The Senate considered the draft law "On the Volume of General Transfers for 2026–2028" on November 20. The bill provides for transfers to subsidize the agricultural sector for the next three years totaling 2 trillion tenge. This is a colossal sum, yet the sector remains underfunded, according to Senate Deputy Sergei Karplyuk.
"The country has a long-standing, chronic arrears in subsidies. This is particularly significant in grain-growing regions. As of October 1 of this year, subsidy arrears in the Akmola, Kostanay, and North Kazakhstan regions already exceeded 170 billion tenge," said Sergei Karplyuk.
In particular, according to him, in the Kostanay region, the arrears in subsidies to farmers from 2023 to the current period have reached 83.6 billion tenge. In general transfers, 85 billion tenge is allocated for the implementation of subsidy programs in 2026. However, the annual subsidy needs for the region's agricultural sector are twice the allocated budget.
The deputy reported that when calculating the subsidy requirements for the Ministry of Agriculture, Kostanay Region submitted a request for 142 billion tenge for 2026. This amount included existing debt. However, the stated funding requirement was rejected.
"The 85 billion tenge allocated for 2026 will be spent in full to pay off existing debt. Payments for the coming year will not be closed, which will, accordingly, create another debt," stated Sergey Karplyuk.
He emphasized that this situation is typical for most northern regions of the country. Due to the insufficient allocated funds, the need for additional funding for subsidy programs will remain.
Farmers have been unable to receive subsidies for two years now and are forced to choose between investing heavily or purchasing fuel, seeds, fertilizers, and increasing wages. Without government support, farmers become more vulnerable to price fluctuations, weather risks, and changing market conditions, reducing project profitability and slowing technological innovation. As the deputy emphasized, this situation is affecting the industry's attractiveness to investors, and in the long term, it could lead to a decline in competitiveness and a deterioration in food security.