Agricultural Produce - The Times Of Central Asia

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Agriculture Economy Trade EAEU Agricultural Produce

Kazakhstan Restricts Potato Exports to Non-EAEU Countries Amid Price Surge

Rising potato prices in Kazakhstan have prompted the government to impose a six-month restriction on potato exports to non-Eurasian Economic Union (EAEU) countries, according to Tengrinews. The decision is aimed at stabilizing domestic prices and preventing further spikes. Price Surge Linked to High Export Demand The price increase has been driven by strong demand from neighboring countries, particularly Uzbekistan, and rising export prices. In 2024, Kazakhstan’s potato exports increased by 1.5 times, from 411,000 metric tons to 605,000 tons, according to government data. Export-oriented producers significantly raised their prices, increasing them from 170 KZT ($0.32) to 270 KZT ($0.51) per kilogram. This spike in export demand has directly impacted the domestic market, with retail prices soaring in many regions. For example: In Aktobe, potatoes were sold for no more than 200 KZT per kilogram in early January but doubled within a week. In supermarkets, prices have climbed to 388 KZT ($0.73) per kilogram, with some areas seeing prices as high as 400 KZT ($0.75) per kilogram. Even lower-quality potatoes have become more expensive, as sellers report rising costs with every new shipment. Export Restrictions to Stabilize Prices To address these challenges, the government has restricted potato exports to non-EAEU countries for six months. Exports to EAEU member states will continue but under stricter oversight. As part of these measures, the issuance of phytosanitary certificates for exports has been entirely suspended as of January 16, 2025. Sufficient Reserves to Meet Domestic Needs Despite the export restrictions, the Ministry of Agriculture has assured citizens that domestic reserves are sufficient to meet demand until the early 2025 harvest. As of January 19, reserves (excluding stocks in trade networks) amount to over 850,000 tons. Key figures from 2024 and early 2025 include: Total potato harvest (2024): 2.9 million tons, including 300,000 tons from the early harvest. Imports (2024): 56,000 tons. Consumption (August–December 2024): 844,000 tons. Exports (2024): 620,000 tons. Forecasted consumption (January–April 2025): 675,000 tons. The government’s measures aim to ensure that prices stabilize while maintaining sufficient supplies for domestic consumers until the next harvest. Growth vs. Food Security Kazakhstan’s decision to restrict potato exports to non-EAEU countries highlights the delicate balance between export-driven agricultural growth and ensuring food security at home. While the restrictions are expected to ease price pressures domestically, they underscore the challenges of managing supply chains and export demand in a region with fluctuating agricultural dynamics.

Agriculture USAID Agricultural Export EAEU Agricultural Produce

Kyrgyzstan Boosts Exports of National Dairy Products

Exports of Kyrgyzstan's dairy products have seen significant growth, with member states of the Eurasian Economic Union (EAEU) increasing their imports from the republic. Just six months ago, Kyrgyzstan lagged behind its EAEU counterparts in dairy production and exports. Impressive Growth in Exports According to the Ministry of Agriculture, milk sales by Kyrgyz farms rose by 124% in 2024, while dairy exports increased by as much as 167%. By the end of 2024, Kyrgyzstan had exported more than 33,000 tons of milk and dairy products, compared to just under 30,000 tons in 2023. The growth was driven not only by traditional products - such as cheese, butter, ice cream, cream, milk powder, and pasteurized milk - but also by national dairy specialties made from cow's milk. Notably, Kyrgyzstan exported over 120 tons of fermented milk products, such as the national beverages chalap and bozo, to Russia, Kazakhstan, and Uzbekistan in 2024. Additionally, exports of kurut, a traditional Kyrgyz snack made from dried curd balls, exceeded 3.3 tons last year, reflecting the growing demand for unique national products abroad. Context Within the EAEU This progress comes in the wake of criticism from the Eurasian Economic Commission (EEC) last summer, which ranked Kyrgyzstan among the lowest milk producers in the Union. According to EEC data, Armenia was at the bottom with an annual production of 123,000 tons of milk, while Kyrgyzstan was second-to-last with 620,000 tons. For comparison, neighboring Kazakhstan produces over 2 million tons annually, while Russia leads the EAEU with 13.5 million tons of milk produced per year. International Support Spurs Growth The Kyrgyz Ministry of Agriculture attributed the surge in dairy production and exports in part to foreign assistance programs, particularly a USAID initiative. This project has funded the construction of new dairy processing facilities for dozens of farmers in southern Kyrgyzstan. Additionally, more than 100 farmers continue to receive training and counseling on modern cow husbandry practices, which have improved productivity and product quality.

Agricultural Produce Drones Regional Development Agriculture

Kazakhstan Strengthens Locust Control to Protect Agricultural Crops

Kazakhstan plans to double its machinery and equipment for combating locust infestations during the 2025 growing season. The expansion of locust control measures and preparations for spring fieldwork were key topics discussed at a government meeting on January 9. Deputy Minister of Agriculture Ermek Kenzhekhanuly reported that 247 pieces of equipment were deployed for chemical field treatments in 2024. This number will rise to 443 in 2025, including 46 agro drones and 7 monitoring drones newly acquired by the Ministry of Agriculture. Enhanced Strategies and Subsidies Building on a successful pilot project in the Turkestan region last spring, the Ministry has adopted centralized services for the purchase, transport, and storage of pesticides and field treatment. The program tested agro drones for spraying fields and operated under a unified "one supplier - all work" principle. To further support farmers and service providers, the government will reimburse 25% of the cost of wheeled spraying machinery and agro drones, making these technologies more accessible. Deputy Prime Minister and Minister of National Economy Serik Zhumangarin emphasized the need to restructure sown areas, reducing wheat cultivation in favor of oilseed and other high-margin crops. Results and Regional Cooperation Kazakhstan’s locust control measures proved effective in 2024, with over 3.1 million hectares treated - 23% more than the planned 2.5 million hectares. This protected agricultural crops from significant damage by grasshopper swarms. Locust infestations in Kazakhstan have escalated in recent years, affecting 514,000 hectares in 2020 and rising to 1.6 million hectares by 2023. According to the UN’s Food and Agriculture Organization, locust outbreaks threaten agriculture across Central Asia and the South Caucasus, endangering over 25 million hectares of farmland and impacting approximately 20 million people. To address the issue, Kazakhstan continues close cooperation with neighboring countries, including Russia, to monitor and mitigate the potential spread of locusts.

Grain export Wheat export Agricultural Produce harvest Agricultural Export Agriculture

Kazakhstan’s New Harvest Grain Exports Surge by 54%

Between September and December 25, 2024, Kazakhstan exported 3.7 million tons of grain from its new harvest - a dramatic 54% increase compared to the same period in 2023, when 2.4 million tons were exported. The announcement was made by Kazakhstan’s Ministry of Agriculture, citing data from Kazakhstan Temir Zholy (KTZ), the national railways company responsible for grain transportation. Significant increases were reported across the traditional markets for Kazakh grain: Uzbekistan: Exports grew by 44%, rising from 994,000 tons to 1.427 million tons. Tajikistan: Exports increased by 53%, from 385,000 tons to 589,000 tons. Afghanistan: Exports surged by 52%, from 120,000 tons to 182,000 tons. Kyrgyzstan: Exports rose by 22%, from 59,000 tons to 72,000 tons. Iran has emerged as a highly promising new market. Exports to Iran (via the Caspian port of Aktau) soared by a staggering 30.2 times, from just 14,000 tons to 435,000 tons. Kazakhstan harvested over 26.5 million tons of grain from 16.7 million hectares in 2024, as previously reported by The Times of Central Asia. The country plans to export approximately 12 million tons of the new harvest to both traditional markets - Central Asia and Afghanistan - and new ones, including Iran, Pakistan, Indonesia, Brazil, and Malaysia. China is also seen as a key growth market. In 2023, Kazakhstan exported 1.43 million tons of cereals to China - a 5.5-fold increase from the previous year. Kazakhstan’s grain export surge underscores the country’s growing role as a major supplier to both regional and global markets, bolstered by strong demand and strategic diversification efforts.

Agriculture Legislation Government Agricultural Export Agricultural Produce Grain export

Kazakhstan Will Not Extend Wheat Import Ban

Kazakhstan’s Ministry of Agriculture has announced that the country will not extend the ban on wheat imports, which was in effect from August 21 to December 31, 2024. However, officials have not ruled out the possibility of reintroducing such measures in the future to safeguard the interests of domestic grain producers. “From August 21 to December 31, 2024, there was a ban on the import of wheat into the territory of the Republic of Kazakhstan (RK) from third countries and from the EAEU countries by all means of transport, except for the transit of wheat through the territory of Kazakhstan. Thus, from January 1, 2025, the ban on imports of wheat into Kazakhstan and imports will be carried out without restrictions,” stated the Ministry of Agriculture. The ministry noted that future decisions on non-tariff measures regulating wheat imports would depend on the situation in the grain market. This leaves open the possibility of reintroducing temporary bans on imported wheat if necessary. The current ban was introduced to stabilize domestic grain prices. In October, Deputy Prime Minister Serik Zhumangarin explained that earlier attempts to regulate imports through less restrictive measures had failed. Wheat continued to enter Kazakhstan through unofficial channels at prices lower than the cost of domestically produced grain, disrupting the local market. “We needed this ban to determine the price on the domestic market, to give a message to the domestic market on price,” Zhumangarin stated. He added that the authorities have now stabilized prices and plan to monitor wheat pricing at the border to avoid the need for future blanket bans. The ban had a significant impact on wheat imports from Russia. In the first half of 2024, 1.3 million tons of Russian wheat were imported, often labeled as feed for poultry farms or raw materials for Kazakhstan’s flour milling industry. This figure sharply contrasts with Kazakhstan’s annual grain consumption of 1.7 million tons, based on per capita consumption of 64 kg annually. Kazakhstan entered the ban period with robust grain reserves of 5.1 million tons and anticipated a record harvest of 25 million tons in 2024. In reality, the harvest exceeded expectations, reaching 26.5 million tons, according to the Ministry of Agriculture. Despite these gains, the competitiveness of domestic grain within the country remains a concern. The Times of Central Asia previously reported Kazakhstan’s ambitious export plans, aiming to ship up to 12 million tons of grain from the new harvest to international markets. However, competition with Russian wheat has complicated these efforts. In response to Kazakhstan’s ban, Russia imposed partial restrictions on importing Kazakh agricultural products in October 2024. More critically, Russia began redirecting its wheat exports to third countries that have traditionally been key markets for Kazakh farmers.

Agriculture Agricultural Produce Socio-Economic Development USAID

U.S. Government Supports Kyrgyzstan’s Dairy Sector

The United States government, through the United States Agency for International Development (USAID), is advancing Kyrgyzstan’s dairy industry by supporting cattle management, fodder cultivation, and artificial insemination initiatives. These programs will benefit over 500 people in the southern regions of Kyrgyzstan, according to a report from the U.S. Embassy in Bishkek. USAID’s Agro Trade Activity has provided dairy processing equipment valued at 4.6 million KGS ($33,786) to PE Begalieva, a local producer in the Jalal-Abad region specializing in kurut (dried yogurt balls), butter, and kefir (fermented milk drink). This investment has increased the company’s processing capacity from 1,000 to 4,000 liters per day and expanded its product range from seven to 12 varieties. The partnership will also facilitate exports to Uzbekistan and train over 300 households on modern cattle management and milking technologies. In Osh, USAID has equipped TES Center, a local advisory service provider, with milking and extruder equipment worth 1.1 million KGS ($12,650). This will enhance their training programs for over 100 farmers on fodder cultivation and dairy cow husbandry. Additionally, Public Foundation Tybyt Kashmir received artificial insemination equipment valued at over 1 million KGS ($11,500), including cryogenic storage, a microscope, an ovulation detector, and a veterinary ultrasound machine. These tools will be used to train 54 livestock graders and 65 veterinarians in the Osh, Jalal-Abad, and Batken regions to master artificial insemination techniques. Over the past four years, USAID has supported 17 dairy companies in southern Kyrgyzstan, benefiting over 4,200 households and creating more than 3,500 jobs. This has led to increased sales and exports of dairy products. Kyrgyzstan produces more than 1.7 million tons of milk annually but processes only 2.5% of its production. The cost of raw milk is lower in Kyrgyzstan compared to neighboring Kazakhstan, providing an opportunity for cost-efficient production. While foreign ownership of Kyrgyz farmland is prohibited, joint ventures with local landowners could help reduce production costs and ensure a stable supply of raw milk. Local inefficiencies have historically resulted in Kyrgyz consumers relying on dairy products from more expensive producers in Russia and Kazakhstan. However, Kyrgyz producers are closing the gap. In 2020, dairy exports nearly doubled compared to 2016 levels. Exports to Uzbekistan surged in 2022, reaching 746 tons, contributing to a total of 31,000 tons of dairy products exported for $49 million that year. Kazakhstan remains the largest export market, followed by Russia, Uzbekistan, and Tajikistan. Additionally, 13 Kyrgyz companies received certifications in 2022 to export dairy products to China, marking a significant step in expanding the sector’s international reach.