What's Happening?
Iskefe Holding, a Turkish-based company, plans to construct a food gelatin production facility in Kazakhstan. The project, valued at approximately $42.9 million, aims to enhance Kazakhstan's agro-industrial
sector. The plant is expected to have an annual processing capacity of 7,000 tons and is scheduled to begin construction in 2026. The initiative is part of Kazakhstan's Comprehensive Plan for Agricultural Product Processing Development (2024-2028), which includes establishing over 70 wool collection points and around 200 hide collection points across the country. The project is seen as a significant step in increasing the volume of raw materials processed domestically and improving industry efficiency.
Why It's Important?
The establishment of the gelatin production plant is crucial for Kazakhstan's agro-industrial sector, as it promises to boost the processing of raw materials and expand export potential. This development could lead to increased efficiency within the industry and provide comprehensive support for the sector's growth. The project aligns with Kazakhstan's broader strategy to enhance its agricultural processing capabilities, which is vital for economic diversification and reducing dependency on raw material exports. The investment by Iskefe Holding also highlights the growing interest of foreign companies in Kazakhstan's agricultural sector, potentially leading to more international collaborations and investments.
What's Next?
The construction of the gelatin production plant is set to begin in 2026, with ongoing support from the Kazakh government. The project is expected to significantly increase the processing rate of raw hides, which currently sees a substantial portion unused. As the plant becomes operational, it may lead to further investments in Kazakhstan's agro-industrial sector, attracting more foreign companies to explore opportunities in the region. The government’s plan to establish additional collection points for wool and hides will likely complement the plant's operations, enhancing the overall efficiency of the sector.
