WEEKLY REVIEW: Kazakhstan balances wheat demand and supply
21 November 2014 20:50

WEEKLY REVIEW: Kazakhstan balances wheat demand and supply

ASTANA. KAZINFORM "Kazakhstan's grain export potential may reach up to 7 million tons in 2014," according to Minister of Agriculture Assylzhan Mamytbekov.

"This year's grain harvest may prove no less than 17,6 million tons and that will allow Kazakhstan to export 7 million tons of grain," Minister Mamytbekov said at the Government's hour at Majilis, lower chamber of the Kazakh Parliament.

The minister stressed that severe weather intervenes into the harvesting campaign. However, according to Mr. Mamytbekov, it is almost over.

Kazakhstan will keep in check bread and flour prices up until September 1, 2015.
"A state commission has made a decision to stabilize bread and flour prices, so there will be no bread and flour price hikes until September 1, 2015," he went on. He also added that state subsidies will be allotted to this end.

Thanks to the policy of diversification of cultivated areas pursued under instruction of the Head of State the country succeeded in offsetting the wheat demand and supply. Demand for wheat at the domestic and foreign markets remains steady despite price fluctuations. Wheat production exceeded profitable demand volumes over recent years. Now wheat production volumes decreased due to planting of other crops.

Minister of National Economy Yerbolat Dossayev introduced the bill "On republican budget for 2015-2017" to the Parliament.

"Republican budget income is to amount 4,159 trillion tenge in 2015, 4,606 trillion tenge - in 2016 and 4,971 trillion tenge in 2017. Budget deficit will make 997,1 billion tenge in 2015, 1, 59 trillion tenge - in 2016, and 972 billion tenge in 2017," Minister Dossayev said introducing the bill on November 19.

According to the minister, republican budget expenditures will total 7,855 trillion tenge in 2015, 8,42 trillion - in 2016 and 7,943 trillion - in 2017 not taking into account additional $3 billion allotted from the National Fund for further implementation of the new economy policy "Nurly zhol" (Path to the future).

Country program of cooperation between the Organization for Economic Cooperation and Development (OECD) and the Government of Kazakhstan should be signed amid global economic slowdown, believes Prime Minister of Kazakhstan Karim Massimov.

"We are currently in discussions and hoping to sign the agreement between the OECD and the Government of Kazakhstan in the nearest future. We will complete all necessary formalities and do our best to meet the OECD standards," Prime Minister Massimov stated.
The Premier also stressed that it is crucial to sign the agreement now amid global economic slowdown.

Mr. Massimov noted majority of the world's 30 most developed countries that Kazakhstan strives to join are mainly the OECD member countries and expressed confidence Kazakhstan will improve its standing in international rankings in 2015.

"Kazakhstan's GDP growth will reach 4,8% in 2015," 1st Vice Minister of National Economy of Kazakhstan Marat Kussainov said the same day in Astana.

"GDP per capita is expected to increase from USD 13,500 in 2015 to USD 20,800 in 2019," he added.
"Inflation rates remain in the same corridor of 6-8% with following decrease in the medium term to 5-7% in 2015," he resumed.

Construction of houses under the new housing program will start in January 2015, announced First Deputy Prime Minister of Kazakhstan Bakhytzhan Sagintayev on Thursday.

According to Sagintayev, 145 billion tenge allotted from the National Fund and funds earmarked by the Government within the Affordable Housing 2020 program are to be channeled into the new housing program.

On Friday 1st Deputy Premier of Kazakhstan Bakytzhan Sagintayev chaired the regular sitting of the interdepartmental commission for regional politics in Astana. Heads of ministries and departments attended the meeting.

The up-to-date complex plans for the development of mono-cities for 2015-2017 were approved there. The plans are aimed at sustainable development of single-industry cities, their integration into the development of the region and the country at large, and raising people's living standards.

Later in the day 1st Deputy Premier of Kazakhstan Bakytzhan Sagintayev met in Astana with visiting Deputy Economy Minister of Poland Janusz Piechociński.

The parties discussed a wide range of issues of bilateral trade and economic cooperation, in particular, interaction in agricultural, investment and technological spheres, interregional cooperation.

The sides noted importance of strengthening bilateral business ties and spoke for deepening all-round partnership.