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Project Name: Development of horticultural crop production using drop irrigation technology in southern regions of the country ("Agro Firm "ZHANA AK DALA" LLC).


I.                   Project background:

1.   Project value


2.   Project location

3.   Project documentation (design documentation, operating documentation, design estimate documentation, feasibility study, working program)

Yes/No, level of readiness

4,640 mln KZT


Amangeldi street, Akdala village, Arys city, South-Kazakhstan Region

Feasibility Study "Reconstruction of feeder channel with head water intake, and enhancement of pumping station for drop irrigation of lands"; Feasibility Study and Design Estimate Documentation "Tomato paste manufacturing plant with capacity 600t/day"; Feasibility Study "Construction of industry-purpose facilities: hotbed-greenhouse for 5 ha and industrial greenhouse for 1.5 ha";  all of them are approved.


II.                Project description

4.    Project description

It was developed in 2007 pursuant to the instruction of the Government of the Republic of Kazakhstan, NC Food Contract Corporation JSC, and pursuant to Strategic Plan of Ministry of Agriculture of the Republic of Kazakhstan for 2011-2015 and Agrarian Business Development Program for 2010-2014, and was established on February 3 2008. In 2009 a tomato processing plant equipped with processing line manufactured by Rossi&Catelli Italian company with output 600 t/h, was constructed and put into operation with the participation of the President of the Republic of Kazakhstan.

5.    Finished product (annual amount, tons etc.)

Main output products are: industrial variety tomatoes, as well as Brix 28-30 (1,597 tons) and Brix 36-38 (3,520 tons) tomato paste concentrates, produced by their processing, tomatoes, apples, pears, apricots, and peaches (45,800 tons); Alfalfa and maize are under cultivation for the purposes of crop rotation.

6.    Source of raw materials (underground resources)


7.    Sales outlet (the Customs Union, PRC, etc.)

Domestic market

8.    Project implementation period (Road Map)

2008 - 2009

9.    Expected year of construction commencement


10.              Expected date of project commissioning


11.              Availability of land plots

A land plot with total area of 2700 ha; an orchard (apples, pears, apricots, and peaches) with the area of 170 ha is set out; 3 ha to be allocated for construction of tomato processing plant.

12.              Availability of transport infrastructure (railway, road transport)

Atyrar-Arys highway passes through fields of Akdalinskiy Massif, and connects Arys-Shymkent route; distance to Arys village along the route is 8.8 km, distance to Shymkent along the route is 76.9 km.

13.              Utility connection access (power, water, sewage etc.)

Main pipeline, containment pond, and pumping station were constructed; the project is determined by nearness of irrigation water (Arys river).

Electric power supply for pumps is planned from existing KTP 1000 kVA transformer; design capacity 750 kW

14.              Availability of facilities (please, indicate area and parameters of facilities)

Tomato paste manufacturing plant with area of 60.50м2, including: process building – 1,800.62 m2,  security gatehouse – 45.01 m2, equipment repair workshop – 86.72 m2, finished product storage – 2,268 m2, 60 t weighbridge – 115.2 m2, weighmaster room – 14.19 m2, boiler house – 648 m2, fuel storage  (coal) – 378 m2

15.Opportunities for Kazakhstan companies to establish minimum registered capital (30% of total project value) for fundraising

Search for potential international and national Investors interested in purchase acquisition of "ExpAgro" LLC's equity share in the registered capital of Agro Firm.

16.              Availability of necessary budget funds or necessity for budget financing

There is a need in budget financing for 2016 at the amount of 495 mln KZT.


17.              Total amount of new jobs

206 jobs

18.              Total amount of jobs for the construction period

105 jobs

19.              Labor force quota



20.              Investment preferences

Partial exemption from освобождение от tax duties (-70% of tax levy amount).

21.              Other measures of state support

1.  subsidization of cost of services for water supply to agricultural goods producers for drop irrigation for 1 cubic meter of water at the value of 80%.

2.  subsidies for reimbursement of payments for purchase of herbicides, biological agents (entomophages) and biological products intended for treatment of agricultural crops in order to protect plants for 1 liter (kg) of herbicides purchased:

1) in case of purchase of domestic herbicides, the subsides are paid at the value up to 50% of the cost of herbicides purchased;

  2) in case of purchase of foreign-manufactured herbicides, the subsides are paid at the value up to 30% of the cost of herbicides purchased.

22.              Current project status


Due to the lack of raw materials in 2015 necessary to start-up the plant, it was decided to refocus plant's activities to processing of apples (in consideration of the fact, that Agro Firm owns 120 ha apple orchard). Currently the equipment is in the position to process both tomatoes and apples. To continue implementation of the investment project and to conduct sowing campaign on land utilization, search for potential investors is in the process.

23.              Project implementation period. Action plan (further plan of actions on the project:

a) approval of Feasibility Study

b) commencement of construction

c) completion of construction

d) pre-commissioning

e) commissioning

f) output and sale of first products)


From 2009 till present.

The executive board of Agro Firm under the control of "ExpAgro" LLC conducts search for an investor to conduct the spring field works on fields of Agro Firm over an area of 300 ha for tomato sowing.

24.              Social and economic impact of project implementation

Provision of Kazakhstan's population with qualitative domestic food products at reasonable price by organizing production and processing of agricultural products using water-saving drop irrigation technology. The project allowed creating of 206 jobs.


III.             Project participants:


On behalf of the Republic of Kazakhstan

25. Company name:

"ExpAgro" LLC and "Agro Invest KZT" LLC

26. Project participation form (JV's share in the capital, loan (credit), EPC (contractor)

"ExpAgro" LLC – 99.99725361%

"Agro Invest KZT" LLC – 0.00274639%

27. Corporate profile

1.            Decision of Board of Directors of NC Food Contract Corporation JSC (hereinafter referred to as Corporation) dated October 22, 2004 established "Expert Agrarian Company" LLC (hereinafter referred to as "ExpAgro" LLC), the subsidiary enterprise of Corporation, which is its sole founder with 100% of shares in the registered capital. At the instruction of Corporation, since 2007 the company has implemented investment projects in the field of development of Agrarian Business: "Development of production of horticultural crops using drop irrigation in the southern regions of the country (South-Kazakhstan Region and Almatinslaya Region)". Company's activities are aimed to provide Kazakhstan' people with qualitative domestic organic food products and development of Kazakhstan's processing industry.

2.      "Agro Invest KZT" LLC is engaged in business operations.

28. CEO's contacts

Berik Tulyupergenovich TAKABAYEV, the director of "ExpAgro" LLC

Office phone: 8/7172/57-51-50

29. Contact person on the project

Aliya Orynbassarovna KUSATAYEVA, Head of Project Monitoring Department of "ExxpAgro" LLC, Aliya-tleubekova@mail.ru


IV.              Proposals on project implementation


30.  Financing scheme (investments to capital or loans)

31.     Process scheme (terms for delivery of equipment, technology transfer etc.)

32.    Other proposals (if any)

33.    Necessity in additional investments

Terms for sales of share of "ExpAgro" LLC in the registered capital of Agro Firm:

1.   provision of grace period up to 1 year  with instalment payment plant for at most 5 years;

2.   provision of bank guarantee at the amount of annual contribution, therewith guarantee amount must cover the total amount of annual contributions;

3.         initial installment at the amount of 10% of sale value within 30 days after signing contract for sales of "Agro Firm" LLC's share in the registered capital of Agro Firm.


Within the framework of execution of Order of Agency of RK for protection of competition No.616-ОД dated December 20, 2011 "On refusal to provide consent for further activities", actions are taken to implement Agro Firm into competitive environment.

Additional funds at the amount of 495 mln KZT are required for conduction of spring field works in 2016