29 Jan 2025

Poultry farms to be built in Kazakhstan by 2027

Kazakhstan is set to significantly expand its poultry industry with the construction of dozens of new poultry farms by 2027. This ambitious plan, recently unveiled by the country’s Agricultural Ministry, aims to boost domestic poultry production and reduce reliance on imports.

David Corredor

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Kazakhstan is set to significantly expand its poultry industry with the construction of dozens of new poultry farms by 2027. This ambitious plan, recently unveiled by the country’s Agricultural Ministry, aims to boost domestic poultry production and reduce reliance on imports.

Under the development plan, at least 29 poultry farms with a combined capacity of 220,000 tonnes of broiler meat per year will be established across 12 of Kazakhstan’s 17 regions. The total investment for this project is estimated at KZT440 billion (approximately USD 830 million), with KZT262 billion (USD 495 million) expected to come from borrowed funds.

The initiative is part of a broader strategy to achieve self-sufficiency in key food products, including poultry, sugar, cheese, sausages, and fish. According to Agricultural Minister Aidarbek Saparov, the country currently imports significant quantities of these products, and the new poultry farms are expected to help reduce this dependency.

In addition to increasing poultry production, the plan includes the construction of 92 food storage facilities with a capacity of 690,000 tonnes over the next two years. These facilities will enhance food security by ensuring that surplus production can be stored and used during periods of low supply.

Kazakhstan’s poultry industry has also started exploring export opportunities, particularly in neighboring Central Asian republics. During the first nine months of 2024, the country exported 35,300 tonnes of poultry worth USD 58.3 million. However, the industry faces challenges, including high production costs, which could hinder its competitiveness in the global market.

The average cost of producing 1 kg of broiler meat in Kazakhstan is USD 1.5, compared to USD 1.2 in Belarus and Brazil, and USD 1.1 in China. Local analyst Rimma Gakhova highlights that expensive feed, high logistics costs, and limited access to modern equipment and technologies contribute to these high production costs. She also points out the high cost of borrowed money and the lack of state support for obtaining soft bank loans as additional barriers to the industry’s growth.

Despite these challenges, the Kazakh government is committed to supporting the poultry industry’s development. The comprehensive strategy includes 780 investment projects worth a total of KZT2.3 trillion (USD 4.3 billion). By addressing the current obstacles and leveraging new investments, Kazakhstan aims to become a competitive player in the global poultry market.

In conclusion, the construction of dozens of new poultry farms in Kazakhstan by 2027 represents a significant step towards achieving self-sufficiency in poultry production and enhancing food security. While challenges remain, the government’s commitment to supporting the industry through substantial investments and strategic planning offers a promising outlook for the future.