President called for increasing tractor output, conserving water and deepening processing in the agro-industrial complex
Kazakh President Kassym-Jomart Tokayev urged boosting tractor and combine production, conserving water, and developing deep processing in the agro-industrial complex in his address to the nation.
The Head of State noted that preferential financing for farmers has grown from 1 to 1.5 trillion tenge, but it is mostly short-term, and instructed to develop mechanisms for "long" investment resources for farmers.
The essence in brief
- In 2025, agriculture grew by almost 6%, and agricultural output amounted to 15 trillion tenge.
- Preferential financing increased from 1 to 1.5 trillion tenge, but this is mainly short-term and working capital.
- The Baiterek holding has compiled a list of projects in the food industry worth over 500 billion tenge.
- Irrigation of lands along major water sources, according to the president's assessment, can increase the yield of traditional crops by 2-2.5 times.
Why the president is not satisfied with preferential financing
In 2025, the sector grew by almost 6%, and agricultural output amounted to 15 trillion tenge. Preferential financing compared to last year increased from 1 to 1.5 trillion tenge.
The president formulated the task as follows:
"Preferential financing compared to last year increased from one to one and a half trillion tenge. However, for the most part, this is short-term and working capital. Farmers need a large-scale financing system that will allow them to plan upcoming work for the long term."
The government should develop effective mechanisms to provide farmers with "long" investment resources.
Which projects are waiting for money and what equipment is needed
"The Baiterek holding has compiled a list of promising projects in the food industry worth over 500 billion tenge. For their successful implementation, it is necessary not to delay the allocation of funds on accessible and preferential terms, but to immediately begin implementing quality projects," Tokayev demanded.
On technological modernization.
"At the same time, the time has come for the technological modernization of agriculture. It seems relevant to increase the production of modern tractors and combine harvesters in our country. This will improve the efficiency of agricultural production," said the President.
He also supported the proposal of NVIDIA co-founder Jensen Huang, who visited Astana, on the widespread introduction of artificial intelligence in agriculture, and called it very timely. If the plans can be implemented, according to Tokayev, amid a global food shortage, Eurasia could become the main center providing the world with food.
How to expand crops and conserve water
Kazakhstan has significant areas of land along major water sources. Their irrigation can increase the yield of traditional crops by 2-2.5 times. At the same time, crops should be expanded only with advanced water-saving and agrochemical technologies.
The president emphasized that water shortage requires systemic measures:
- introduce rational water use everywhere;
- strengthen control over water consumption, reduce losses in networks and eliminate the misuse of drinking water: "This is, of course, absurd - to use drinking water at car wash stations";
- complete the large-scale tariff reform in the water consumption sector initiated on his instructions;
- complete the creation of the National Information System of Water Resources as soon as possible.
What has been instructed on processing, storage and sales
Tokayev called for focusing on deep processing of agricultural products and cited successful examples. In the Kyzylorda region, despite the difficult climate, corn and soybeans are grown and processed. In the Turkestan region, a Chinese company is forming a modern cotton-textile cluster with an emphasis on rational water use. The government should scale up such experience and support investors in a timely manner.
In livestock farming, according to the head of state, the same approach applies. Based on the experience of the North Kazakhstan region, 71 dairy farms with a total capacity of more than 462 thousand tons of milk per year have been launched in the country. In the Akmola region, a meat cluster is being created using advanced foreign experience. Such projects deserve support, including financial support.
Large holdings and small farms should receive guaranteed access to agro-logistics centers. Tokayev proposed including the development of agricultural infrastructure in the "People's Construction" program. The government and Baiterek have been instructed to adopt specific decisions together.
What the president said about protecting domestic producers
Separately, Tokayev pointed to the problems of local producers, especially in the food industry. According to him, there is dumping by imported products, and artificial barriers are being created for local goods when they are admitted to store shelves.
The president assessed this harshly:
"To call things by their proper names, this is corruption. This outright sabotage must be put to an end once and for all."
Author's conclusion
The sector's growth of almost 6% and agricultural output of 15 trillion tenge coexist in the Address with the acknowledgment that the preferential 1.5 trillion tenge is mostly short money. It is precisely this gap that the president instructed to close with "long" investment resources, and Baiterek's list of projects worth 500 billion tenge shows where such money could go first.
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