March 20, 2012

Kazakhstan to fund US$100 million for grain export boost

The government of Kazakhstan will allot KZT15 billion (US$100 million) for increasing the grain export, Minister of Agriculture of the republic Asylzhan Mamytbekov said on Friday (Mar 16).

According to the minister, these subsides will be used for compensating transport expenditures on supplies of Kazakh grain "in the direction of the Black and Baltic Seas, as well as to China and via China."

The minister of agriculture said that the amount of state support would make about KZT4,000 (US$27) per tonne of grain, which will make it possible to "additionally finance the transportation of about 3.5 million tonnes in these directions."

As Mamytbekov stressed, a ban on grain exports won't be declared in Kazakhstan. "We can firmly state that Kazakhstan will never declare a ban on grain exports because the internal market will be ensured in full at the expense of state resources," he said.