The Ministry of Agriculture of Kazakhstan has developed amendments to the Order on subsidizing the costs of processing enterprises for the purchase of wheat for its deep processing. The draft document is currently posted on the Open NPA portal, it will be discussed until July 25, the APK News agency reports.
The information notes that this Order was issued in Kazakhstan in 2014. It was called the Order "On approval of the Rules for subsidizing the costs of processing enterprises for the purchase of agricultural products for the production of deep processing products."
The basis for introducing an addition to the old document was the order of President K. Tokayev at the National Kurultai to enter the top ten world producers and suppliers of deep processing grain products within 10 years. As well as a letter from the Akimat of the North Kazakhstan region to Deputy Prime Minister S. Zhumangarin regarding support for deep grain processing.
The content of the project is described in the document rather poorly. It was only noted that the amendments to the regulatory legal act provide for the procedure and conditions for subsidizing the costs of processing enterprises for the purchase of wheat for the production of gluten.
“Subsidizing the purchase of products is carried out in accordance with the list of agricultural products for which a guaranteed purchase price and a purchase price are established,” the document says.
The goal of the project is to reduce the costs of domestic processing enterprises in order to increase the competitiveness and export potential of manufactured products, and expand sales markets.
The department believes that changing the order will allow it to become one of the world's producers and suppliers of products with high added value in the future.
The APK Novosti agency interviewed several representatives of industry associations, and all of them said that they did not know what subsidies were being discussed and did not remember such subsidies ever being paid.
Meanwhile, according to open sources, in 2023 the Ministry of Agriculture was going to reform this order. At that time, it was reported that they no longer intended to subsidize deep processing of wheat. In 2024, a proposal was submitted to the department to start subsidizing farmers for delivering grain to deep processing enterprises.
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