Foreign investors were suggested to make tractors in Kazakhstan

ASTANA. KAZINFORM - JSC KAZNEX INVEST - the national agency of export and investments under the RoK Ministry for Investments and Development revealed four areas in the sphere of mechanical engineering which may be of interest to foreign investors.

"The four areas of mechanical engineering which we think are of interest to investors is manufacture of tractors with engine capacity more than 90 kilowatts, transformers, lead accumulators and cable and conduction products. In all of these sectors Kazakhstan has a competitive advantage. Our salaries are rather low compared to China, Turkey and other countries. We have very cheap electricity because we use coal. We also have access to the market of 170 million people - it is the market of the Eurasian Economic Union" - the chairman of the Board of the agency Borisbiy Zhangurazov told.

According to him, these areas can be interesting to foreign investors also because Kazakhstan imports a lot of things, including machine-building products. Total import of machine-building products constitutes more than 80%, and the total amount of this market equals USD 15 billion. According to the head of KAZNEX INVEST there are three special economic zones out of ten where machine-building enterprises can be placed. These zones are Astana SEZ, machine-building and metallurgical SEZ in Karaganda and the Park of information technologies of Almaty.

"Investors will be provided with good investment preferences, such as zero rates of corporate income tax, property tax, land tax, and lease as well as zero value added tax.