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Prime Minister Askar Mamin gives instructions on stabilizing prices for socially significant food products

Tuesday, 04 February 2020, 09:33:22

At the Government session chaired by Prime Minister Askar Mamin, measures to stabilize prices for socially significant food products were considered.

Minister of Trade and Integration Bakhyt Sultanov reported on ongoing work on price monitoring and response measures, Minister of Agriculture Saparkhan Omarov — on supporting the development of agricultural producers and production of socially important food products, Director of the Asian Development Bank’s Regional Office in Kazakhstan Giovanni Capannelli told about strategies for promoting wholesale markets, agro-logistics and wholesale distribution centers in the Republic of Kazakhstan.

In 2019, the price increase for socially significant food products amounted to 10.4%, 67 cases of exceeding threshold prices in all regions were recorded.

The package of measures to stabilize prices developed by the Ministry of Trade and Integration includes increasing production of socially significant food products, preventing collusion in the trade margin with antitrust measures, engaging the public in price monitoring, developing electronic commerce, creating a distribution infrastructure and the necessary conditions for storage and efficient distribution of products.

On Jan. 15, 2020, a new Project Office under the prime minister of Kazakhstan was created to develop a network of wholesale distribution and agro-logistics centers, which holds weekly meetings with representatives of interested government agencies, financial institutions and the market.

“The First President – Elbasy Nursultan Abishevich Nazarbayev have set a strategic task for us — to provide increased income and quality of life for Kazakhstanis. In this regard, the issue of stabilizing prices for socially significant goods is very important. At the extended meeting of the Government, the Head of State Kassym-Jomart Kemelevich Tokayev ordered to take systematic measures in this direction,” Mamin said.

The head of government recalled that in November 2019, some deputy akims of the regions were brought to justice for omissions in the stabilization of prices. As a result of measures taken in December, akimats managed to achieve positive changes in containing prices. So, if in November last year, the cumulative increase in prices for socially significant food products amounted to 1.1%, in December — only 0.1%.

“This suggests that the regions have the necessary tools to work in this direction. At the same time, following the results of January, we again observe an increase in prices for socially significant goods by 0.3%,” said Mamin, emphasizing that akims should keep the issue of prices under special control and respond promptly to changes in the situation.

The prime minister instructed the Ministry of Trade and Integration together with the ministries of finance and agriculture to determine the financing structure for projects to create a system of wholesale distribution and agro-logistics centers within a week.

“The Ministry of Agriculture and akimats should create the necessary conditions for expanding the production of socially significant food products. Saturation of the domestic market with domestic food should be one of the obligations of the agricultural producer in obtaining subsidies,” summarized Mamin.


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