$25M to be invested in development of Kazakhstan’s seed industry

ASTANA. KAZINFORM - Baumgartner Agriculture Science and Service (BASS) of the United States of America and Kusto Group of Kazakhstan are creating in Kazakhstan a joint venture producing fodder seeds with the use of advanced technologies, Kazinform cites the press service of the Kazakh Ministry of Agriculture.

CEO of Kusto Group Yerkin Tatishev and head of BASS Edward Baumgartner signed the Memorandum of Intent on the establishment of KAZSEED enterprise.

In the first year, the investment will reach about $25 million with a further increase.

The joint venture is to provide Kazakhstan's farmers with high-quality seeds adapted to the country's climate. Besides, over time the company intends to come into the CIS market.

Deputy Prime Minister - Minister of Agriculture of the Republic of Kazakhstan Umirzak Shukeyev pointed out that establishing such advanced enterprises is instrumental in achieving the goals set by the Head of State as to increasing labor productivity and export of processed agricultural products by 2.5 times.

The production of high-quality seeds will directly affect crop yield and be a basis for the growth of the country's forage production.

The Chairman of the Management Board of Directors at Kusto Group, Yerkin Tatishev, underlined that the emergence of such a specialized seed production company is a very important step for the development of the country's crop production.

The American investors highlighted the upward trends in the development of the agricultural sector in Kazakhstan, and the Government's measures to support the agricultural sector.