ASTANA, Kazakhstan, March 25. Kazakhstan’s
government has allocated 48.4 billion tenge ($96.8 million) from
its reserve to subsidize fertilizers (excluding organic), following
a decree signed by Prime Minister Olzhas Bektenev, Trend reports.
The decree was adopted as part of the implementation of
President Tokayev’s instructions to double the volume of gross
agricultural production from 2024 to 2028 and to increase the level
of mineral fertilizer application to the soil to 50 percent of the
scientifically justified need.
“The document provides for the allocation of funds to the
akimats of the Abai, Akmolinsk, East Kazakhstan, Zhambyl,
Karaganda, Kostanai, Pavlodar, North Kazakhstan, and Turkestan
regions in the form of targeted current transfers for the
subsidization of fertilizer costs. Primarily, the majority of the
funds will be directed toward the implementation of the advance
subsidy mechanism for mineral fertilizers,” the government press
service noted.
Meanwhile, last March, as part of support for the
agro-industrial complex, a mechanism of advance fertilizer
subsidies was introduced, under which budget subsidies are
transferred in advance to special accounts of domestic producers
for the supply of subsidized fertilizers to agricultural
producers.
Moreover, as a result of these measures, for the first time, the
level of fertilizer application reached 40 percent of the
scientifically justified need (up from 21 percent before 2024).
According to the Minister of Agriculture, Aidarbek Saparov, the
volume of preferential loans for spring fieldwork in Kazakhstan
will amount to 700 billion tenge ($1.4 billion). Financing will be
provided through six distribution channels: direct loans from the
Agrarian Credit Corporation, second-tier banks, microfinance
organizations, regional investment centers, credit cooperatives,
and socially responsible business corporations.