Kazakh State Grain Company Doubles Forward Purchase of Oilseeds in 2025

As part of Kazakhstan’s ongoing effort to diversify crop areas, the National Grain Operator (Prodkorporatsiya) has signed forward contracts for the supply of 36,000 tonnes of sunflower, oil flax, and rapeseed in 2025. This figure is twice as high as the forward procurement volume recorded in 2024, according to the company’s press service.

Last year, the Corporation successfully launched a pilot project on forward financing for the procurement of sunflower and the production of sunflower oil. As a result of a trilateral partnership with socially-oriented entrepreneurial corporations, 83,200 liters of sunflower oil were released and sold at a fixed price. According to the company, this experience demonstrated the effectiveness of the support mechanism and paved the way for the program’s expansion.

In 2025, Prodkorporatsiya increased funding limits for farmers willing to expand the cultivation of high-margin oilseed crops. As of today, oilseeds are being cultivated on 3.3 million hectares. Analysts forecast that this figure could rise to 4 million hectares in the coming years. The large-scale strategy aims to encourage farmers to diversify crop rotation and increase resilience in the agricultural sector.

One of the key tools in this initiative is the consolidation of export batches: small farms pool their volumes to enter international markets under a unified brand. According to Prodkorporatsiya, this model has already attracted interest from foreign partners — notably, Chinese state-owned companies are exploring options for direct purchases of oilseeds from Kazakh farmers under cooperation programs with the national grain operator.

Thus, the combination of forward financing and collective export mechanisms not only helps farmers reduce risks but also strengthens their market positions globally. This comprehensive approach aligns with national agricultural development goals and supports the further growth of agri-exports.