03.12.2025, 13:27
Production Costs Rise by Nearly One-Third – What Yield Helped Kostanay Farmers “Stay Afloat”?
Rising costs and yields: what helped farmers stay afloat
“Production costs grow every year,” say farmers across Kazakhstan’s main grain belt. Respondents point out that the key driver of rising costs is agricultural chemistry.
Producers in the Kostanay region report that wheat production costs have risen by up to 30%, according to AgroSearch’s weekly monitoring. They note that the low offer prices currently dominating the market make active trading difficult.
“Production costs grow every year,” say farmers across Kazakhstan’s main grain belt. Respondents point out that the key driver of rising costs is agricultural chemistry.
“Chemicals have become extremely expensive. Fertilizers and pesticides are constantly rising in price. This season we carried out two treatments — pre-sowing and vegetative. Now you simply can’t skip them: diseases and pests appear constantly, especially after a wet summer. Those who saved on treatments ended up with yields twice as low,” a farmer from Kostanay district notes.
Another producer estimates that costs have increased by 20–30%, while a farmer from Karabalyk district mentions a growth of around 15–20%.
A producer from Amangeldy district acknowledges that expenses have increased but emphasizes that “the situation remains manageable.”
Meanwhile, a farmer from Kostanay district says that due to three consecutive years of low yields, they are “only now beginning to settle payments.” This category of farms cannot keep volumes for later sale. Usually, to cover obligations, they sell immediately — straight from the field.
A similar situation is reported at a farm in Sarykol district, where they also decided to sell grain right after harvest.
“The wheat price stayed around 80,000 tenge for 3rd class. But we had to deliver the last batch at 70,000 per ton,” the farmer shares.
According to his calculations, the current market price equals the production cost, meaning “profit is minimal.” However, thanks to a yield of 27 centners per hectare, the farm has managed to “stay afloat.”
“If our yield had been only 10–15 c/ha, we likely wouldn’t have been able to meet all our obligations. I didn’t use fertilizers this year, and fuel cost 250,000. Overall, we’ll survive,” the respondent concludes.