Senators discuss the issues of attracting and supporting investment projects in agricultural sector

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The Committee on Economic Policy, Innovative Development and Entrepreneurship met with representatives of Kazakh Invest JSC, Ministries of National Economy and Agriculture and discussed issues of attracting and supporting investment projects in the agricultural sector, amnesty for investors in the agricultural processing market, and state support for the agricultural sector.

Chairman of Kazakh Invest JSC Baurzhan Sartbayev voiced the problem issue of the lack of free land. According to the Chairman of the national company, the land plots suitable for the project are privately owned or are not compliant with the agrotechnical requirements. He suggested performing digitization of the lands and introducing monitoring of their use and condition as a comprehensive solution to this problem.

Senator Dauren Adilbekov asked about the technical equipment in agriculture and about its further growth and development.

During the working meeting, the Vice Minister of National Economy Zhaslan Madiyev told about the tax incentives used today in the agro-industrial sector. There is a preferential tax system that provides a simplified procedure for paying taxes in the form of special tax regimes for agribusiness entities.

“This measure will stimulate the processing of agricultural products and increase the volume of finished domestic products. However, practice has shown that, despite the measures taken, no positive result has been achieved in the sectors of the economy,” Zh. Madiyev said.

The Vice Minister also emphasized that tax amnesty is an inefficient measure for the development of the economy, and it is not practical to continue it in the future.

The Vice Minister of Agriculture Aidarbek Saparov noted the following state support measures for agribusiness entities: soft loans and leasing, subsidies for priority areas, as well as special taxation regimes for agribusiness entities. However, in comparison with partners in the common economic space, one can see the advantage of neighboring countries in subsidizing agriculture. According to the Vice Minister, the level of state support in Belarus is 8.1% of agricultural GDP, in Russia - 6.3%, and we have only 5% in Kazakhstan. At the same time, the annual underfunding of the state agribusiness program is about 140 billion tenge per year.

“Today, Russian and Uzbek goods are more competitive due to state support than Kazakhstan-made ones,” A. Saparov said.

The Senators now intend to assess the efficiency of the use of the funds allocated for subsidies. To this end, the Ministry of Agriculture should submit a calculation methodology until February 28, after which a decision on further increase of the amount of state support will be made.

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Международное информационное агентство «DKNews» зарегистрировано в Министерстве культуры и информации Республики Казахстан. Свидетельство о постановке на учет № 10484-АА выдано 20 января 2010 года.

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