food Ministry of Agriculture of the Republic of Kazakhstan

Helpline:

+7 (7172) 591-284

Press release "Participation of the Food Contract Corporation in stabilizing the domestic market"

18.06.2021

One of the main tasks of NC Food Contract Corporation JSC (hereinafter - Food Corporation) is to ensure food security of the country, stabilization of the domestic grain market of Kazakhstan.

In 2020, 24.5 billion tenge was allocated from the republican budget to the authorized capital of the Food Contract Corporation for the renewal of the program for the forward purchase of agricultural products.

In total, over 300 agricultural producers of Akmola, Aktobe, Karaganda, Kostanay, Pavlodar, North Kazakhstan regions were financed under this program in 2020, more than 480 thousand tons of grain were purchased.

As the results of 2020 showed, the forward purchase program is in great demand among agricultural producers and has established itself as an affordable financing instrument under the conditions of a deficit in agricultural entities lending.

Due to the purchased volumes, as part of the performance of the main function of stabilizing the domestic market, since January 2021 the Food Contract Corporation has sold over 410 thousand tons of grain.

In particular, 325 thousand tons of grain were sold to flour milling companies, as a result, this year there is no market fluctuations in bread prices, there is no commotion with flour, there was no question of closing or limiting grain exports, as it is happening in a neighboring grain state - Russia.

In addition, the Food Corporation has formed a fodder supply from the grain supplied by agricultural producers. In total, about 100 thousand tons of grain were sold for the needs of livestock and poultry enterprises, including 17 thousand tons of 4th class wheat and 24 thousand tons of barley.

Regardless of the seasonal price increase on the market, at the request of akimats, about 20 livestock enterprises of the republic have been supplied with barley and wheat of the 4th class in a total volume of more than 23 thousand tons at fixed prices.

In particular, in connection with the current situation in the Mangystau region (lack of feed), the Food Corporation took prompt measures to support farms with feed grain at a price 17% lower than the market price. For convenience in acceptance and further distribution among livestock farms, barley was previously packaged in 50 kg sack containers. At present, the dispatch of barley to the address of the cattle-breeding enterprises of the Kyzylorda region is being organized.

More than 66 thousand tons of grain were sold to 15 poultry farms that applied to the Food Contract Corporation. Among the poultry factories-buyers of grain there are 9 egg and 6 meat directions.

For example, the largest poultry farm in Central Asia, Makinskaya Poultry Farm LLP, which was commissioned in 2018, chose the Food Contract Corporation as the main supplier of raw materials. The poultry farm is continuously supplied with grain at fixed prices, which allows planning the cost of the final product throughout the season.

In addition to traditional crops (wheat, barley), the Food Corporation purchased 5.3 thousand tons of sunflower and 300 tons of buckwheat. The Food Contract Corporation plans to sell these volumes to processing enterprises for the subsequent supply of the domestic market with finished products - sunflower oil and buckwheat.

As part of its participation in providing the regions of the country with socially significant food products, as well as taking into account the current situation on the sugar market in the summer, the Food Corporation has formed sugar reserves in the amount of 10 thousand tons, which will also be directed to the domestic market.

Information on the available stocks is regularly brought to the information of the akimats of regions and cities of republican significance, social and entrepreneurial corporations and wholesale and retail distribution networks of Kazakhstan.

Next news Go over

LLP "Expert Agricultural Company" announces bidding to lower the price of the share of participation of LLP "Expagro"

LLP "Expert Agricultural Company" announces a tender for lowering the price of the share of the participation of LLP "Expagro" in the authorized capital of LLP "Agrofirma "Nur Agro" (BIN 110340002277) in the amount of 99.99946606942% (hereinafter - the Property).

The auction will be held on July 07, 2021 at 11.00 a.m. Nur-Sultan time on an Internet resource posted on the Internet at the address: www.gosreestr.kzв electronic format. 

Registration of participants is carried out on an Internet resource hosted on the Internet at the address: www.gosreestr.kzи ends on July 07 at 09.00.

The method of bidding is to lower the price;

Starting price – 5 173098,000 tenge;

Guarantee fee - 87 510 000 tenge;

the auction is held with the payment of a guarantee fee of 15 (fifteen) % from the initial price of the object of sale, but not more than 30,000 times the monthly calculation index, which is subsequently credited to the account of the initial payment due;

initial payment of 25 (twenty-five) % of the price of the object of sale (including the guarantee fee paid) it is paid no later than 15 (fifteen) calendar days from the date of signing the contract of sale;

the deposit of the remaining amount of 75 (seventy-five)% is made in equal installments for up to 3 (three) years;

provision of collateral for the unpaid amount of the object of sale, taking into account other obligations in the form of a guarantee of the second-tier bank of the Republic of Kazakhstan, according to the approved limits of the authorized body of the Corporation, for the entire term of installment payment;

it is allowed to provide a guarantee of the second-tier bank of the Republic of Kazakhstan annually until December 1 for the amount of the corresponding payment determined by the payment schedule, in case of providing additional security for the fulfillment of obligations sufficient to cover the obligations not covered by the guarantee.

Contacts for inquiries: Nur - Sultan, Moskovskaya str., house 29, n.p. 6, sq. 19, e-mail address: expagro@mail.ru , tel.: +7 7172 59 12 57.

23.06.2021