Advancing Kazakhstan’s Grain Sector: Key Insights from Agricom International Conference
Kazakhstan Hosts Agricom Conference to Discuss Grain Industry Trends and Projections
ASTANA – Kazakhstan recently hosted Agricom, an international grain conference focused on grain production, development, export, and import in Astana on Sept. 25. Experts from Kazakhstan and the global grain market gathered to discuss the state of the industry and provide recommendations for businesses and government agencies on developing Kazakhstan’s grain sector.
The grain industry is the country’s largest agricultural sector, providing the most jobs, export volume, and attracting the most investment. According to Yerbol Yeseneev, the deputy chairman of the National Chamber of Entrepreneurs Atameken, this year has been challenging for the sector. He emphasized the importance of addressing the government’s steps to support the industry, especially in light of delays in harvesting due to late planting.
Yevgeniy Karabanov, head of the Kazakhstan Grain Union’s analytical committee, shared projections for this agricultural season, estimating a total crop yield of 27.7 million tons for grains, oilseeds, and legumes – the highest in six years. He forecasted a soft wheat yield of 16.8 million tons after processing, with grain exports projected at 6.1 million tons.
Experts also discussed the challenges and opportunities in the durum wheat sector, noting the impact of last year’s poor weather on exports. This year’s crop is forecasted at 728,000 tons, with expected exports of 460,000 tons, primarily to Europe.
Efficient logistics were highlighted as crucial for the sector’s competitiveness. Subsidizing transportation costs could allow Kazakh durum wheat to compete with Turkish and Canadian exports. Rail transport of grain in Kazakhstan has seen a 4% increase compared to the previous year.
Despite the promising projections, challenges remain in the grain sector, particularly in achieving high-quality wheat. Alexander Malov, head of the Kazakhstan Grain Union’s trade committee, predicted that only about 1.5 million tons of wheat would meet the standard gluten content of 27%. Wheat prices are expected to rise further due to various factors, including the situation in the Russian market affecting Kazakhstan.
Experts recommend storing grain in anticipation of better market conditions as international prices begin to rise. The discussions at the Agricom conference shed light on the opportunities and challenges facing Kazakhstan’s grain sector, emphasizing the need for strategic planning and government support to ensure the industry’s growth and competitiveness.
