Bakhyt Sultanov: Tajikistan. There are contracts!
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We toured the regions of Tajikistan for two days. I got acquainted myself and introduced our business to the khokims of regions/cities/districts and dehkans-producers, examined orchards, vineyards, fields, greenhouses and greenhouses, warehouses and refrigerators…
Now there is first-hand information from local farmers: what is produced, what is the volume of industrial collection, what are the export opportunities, the availability and quality of storage sites, the price on the field and during storage…
Representatives of our business (retail chains and large traders) examined-weighed-calculated-traded.
In two days, we managed to conclude three forward contracts for the trial supply of grapes and onions of the 2021 harvest to Kazakhstan. The total cost of the contracts is $ 1.5 million so far. Tajik products will be delivered directly to our large retail chains in the coming months…
Now our business looks at the volumes and supply options not only in the season, but in winter and spring: in the Tursunzadevsky district, we visited the grape storage facilities, where there are still about 40 tons of last year's harvest. In general, we agree right on the field.
I immediately want to answer all the critics of the import. We are now actively developing vegetable growing and gardening. But the volumes produced are not enough for consumption. In addition, we need to ensure that the market is filled with vegetables and fruits from early spring until the ripening of our own crop - this can be done through imports. And, finally, our vegetables and fruits have a "shorter shoulder" of transportation to the same Russia than from Tajikistan and Uzbekistan.
That is, we can import the products of the southern republics to our market, and our farmers can get foreign currency earnings by selling their goods abroad. After all, the main thing is to ensure the quantitative, temporary and price availability of food products for the population and benefit our producers.
Tajik dehkans are ready to contract large volumes for our market: grapes, peaches, apricots, apples, tomatoes and cucumbers, peppers, onions, lemons, melons (potatoes are also present in the list, but there are problems with the transportation of early potatoes with the fineness of the peel, but perhaps there are also technologies; the question is in the final cost). When the deliveries are direct, this will remove the margin of opaque traders and the products will be cheaper.
The key issue is logistics. We need to work hard on this so as not to "lose the price" on expensive trucks. I instructed the working group to calculate all the options. This is one of the key issues of the future commodity distribution system of Central Asia-Kazakhstan. We also discussed this issue at a meeting with the Tajik Railway. We need to find profitable transport models (types of cars, terms, etc.) both by railway and by motor transport.
We examined several places that are convenient for the construction of an ORC. I was pleased that the regional authorities do not just support the idea of creating such agricultural wholesale and logistics centers, but pin their hopes on them in terms of stimulating the quality of production through agricultural consulting services (especially in terms of assistance with seeds, fertilizers and working capital) and cooperation of small farmers through the consolidation of batches for export.
By the way, the Kazakh trading companies that were in our delegation began to calculate the prospect of enlarging Kazakhstan's export shipments with Tajik products (I have repeatedly told about the shortage of volumes of our products with the interest of potential buyers).
As soon as investors finally decide on the plots for the ORC, the khokim of the Khotlon region promised to "issue a plot in 3 days". The absence of bureaucratic obstacles is a very important point in building up cooperation.
Working through agricultural trains and stable contracts, we are moving to increase our exports: fuel, mineral fertilizers, wheat and vegetable oil. And at the same time, Kazakh investments.
Khokim of Khotlon region Kurbon Khakimzoda, for example, in addition to developing cooperation in the agrologistic sphere, sees the import of technologies from the Republic of Kazakhstan as a priority for deepening ties, including the creation of a joint venture in the industrial sphere and digitalization. I suggested that they consider the "smart system" "Sergek" as one of the advanced technologies for monitoring, monitoring and analyzing the situation on the roads and in settlements in general. Taking into account the densely populated area (a third of the country's population lives here) this may be of interest.
There is an idea to put several flour-milling complexes in Tajikistan for processing our grain and further exporting flour to Afghanistan and Pakistan through the Lower Panj. We are looking at options to locate these points on the territory of local FEZs or upgrade existing capacities. Businessmen from our delegation are looking at the projects.
We discussed many areas where our business can invest with the local authorities. We agreed to continue the practice of such trade and investment missions. They bring concrete results and "pave the way" for mutually beneficial relations between the two countries.
In the coming days, we will also conduct negotiations on the Uzbek territory.