OREANDA-NEWS. June 06, 2014. Ministry of Agriculture developed a Scheme of regional specialization on the optimal use of agricultural land for the production of specific types of agricultural products (hereinafter - the Scheme) on behalf of the Head of State, and in accordance with the program "Agribusiness 2020".

Scheme is based on a deep scientific analysis, involving the leading scientists and agrarians of the republic, including international experience and is agreed with local authorities.

Thus, the Scheme is made according to Administrative division of republic with specification to districts based on the following key factors, each of which consists of a set of indicators: climatic factor; factor of production; opportunities of production distribution.

In turn, the analysis of climatic factors was conducted on following parameters: precipitation, soil type, the level of salinity, acidity, lay of land, soil fertility (quality of locality), presence of areas requiring irrigation, the sum of temperatures of the vegetation period, presence of suitable pastures, availability of suitable sources of water for irrigation of pastures, including groundwater with an acceptable level of mineralization, length of grazing season. The analysis of production factors include crop productivity indicators, presence of sown area in the region, recommended crop rotation, presence and proximity of refining capacity and retrospective specialization of region and the possibility of production distribution indicators were evaluated: presence and proximity of outlets, ability to deliver products to markets.

Given the comprehensive analysis of the above factors for each administrative division within the Scheme, industrial production of specific products is recommended. Thus, dairy cattle-breeding is not recommended in arid areas with weak fodder supplies in Mangystau Region, as well as in many districts of Atyrau, West Kazakhstan and Kyzylorda regions. In crop production, for example, maize production is recommended in the south in most districts in Almaty, Zhambyl, South Kazakhstan and Kyzylorda regions.

Taking into account above-listed factors the rules of subsidies, credit policy of Kazagro financial institutions and other measures of government support will be changed, where one of the conditions will be correspondence to the scheme of specialization. In addition, it is planned to develop a scheme of regional specialization for processing agricultural products on the basis of the principle "raw materials should be as accessible to processors". The demand for personnel, their training and professional development will also come from the Scheme of specialization. In addition, it is proposed to form a package of changes to migration and social policy in the regions.

It is important to note that the analysis revealed significant differences of the actual situation of the Scheme. And a one-stage condition of subsidycorrespondence to the Scheme of specialization may affect the existing productions unfavourably. Therefore, the regions will be given time for gradual transition of the regional subsidy schemes to the Scheme of specialization. It is expected that the transition plan will be provided for regional development programs and the process should be completed until 2020.

Thus, implementation of the Scheme will significantly improve the efficiency of government support measures, give the right signals to business and increase investment in domestic agriculture.