Demand for Kazakh products grows abroad
Kazakhstan’s manufacturers actively promote their products in the foreign markets. Thus, East Kazakhstan farmers intend to increase the export share. Food industry production volumes grew by 2 billion tenge. Kazakhstan’s food products are exported to the neighboring Russia, China, Uzbekistan and Kyrgyzstan. Export is oriented at more accessible territories, that is, those that entail fewer expenses for logistics.
State support is essential, the candidate of agricultural sciences Mukan Agzamov says. According to the expert, subsidies give incentive to small farms for cooperation, expansion of production and finally lead to agro-industrial development. The Soviet agricultural model didn’t have it.
MUKAN AGZAMOV, CANDIDATE OF AGRICULTURAL SCIENCES:
If you remember, in the 1960s, the Soviet Union started importing up to 40 million tons of crops from Canada. At present, Kazakhstan has potential and became one of the leaders in crops production.
It was the cultivation and subsequent export of crops that brought the East Kazakhstan farmers revenue. Thus, in 2016, the local farmers exported 277,000 tons of wheat worth $37 million, 403 tons of buckwheat worth $152,000. In total, 200,000 tons of food products have been exported to Turkey, Russia, Uzbekistan and Iran. Compared to 2015, the volume of gross agricultural output grew by 111%. By 2026, it is planned to increase agricultural export performance threefold. Honey manufacturers keep up the pace as well. This useful product manufactured in the Eastern Kazakhstan is still in demand in China. China bought 77 tons of honey in Kazakhstan last year.
ALEKSEY KASSYMBAYEV, FARMER:
Export of honey to China is the most beneficial for us. At present, we are preparing for the food fair together with Chamber of Entrepreneurs.
Butter manufacturer Iliya Batov made his business strategy export-oriented. He exports 20% of finished product per year to Uzbekistan and Mongolia. This let the businessman to modernize the plant and expand production volumes.
ILIYA BATOV, DIRECTOR, CREAMERY:
Exporters receive the VAT back which affects the price, brings good revenue and lets to pay good salary and attract more qualified specialists.