• KGS/USD = 0.01144 0%
  • KZT/USD = 0.00211 0%
  • TJS/USD = 0.10515 0.48%
  • UZS/USD = 0.00008 0%
  • TMT/USD = 0.28530 0%
  • KGS/USD = 0.01144 0%
  • KZT/USD = 0.00211 0%
  • TJS/USD = 0.10515 0.48%
  • UZS/USD = 0.00008 0%
  • TMT/USD = 0.28530 0%
  • KGS/USD = 0.01144 0%
  • KZT/USD = 0.00211 0%
  • TJS/USD = 0.10515 0.48%
  • UZS/USD = 0.00008 0%
  • TMT/USD = 0.28530 0%
  • KGS/USD = 0.01144 0%
  • KZT/USD = 0.00211 0%
  • TJS/USD = 0.10515 0.48%
  • UZS/USD = 0.00008 0%
  • TMT/USD = 0.28530 0%
  • KGS/USD = 0.01144 0%
  • KZT/USD = 0.00211 0%
  • TJS/USD = 0.10515 0.48%
  • UZS/USD = 0.00008 0%
  • TMT/USD = 0.28530 0%
  • KGS/USD = 0.01144 0%
  • KZT/USD = 0.00211 0%
  • TJS/USD = 0.10515 0.48%
  • UZS/USD = 0.00008 0%
  • TMT/USD = 0.28530 0%
  • KGS/USD = 0.01144 0%
  • KZT/USD = 0.00211 0%
  • TJS/USD = 0.10515 0.48%
  • UZS/USD = 0.00008 0%
  • TMT/USD = 0.28530 0%
  • KGS/USD = 0.01144 0%
  • KZT/USD = 0.00211 0%
  • TJS/USD = 0.10515 0.48%
  • UZS/USD = 0.00008 0%
  • TMT/USD = 0.28530 0%

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Two-Dimensional Outlook Characterizes Western Media Response to SCO Summit

The Western media’s binary response to the latest Shanghai Cooperation Organization (SCO) summit in Astana creates an unnecessary – and perhaps unintentional – “us-versus-them” dichotomy. Characterizing the SCO as the “anti-NATO” alliance where China, Russia and Iran come together, this style of coverage makes no mention of the evident efforts of the majority of post-Soviet states to balance Russia’s decades-long influence in the region. It is also notable that the same outlets serving up this black and white coverage are not even in attendance at the summit, preferring to take aim from abroad. Central Asian states cannot escape the realities of their geography and have to largely rely on Russia and China for their economic prosperity. At the same time, their future independence requires that they are a respected part of the international rules-based order as well as on their increased contribution to global supply chains. Kazakhstan’s recent democratic reforms are in direct contrast to the authoritarian image cast on so-called “anti-NATO” countries. Armenia has announced plans to quit Russia’s Collective Security Treaty Organization (CSTO) military alliance. Generally, the countries in the region have – with different degrees of enthusiasm – implemented a multi-vector foreign policy, including following international sanctions against Russia and issuing statements supporting the “territorial integrity of Ukraine.” Uzbekistan’s courts even went so far as to convict a citizen for joining Russian troops fighting in Ukraine. Those looking to force an antiquated one-size-fits-all Cold War paradigm on Central Asia will ultimately be frustrated. The ongoing SCO event in Astana is bringing together a mainly Eastern-centric group of leaders speaking about deeper cooperation among the Organization’s members. While the Western press may simply decry this gathering as anti-Western, the fact that Central Asia stood in support of international sanctions against Russia and stayed neutral in the conflict with Ukraine, much to the chagrin of Vladimir Putin and his retinue, shows the region holds more shades of grey than stark black and white. Central Asia cannot be expected to fall entirely into the orbit of Western or Eastern leaning powers. The region’s republics will, and should, aim to be aligned with both. Arguably, the West, Russia, and China may all be disappointed in the end, but that outcome may well be in the best interests of the Central Asian states.

Kazakhstan and China Cement Strategic Partnership

On July 3 , Kazakhstan President Kassym-Jomart Tokayev held a meeting in Astana with Chinese President Xi Jinping, during the latter's state visit to Kazakhstan. Tokayev opened the talks by hailing China a strategic partner and one of Kazakhstan’s main allies. In response, Xi Jinping announced that China considers Kazakhstan a priority in its foreign policy relations with neighbouring countries and an important partner in Central Asia, whilst confirming,  “I assure you that China will always be a reliable support for Kazakhstan.” Negotiations revolved around the development of cooperation in investment in various sectors, including e-commerce, the manufacture of automobiles and auto parts, transit and transport, logistics, energy, agriculture, finance, and tourism. Following the meeting, Tokayev told journalists that the development of strong political relations between Kazakhstan and China is based on mutual trust and support and emphasized, “There are no unresolved issues between us. We intend to unite our forces for intensifying trade, economic, scientific, technical, cultural and humanitarian ties. President Xi Jinping and I have just signed a Joint Statement -outlining- important achievements and long-term tasks for our countries. China is Kazakhstan's leading trading partner. Last year, bilateral trade turnover amounted to $41 billion. In the near future we intend to double this figure. Beijing is one of our main foreign investors. Over the past 15 years, about $25 billion has been invested in Kazakhstan [by China].” According to Tokayev, in 2023, Chinese investment in Kazakhstan’s economy increased by 16% and reached $1.8 billion. “Today, 45 projects are being implemented in Kazakhstan at a total cost of $14.5 billion -and we now have over 4,700 enterprises funded with Chinese capital. During negotiations, the importance of further implementation of mutually beneficial investment projects in the fields of energy, infrastructure, agriculture, manufacturing, finance, transport, aerospace, and IT was emphasized. We are ready to create favourable conditions for Chinese companies wishing to develop the Kazakh market.” Referencing the fact that in 2023, exports of agricultural products from Kazakhstan to China doubled to reach $1 billion, the president continued,  “We look forward to increasing supplies of high-quality natural meat products, oilseeds and grain crops to the Chinese market- and exploring - opportunities to increase the volume of grain exports to 2 million tons.” Via teleconference, the two leaders participated in the ceremonial launch of ferries transporting trucks and railway containers along the Trans-Caspian International Transport Route. Tokayev and Xi also opened a Kazakh cultural centre in Beijing and a Chinese cultural centre in Astana, both of which will host various cultural events, exhibitions, lectures, and masterclasses aimed at strengthening mutual understanding between the peoples of the two allied countries. In addition to the above, the two leaders opened a branch of the Beijing Language and Culture University at Astana International University.    

Iran to Provide Kazakhstan with Irrigation Technology

The exchange of experience and technologies to reduce water loss during the transportation and irrigation of crops was discussed at a meeting between the Minister of Water Resources and Irrigation of Kazakhstan, Nurzhan Nurzhigitov, and the Iranian Ambassador to Kazakhstan, Ali Akbar Joukar. Iranian companies expressed their readiness to provide Kazakhstan with modern irrigation systems, including groundwater and automatic drip irrigation systems that deliver moisture directly to plants' roots. Introducing these technologies in Iran has significantly reduced water consumption in rice cultivation, while increasing yields. "We have already started large-scale work on constructing and reconstructing reservoirs and other water management facilities. Iranian companies have rich experience in this field and are developing effective technologies, some of which are already working in Kazakhstan. For example, irrigation networks are being reconstructed in Zhambyl and Turkestan provinces. Therefore, I would like to invite businessmen from Iran to our country to participate in tenders for the construction and repair of water infrastructure," Nurzhigitov stated.

New Plant for Deep Processing of Grain in Kostanay, Kazakhstan

At the Kazakh-Chinese Business Council meeting in Astana on July 2, the administration of Kostanay, Baiterek Venture Fund, KazFoodProducts, and the Chinese company Myande Group signed a Memorandum of cooperation for the construction of the Qostanay Grain Industry plant in Kostanay. As reported by Kazakh Invest, the plant for the deep processing of wheat into amino acids, bioethanol, gluten, animal feed, and wheat bran, when launched in 2027, will manufacture 430 thousand tons of products per year and create about 600 jobs. Hailing the agreement as an important step in strengthening bilateral relations, Rong Zhen, CEO of Myande Group, stated, “We see huge potential in the agro-industrial sector of Kazakhstan, and this cooperation will increase its efficiency and manufacturability and open up new opportunities for Kazakh products to enter the Chinese market." Alikhan Kairatbek, CEO of KazFoodProducts, added: "Based on the quadripartite agreement, it is planned to increase the production of starch molasses to 33 thousand tons per year for further use by domestic confectionery companies. New jobs will be created. Together with the Akimat (administration) of Kostanay region and Baiterek Venture Fund, we are launching large–scale projects in the field of agriculture and are very pleased to have a strategic partnership with Myande Group." Myande Group will also upgrade the AsiaGrowFood plant for deep processing of corn in the Almaty region to increase its production from 200 to 300 tons per day. Deep processing of grain is one of the most promising areas in the manufacturing industry regarding products with high added value. Kazakhstan annually harvests 16-17 million tons of grain, a third of which are exported. Over 260 different types of products with added value can be produced from grain.    

AstraZeneca Manufacture of Medicines in Kazakhstan

On July 2, the British-Swedish pharmaceutical giant AstraZeneca and Kazakhstan’s SK-Pharmacy signed a long-term contract for the establishment of production and technology transfer in Kazakhstan, and the direct supply of original patented medicines manufactured in Kazakhstan by SK Pharmacy. "Today, SK-Pharmacy and I signed an important agreement that reflects our company's plans to produce medicines in Kazakhstan,” said Maria Shipuleva, CEO of AstraZeneca in Kazakhstan. “AstraZeneca's innovative drugs will be produced at the site of a domestic manufacturer, Nobel Almaty Pharmaceutical Factory JSC. In particular, it is planned to contract the production of drugs for the treatment of diabetes mellitus, chronic heart failure, chronic kidney disease, for the treatment of chronic lymphocytic leukemia and mantle cell lymphoma, for the treatment of ovarian cancer, breast cancer, prostate cancer, pancreatic cancer, as well as for the treatment of non-small cell lung cancer. We hope that our activities within the framework of a long-term agreement with SK–Pharmacy will help further develop the country's healthcare system and, most importantly, improve the quality of life of our Kazakhstani patients.” Yerzhan Yelekeyev, Chairman of the Management Board of Kazakh Invest, commented that the long-term agreement between AstraZeneca and SK-Pharmacy LLP will provide a positive impetus to implementing an investment project for the contract production of biotechnological drugs in Kazakhstan.    

Turkish Investment in Greenhouses in Kazakhstan

On July 2, Chairman of the Board of Kazakh Invest Yerzhan Yelekeyev, met Abbas Sahin, Vice-President of the Turkish group  Alarko, to discuss the construction of a greenhouse complex in Shymkent in South Kazakhstan. As reported by Kazakh Invest, Alarko signed a contract with the Investment Committee of the Ministry of Foreign Affairs of Kazakhstan, to invest $150 million in the country’s agro-industrial sector for the first stage of a project comprising the construction of greenhouses, spanning ​​200 hectares, and creating 1,750 jobs. Preparations by the Turkish company for construction are now underway, with completion scheduled for 2026. Once in operation, the greenhouses aim to produce up to 50,000 tons of tomatoes per year. “Our company has operated in your country for the last 32 years,” said Abbas Sahin. “Given the large land area and available export markets, Kazakhstan has everything necessary to develop the agro-industrial sector. We see the amount of work that has been done in creating the excellent investor protection mechanisms that are now available to investors. We trust the country and have already invested approximately $700 million into projects implemented in Kazakhstan.” In response, Yelekeyev thanked the Turkish investor for contributing to the development of Kazakhstan’s economy and announced, “Turkey is an important partner of Kazakhstan, having implemented more than 70 projects worth $2.8 billion over the years of independence. We highly appreciate that Turkish companies continue to trust Kazakhstan and actively support measures to implement their projects successfully.”