OREANDA-NEWS. January 19, 2009. Gross grain harvest in Kazakhstan for the past agriculture year made up 15.6 million tons in net weight. This was announced by Agriculture Minister Akylbek Kurishbayev at the Ministry’s sitting. Grain export potential reached 6 million tons, reported the Official website http://en.government.kz.

According to the Minister, gross agricultural output growth made up 17%, with a rise in capital investment by 21% and in average monthly wages by 22% [on 2007].

By the end of 2008, the value of the KazAgro National Holding Company [established to develop the national agriculture sector] assets had grown by 56% to make up KZT 296.8 billion. Net consolidated profit is estimated to exceed the 2007 indicator 3.5 times (totaling KZT 2.6 billion).

In 2008 the total financial support of the Holding Company to agricultural projects in progress stood at KZT 158 billion, with 36.5% of the money coming from the state budget and the other part of the money being own funds and borrowings. Head of KazAgro Mr. Asylzhan Mamytbekov said that in 2008 the Company had financed 199 new projects: KZT 120.3 billion was channeled to develop crops production, another KZT 17.8 billion – to boost livestock breeding, and KZT 3.1 billion – to develop processing facilities.

The Company along with the Agriculture Ministry took a raft of consistent measures to ensure domestic foodstuffs market stability. Notably, the so-called stabilization grain reserves accumulated a total of 1 million tons of grain. The Company has been working to put in place food security belts round Astana and Almaty.

Plans are there to boost grain export potential in 2009. Notably, Aktau grain terminal is going to be expanded.

Besides, KazAgro intends to boost Kazakhstan’s meat exports through establishing – in line with international standards – of slaughters in Akmolinsk, Kostanai and North Kazakhstan oblasts, Head of KazAgro said.

Despite a possible sequestering of the budget programs, funds to develop the agriculture sector should not be sequestered, stated Prime Minister Karim Massimov at the Ministry’s sitting. Highlighting the importance of sufficient funds to the agriculture sector, the Prime Minister reminded that “47% of the population lives in rural areas”. “The issue of 2009 is to avoid deflation rather than inflation. In the two years to come we may face price declines; and the task is to prevent farmers from going bankrupt… we need to prevent unemployment in agriculture and even try to create new jobs in 2009. The money will not be cut down, but we need to use it wisely”.

The Prime Minister also pointed to the importance of adhering to international sanitary standards in production of foodstuffs so that Kazakhstan’s exports should not be banned.