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The Ministry of Agriculture and SPE will organize 4 pilot cooperative in Kazakhstan

ASTANA. KAZINFORM – The Ministry of Agriculture and NPP Kazakhstan “Atameken” signed a memorandum on further development of agricultural cooperation. Under the memorandum for 2016, the Ministry of Agriculture together with the NPP organizes activities 4 pilot cooperatives.

As the press service of the Ministry of Agriculture, in the Almaty region is planned to organize a cooperative of fruit and vegetable areas in Zhambyl region – milk, Aktobe – meat and in the North Kazakhstan – for oilseeds. However, in the regions will be full-scale work on explaining the basic principles and benefits of cooperation.

On Jan. 1, 2016 shall come into force the laws “On agricultural cooperatives” and “On amendments and additions to some legislative acts concerning agricultural co-operatives”, which include: the transfer status of agricultural cooperatives from the category of non-commercial to commercial (OPF – Cooperative) and the ability to distribute profits in the agricultural cooperative; the ability to enter into cooperative auditing associations for the annual internal audit; preserving the principle of democracy (one member – one vote); introduction of the principle of goods (works, services) to its members at cost price; exception unnecessary detail regulation of mutual relations, the use of non-mandatory standards, the union laws SPKV, CT SEC into a single law, the introduction of standard documentation; distribution of a special tax regime to agricultural cooperatives with the expansion of the list of activities in its application; subsidies of up to 50% of the value of internal audit cooperatives.

Cooperation – an economic (not physical) integration of agricultural producers. Benefits SKHTP of cooperation – is to increase productivity; stabilization of demand for their products due to the formation of large quantities of goods for sale; greater specialization to improve the quality of products; full and effective use of production facilities; cost optimization SKHTP (Cheaper by the Dozen); the availability of market information; the availability of government support measures; SKHTP increasing profits by reducing the cost of agricultural products and increasing revenues SKHTP.

To stimulate the development cooperation ministry plans to revise the existing subsidy mechanisms in the agricultural sector in terms of raising standards of subsidies for cooperatives.
Also, the Ministry together with JSC “NMH” KazAgro “plans to develop a new product for the concessional lending of agricultural cooperatives.

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