Contracts worth over $565 million signed by Kazakhstan and China

Contracts worth over $565 million signed by Kazakhstan and China

Participants of the 2nd Friendly Dialogue of Cross-Border Cooperation between Kazakhstan and China agreed to strengthen bilateral economic relations.

The dialogue was held in Almaty within the framework of the official visit of a member of the Politburo of the CPC Central Committee, Secretary of the CPC Party Committee of the Xinjiang Uygur Autonomous Region of the PRC Ma Xingrui to Kazakhstan.

As noted in the Government, a special nature of relations has developed between Kazakhstan and China in all areas of activity. This is evidenced by the continuous interaction of countries in matters of trade, investment and logistics.

“The heads of state pay considerable attention to the development of comprehensive cooperation. This year, the Belt and Road Initiative turns 10 years old. During this period, our partnership has reached a new qualitative level. Positive dynamics is observed in all areas of cooperation. Today, 3,300 joint ventures operate in Kazakhstan in such strategic sectors as the mining and metallurgical complex, manufacturing and others,” Deputy Prime Minister - Minister of Trade and Integration of the Republic of Kazakhstan Serik Zhumangarin said opening the forum.

The key region traditionally linking the countries is Chinese Xinjiang, which accounts for more than 40% of the total trade turnover between Kazakhstan and China. Meanwhile, the two states have a huge potential for expanding trade and economic cooperation.

According to the Deputy Prime Minister, Kazakhstan is ready to offer a wide range of industrial and agricultural products to the Chinese buyer in 135 commodity items worth over $1 billion. In particular, Kazakh enterprises can supply chilled meat products, fish products, poultry meat and offal, pork, eggs to China. , horsemeat and other types of high-margin goods.

“For this, it is very important to remove restrictions on the export of Kazakh meat products to China related to animal diseases. The other day, the World Organization for Animal Health recommended confirming the status of five south-eastern zones of Kazakhstan free from FMD with vaccination,” Serik Zhumangarin addressed the representatives of the Chinese delegation.

During his speech at the forum, the vice-premier also noted the need for the arrival of specialists from the General Administration of Customs of China to Kazakhstan to inspect Kazakh producers of crop and livestock products. This will speed up the procedure for signing and agreeing on protocols on requirements for certain types of domestic agricultural products.

“Kazakhstan is ready to increase the volume of annual wheat supplies to China to 1 million tons and more. For this, among other things, there are infrastructural opportunities. I have given instructions on the pilot direction of one railway train of grain to the bonded zone of the PRC,” Serik Zhumangarin informed the participants of the event and proposed the establishment of a Subcommittee on Agriculture between the Republic of Kazakhstan and the PRC to promptly resolve issues of mutual trade.

At the cross-border cooperation forum, the parties discussed ways to improve the efficiency of checkpoints, logistics centers and transport infrastructure along the border.

Currently, measures are being taken to modernize the trade infrastructure and the border control system at the Khorgos ICBC and the Khorgos-Eastern Gate FEZ. Transit directions are being developed, including within the framework of the Trans-Caspian International Transport Route. In 2022, the volume of cargo transportation in transit by the railway of Kazakhstan increased by 1.1 million tons and amounted to 9.4 million tons. Transit transportation by road from China doubled and amounted to 980.6 thousand tons.

According to the Deputy Prime Minister - Minister of Trade and Integration of the Republic of Kazakhstan, in the port of Lianyungang, together with the Kazakh-Chinese logistics terminal, the necessary base for the unhindered transit of goods has been formed. To create favorable infrastructure conditions, it is planned to build a trade hub in Urumqi and Almaty. In addition, a third railway crossing between Kazakhstan and China will be opened in the area of ​​the automobile checkpoint Bakhty (RK) - Chuguchak (PRC).

The event was attended by akims of the city of Almaty, four border regions of Kazakhstan (Abay, Zhetysu, Almaty, East Kazakhstan) and representatives of the XUAR, as well as business delegations of the two countries. In particular, more than 150 Kazakh entrepreneurs, 20 leading Xinjiang businessmen, 10 representatives of large Chinese investment enterprises present in Kazakhstan arrived at the forum.

On the sidelines of the forum, bilateral B2B negotiations were held between Kazakh and Chinese entrepreneurs in various sectors of the economy: construction, energy, mining, agriculture, food industry, engineering, tourism, investment and others. 16 bilateral documents were signed, including 5 commercial ones worth $565.4 million.

The event was organized by the Ministry of Trade and Integration of the Republic of Kazakhstan with the support of the Almaty Akimat and QazTrade Trade Policy Development Center JSC.

At the end of 2022, mutual trade between Kazakhstan and China reached $24 billion. Exports of Kazakh products to China grew by more than a third and exceeded $13 billion. Imports increased by 33.5% and amounted to $11 billion.

Kazakhstan exports oil, copper and copper cathodes, copper ores and concentrates, natural gas, ferroalloys, uranium, sunflower oil to China. China mainly imports telephones, computers, electric generating sets, ferrous metal products, tires, parts and accessories for automobiles and tractors, road and construction equipment, and automobiles.

By the Kazakhstanskaya Pravda