The state program of development of agribusiness for the years 2017-2021 was discussed at NCE RK "Atameken"

At the site of the National Chamber of Entrepreneurs of Kazakhstan "Atameken" the Ministry of Agriculture presented the draft Concept of the new state program of development of agro-industrial complex of Kazakhstan for 2017-2021. In consideration of the draft Concept, along with the Ministry of Agriculture and NCE took part representatives of business, trade unions and associations.

First Deputy Minister of Agriculture Kairat Aituganov noted that the main focus of the state program is made on the targeted export policy to China, Russia, India, Central Asia and the Middle East. Food safety is also one of the priorities – improvement of products’ quality, reduction of costs and larger accessibility. The main slogan of the program "Produce goods in demand rather than sell produced".

Aituganov listed in his presentation, the main measures, which it is planned to undertake for the development of agricultural sector in the new document. Thus, according to him, the section "crop" provides: industry diversification by increasing the area of sowing highly profitable and crops in demand on markets by reducing wheat production, improvement of state support for production of original and elite seeds, and seeds of first reproduction of highly profitable crops, the development of irrigated agriculture through construction of new and reconstruction of the emergency reservoirs and canals, rehabilitation of irrigation infrastructure in the area of ​​610 thousand hectares, an increase of subsidizing fertilizers, pesticides and production of highly profitable crop in demand at the markets due to the abolition of subsidies per a hectare for all crops, except for perennial grasses and etc.

In animal husbandry, it is planned to develop the forage base by increasing the areas and volumes of perennial grasses subsidies, development of commercial fish farming, beekeeping, maral, goat, camel, the transition from subsidizing the number of cattle to subsidizing the final product, increase of subsidies for poultry production due to reduction of production subsidies eggs, etc. .

The program also involves the stimulation of the creation of cooperatives for the procurement and primary processing of agricultural products, lending and the provision of services, stimulating the creation of wholesale distribution, trading and logistics centers, transformation of socio-entrepreneurial corporations in the real regional agribusiness support institutions, access to loans and grants, the revision of credit policy and financial instruments of JSC "NMH" KazAgro", budget loans for credit unions and credit cooperatives, the development of insurance and guarantee systems, interest rate subsidies for agricultural enterprises in processing of products, loans on replenishment of working capital and leasing of equipment, technology transfer; reorientation of institutions of science and education to meet the challenges of agricultural production and ensuring the transfer of innovative technologies.

Deputy Chairman of NCE "Atameken" Nurzhan Altaev said that the Ministry of Agriculture considered the proposal that NCE "Atameken" has repeatedly raised, that the policy document of development of agribusiness sector must include target indicators of macro demand. He also noted that Kazakhstan's domestic market is small and to focus only on it is not quite right, so the Ministry puts in the basis of the concept of the state program of export orientation of agricultural production.

NCE "Atameken" by the results of the analysis considers possible increase of the following agricultural products: vegetable oil - to 2 million tons (4-5 times), beef meat - from 400 thousand tons to 800 thousand tons (2 times), poultry - from 140 thousand tons to 500 thousand tons, lamb - from 160 thousand tons to 300 thousand tons, fish - ten times, apples - from 150 thousand tons to 1 million tons (6 times), vegetable from greenhouses - from 150 thousand tons to 500 thousand tons. "The total export revenues from the sale of these goods can be increased more than 2 times, and it is 6% more than the total imports of agricultural products to China. Thus, Kazakhstan has a real possibility to enter the top ten exporters of agricultural products to China. There is a political will on the Chinese side", - added the Deputy Chairman of the Board of NCE.

Altana also announced proposals of NCE RK "Atameken" on the program. "Firstly, we believe that there is a need to consider the development of this program for 10-year period so that we have a long-term vision. We communicate with entrepreneurs, and, when it comes to state support, they talk about permanent changes that are difficult to react on", - he said.

"Atameken" proposes to include in priority sectors of state support production and processing of beef, horse meat, pork, lamb, processed cereals, vegetables and potatoes, the production and processing of raw cotton. "To foresee that the state support measures will be aimed at ensuring the development of export infrastructure", - said Altaev, noting that NCE agrees with the concept of the program as a whole.

On the part of the business community were also marked positive developments, carried out by the Ministry on improvement of state support mechanisms, and voiced a number of proposals which, in their opinion, will improve the efficiency of the implementation of the state program and will make a significant contribution to the development of agriculture.

The participants particularly stressed that the determining factor for the development of agriculture should be the introduction of innovations and new technologies, the development of export infrastructure, involvement of large-scale investments in the agricultural sector and identification of priority areas, taking into account inter-sectoral collaboration. It was also noted that, given the great potential of Kazakhstan's agricultural sector for the production of organic products, Kazakhstan can steadily increase such production and enter foreign markets under a single brand of Kazakhstan.

Following the meeting, the business community has made a number of proposals that will serve as a further development of the agro-industrial complex in the Republic of Kazakhstan, which has a positive impact on the food security of the country and will contribute to the effective implementation of reforms in the sector.