Kazakhstan’s agricultural sector has made strides this year, with approximately 7.2mn tons of grain, including 5.2mn tons of wheat, successfully delivered to grain receiving enterprises. This marks a step in the nation’s efforts to manage its harvest efficiently and meet both domestic and international demands.
At a government meeting chaired by Prime Minister Olzhas Bektenov, Vice Minister of Agriculture Azat Sultanov provided updates on the ongoing measures to improve agricultural financing and infrastructure. He reported that the government is working on the president’s directive to begin financing spring field and harvesting operations in 2025 as early as December this year.
“To support this initiative, financing is set to increase to KZT 700bn ($1.4bn), with KZT 45bn ($90.7mn) already allocated in the draft budget for the upcoming year,” said Sultanov. The Agrarian Credit Corporation will begin disbursing funds on November 29, with KZT 100bn ($201.5mn) designated for the program. Applications from over 500 agricultural producers have already been received.
The government is also making strides in improving access to credit for farmers by revising the loan subsidy system to favor preferential lending, thus reducing risks for agribusinesses. The current occupancy rate of licensed elevators stands at 43%, and facilities have switched to a 24-hour operational mode to handle the influx of harvested grain.
As part of the grain purchasing strategy, the Food Corporation has already received 550,000 tons of grain, or 46% of the targeted 1.2mn tons, under forward contracts. Additionally, the government is planning to purchase 150,000 tons of grain at market value, with a proposal to allocate KZT 75bn ($151.1mn) for larger-scale procurement.
Kazakhstan’s grain transport infrastructure has also been active, with the Kazakh Temir Zholy (KTZ) transporting 7.9mn tons of grain this year, including 6mn tons exported. A major portion of this, around 2.4mn tons, was transported in August-October, showcasing Kazakhstan’s increasing presence in the global grain market.
In a move to boost agricultural productivity further, the government will allocate KZT 200bn ($403mn) next year for a preferential leasing program for agricultural machinery, with production increases expected for key equipment such as combines, tractors, and trailers.
The 2025 agricultural plan includes a target of 1.9mn tons of mineral fertilizers to be purchased by farmers, with initiatives underway to reduce dependency on imported fertilizers. Kazakhstan’s domestic fertilizer production is also growing, exemplified by the launch of ammonium sulfate production at the KazAzot enterprise this year.
The Ministry of Agriculture is also focused on the industrialization of the agro-industrial complex. A key component of this is the development of agricultural processing, with plans to increase the share of processed agricultural products like rice, corn, and meat to 70% by 2028.
The government’s efforts also include modernizing seed production and advancing research in agricultural sciences, with the aim of increasing domestic seed usage to 75-80% by 2030. The establishment of the Institute of Horse Breeding in Aktobe is another step towards enhancing the livestock sector.
Through these measures, Kazakhstan is not only addressing the challenges of grain storage, transport, and financing but also strengthening its agricultural infrastructure to meet the demands of both local consumers and international markets.
