China to Invest $500M in Corn Processing in Kazakhstan
Chinese biopharmaceutical company Yili Chuanning Biological Co. will invest $500 million in a large-scale corn processing project in Kazakhstan’s Almaty region. The announcement came during the China-Central Asia Industrial and Investment Cooperation Forum held in Astana, where a memorandum of cooperation was signed between the Almaty region’s Akimat (local government) and Yili Chuanning, one of China’s leading biopharmaceutical firms. The agreement outlines the construction of a major processing facility in the Yenbekshikazakh district’s Shelek industrial zone. The project will incorporate advanced biotechnology for the production of amino acids, probiotics, and biodegradable materials, including packaging and medical products. The investment, valued at approximately $500 million, is expected to create up to 1,000 new jobs. The plant is projected to process hundreds of thousands of tons of corn annually. Chinese specialists are currently conducting a comprehensive assessment of the site, examining infrastructure, logistics, and economic factors, and preparing a phased implementation strategy. During the forum, additional agreements were signed regarding Chinese investments in Kazakhstan’s agricultural processing sector, several of which also target corn processing. One such initiative is an $800 million project by the Fufeng Group in the Zhambyl region. This facility will process up to one million tons of corn per year to produce high-value-added goods such as lysine and amino acids. It is expected to generate around 1,500 jobs and provide stable demand for regional farmers. Offtake contracts have already been signed for the supply of 300,000 tons of corn in 2025. In the Turkestan region, Xinjiang Lihua Group Co., Ltd. is developing a $420 million integrated cotton cluster. The project encompasses the entire production chain, from cotton cultivation to the manufacture of finished textile goods. Separately, the Investment Committee of Kazakhstan’s Ministry of Foreign Affairs signed a contract with Qingdao Wanlin Food Corporation for an $89 million facility dedicated to onion dehydration and deep vegetable processing. The plant will primarily export to China, the United States, and Europe. Kazakhstan is intensifying its efforts to advance deep agricultural processing, driven in part by challenges in exporting raw commodities.
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