Kazakhstan plans to reduce import dependence on sugar by 10%

Kazakhstan plans to increase sugar production and reduce import dependence by 10% (now it is more than 50%).
This is reported by kz.kursiv.media.

For this purpose, new factories will be built, as well as subsidies to farmers will be increased and quotas for the import of raw materials will be provided.

In order to address the issue of import dependence, measures to support the sugar industry have been strengthened. In 2023, the rate of subsidies to agricultural producers was increased, and companies were granted quotas for duty-free imports of cane raw materials in the amount of 300 thousand tons, as well as tax benefits in the form of a 70% VAT reduction on the production of VAT on imports of cane raw materials.

The issue of building two additional factories in Zhambyl and Pavlodar regions is currently being considered. Currently, there are four sugar production companies in Kazakhstan: “Aksu Kant, Koksy, Merken and Taraz plants. With the construction of new plants, sugar production could increase by 300 thousand tons.

Currently, Kazakhstan’s enterprises cover about 44% of domestic sugar needs. The rest of the raw materials are imported, 75% of the needs are covered by Russian producers, and another 24% by Belarusian producers. For example, last year, Kazakhstan imported almost 303 thousand tons of sugar, 30 thousand tons more than in 2022.

Tags: Kazakhstan, sugar