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On 14 June, in Astana, Minister of Trade of Kazakhstan Arman Shakkaliev met U.S. Trade Representative Katherine Tai to discuss key areas of cooperation between the two countries. As reported by the Kazakh Ministry of Trade and Integration, the USA is among Kazakhstan’s ten largest trading partners. With bilateral trade turnover demonstrating a steady growth, Kazakhstan is ready to increase non-resource exports of 90 commodities worth over $770 million to the U.S. During the meeting, Kazakhstan's trade minister mooted cancelling the Jackson-Vanik amendment, which restricts trade relations between the two countries, and expressed hope for an imminent decision by the U.S. Congress on the issue. “We count on the soonest positive outcome of the work on the cancellation of the Jackson-Vanik amendment, which will give a new impetus to the development of trade and economic relations between our countries,” said Shakkaliev. He also noted the important role of the Generalized System of Preferences (GSP) of the United States in strengthening bilateral trade and economic relations. For its part, Kazakhstan is ready to undertake necessary work to resume the application of the USA GSP. Trade Representative Katherine Tai spoke optimistically on the development of trade relations and strengthening economic ties between the United States and Kazakhstan. After remarking that the extension of the USA GSP program will be considered by the US Congress next year, she confirmed her readiness to assist Kazakhstan in this matter.
Kazakhstan’s Ministry of Agriculture has announced that from June 7, 2024, restrictions on the supply of Kazakh livestock and poultry products to the Turkish market have been lifted. The restrictions were originally made to prevent the spread of avian influenza, in 2005, foot-and-mouth disease, in 2016, and lumpy skin disease, in 2022. In March 2024, the Minister of Agriculture of Kazakhstan, Aidarbek Saparov, raised the issue of export barriers during the meeting of ministers of agriculture of the Organization of Turkic States in Taraz, Kazakhstan. At the time, Saparov explained that Kazakhstan was ready to supply high-quality meat products to Turkey as well as Turkmenistan and Hungary, but complained that the Turkish market was all but closed to Kazakh meat exporters due to veterinary concerns. Pleading his case, he continued, “This year, similar restrictions on Kazakhstan have been lifted by China and Russia. So, we believe it is now possible to revisit this issue with the Turkish side.” With the restrictions now lifted, the next step towards exporting Kazakhstan’s livestock products will involve the coordination of veterinary requirements with Turkish authorities. The issue will be addressed during Minister Saparov’s next visit to Turkey in August.
Uzbekistan's cabinet of ministers has introduced 'recommended' export prices for 60 types of fruits and vegetables, below which their distribution abroad is now prohibited. While this move is intended to support exporters, analysts from the agency EastFruit say that it will harm exports, risk long-term cooperation, and that the new measures will not increase tax revenues or improve currency control. A recent article by EastFruit states: “Notably, these prices are fixed for the produce irrespective of quality, variety, or other differentiating factors, which disregards the inherent diversity within the fruit and vegetable industry. Historical trends indicate that such regulatory decisions are detrimental across the board. They primarily affect producers and small-scale exporters by limiting their market opportunities. This restriction not only diminishes investment appeal in agricultural production but also detracts from Uzbekistan’s attractiveness as a trading partner for major, established importers. The introduction of such direct controls makes the prospect of long-term contractual partnerships exceedingly precarious”. Uzbek economist Otabek Bakirov described this decision as “another bureaucratic hurdle for exporters”. “These rules make doing business worse, so the new rules should come into force at least 3 months after they are announced. Or will the Government’s decision prevail over the Law once again?” wrote the economist on his Telegram channel. Analysts also note that Uzbekistan’s exports have stagnated due to Russia's ban on importing fruits and vegetables from most countries. Export figures have remained almost unchanged over the past five years, ranging from $700 million to $900 million. Russia (26.3%), Pakistan (24.2%), Kazakhstan (13%) and China (9.3%) are the main export markets for fruit and vegetable products.
Speaking at a government meeting on May 28, Kazakhstan Energy Minister Almasadam Satkaliev announced a significant rise in the country’s supplies of fuel, raising the potential for its future export. During the first quarter of the year, oil refined in Kazakhstan amounted to 5.9 million tons; an increase of 5.4% compared to spring 2023. Production of fuel amounted to 4.28 million tons. To date, reserves of diesel fuel at refineries and oil depots have increased to 612 thousand tons, 38 days’ worth; AI-92 gasoline, to 352 thousand tons, 30 days’ worth, and AI-95 gasoline, to 86 thousand tons, 30 days’ worth. The depth of oil refining and consequently, the production of light oil products (gasoline) has increased from 85% to 87%. Kazakhstan plans to increase the production of motor fuel by expanding production at the Shymkent oil refinery from 6 to 12 million tons by 2030, at the Atyrau Oil Refinery from 5.5 to 6.7 million tons by 2027, and at the Pavlodar Petrochemical Plant from 5.5 to 8 million tons by 2030. According to the minister, the implementation of the above will not only satisfy the domestic market’s growing demands for fuel but also, allow its export to neighbouring countries.
Uzbekistan President Shavkat Mirziyoyev called a government meeting on 23 May to review plans for the country’s pharmaceutical industry. On 10 January, a road map for 2024–2025 was approved for the development of the pharmaceutical industry and the acceleration of related investment projects. This was followed by a presidential decree of 23 January which identified additional measures required to regulate the pharmaceutical sector. To date, a budget of $100 million has been allocated for the realization of new projects in the industry, boosted by an injection of $200 million from Asakabank. As a result, two projects worth $30.5 million have been launched over the past four months, with exports totalling $51 million. However, a lot of potential remains untapped. To redress the balance, plans are now underway to produce pharmaceutical products worth $400 million and increase the exports to $200 million. A total of 147 projects worth $2 billion will be launched this year alongside the commission of a further 28. The head of state emphasized the need to increase the level of domestically produced medicines available in Uzbekistan and to ensure a balance between price and quality. The meeting also reviewed measures to intensify the work of the innovative pharmaceutical cluster, Tashkent Pharma Park, by launching 12 projects worth $470 million.
A much welcomed export development and promotion center has been launched in Kyrgyzstan with support from the United Nations Development Programme (UNDP). According to a report by the UNDP in Kyrgyzstan on May 7, the key aim of the Kyrgyz Export Center is to offer advice and equip Kyrgyz companies with skills and knowledge to navigate and succeed in international trade. Local businesses are promised access to a wide range of beneficial services including the provision of data and analysis of potential international markets and step-by-step guidance in entering foreign markets. Help will also be available to enable companies to fully exploit their export potential through programs tailored to maximize growth and competitiveness. In addition, local companies will be encouraged and offered support to participate in trade missions and international exhibitions through which they can showcase their products to a global audience. Emphasizing the organization’s commitment to best international practices, Urmat Takirov, director of the Kyrgyz Export Center, stated, “We strive to apply the best practices and approaches adopted in international business to ensure the best results in the development of export-oriented companies in Kyrgyzstan.”
