Kazakhstan. Slowdown in flour exports

17.04.2018

Kazakhstan supplied 198.6 KMT of flour to foreign markets in February 2018, i.e. 19% less than in January) but 36% more than in February 2017, reports UkrAgroConsult.

Kazakhstan exported 1.37 MMT of flour in the first half of MY 2017/18 (September - February), or 12% more than at the same time last marketing year (roughly 1.23 MMT).

As before, the largest importer of Kazakh flour is Afghanistan. This country absorbed over 40% of Kazakh flour in the first six months of the current season. The export share of Uzbekistan – the second largest importer – equals 17%. Other traditional buyers of Kazakh flour still include Turkmenistan, Tajikistan and China.

It needs to be pointed out that Kazakhstan pursues a coherent foreign policy aimed at supporting exporters. In particular, the country made Uzbekistan reduce a prohibitive excise tax on Kazakh flour from 15% in 2011 to 0% as of September 1, 2017.

In addition, the Ag Ministry of Kazakhstan reports that Afghanistan cut the import duty on Kazakh wheat and flour to 5% in April 2018. Moreover, the wheat import duty was slashed to 2.5% for Afghan millers processing Kazakh wheat into flour.

 

UkrAgroConsult

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