects, and the mandate of the Export Credit Agency
of Kazakhstan will be expanded to support agricultural product
exports. Under leasing programs, KazAgroFinance will prioritize
support for domestic agricultural machinery, which will increase
the multiplier effect of this support measure for farmers on
industrial enterprises.
Additionally, Baiterek Holding is forming a pool of poultry farms
and continuing to expand export opportunities for agricultural
producers. Negotiations are underway with Malaysia to explore new
markets and create a new trade fund, which will allow the export of
grain to increase to 4200 million. In the long term, this figure is
planned to reach $1 billion. Export expansion and new markets
Within the export strategy, insurance, reinsurance, and guarantee
tools are being expanded for domestic producers. An important task
is entering new markets and providing comprehensive solutions for
Kazakh exports. In this regard, Baiterek is launching a trade fund
and forming a pool of export-oriented projects, including poultry
farming and crop production. Key export directions:
Consolidating large producers and traders of crop products (grains, oilseeds, and legumes) to expand export channels;
Creating stable export supply chains and expanding export geography (China, Central Asia, EU);
Reducing speculative factors in pricing and stabilizing the market;
Partnership with large foreign buyers (COFCO and others);
Investment support and attracting the private sector to trading activities.
Improving conditions for agricultural producers in transport and
logistics services. In the long term, the fund is planned to
transform into the Food Security Fund with a broader mandate to
ensure food security in the CIS and Middle Eastern countries.
Export support tools through the Export Credit Agency of Kazakhstan
(ECA) include: Guarantees; Reinsurance; and Composite services.
These measures will help bring Kazakh products to new markets and
strengthen the position of domestic producers.
