GOVERNMENT: Kazakhstan to introduce more transparent system of subsidization of agro-industrial complex
9 October 2015 21:54

GOVERNMENT: Kazakhstan to introduce more transparent system of subsidization of agro-industrial complex

ASTANA. KAZINFORM - Kazakhstan will introduce a new system of subsidization of agricultural producers. The Government takes all the measures on improvement of investment climate in the agro-industrial complex.

Recently, Prime Minister of Kazakhstan Karim Massimov received Secretary General of the IEB Bernard Vallat. During the meeting, B. Vallat told about the current work of the International Epizootic Bureau and prospects of cooperation with Kazakhstan.

The Prime Minister also met with President of Ukraine Petro Poroshenko, who arrived in Astana within his official trip to Kazakhstan. The issues of bilateral cooperation including trade and economic sphere, fuel and energy sector and agro-industrial complex were discussed at the meeting.

At the Kazakh-Ukrainian business forum in Astana, First Deputy Prime Minister of Kazakhstan Bakytzhan Sagintayev proposed Ukrainian businessmen to invest into agricultural sector of Kazakhstan. He noted that Kazakhstan was of a few countries with a great unrealized potential in this sphere.

B. Sagintayev also told about the opportunities for investors in the mining and metallurgical sector and in the sphere of transit cargo transportation and creation of the transport and logistics infrastructure.

Minister of Agriculture Asylzhan Mamytbekov also informed that it was planned to stop rendering ineffective subsidies in agriculture since 2016. The funds will be allocated in form of subsidies stimulating purchase of equipment and machinery, introduction of new technologies, purchase of seeds, attraction of consultants, introduction of innovations for increasing the competitiveness of the agro-industrial complex.

Moreover, according to A. Mamytbekov, the new system of subsidization of farmers will be more transparent. It will also to prevent corruption in the sphere of rendering subsidies.

Yet, it was planned to consider an opportunity of Kazakhstan to join the Kern Group - the association of countries exporting agricultural products. The main purpose of the association is to assist in development of free trade of agricultural products.

At the forum titled "Aktau declaration: Synergy and localization" which was held in Almaty, Deputy Minister of Energy Magzum Mirzogaliyev noted the relevance of the issues of the Kazakh content discussed at the forum with the consideration of the accession of the country to the WTO and crises in the world oil markets.

Accession to the WTO will be a new challenge for Kazakhstani producers and service providers. Now, the requirements of the local content will removed from the legislation, and the term "Kazakhstani producer" is going to be changed since the WTO accession. However, Kazakhstan will have a transition period till 2021. It is the period when Kazakhstani producers and companies have to grow strong.

Minister of Foreign Affairs of Kazakhstan Yerlan Idrissov met with United Kingdom's Minister for Central Asia Mr. Tobias Ellwood, who arrived in Astana for participation in the second round of talks in the format of Strategic Dialogue as a co-chairman.

Y. Idrissov expressed the willingness of Kazakhstan to continue cooperation with Great Britain in the sphere of high technologies in the context of the global financial crisis and the decrease of prices for oil. "We see a great potential in synergy of economic potential of Kazakhstan and Great Britain. We could unite our technological resources for establishment of joint enterprises," the head of the Foreign Ministry of Kazakhstan noted.

Y. Idrissov stressed the strategic importance of the national project - international exhibition "EXPO-2017", which is believed to become one of the biggest international events and give a powerful impetus for diversification of the national economy and assist in its transition to the use of the green technologies.

"Kazakhstan highly praises the fact that Great Britain confirmed its participation in the exhibition. In order to ensure good preparation for the exhibition, we have compiled a list of 20 priority countries, and I am glad to note that Great Britain is one of them," the Minister of Foreign Affairs of Kazakhstan noted.