Kazakhstan to support domestic exporters
The creation of a national commodity distribution system with integration into similar systems of the countries of the Eurasian Economic Union and Central Asia will become the main infrastructure of the Eurasian food hub, Kazakh Minister of Trade and Integration Bakhyt Sultanov said at a press briefing. He added that in Kazakhstan, it will include 24 wholesale distribution centers designed to provide a full range of services for the preservation and redistribution of farm products. The project to establish first seven such centers is currently underway.
“The creation of such centers will consolidate the efforts of many farms, including personal subsidiary farms, in the procurement of raw materials, production and sale of products. At the same time, it will ensure that the entire hierarchy of agricultural producers have guaranteed sales and income growth. Overall, the national sales system will act as the anchor infrastructure for clustering farmers, buyers, transport operators, retailers and consumers,” said Bakhyt Sultanov.
Sultanov said that part of the expenditures domestic exporters use for promoting their products to foreign markets will be reimbursed by the state. Since the beginning of this year, 186 such applications have already been approved for a total amount of nearly 4.7 billion tenge (US$10.9 million). In the near future, a digital single window will be created under the state support for the convenience of exporters.
“Exporters can submit applications electronically and receive reimbursement of costs. This speeds up the refund process up to seven days. Currently, it is done on paper and takes 25 to 30 days. In the future, it is planned to expand services with the participation of other banks. Thus, we will help domestic exporters through the use of modern technologies,” added Sultanov.
Sultanov mentioned that the number of export-oriented domestic enterprises will increase almost twofold in the next five years and will reach a thousand by 2025. The plan is to annually prepare 100 Kazakh companies to enter foreign markets.