Kazakhstan can rightly become a country exporting ecologically clean agricultural products

To supply the country itself and to send for export

AIC of Kazakhstan has great prospects for development and access to foreign markets

The current state of the agricultural sector of Kazakhstan can be characterized as steadily growing and has significant potential for further growth, ensuring food security of the country and fully meets the needs of the domestic market in the main types of food products and raw materials.

In the countryside live about 43% of the total population. At the same time the agricultural sector generates about 5% of the gross domestic product.

The main indicator of the development of the industry, is the index of physical volume (IPV), the volume of gross agricultural output. In 2015, IPV of agriculture   amounted to 103.4%, including planting - 104%, livestock - 102.7%.

The share of plant growing industry in the structure of the gross output of agricultural products was 55%.

Sown area of agricultural crops for the last 5 years was about 21 million hectares. A substantial proportion of the crops was assigned to wheat, but, thanks to the crop diversification policy, directed on move away from monoculture to expanding sown areas of other cultures, since 2011 wheat crop declined from 13.8 million hectares to 11.8 million hectares in 2015. During these years, the barley area increased by 37.6%, oats - by 45.2%, corn - by 41.0%, oil plants - by 10.7%, feed - by 40.8%, melons - by 19.2%, potatoes - by 3.4%.

During these 5 years the average annual grain harvest totaled 18.8 million tons of grain, which is 10.1% more than in than in 2006 - 2010. The average yield of cereals was 12.3 kg / ha.

Annually in the country increases the area of ​​application water resource saving  technologies, measures are being taken to address the problems of irrigation of agricultures, increasing production of fruit and vegetables, based on drip irrigation technology.

Area of greenhouse plants was 967.8 hectares in 2015, the gross yield of greenhouse vegetables was 147.7 thousand tons, 120 thousand tons more than in 2011... Supply of population with vegetables from greenhouses during the off-season is 60%.

In 2015, the sown area of ​​potatoes amounted to 190.6 thousand hectares, in total yield - 3 521.0 thousand tons, which is more than in 2011 at 3.4% and 14.5%, respectively. At the same time the potatoes produced by large agricultural producers, goes entirely to the city markets, for seed and export.

In 2015, the area of ​​fruit crops and vineyards accounted for 57.5 thousand hectares, the total yield - 280.2 thousand tons, which is more than in 2011 by 5.3% and 19.2%, respectively. This volume allows to satisfy the need of the population of the republic at 54%, the deficit is covered by imported products.

The more cattle the more profit

Kazakhstan – is favorable country for livestock development, where due to the skillful use of the huge natural grasslands can be produced inexpensive competitive and environmentally friendly livestock products. The share of the livestock industry in the structure of the gross output of agricultural products is 45%.

The annual rate of growth of livestock is 5%. As you know, all over the world each year is rapidly growing demand for environmentally friendly products, and Kazakh producers can take that niche with great success. There are enormous opportunities and potential for it. Currently in Kazakhstan out of more than 180 million hectares of natural pastures only 40% is used. This makes it possible to increase the production of livestock products.

Overall, the domestic market of the Republic is self-sufficient in main types of agricultural products and has the potential for exports. To do this, we have significant reserves to increase production volumes. In addition, the presence huge markets around Kazakhstan, which have a tendency for constant expansion, appears as a favorable factor for this.

Bread is the main thing

Currently, our main export item is milling wheat and flour.

Additional main positions of Kazakhstan's exports are, first of all, the vegetable crops. Now our country has a very real possibility for increased exports of vegetables, such as onions, beets, cucumbers, tomatoes and potatoes.

Meat is always in demand

The next priority is the meat export. Today Kazakhstan produces more than 900 thousand tons of meat and has a great export potential. Today, the country has real opportunities to double the productivity of livestock and virtually all types of livestock. With regard to the capacity of livestock products markets, it is huge, both within the country and in neighboring states.

Thus, the agro-industrial complex of the country, with its enormous potential, has great prospects for development and, therefore, the prospect of output to foreign markets. Through sale of agricultural products at world prices, we will stimulate the production of own raw materials, increasing the load of the processing enterprises. Well-established export channels could be the factor that will ultimately raise our agriculture and processing to a new level.

In this direction, the work on development of cattle breeding, feed production, expansion of acreage of forage crops, pasture management has intensified, as well as state support measures for improvement of the system of veterinary organizations and safety of animal products.

The State pays great attention to the development of the production of fine wool. It was includes in the priority areas of investment.

Waste-free production

One of the export positions of Kazakhstan is the rawhide, which is available in the country in sufficient amounts due to slaughter. Therefore, our farmers are quite willing to supply hides for further processing on the mutually beneficial terms.

However, it is quite logical that in addition to providing the necessary volumes of export, the quality standards must be ensured.

Kazakhstan has adopted drastic steps to improve the quality characteristics of the produced animal products. The work is underway on improvement of the breed qualities of the existing population through the implementation of cattle breeding programs. In addition, state support for the importation of breeding animals, creating the pool of reproducers and assurance of the accelerated reproduction of the numbers of these animals.

Processing of agricultural products is also one of the most promising directions in the agro-industrial complex of the republic and has the potential for effective development.

The main share in the structure of production: grain processing industry (22.3%), milk (16.7%), bakery (15%), meat processing (13.6%), fat and oil (7.9%) fruit and vegetable (7, 6%) and other sectors (16.9%).

Nevertheless, the country imports a large amount of agricultural products of deep processing every year, which is an additional potential for Kazakhstan on development of the processing industry. The volume of foreign trade turnover for products of processing of agricultural raw materials and food industry in the country in 2015 amounted to 3.2 billion USD.

A high proportion of imports is maintained in the most high-tech industries. On average, the largest share of imports accounted for cheese and cottage cheese (51%) for five years, sausage products (46%), meat and canned food (40%), butter (36.4%), sugar (42%), and the import of raw cane sugar reaches up to 97%, canned vegetables (84%).

At the same time production capacity of sugar factories uploaded by 37.1%, processing of fruits and vegetables - by 27%, fat and oil companies - by 45-50%. The shortage of quality raw materials for the capacity utilization is acute for the entire processing industry as a whole. Enterprises, engaged in production of cereals and flour for domestic consumption, are fully loaded.

"Fish Day" is not canceled

An important part of the agro-industrial complex of the country are fisheries. Our waters are rich in such valuable fish species as sturgeon (beluga, sturgeon, sturgeon), pike and others. In order to involve investments in this sector, as well as to improve the work on the protection and reproduction of fish resources, there was introduced a practice of long-term contracts for the natural resource of fishing grounds and waters for the period from 10 to 49 years. Therefore, this sector has great potential for business.

As you know, success and prosperity of any business, first of all, depends on the political stability in the country, the predictability of state action, clarity of legislation and the level of support of entrepreneurship. In this respect, a lot is done by Kazakhstan, and the entire state policy of support of foreign investments is directed to it. And foreign investors see it personally, which work today in different sectors of the economy.

The current legal framework of the agrarian sector of the economy is consistent with the requirements of the market economy, international practice and is aimed primarily at the protection and support of entrepreneurial initiatives of producers.

All this is not only a guarantee of stability and assurance of agribusiness, but also the basis for reliable operation of rural producers.

The selected strategic course of Kazakhstan is aimed at creating an open economy, which is closely integrated with the world, showed its absolute accuracy and high viability. The agricultural sector of the economy has become attractive for business and this is an added incentive in the creation of modern and competitive agricultural sector of the country, the expansion of its export opportunities and improvement of living standards and welfare of the rural population.

In order to develop the agro-industrial complex, the relevant measures are being taken to ensure the availability of credit resources, the cheapening of the cost of credit, the transition to international standards, the expansion of markets, tightening of control over compliance with legislation in the field of technical regulations and food safety, the organization of the system of storage, transportation and storage of raw materials.

Работать по плану

Work by the plan

Currently, as you know, the Ministry of Agriculture, is developing a draft state program of development of agriculture of the Republic of Kazakhstan for 2017-2021.

NCE RK "Atameken" in cooperation with industry associations, unions is actively involved in the development of the state program. NCE has sent to the Ministry of Agriculture a number of proposals of the business community to be reflected in the draft state program that will strengthen state support measures, which will serve as guideposts for the future sustainable development of agro-industrial complex of Kazakhstan and for those wishing to develop production in rural areas and to invest in the rural economy, which will benefit the development of the industry.