Kazakhstan: deep grain processing capacity to grow to 5.8 million tonnes a year by 2029

On October 29, Kazakhstan's Ministry of Agriculture outlined its plans for deep grain processing. Three such plants currently operate in the country with a combined capacity of 510,000 tonnes of raw material a year. By 2029, six large projects are planned that will process 5.8 million tonnes of raw material a year into starch, gluten, bioethanol, amino acids and other products.

Key figures

• Now: 3 plants
• Capacity: 510,000 t a year
• By 2029: 6 large projects
• Processing: 5.8 million t/yr
• Growth of more than 11x
• First plants in the south

What changed

The first results are already in: this year a starch plant opened in Turkestan region, and another grain-processing project started in Zhambyl region. Alongside new production, the ministry is working on supplying the plants with raw material, developing infrastructure and bringing the plants up to design capacity.

In figures

• Operating deep grain processing plants: 3, combined capacity 510,000 tonnes of raw material a year.
• New projects by 2029: 6, processing volume 5.8 million tonnes of raw material a year.
• KZT 270 billion (≈ $595 million) is allocated this year for long-term loans through the Baiterek holding, of which KZT 64.2 billion (≈ $141 million) has already gone to livestock purchases.
• KZT 84 billion (≈ $185 million) in budget loans is proposed for livestock support through the Agrarian Credit Corporation.
• Investment projects through the Development Bank of Kazakhstan — KZT 35 billion (≈ $77 million) in 2026.

Other measures

For long-term preferential financing of farmers, budget and commercial funds will be combined — this should make long-term money more accessible. The Ministry of Trade and Integration is building a network of agro-logistics centers, and small producers will be helped to sell through online marketplaces. Precision farming and smart farms will be introduced, and a single industry data platform will be created.

What it means for the buyer

Deep processing is a large new buyer of grain inside the country: the six projects are designed for 5.8 million tonnes of raw material a year, and the first plants have appeared in the south, in Turkestan and Zhambyl regions. For farms, this is an additional sales channel close to home, besides exports. The plants need a steady supply of raw material in the right volume — so yields, quality seed and timely harvesting matter more.

Source: Ministry of Agriculture of the Republic of Kazakhstan