Boosting Exports: Kazakhstan and China Form Joint Working Group

 

During a bilateral meeting between the Kazakh side and the Chinese Minister of Commerce, Wang Wentao, a decision was made to establish a specialized working group. This group will address the acceleration of the goods transit process across the Kazakhstan-China border. Representatives from the transportation, customs, and border agencies of both countries will be included in the group. The first meeting of the working group is scheduled for the end of August and will take place in Urumqi.

 

Arman Shakkaev, the Minister of Trade of Kazakhstan, shared updates about positive changes following the meetings of the operational staff on non-resource export development. He noted that the main challenges faced by exporters relate to transportation and logistics issues, such as coordination of shipment volumes and ensuring free access. To address these challenges, the Kazakh side has agreed with KTZ (Kazakhstan Railways) on the preliminary planning of cargo transportation. Additionally, the company "QazTrade" conducted an analysis of the cargo and its seasonal transportation to ensure even distribution throughout the year.

 

The Government of Kazakhstan has set an ambitious goal to increase the volume of non-resource exports to $45 billion by 2029. In this context, expanding trade with China, which annually imports goods worth over $700 billion, is particularly relevant. Kazakhstan aims to capture 7-10% of this volume, which could potentially bring up to $70 billion.

 

During the recent visit of Xi Jinping, Chairman of the People's Republic of China, to Kazakhstan, China expressed its readiness to double the trade turnover between the two countries to $80 billion. Yadykar Ibragimov, the Chairman of the National Association of Oilseed Processors, reported that as a result of negotiations with the Chinese side, more than 20 oilseed factories in Kazakhstan have been included in the GACC (General Administration of Customs of China) registry for the export of meal and cake. This opens up the opportunity to sell products at higher prices, as the Chinese market offers $20-30 more per ton, significantly increasing the foreign exchange revenue and export potential of domestic enterprises.