Kazakhstan Agriculture Food Manufacturing Guide for 2017

1. MINISTRY FOR INVESTMENTS
AND DEVELOPMENT OF
THE REPUBLIC OF KAZAKHSTAN
Investment opportunities in Kazakhstan
Agricultureandfood
manufacturing

2. TheheartofEurasia
The economic center of gravity and an important logistics center of Eurasia
Kazakhstan is situated in the very heart of Eurasia, the largest continent, and performs
the crucial roles in its development.
1) It is the economic, cultural, and geopolitical center of gravity of Central Asia, one of
the fastest-growing regions in the world
2) It is the essential link connecting the biggest economies of Eurasia. The New Silk Road –
an excellent network of rapid transits connecting three regions: Europe and Russia; China,
Japan, and Southeast Asia; Central Asia, Caucasus, and Turkey
Welcometo
Kazakhstan
2

3. The youngest capital city
Astana is the youngest, modern and fast-
growing capital of Eurasia
Before 1998, Astana was a relatively small
regional city.
In 2016, Astana is a modern capital city with over
800,000 people, the center of economic and cultural
development of Kazakhstan, a hub for many global
companies, and a winner of UNESCO’s "Cities for
Peace Prize".
Thelargestprojectintheworld
Tengizchevroil project – almost USD 40 bn of investment until 2022
The three biggest companies – Chevron, ExxonMobil, and KazMunayGas –
have joined their efforts to implement the largest ever capital project:
the development of Tengiz field which is to produce up to 39 Mt of oil p.a.
Internationalfinancialcenter
A financial hub of Central Asia with a special legal regime
"I have signed the decree on the establishment of the Astana
International Financial Center. It will be based on the pillars of
English law, preferential tax treatment, and independent financial
court. We believe that the Astana Financial Center will become the
heart of Kazakhstan’s financial infrastructure and a financial hub for
the whole of Central Asia."
Nursultan Nazarbayev, President of the Republic of Kazakhstan
EXPO2017
Over 100 countries will come to Kazakhstan to take part
in the largest international exhibition
The largest international exhibition EXPO 2017 Future
Energy will gather in Astana over 100 countries and over
3 million participants.
From June to September 2017, EXPO 2017 Future Energy
will be a platform for developing international cooperation
in sustainable energy.
3

4. Investin
Kazakhstan
4

5. 17.0
1.2
China
3.2
Russia 5.7
12.4
EU
US
Kazakhstan
GDP growth rate
USD, in current prices, 2005-2015, percent
Source: World Bank
Overthelastfewyears,Kazakhstan’seconomyhasbeengrowingat
arecordpaceleavingbehindthecountriesofCentralAsia,Russia,
and the European Union and slightly lagging behind only China.
Alleconomic,social,andinternationalgovernment
policies are implemented according to the
Kazakhstan2050Strategy,aplanofsustainable
long-term development.
The Kazakhstan 2050 Strategy is primarily
focused on reaching the top 30 of the most
developed countries in the world by 2050.
Fast-growing economy with
a long-term plan of sustainable
development
+12%
GDP growth rate
2005-2015
5

6. Adherence to the principles of economic liberalization: by 2020,
government participation in the economy will be reduced
threefold under the National Privatization Program.
The best Ease of doing business ranking in the region (World
Bank, Doing Business 2017):
 Kazakhstan 35
 Russia 40
 Azerbaijan 65
 Turkey 69
 Kyrgyzstan 75
 China 78
The efficiency of state regulation and investor support –
significant improvements according to the estimates of
World Economic Forum 2015-2016.
 Transparency of government decisions: 30th position
out of 140 (45 positions higher as compared with the 2010-
2011 report)
 Investor protection: 25th position out of 140 (20 positions
higher as compared with the 2010-2011 report)
Institutionalefficiency–thebusinesssetuptimewasreduced
from19daysin2010to5daysin2015.InRussia,forexample,this
indicatormakesup11daysandinChina–31days(WorldBank).
Oneofthelowestincomeinequalityindicatorsintheworld–
GINIindex=26.3.Norway–25.96,Russia–41.6,China–42.2
(WorldBank).
Center of stability and liberal
economic agenda
INVEST IN KAZAKHSTAN
6

7. Saudi Arabia
0.5Russia
Canada
Kazakhstan
China
Turkey 2.4
0.6
2.8
3.8
2.1
Indonesia
Nigeria
3.6
1.3
2.2
India
UAE
Australia 3.2
2.3
Gross foreign investments in 2015
Percent of GDP
Source: EIU
3,8%
of GDP
Gross foreign
investments in 2015
"Over the last three years, the government has taken
steps to mimic Singapore and to some extent, even the
Chinese with their special economic zones. These have
become like FDI magnets in emerging and frontier
market economies worldwide over the last decade ..."
— Forbes, 2016
Oneoftheleaders
inFDIattraction
7

8. Taxregime–oneof
themostfavorable
intheworld
30
25
20
20
20
Turkey
Russia
Kazakhstan
China
Germany
Corporate tax rate
Percent
19
17
18
18
12Kazakhstan
Turkey
Germany
Russia
China
Standard VAT rate
Percent
Source: VAT Live
SOURCE: KPMG
12%
Standard VAT rate
20%
Corporate tax rate
INVEST IN KAZAKHSTAN
8

9. Youngandfast-
growingnation
Russia
China 37
39
Kazakhstan
43EU
30
Average population age, median
Years
Population growth rate in 2015
Percent
Source: CIA Factbook, World Bank
Russia
0.5
EU
1.5
China
0.3
Kazakhstan
0.2

10. Attractivecostpositions
Attractive cost positions
Source: Financial Times Limited 2016 (latest available data), expert analysis
Kazakhstan
South Korea
Malaysia
Russia
133
19
54
39
62
54
401
219
China
Turkey
Germany
Poland
20
188
13
57
12
57
31
42 11
24
5
6
7
9
12
11
8
4
0.4
1
1
1
5
1
Water
Cents/m3
Gas
Cents/m3
Electricity
Cents/kWh
Mobile
Cents/min
Salaries in the manu-
facturing industry
USD/hour
6
48
10
4
3
24
7
4
The 2015 devaluation made
the cost of Kazakhstan’s
production even more
competitive.
In future, the tenge exchange
rate is expected to be stable.
Average annual USD exchange rate
KZT
343
222
179
152149
1514132012 I H 2016
Source: National Bank of Kazakhstan
INVEST IN KAZAKHSTAN
10

11. As an EAEU member, Kazakhstan along with Russia, Belarus, Kyrgyzstan, and Armenia
has a direct access to the market of 182 million consumers and ensures free movement
of goods, services, capital, and workforce.
Duty-freeaccesstotheEAEUmarket
Belarus
GDP (2015): USD 55 bn
Population (2015): 9 m people
Lithuania
Latvia
Russia
Belarus
Ukraine
Romania
Moldova
Turkey
Bulgaria Georgia
AzerbaijanArmenia
Iran
Turkmenistan
Uzbekistan
Tajikistan
Kyrgyzstan China
Novorossiysk
Riga
Vilnius
Minsk
Kiev
Chișinău
Bucharest
Ankara
Baku
Yerevan
Tbilisi
Ashgabat
Tashkent
Dushanbe
Moscow
Bishkek
Kazakhstan
Astana
Russia
GDP (2015): USD 1,324 bn
Population (2015): 147 m people
Kazakhstan
GDP (2015): USD 174 bn
Population (2015): 18 m people
Kyrgyzstan
GDP (2015): USD 7 bn
Population (2015): 6 m people
Armenia
GDP (2015): USD 11 bn
Population (2015): 3 m people
SOURCE: EIU, IMF, IHS, UN Comtrade, local statistical agencies
182million
Consumers in direct
access to the market
Kazakhstan is a
WTO member since
November 30, 2015

12. 12

13. Why agriculture and food
manufacturing in Kazakhstan
13

14. Why agriculture and food industry in
Kazakhstan
The share of GVA of agriculture and
the food manufacturing in Kazakhstan GVA
Percent
Kazakhstan is the 9th largest country in the world
Russia
China
Kazakhstan
~20% of the
employed population
are engaged in
agriculture or food
manufacturing
Over 210 m ha of
agricultural land
The 9th-largest
country in the world
Are agricultural
in Kazakhstan
>80%lands
Agriculture and food manufacturing are
one of the most important sectors of
Kazakhstan’s economy
7.1
2014
7.4
2012 13
7.3
Total contribution
to the country's
GVA
>7%
Employment structure of Kazakhstan
2015, percent
Almost 1 in 5 citizens of Kazakhstan
working in agriculture or the food
manufacturing
1981
Share of the employed
population engaged
in agriculture or food industry
14
WHYAGRICULTUREANDFOODMANUFACTURINGINKAZAKHSTAN
Source: Committee on Statistics of the Ministry of National Economy of Kazakhstan, nternational Society for Horticultural Science, Ministry of Agriculture of
Kazakhstan, Ministry for Investments and Development of the Republic of Kazakhstan, KazAgro, National Bank of Kazakhstan, UN Comptrade, FAOSTAT

15. The total area under agricultural crops is
over 20 m ha (2015)
21.0
2015
+14%18.4
2005
Total area under agricultural crops
M ha
About 50 varieties of different crops grow in
Kazakhstan, and according to the International
Society for Horticultural Science, cultivated
apples have originated in Kazakhstan
1 Estimated
2 Estimate based on the analysis of the balance of resources (production, export, import), as well as retail and wholesale sales
3 Over the last available year
In 2015, the consumption of agricultural and food products
in Kazakhstan totalled over USD 35 bn1. Consumption grew
on average at an annual rate of over 5% (2010-15) with
imports remaining high
6
7
16
20
15
36
Main types of food products consumed in Kazakhstan2
2015, percent
Milk and dairy
products
Meat and fish
Fresh and processed
fruit and vegetables
Other
Fats and oils
Flour and cereals
Kazakhstan is situated between Russia and China,
some of the largest importers of agricultural and
food products
USD >38bn
Oilseeds imported by
China in 2015
USD 13bn
Fresh fruit imported
by China in 2015
USD 7bn3
Dairy products imported
by China in 2015
USD ~11bn
Fresh vegetables and
fruit imported by Russia
USD ~4 bn
Dairy products
imported by Russia
USD 1bn
Russian imports of
oilseedsRussia
China
Only about 25% of agricultural products produced in
Kazakhstan undergo further processing, the majority
of processed foods are imported
The main food products consumed by Kazakhstan’s
population are dairy products, flour and cereals,
meat products, fresh and processed fruit and
vegetables, fats and oils
It is assumed that the seeds of Kazakh apples were
transported along the ancient Silk Road and
were later distributed all over the world where they
adapted to local climate conditions
15Source: Committee on Statistics of the Ministry of National Economy of Kazakhstan, nternational Society for Horticultural Science, Ministry of Agriculture of
Kazakhstan, Ministry for Investments and Development of the Republic of Kazakhstan, KazAgro, National Bank of Kazakhstan, UN Comptrade, FAOSTAT

16. Foreign direct investment (FDI) in
Kazakhstan’s agriculture and food
industry
0.2
2012
0.3
0.1
2011 2013 2014 20151
1.7
0.4
1 Based on the average share of GVA PP sector in the total GVA (growth, taking into account the effect of adjusting the rate of tenge and increased FDI)
Share of the agriculture and food industry FDI in the agriculture and food industry GVA
Percent
Over the last few years the foreign direct investments in the agriculture and food industry have
grown significantly and over the last 5 years they made up over USD 1.3 bn
Examples of successful investments of global companies
▪ Danone Group is a leading
global producer of dairy
products, health products,
and mineral water
▪ Danone launched an own
plant in Kazakhstan to
produce about 50 varieties
of dairy products. Today,
the plant employs more
than 300 people
▪ Lotte Group is the largest
South Korean conglomerate
engaged in food industry,
retail trade, tourism, and
other sectors
▪ LOTTE acquired the
majority stake of Rakhat
JSC, one of the largest
confectionary producers of
Kazakhstan. At present,
their products are sold in
Kazakhstan, Russia, China,
Central Asia, and Europe
▪ Lactalis is the 2nd largest
European producer of dairy
products and the 15th largest
agricultural and food group in
the world
▪ Lactalis acquired
FoodMaster International’s
production in Kazakhstan.
The company has 3 plants,
16 retail units, and 2 own
dairy farms. It is the leading
producer of dairy products in
Kazakhstan
Production capacity –
12,000 t p.a.
Production capacity –
50,000 t p.a.
Production capacity –
500 t per day
Production capacity –
700 m liters per year
In Kazakhstan since
2010
In Kazakhstan since
2013
In Kazakhstan since
2004
In Kazakhstan since
2006
Investments of over
USD 19 m
Investments of over
USD 16 m
Investments of over
USD 46 m
Investments of over
USD 300 m
▪ Coca-Cola İçecek is part of
Coca-Cola Group and the
5th-largest plant producing
Coca-Cola soft drinks in
terms of sales volume
▪ Coca-Cola Içecek launched
its first plant of soft drinks in
Almaty in 2006 and the 2nd
in Astana in 2016
16
WHYAGRICULTUREANDFOODMANUFACTURINGINKAZAKHSTAN
Source: Committee on Statistics of the Ministry of National Economy of Kazakhstan, nternational Society for Horticultural Science, Ministry of Agriculture of
Kazakhstan, Ministry for Investments and Development of the Republic of Kazakhstan, KazAgro, National Bank of Kazakhstan, UN Comptrade, FAOSTAT

17. 1 List of priority activities eligible for investment projects benefits can be found at the Web site of the Ministry for Investment and Development of the Republic of Kazakhstan
2 Only PRIORITY investment projects may enjoy these preferences (a project implemented on certain priority activities (metallurgy; chemical industry; petrochemical industry; machine building;
production of building materials; food industry) and involving investment of at least 2-millionfold monthly calculation index – KZT 2,121 (2016)
3 The mentioned benefits do not depend on the volume of investment and are provided for the whole SEZ lifetime
4 For the period before commissioning and 1 year after commissioning of the subject of investment activity
Additional information is available on the Web site of the Investment Committee of the Ministry for Investments and Development of Kazakhstan
(http://invest.mid.gov.kz/)
Preferences in special economic zones3 (SEZ)
▪ Free plot of land
▪ Available infrastructure
▪ SEZ management body in place –
coordination and support of all internal processes
(land, utilities, permits, etc.)
▪ Visa-free entry for citizens of 19 countries
Production
migration
benefits
Tax preferences
Investment contract1 preferences
▪ The right to employ foreign labor without
quotas or permits2,4
▪ Visa-free entry for citizens of 19 countries
▪ Corporate income tax
(CIT)2 – 0%
▪ Land tax – 0%
▪ Property tax – 0%
▪ Value added tax (VAT) – 0%
▪ Corporate income tax
(CIT)2 – 0% for 10 years
▪ Land tax2 – 0% for 10 years
▪ Property tax2 – 0% for 8 years
▪ In-kind grants of up to 30% of investment in
fixed assets
▪ Compensation of up to 30% of investment in
construction and assembly works and
equipment2
▪ Zero import duties on
– Equipment and components
– Spare parts
– Raw materials
▪ Zero duties on goods imported to SEZ
Customs
preferences
Additional
The development of the agriculture and food industry is a strategic priority for Kazakhstan.
Kazakhstan has a wide range of preferences for international investors within SEZs (special economic
zones), investment contracts, government investment programs, and sector-specific preferences
State support and preferences
for investors
17Source: Committee on Statistics of the Ministry of National Economy of Kazakhstan, nternational Society for Horticultural Science, Ministry of Agriculture of
Kazakhstan, Ministry for Investments and Development of the Republic of Kazakhstan, KazAgro, National Bank of Kazakhstan, UN Comptrade, FAOSTAT

18. Sector preferences for investors
as subsidies and other benefits
Subsidies to cover the cost of mineral fertilizers and herbicides
Subsidies to cover the cost of water supply services
Subsidies to cover the expenses related to creating and developing
irrigation systems
Subsidies to cover the expenses related to purchasing raw materials
Insurance subsidies related to crop farming
Recovery of certain expenses associated with export of local
products
Investment subsidies
Grants of up to 30% for investments in fixed assets incl. incurred
costs related to construction, equipment assembly, and purchase
Subsidies on remuneration rates related to loans and leasing
Tax benefits for certain types of production
Sector preferences
for investors as loans
Leasing of agricultural equipment
Loans for certain types of capital expenditure
Loans for spring irrigation and harvesting
Loans for farmers' cooperatives
Linking of lending to agricultural producers to the utilization of
processing facilities
SME microlending
External loans
For details, see the Web site of the Investments Committee of the Ministry for
Investment and Development of the Republic of Kazakhstan http://invest.mid.gov.kz/
and the Web site of the Ministry of Agriculture of the Republic of Kazakhstan
www.mgov.kz/
For details, see the Web site of the KazAgro National Management Holding
http://www.kazagro.kz/ and the Web site of the Ministry of Agriculture of the Republic
of Kazakhstan www.mgov.kz/
Livestock
Subsidies for productivity and quality improvement
Subsidies to cover certain feed-related expenses
Subsidies to cover certain production-related expenses
Subsidies to cover certain expenses related to purchasing
pedigree cattle
Dairy products
Subsidies on creating and developing commercial dairy farms
Subsidies to cover expenses related to creating and
developing companies engaged in processing, procurement,
and transportation of milk and dairy products
Subsidies to cover certain feed-related expenses
Subsidies to cover certain expenses related to purchasing
pedigree cattle
Cereals
Subsidies on seed farming
Subsidies to cover expenses related to
creating and developing companies
engaged in cereal processing and storage
Lending against cereal receipts
Subsidies for molasses production
Vegetables and fruit
Subsidies for establishing intensive
horticultural crops and grapes orchards and
vineyards
Subsidies to cover expenses related to
creating and developing companies
engaged in fruit and vegetable processing
and storage
Subsidies for certain production-related
expenses, including greenhouse expenses
Oil-bearing crops
Subsidies for creating and developing
companies engaged in advanced
processing of oil-bearing crops
Subsidies for developing companies
engaged in fat-and-oil production
Subsidies to cover expenses related to
creating and developing companies
engaged in processing and storage of fat-
and-oil products
18
WHYAGRICULTUREANDFOODMANUFACTURINGINKAZAKHSTAN
Source: Committee on Statistics of the Ministry of National Economy of Kazakhstan, nternational Society for Horticultural Science, Ministry of Agriculture of
Kazakhstan, Ministry for Investments and Development of the Republic of Kazakhstan, KazAgro, National Bank of Kazakhstan, UN Comptrade, FAOSTAT

19. Attractive investment
opportunities
19

20. ATTRACTIVEINVESTMENTOPPORTUNITIES
Note: USD 1 = KZT 221.73 (2015); USD 1 = KZT 342.80 (H1, 2016)
~30%
Of the milk
produced in
Kazakhstan is
further processed
~15%
Weakening of
the tenge against
the ruble, 2015-16
993
709
2020
1,075
20162011
Consumption
Kt
10
22
27
33
42Milk, cream
Cheeses and
cottage cheese
Condensed milk
Dry milk
Butter
Share of imports in consumption, 2014
Percent, 100% = 954 Kt
9 Russia
96 Russia, Belarus, France
51 Russia
40 Russia, Ukraine
79 Russia
Imports by key product categories, 2014
Kt
Share of imports in
consumption, 2014
Percent Major importer in Kazakhstan
2012 2015
5 1824 852
Access to the growing domestic market of Kazakhstan with a high share of imports
Availability of raw materials
22%
Raw milk production
Kt
Cattle livestock structure by farm
types
Competitive cost of
raw materials
Comparison of raw milk production price
excl. transport costs
USD per ton, 2015
337
350
Russia
Kazakhstan
Agricultural enterprises
5
House-holds
20
75
Farms
The historical annual
growth rate
(2011-15)
+10%
The projected annual
growth rate
(2016-20)
+2%
Kazakhstan
market volume
in 2015
USD 1.8bn
Kazakhstan
market potential
by 2020
Dairy products
Production of a wide range of dairy products, e.g., butter, cottage cheese, yogurt, kefir, cheeses, etc.,
for Kazakhstan’s domestic market with the potential for import substitution
and meeting unsatisfied demand
Key drivers
USD 2.9bn
20

21. Source: Committee on Statistics of the Ministry of National Economy of Kazakhstan, National Bank of Kazakhstan, Federal Service of National Statistics of Russia, Ministry of
Agriculture of Kazakhstan, KazAgro, NCE Atameken, Euromonitor, UN Comptrade
Main costs (2015)
USD 275The average monthly wage in
agriculture in Kazakhstan
USD 390The average monthly wage in
food industry in Kazakhstan
USD 70The average price of electricity in
Kazakhstan for 1,000 kWh
USD 20The average price for hot water
in Kazakhstan for 1 Gcal
Market perspectives
USD 1.8bn
Kazakhstan's domestic
market in 2015
Consumption of milk and dairy
products per capita
Kg/person, 2014
Turkey
55
Russia 67
41
Kazakhstan
Italy 76
~20%Share of imports in
dairy consumption
4large players
With over 5% share of
the domestic market
incl. Danone and
Lactalis
USD 2.9bn
Kazakhstan potential
domestic market size
by 2020 due to growing
unsatisfied demand
Access to resources
~5Mt
Production of raw milk
~5%Average annual growth of cattle
livestock (2013-15)
Examples of major
manufacturers
in the segment
Lactalis Group
LLP Agroprodukt
Aseptic
Danone Group
JSC Eurasian
Foods Corp.
Foreign
participationFragmented
market in
Kazakhstan’s
dairy segment
Raw milk cost is competitive with the costs of key
producers and importers in Kazakhstan
Potential location
11 regions which are the most attractive for producing milk and dairy products due to favorable
climatic conditions and established production base
Business considerations
Production of milk-bearing
cattle
Roads Transport and logistics
hubs
PortRailways Airport
300 km
Astana
Aktyubinsk
Taraz
Karaganda
Shymkent
Pavlodar
Kyzylorda
Aktau
Taldykorgan
Turkestan
Kulsary
Aralsk
Baikobur
Arkalyk
Arys
Chardara
Zhetysai
Shu
Kapchagai
Aksu
Temirtau
Shakhtinsk
Balkhash
Atyrau
Uralsk
Khromtau
Abay
Lisakovsk
Talgar
Shalkar Zhezkazgan
Satpayev
Aksai
Almaty
Kostanay
Petropavlovsk
Kokshetau
Zhanaozen
Rudny
Kandyagash
Zhitikara
Kentau
Taiynsha
Atbasar
Stepnogorsk
Щучинск
Kaskelen
Ekibastuz
Ust-Kamenogorsk
Ayaguz
Semey Ridder
Zyryanovsk
Zharkent
Tekeli
JOINT
VENTURE
GREENFIELD
PRODUCTION
FACILITY
OR
Over 1 m people
0.5-1 m people
100,000-500,000 people
Less than 100,000 people
Urban population
21

22. ATTRACTIVEINVESTMENTOPPORTUNITIES
Note: USD 1 = KZT 221.73 (2015); USD 1 = KZT 342.80 (H1, 2016)
Large fruits Grapes
66
32
2
37
51
12
Fruit imports to Kazakhstan, 2015
Volume Kt
Access to the growing Kazakhstan market with a high share of imports, access to the
growing Russian market
Favorable
weather
conditions,
availability of
cultivated and
irrigated land
Competitive production price
Production price, 2015
USD per ton
China
Belarus
Poland
8
40
17
Other
35
Apricots
Nuts 11
Persimmons
Other 57
8
Cherries
24
628
Dried fruit and nut mixes
Apples
Bananas
Citrus fruits 82
47
Imports
127
86
Peaches and nectarines 37
142Grapes
6
981937895
1,1261,075
162015 18
+5% p. a.
1,027
20201917
Projected fruit consumption
Kt
51
107
129China
Kazakhstan
Turkey
Overview of apple imports
in Russia, 2014
Percent, 100% = USD 620 m
Market in
Kazakhstan
in 2015
USD 0.9bn
Potential market
in Kazakhstan
in 2020
310
569
772China
Kazakhstan
Poland
511
867
Kazakhstan
Uzbekistan
The structure of the GVA of
Kazakhstan, 2015
Percent
Apples
Grapes
Households
Farms
Agricultural enterprises
Raw fruit
Production of raw fruit for Kazakhstan's domestic market with the potential for import substitution,
meeting the growing unsatisfied demand, and exports to Russia
Key drivers
Consumption of fruit per
capita, 2015
Kg/person
USD 1.2bn
22

23. Main costs (2015)
USD 275The average monthly wage in
agriculture in Kazakhstan
USD 390The average monthly wage in
food industry in Kazakhstan
USD 70The average price of electricity in
Kazakhstan for 1,000 kWh
USD 20The average price for hot water
in Kazakhstan for 1 Gcal
43
92
287
157
30
172016 1918 2020
Market perspectives
~70%
Share of imports in raw fruit
consumption
USD 0.9bn
In 2015 Kazakhstan market
volume
USD 1.2bn
Kazakhstan's domestic market
potential by 2020 due to growing
unsatisfied demand
Access to resources
~0.5m ha
Cultivated land for
fruit and vegetables
1.5m ha
Irrigated land
available
+0.6m ha
Additional by 2020
USD 2.9bn
Imports of apples to Russia
in 2015
Commissioning plan for irrigated land
Thousand ha
35tons from 1 ha
Yield apples
20tons from 1 ha
Yield grapes
Potential location
5 regions that are most attractive for fruit production due to favorable climatic conditions
Business considerations
Transport and
logistics hubs
Railways
Roads Port
Airport
Fruit and vegetable
storage facilities
Production of fruits
300 km
Astana
Aktyubinsk
Taraz
Karaganda
Shymkent
Pavlodar
Kyzylorda
Aktau
Taldykorgan
Turkestan
Kulsary
Aralsk
Baikobur
Arkalyk
Arys
Chardara
Zhetysai
Shu
Kapchagai
Aksu
Temirtau
Shakhtinsk
Balkhash
Atyrau
Uralsk
Khromtau
Abay
Lisakovsk
Talgar
Shalkar Zhezkazgan
Satpayev
Aksai
Almaty
Kostanay
Petropavlovsk
Kokshetau
Zhanaozen
Rudny
Kandyagash
Zhitikara
Kentau
Taiynsha
Atbasar
Stepnogorsk
Щучинск
Kaskelen
Ekibastuz
Ust-Kamenogorsk
Ayaguz
Semey Ridder
Zyryanovsk
Zharkent
Tekeli
▪ Modern farms in Kazakhstan demonstrate
high yield
▪ Potential of exporting fruit to Russia
Over 1 m people
0.5-1 m people
100,000-500,000 people
Less than 100,000 people
Urban population
JOINT
VENTURE
GREENFIELD
PRODUCTION
FACILITY
OR
Source: Committee on Statistics of the Ministry of National Economy of Kazakhstan, National Bank of Kazakhstan, Ministry of Agriculture of Kazakhstan, KazAgro, NCE Atameken,
National Development and Reform Commission of China, Institute of Agricultural and Food Economics Poland, Euromonitor, UN Comptrade
23

24. ATTRACTIVEINVESTMENTOPPORTUNITIES
Note: USD 1 = KZT 221.73 (2015); USD 1 = KZT 342.80 (H1, 2016)
Vegetable imports to Kazakhstan, 2015
Volume tons
Access to the growing Russian market with a high share of imports, access to the
growing Kazakhstan market
Favorable
weather
conditions,
availability of
cropped and
irrigated land
Competitive production price
35
Turkey
52
China
Other
13
Imports 520
65
Peppers
Potatoes 77
165
Tomatoes
15
10
69
Cucumbers and pickles
Onions and garlic
Cabbages
35
3
Carrots, turnips, beets 82
Other vegetables
Eggplants
+1% p. a.
202019
2,2782,255 2,301
1817
2,189
16
2,233
2015
2,211
Projected potato consumption in
Kazakhstan
Kt
556539523507492477
2015 1716 18 19 2020
+3% p. a.
Projected tomato consumption in
Kazakhstan
Kt
Vegetables, incl. tomatoes Potatoes
64
4
32
72
23
5
Production price, 2015
USD per ton
443
450Kazakhstan
China
GVA structure, 2015
Percent
Tomatoes
Households
Farms
Agricultural enterprises
~47%
Weakening of
the tenge against
the yuan, 2015-16
96tons for 1 ha
Potential yield
of tomatoes
Raw vegetables
Production of raw vegetables for exports to Russia and for Kazakhstan's domestic market with
potential for import substitution
Key drivers
Overview of tomato imports
in Russia, 2015
Percent, 100% = USD 620 m
Market in
Kazakhstan in 2015
USD 650mn
Potential market
in Kazakhstan in 2020
USD 700mn
24

25. Market perspectives Access to resources
43
92
287
157
30
17 182016 202019
Plan for the introduction
of new irrigated lands
Thousand ha
+0.6 m ha
Additional by 2020
~1,000ha
Current area of
greenhouses
153
373
441
164
967
2010
Agricultural
enterprises
Farms
2015
Households
Greenhouse area
Ha
+43%
USD 650m
Market in Kazakhstan
in 2015
~10%
the share of imports
in the consumption
of raw vegetables
USD 700m
Potential market by
2020 because of the
growing unmet demand
USD 670m
Imports of tomatoes
to Russia in 2015
Potential location
14 areas that are most attractive for vegetable production due to favorable climatic conditions
Business considerations
Transport and
logistics hubs
Railways
Roads Port
Airport
Fruit and vegetable
storage facilities
Production of vegetables
300 km
Astana
Aktyubinsk
Taraz
Karaganda
Shymkent
Pavlodar
Kyzylorda
Aktau
Taldykorgan
Turkestan
Kulsary
Aralsk
Baikobur
Arkalyk
Arys
Chardara
Zhetysai
Shu
Kapchagai
Aksu
Temirtau
Shakhtinsk
Balkhash
Atyrau
Uralsk
Khromtau
Abay
Lisakovsk
Talgar
Shalkar Zhezkazgan
Satpayev
Aksai
Almaty
Kostanay
Petropavlovsk
Kokshetau
Zhanaozen
Rudny
Kandyagash
Zhitikara
Kentau
Taiynsha
Atbasar
Stepnogorsk
Щучинск
Kaskelen
Ekibastuz
Ust-Kamenogorsk
Ayaguz
Semey Ridder
Zyryanovsk
Zharkent
Tekeli
Efficient greenhouse production in Kazakhstan
due to the availability of low-cost energy
sources and a large number of sunny days
(more than 50% of greenhouse expenses are
energy expenses, and natural solar energy is
one of the lowest cost energy sources)
Over 1 m people
0.5-1 m people
100,000-500,000 people
Less than 100,000 people
Urban population
JOINT
VENTURE
GREENFIELD
PRODUCTION
FACILITY
OR
Main costs (2015)
USD 275The average monthly wage in
agriculture in Kazakhstan
USD 390The average monthly wage in
food industry in Kazakhstan
USD 70The average price of electricity in
Kazakhstan for 1,000 kWh
USD 20The average price for hot water
in Kazakhstan for 1 Gcal
~0.5m ha
Cultivated land for
fruit and vegetables
1.5m ha
Irrigated land
available
Source: Committee on Statistics of the Ministry of National Economy of Kazakhstan, National Bank of Kazakhstan, National Development and Reform Commission of China, Ministry
of Agriculture of Kazakhstan, KazAgro, NCE Atameken, Euromonitor, UN Comptrade
25

26. ATTRACTIVEINVESTMENTOPPORTUNITIES
Note: USD 1 = KZT 221.73 (2015); USD 1 = KZT 342.80 (H1, 2016)
~47%
Weakening of
the tenge against
the yuan, 2015-16
Access to the growing Kazakhstan market with a large share of imports (e.g., share of
imports in processed vegetables1 ~82%); access to the growing Russian market
Resource balance in 2014
Kt
Projected consumption
Kt
Consumption 224
Exports 25
229
Production 19
Imports
252247242238233228224
2014 171615 1918 2020
+2% p. a.
The production price of raw tomato 2015
USD per tons
443
450
China
Kazakhstan
Italy
Other China
26
11 63
Overview of main tomato
paste exporters to Russia
Percent, 2015
Availability of raw materials Competitive production price
Over 9Mt
Fruit and vegetables
produced annually
Competitive production price
compared to that of major
importers in Kazakhstan
and Russia
Processed fruit and vegetables
Production of processed fruit and vegetables, e.g., canned or frozen fruit and vegetables, fruit and
vegetable pastes, vegetable sauces, purees, juices, concentrates, and other for Kazakhstan's domestic
market with the potential for import substitution, as well as for exports to Russia
Key drivers
Market in
Kazakhstan
in 2015
USD 0.7bn
Potential market
in Kazakhstan
in 2020
USD 1.4bn
1 Excluding potatoes
26

27. Main costs (2015)
USD 275The average monthly wage in
agriculture in Kazakhstan
USD 390The average monthly wage in
food industry in Kazakhstan
USD 70The average price of electricity in
Kazakhstan for 1,000 kWh
USD 20The average price for hot water
in Kazakhstan for 1 Gcal
Market perspectives
Access to resources
Consumption of processed fruit and vegetables per capita
Kg/person, 2015
13
23
36
39
+117%
Germany
Canada
Ø 28
Kazakhstan
USA
~82%
The share of imports in processed
vegetables, except potatoes
USD ~0.2bn
Imports of tomato paste to Russia
in 2015
Over 9m tons
Fruit and vegetables
produced in Kazakhstan
Potential location
14 regions that are most attractive for vegetable production and 5 areas which
are most attractive for fruit production due to favorable climatic conditions
Business considerations
Кентау
300 km
~0.5m ha
Cultivated land for fruit
and vegetables
Astana
Aktyubinsk
Taraz
Karaganda
Shymkent
Pavlodar
Kyzylorda
Aktau
Taldykorgan
Turkestan
Kulsary
Aralsk
Baikobur
Arkalyk
Arys
Chardara
Zhetysai
Shu
Kapchagai
Aksu
Temirtau
Shakhtinsk
Balkhash
Atyrau
Uralsk
Khromtau
Abay
Lisakovsk
Talgar
Shalkar Zhezkazgan
Satpayev
Aksai
Almaty
Kostanay
Petropavlovsk
Kokshetau
Zhanaozen
Rudny
Kandyagash
Zhitikara
Kentau
Taiynsha
Atbasar
Stepnogorsk
Щучинск
Kaskelen
Ekibastuz
Ust-Kamenogorsk
Ayagu
z
Semey Ridder
Zyryanovsk
Zharkent
Tekeli
Transport and
logistics hubs
Railways
Roads Port
Airport
Fruit and vegetable
storage facilities
Production of vegetables
Production of fruit
and vegetables
Production of fruit
▪ Low proportion of local production
▪ Potential for export of vegetables to Russia
Over 1 m people
0.5-1 m people
100,000-500,000 people
Less than 100,000 people
Urban population
JOINT
VENTURE
GREENFIELD
PRODUCTION
FACILITY
OR
USD 0.7bn
Market in Kazakhstan
in 2015
USD 1.4bn
Potential market by
2020 because of the
growing unmet demand
Source: Committee on Statistics of the Ministry of National Economy of Kazakhstan, National Bank of Kazakhstan, National Development and Reform Commission of China, Ministry
of Agriculture of Kazakhstan, KazAgro, NCE Atameken, Euromonitor, UN Comptrade
27

28. ATTRACTIVEINVESTMENTOPPORTUNITIES
Note: USD 1 = KZT 221.73 (2015); USD 1 = KZT 342.80 (H1, 2016)
Availability of cultivated land. Competitive cost of oilseeds
and vegetable oils in Kazakhstan compared to China
Access to Kazakhstan's domestic market with a high share of imports, and access to
China's growing market of oilseeds, vegetable oil products, and fat-and-oil products
Oilseeds resource balance
Kt, 2014
Vegetable oil resource balance
Kt, 2014
573
1,016
41
Exports
Production 1,548
Consumption
Imports 119
48
329
Imports
Consumption 400
Exports
Production
122
239 211
256
12
352
248
(67%)
371
2011
113
(32%)
Production
13
144
(36%)153
(42%)
400
364
Imports
2014
Vegetable oil imports
Mt, (percent of the total consumption)
Total oilseed consumption in China
Mt, (percent of the total consumption)
2014-15 2015-16
57
105
(65%)
2013-14
56
162
59
167162
Production
103
(64%)
111
(67%)
Imports
Oilseeds and fat-and-oil products
Key drivers
Production of vegetable oils for the domestic market with potential for import substitution, and
production of oilseeds incl. sunflower, rapeseed, soybean, flax and safflower seeds, and of vegetable
oils for exports to China
Market in
Kazakhstan
in 2015
> USD 0.7bn
Potential market
in Kazakhstan
in 2020
~ USD 1bn
China's imports
of oilseeds
~ USD 38bn
28

29. Main costs (2015)
USD 275The average monthly wage in
agriculture in Kazakhstan
USD 390The average monthly wage in
food industry in Kazakhstan
USD 70The average price of electricity
in Kazakhstan for 1,000 kWh
USD 20The average price for hot water
in Kazakhstan for 1 Gcal
Market perspectives
USD 0.7bn
Kazakhstan's vegetable oils
market size in 2015
~30%
Share of imports in vegetable
oils consumption
1.0bn USD
Potential market of Kazakhstan
in 2020 due to the growing
unmet demand
Access to resources
2.3m ha
Cultivated lands for oil-
seeds in Kazakhstan
<20%
The share of the largest market
player in Kazakhstan’s
fragmented market
+3%
Annual market growth, 2012-15
in China
~USD 38bn
Import of oilseeds to the Chinese
market in 2015
~USD 0.2bn
Imports of fat-and-oil products to
the Chinese market in 2015
1.5m ha
Irrigated lands
available
+0.6m ha
Additional by 2020
665
2,300
2004 2014
Cultivated lands
for oilseeds
Thousand ha
1.6m tons
Oil seeds produced
in Kazakhstan
Potential location
11 regions that are most attractive for oilseed production due to favorable climatic conditions
Business considerations
300 km
Production of oilseeds
Roads Transport and logistics
hubs
PortRailways Airport
Astana
Aktyubinsk
Taraz
Karaganda
Shymkent
Pavlodar
Kyzylorda
Aktau
Taldykorgan
Turkestan
Kulsary
Aralsk
Baikobur
Arkalyk
Arys
Chardara
Zhetysai
Shu
Kapchagai
Aksu
Temirtau
Shakhtinsk
Balkhash
Atyrau
Uralsk
Khromtau
Abay
Lisakovsk
Talgar
Shalkar Zhezkazgan
Satpayev
Aksai
Almaty
Kostanay
Petropavlovsk
Kokshetau
Zhanaozen
Rudny
Kandyagash
Zhitikara
Kentau
Taiynsha
Atbasar
Stepnogorsk
Щучинск
Kaskelen
Ekibastuz
Ust-Kamenogorsk
Ayagu
z
Semey Ridder
Zyryanovsk
Zharkent
Tekeli
Over 1 m people
0.5-1 m people
100,000-500,000 people
Less than 100,000 people
Urban population
JOINT
VENTURE
GREENFIELD
PRODUCTION
FACILITY
OR
Source: Committee on Statistics of the Ministry of National Economy of Kazakhstan, National Bank of Kazakhstan, report of the U.S. Department of Agriculture on foreign agricultural
services, Ministry of Agriculture of Kazakhstan, KazAgro, NCE Atameken, Euromonitor, UN Comptrade
29

30. ATTRACTIVEINVESTMENTOPPORTUNITIES
Note: USD 1 = KZT 221.73 (2015); USD 1 = KZT 342.80 (H1, 2016)
Sugar resource balance in Kazakhstan
Kt, 2014
Gluten consumption by industry
Kt p.a.
Access to the growing GFS sweeteners market in Kazakhstan and the growing gluten
market in the Middle East
170 167 169 171 176 181 188
199 203 207 213 220 229 239
13
388 396 409
2017П 2018П20162015
11
381
1412
424
12
Sweetened soda
2020П
442
Juices
15
2019П2014
11
379
3%
2%
7%
Projected CAGR
Percent, 2015-20
3%
33%
41%
1,030
4%
11%
10%
2012
61%
820 45%
27%
9%
2005
52%
Baking
4%
Aquaculture
2015
Pet food
1,230
Other
165
515
350
Imports
Exports
Production
3
Consumption
Wheat resource balance in Kazakhstan, 2014
Kt
Availability of raw materialsCompetitive cost of raw
materials
~47%
Weakening of
the tenge against
the yuan, 2015-16
The production
price of flour, 2015
USD per tons
432
489China
Kazakhstan
12,996
Imports
Production
11
13,007Consumption
Exports 4,208
Energy drinks
Production of sweetened drinks
Thousand liters
Review of the main buyers of Chinese gluten
Derivatives of processed wheat
and other cultures such as starch
and gluten
Production of derivative products of wheat, potato, soy, and other cultures, such as starch and
sweeteners as glucose-fructose syrup (GFS) for use as sugar substitutes in Kazakhstan's domestic
market, and such as gluten for potential exports to Europe and the Middle East
Key drivers
Saudi Arabia, Yemen, Oman, Australia, Singapore,
Malaysia, Vietnam, Korea, Norway, and other
European countries
The volume of the GFS
market of Kazakhstan
in 2015
USD >130m
The volume of wheat
gluten imports to the
Middle East and European
markets in 2015
USD 2.6bn
30

31. Main costs (2015)
USD 275The average monthly wage in
agriculture in Kazakhstan
USD 390The average monthly wage in
food industry in Kazakhstan
USD 70The average price of electricity in
Kazakhstan for 1,000 kWh
USD 20The average price for hot water
in Kazakhstan for 1 Gcal
Market perspectives
USD 130mn
The GFS sweeteners market in
Kazakhstan in 2015
~30%
Share of imports in sugar
consumption
USD 160mn
Potential of the GFS sweeteners
market in Kazakhstan
Access to resources
~13Mt
Availability of raw
materials of wheat
Competitive production price of wheat and
flour compared to that of major
manufacturers in Kazakhstan and Russia
USD 2.6bn
The volume of wheat gluten
imports to the Middle East and
European markets in 2015
+4%
Average market growth in
the Middle East and Europe
+0.6m ha
Additional by 2020
1,5ha
Availability of irrigated
lands
~3.5Mt
Flour produced in
Kazakhstan
Potential location
11 regions that are most attractive for wheat production due to favorable
climatic conditions
Availability of grain elevators almost in every region for potential cultivation
Business considerations
300 km
Elevators
Production of wheat
Roads Transport and logistics
hubs
PortRailways Airport
Over 1 m people
0.5-1 m people
100,000-500,000 people
Less than 100,000 people
Urban population
JOINT
VENTURE
GREENFIELD
PRODUCTION
FACILITY
OR
Source: Committee on Statistics of the Ministry of National Economy of Kazakhstan, National Bank of Kazakhstan, National Development and Reform Commission of China, Ministry
of Agriculture of Kazakhstan, KazAgro, NCE Atameken, Euromonitor, UN Comptrade
31

32. ATTRACTIVEINVESTMENTOPPORTUNITIES
Note: USD 1 = KZT 221.73 (2015); USD 1 = KZT 342.80 (H1, 2016)
Key drivers
Meat production by types of farms
Kt, 2015
In farms and small household farms in
Kazakhstan, cattle and other livestock species
are primarily kept and fed on natural pastures.
The meat of these animals is non-GMO
Horsemeat
101
73%
2%
73%
25%
Lamb
144
25%
2%
Beef
417
75%
19%
7%
Meat production by types of farms
Thousand heads
Positive trends in the growth in number of all types of livestock
Production of meat products for consumption in the domestic market and for export to China and
Russia
Meat products
6,033
2013 14
+2.8%
p.a.
2015
6,1845,851
~180m ha
Area of pasture
lands in
Kazkahstan in
2014
According to the data of the Ministry
of Agriculture of Kazakhstan, the
cost of pasture-fed and pasture-fed
beef in Kazakhstan is:
~110,000 tenge/ton
or
~500 USD/ton
Competitive cost of pasture-fed cattle
2,999
+4.7%
p.a.
201514
2,835
2013
2,735
+1.3%
p.a.
18,016
14
17,915
2013
17,561
2015 2015
+7.7%
p.a.
14
1,938
1,785
2,070
2013
171166161
2015142013
+2,9%
p.a.
Cattle Including cows Sheep and goats Horses Camels
According to the Ministry of Agriculture of
Kazakhstan, Kazakhstan developed a broad plan
and strategic road map for the development and
promotion of Kazakhstan's meat brand "KazMeat"
Farms
Households
Agriculture enterprises
32

33. Potential location
13 regions that are most attractive for meat production
300 km
Production
specialization on meat
Presence of processing
plants in the region
Presence of feedlots in
the region
Market perspective
USD ~2,3bn
Volume of imports of
cattle to China in 20151
Access to the resources
~180m ha
Pasture lands in Kazakhstan in 2014
According to estimates of the Ministry of
Agriculture of Kazakhstan, consumers in
China are willing to pay 40% more for
branded, organic, pasture-fed beef
Business considerations
USD ~1,5bn
Volume of imports of cattle
to Russia in 20151
USD ~4 bn
Meat production in
Kazakhstan in 20151
Development of a Kazakhstan
meat brand
The wealth of nomads
LCsRailways Airports
Roads Ports
Aksai
Aktyubinsk
Taraz Almaty
Shymkent
Kyzylorda
Aktau
Turkestan
Kandyagash
Aralsk
Arkalyk
Arys
Chardara
Zhetysai
Shu
Kapchaga
y
Ayagoz
Atbasar
Temirtau
Shakhtinsk
Balkhash
Semey
Atyrau
Khromtau
Lisakovsk
Talgar
Shalkar ZhezkazganSatpayev
Astana
Ust-Kamenogorsk
Karaganda
Pavlodar
Kostanai
Petropavlovsk
Kokshetau
Taldykorgan
Zhanozen
Ekibastuz
Rudni
Kulsary
Baikonur
Zhitikara
Kentau
Zharkent
Tekeli
Aksu
Taiynsha
Stepnogorsk
Uralsk
Abai
Schuchins
k
Ridder
Zyryanovsk
Kaskelen
1 Based on assessments of the Ministry of Agriculture
Over 1 m people
0.5-1 m people
100,000-500,000 people
Less than 100,000 people
Urban population
JOINT
VENTURE
GREENFIELD
PRODUCTION
FACILITY
OR
Main costs (2015)
USD 275The average monthly wage in
agriculture in Kazakhstan
USD 390The average monthly wage in
food industry in Kazakhstan
USD 70The average price of electricity in
Kazakhstan for 1,000 kWh
USD 20The average price for hot water
in Kazakhstan for 1 Gcal
Source: Ministry of Agriculture of Kazakhstan, National Bank of Kazakhstan 33

34. ATTRACTIVEINVESTMENTOPPORTUNITIES
Note: USD 1 = KZT 221.73 (2015); USD 1 = KZT 342.80 (H1, 2016)
Production of organic and
non-GMO products
Meat production by types of farms
Kt, 2015
In farms and small households farms in
Kazakhstan cattle and other livestock species are
primarily kept and fed on natural pastures.
The meat of these animals is non-GMO
Key drivers
73%
25%
2%
Lamb
144
2%
417
75%
Beef
7%
19%
Horse meat
25%
73%
101
Households
Farms
Agriculture enterprises
Production of organic products and products without GMO for consumption in the domestic market and for exports to
China and the EU, incl.
▪ Meat products such as beef, lamb, pork,
horsemeat and other meats
▪ Halal products, such as beef, mutton,
horsemeat, and other meats
▪ Dairy products, such as cow, horse, and camel milk
▪ Oilseeds and oils-and-fats products
▪ Grain and fodder crops
▪ Fruit and vegetables
In 2015, Kazakhstan adopted a law on production of
organic products that is fully in line with the globally
adopted organic market regulation. Within the existing
technical regulations system, there is a separate area of
certification for organic production (in 2015)
"The existence of significant land and other
natural resources, as well as the existence of
a traditional culture of land cultivation without
the extensive use of synthetic fertilizers and
pesticides creates a huge opportunity for the
development of [the organic and non-GMO]
segment of the market"
– UN FAO about Kazakhstan
~68 m ha
Land potential in Kazakhstan for
organic livestock production
~14 m ha Land potential in Kazakhstan for
organic crop production
Production of organics crops
Kt, 2014
Based on Ministry of Agriculture of Kazakhstan estimate
9
48
85
160
Fodder crops
Oilseeds
Grains
Pulses
34

35. Business considerations
Potential location
Specialization by region in Kazakhstan
Market perspective
Access to the resources
~68m ha
For organic livestock
production
According to UN FAO surveys, Kazakhstan
consumers highly value organic products
and 69% of respondents are willing to pay
a higher price for these products
>1,5m ha
Availability of
irrigated lands
~14m ha
For organic crop
production
Organic products export (food and beverages)
USD millions per year
Astana
Aktubinsk
Ust-
Kamenogorsk
Karaganda
Pavlodar
Kostanay
Aktau
Kokshetau
Taldykogan
Semey
Atyrau
Uralsk
Zheskagan
Saratov
Astrahan
230
202
182
385
85
Tashkent
218
705
355
Bishkek
1 534
138
316312
489
332
845
141
209
225
Chelaybinsk
Kurgan
Petropavlovsk
Омск
Taraz
Almaty
Shymkent
Kyzylorda
хх Population,
thousands
Railways
Vegetable
farming
Rice
Vegetable
production
regions
Cotton
Agriculture Melons
Horse-
breeding
Meat and dairy
cattle
Pork
Camels
Sheep
602
761
China
1,197
Spain
Netherlands
Italy 1,832
JOINT
VENTURE
GREENFIELD
PRODUCTION
FACILITY
OR
Main costs (2015)
USD 275The average monthly wage in
agriculture in Kazakhstan
USD 390The average monthly wage in
food industry in Kazakhstan
USD 70The average price of electricity in
Kazakhstan for 1,000 kWh
USD 20The average price for hot water
in Kazakhstan for 1 Gcal
Source: Ministry of Agriculture of Kazakhstan, National Bank of Kazakhstan, UN FAO, FIBL, IFOAM 2016, Euromonitor International, European Central Bank 35

36. KAZNEX INVEST is Kazakhstan’s investment promotion agency and
Unified Coordination Center for development of special economic
zones. It supports foreign companies and private investors that are
interestedinsettingupbusinessinKazakhstanandservestheexisting
foreign investors helping them to expand and develop their business.
HowKAZNEXINVESTcanhelp
Headoffice
2, Kunayev St., 010000,
Astana, Republic
of Kazakhstan
Tel: +7 (7172) 91 90 40,
ext. 1001
Fax: +7 (7172) 91 90 50
info@kaznexinvest.kz
www.kaznexinvest.kz
Call Center of the Investment
Committee of the Ministry for
Investments and Development
oftheRepublicofKazakhstan
Tel: +7 (7172) 75 45 40
callcentre@cominvest.kz
Information
www.invest.gov.kz
36

37. 37