To carry out spring sowing and harvesting works in the current year, “KazAgro” National management holding” will direct 100.6 billion tenge. This amount by 16% exceeds the last year level of financing of sowing and harvesting campaigns by the holding.
Support of agricultural actions is implemented through different instruments of financing of subsidiary companies of “KazAgro” Holding”: forward purchase of grain, lending of agricultural producers under guarantees of second-tier banks, lending of credit cooperatives, leasing of agricultural machines and others.
In order to expand access of farmers to financing, line the last year, the Holding applied the instrument of second-tier banks funding for further their lending of agricultural producers. It should be noted that number of banks participated in the program increased compared with 2014 twice – from 4 to 8. Total financing amount for them is 33.5 billion tenge. At present 99% of funds are used.
In whole for the period under loan programs 3 084 applications of agricultural producers for sum of 63.6 billion tenge were approved, 2 996 applications for 61.5 billion tenge were financed. Total coverage of arable lands will amount to 6.3 million ha, that is 17% higher than in 2014.
“KazAgroFinance” JSC financed purchasing in leasing of 897 units of agricultural machines for sum of 8 billion tenge within spring sowing works. For harvesting machines applications were received for purchasing of 1008 combines for 8.7 billion tenge, financial leasing agreements were closed for 420 combines with total sum of 3.2 billion tenge.
Besides, to support agrarians to carry out harvesting works the program “Harvest-2015” will be adopted for preferential purchasing by villagers of combines of domestic manufacture. Conditions of this program provide term in 7 years with advance payment delay in amount of 10% up to 15.11.2015. At that fee rate with account of subsidizing under the program “Agribusiness-2020” will be 6.4%.
Given the possible weather troubles, the same conditions will be provided and for purchasing in leasing of grain cleaning and grain drying equipment.
Moreover, “KazAgroFinance” in order to expand grain storage capacities receives and considers applications for construction and modernization of grain stores.
We note that at the moment, investment portfolio of “KazAgro” National holding includes 46 projects for 24 billion tenge for storage of 881 thousand tons of grain. In the current year it is planning to commission storage capacities for 280 thousand tons of grain.
“KazAgro” National management holding” JSC implements the state policy on development of agribusiness complex of Kazakhstan by means of providing effective management of investment assets of companies included into its structure.
The Holding includes “Food contract corporation” National company” JSC, “KazAgroProduct” JSC, “KazAgroFinance” JSC, “Agrarian credit corporation” JSC, “Fund for financial support of agriculture” JSC, “KazAgroGarant” JSC and “Kazagromarketing” JSC.