Address-2026: From Harvest to Finished Product

Series of analytical materials
on the role of Baiterek Holding in implementing the Address of the Head of State
"Kazakhstan's Current Tasks in a New Historical Cycle"

Address-2026: From Harvest to Finished Product

A high harvest creates opportunities for agricultural growth. But a producer's income also depends on whether they can bring in the crop on time, preserve its quality and find a buyer. This requires modern machinery, storage facilities and processing enterprises. Investment in these links makes it possible to earn more from the raw materials grown and to increase output of finished products within the country.

It is precisely this interconnection that President Kassym-Jomart Tokayev outlined in his Address to the people of Kazakhstan, "Kazakhstan's Current Tasks in a New Historical Cycle." The Head of State set tasks to provide farmers with long-term resources, modernize technology, and develop deep processing, storage and marketing. For Baiterek Holding, this means expanding its investment work across the entire agro-industrial complex, from the farm to the production of finished goods.

Money for the Season, Investment for the Years

Before sowing, a farm needs funds for seeds, fertilizers and fuels and lubricants. Building a dairy farm, a grain elevator or a processing plant requires different expenditures and longer-term financing. Such facilities begin to return the investment only after reaching stable production volumes.

"Therefore, the Government should develop effective mechanisms to provide farmers with 'long-term' investment resources." - the President stressed in the Address.

Seasonal support provides the foundation for the sector's work. According to the Holding, 673 billion tenge has been allocated for the 2026 sowing season to cultivate approximately 8 million hectares. Since the beginning of the year, more than 200 billion tenge has been disbursed to replenish the working capital of processing enterprises, feedlots and poultry farms. These resources help sustain the production cycle, purchase raw materials and support day-to-day operations.

At the same time, investment financing is developing. Agrarian Credit Corporation, part of the Baiterek Holding group of companies, has financed more than 50 investment projects since the beginning of 2026. They cover agricultural processing, the creation of dairy farms, the construction of grain elevators and vegetable storage facilities, the introduction of irrigation systems and other areas.

In livestock farming, the "Igilik," "Bereke" and "Zhailau" programs are being implemented, providing concessional lending for the purchase of pedigree livestock and for the development of livestock projects, including those with distant-pasture infrastructure. They are part of the Comprehensive Livestock Development Plan for 2026-2030.

Following up on the Address, the Prime Minister instructed that long-term lending programs for the agro-industrial complex be implemented, including for livestock farming, storage, support for the food industry and concessional leasing. Together with relevant government agencies, the Holding will continue working out further long-term lending for the agro-industrial complex. For the sector, this is an opportunity to plan production expansion several years ahead.

How the Holding's Role Is Changing

Baiterek Holding's investment transformation has concrete content in the agro-industrial complex. When preparing a project, it is important to consider where the enterprise will get its raw materials, what technology will process them and to whom the products will be sold. The plant's capacity utilization and the project's ability to repay the invested funds depend on these conditions.

Therefore, support for farms, the purchase of machinery and the development of processing should complement one another. Agrarian Credit Corporation finances agricultural producers and investment projects, KazAgroFinance provides access to machinery through leasing, and Damu Entrepreneurship Development Fund provides support through loan guarantees. When working out large-scale production facilities, the expertise of other organizations within the Holding's group of companies is used. This combination makes it possible to take into account the needs of different participants in the production chain.

"Baiterek Holding has compiled a list of promising food industry projects worth over 500 billion tenge," - the Head of State noted.

The priorities of this work are linked to food security and the processing of domestic raw materials. Promising areas include the production of sugar, cheese, poultry and other products for which there remains a need to build up domestic supply. These are projects whose implementation should increase the country's production capacity and expand export deliveries. Their expected impact will depend on timely launch and the actual utilization of the enterprises.

From a Dairy Farm to a Cheese Plant

The connection between agriculture and the food industry is clearly visible in the example of dairy products. A farm needs a productive herd, a feed base and equipment. A processor needs regular deliveries of milk of a set quality. Between them, a system for collecting, cooling and delivering the raw material must operate. The development of each link determines the capabilities of the entire chain.

A cheese plant of Sofood Kaz LLP with a design capacity of 40,920 tons of products per year is being built in Konaev. In October, representatives of Baiterek Holding, the Development Bank of Kazakhstan and Damu Entrepreneurship Development Fund visited the site and discussed technical and financing issues with the initiator. At that time, installation and other construction work was underway at the facility.

At full capacity, the enterprise's annual need for raw milk is estimated at 91.7 thousand tons. Purchases are planned mainly in Almaty Region and Zhetisu Region. The project provides for the creation of 400 permanent jobs. About half of the products are expected to be supplied to the domestic market, with up to 50% directed to export.

For local farms, such a plant can become an additional buyer of milk. For the food industry, these are new capacities for producing finished goods. The economic effect arises from stable ties between raw material producers and the processor. That is why the development of farms and the construction of plants should be considered together.

More Products from Domestic Raw Materials

The grain sector faces a similar task. Kazakhstan has a substantial raw material base, but opportunities to earn income expand as processing deepens. Grain can be used to produce starches, syrups, gluten and amino acids, which are in demand in the food and other industries. At the same time, additional production operations and jobs are created within the country.

The plans presented by the Holding include deep grain processing projects in Astana and in Kostanay and Akmola regions. In particular, the project in Kostanay Region is designed to process 415 thousand tons of grain per year. The development of such facilities could create additional domestic demand for the harvest and expand the range of export products.

For farmers, this means new sales channels. They are especially important in high-yield years, when increased supply can put pressure on purchase prices. Processing helps use more raw material within the country, although its result also depends on demand for the finished product, costs and logistics. Therefore, sales markets must be taken into account already at the stage of preparing an investment project.

Machinery as Part of the Production Result

The quality of the future product and the cost of raw materials are largely determined in the field. Timely sowing, precise fertilizer application and harvesting within the required timeframe depend on a farm's technical equipment. Renewing machinery creates conditions for higher productivity and reduced losses.

In the Address, the President specifically highlighted the need for technological modernization of agriculture and for increasing the production of modern tractors and combines in Kazakhstan.

Through KazAgroFinance, the Holding implements a concessional leasing program for domestically produced agricultural machinery at 5% per annum. According to the data presented, since the beginning of 2026 the program's financing volume has reached 315.1 billion tenge, and farmers have acquired 9.4 thousand units of machinery.

Leasing allows a farm to use a machine and spread payments over time. At the same time, the demand supported by the program creates conditions for the development of domestic agricultural machinery manufacturing and the localization of production. Thus, investment in the technical equipment of farmers, through a multiplier effect, contributes to the development of industry.

Preserving Products and Getting Them to the Buyer

Even with sufficient production volumes, the result depends on post-harvest handling, storage and delivery infrastructure. Storage facilities make it possible to preserve product quality for longer and to spread deliveries over time. For processing enterprises, this is an important condition for more even capacity utilization, and for producers, a way to plan sales more flexibly.

"Along with production and processing, it is necessary to improve the system of storage and marketing of agricultural products," - the President stressed.

Financing of grain elevators and vegetable storage facilities by Agrarian Credit Corporation is part of this work. At the same time, the creation of infrastructure must take into account the needs of farms and processors, supply volumes and access to markets. How fully both the harvest and the capacities of new enterprises are used depends on the coordination of these decisions.

For consumers, the development of such a system means a wider supply of Kazakhstani products. Increased domestic production can reduce dependence on imports and external price fluctuations. This is an important component of food resilience, alongside product quality and availability.

The tasks of the Address bring these areas together into consistent work. Seasonal financing helps secure the harvest, investment in machinery and farms enhances the capabilities of farms, and processing and storage create conditions for producing and selling finished products. Baiterek Holding's contribution should be expressed in operating enterprises, stable demand for domestic raw materials and growth in producers' incomes. Through these results, financial support turns into the long-term development of the agro-industrial complex.