The Association of Kazakhstan Machinery Industry held its 42nd online meeting with regional representatives and industry partners. During the meeting, current issues related to the localization of production and the promotion of domestic products in the domestic market were discussed.
Almat Ibraev, manager of the Procurement Department at Kazatomprom JSC, presented information on measures being implemented to increase the share of domestic value and import substitution policy as part of the Program to Promote the Creation of New Production Facilities.
The import substitution program, implemented by the Samruk-Kazyna fund group of companies since 2018 on behalf of the government, is aimed at developing the national economy, opening and modernizing production facilities. It has become one of the key instruments for supporting business, developing SMEs, and strengthening the country's economic independence.
On behalf of the Head of State, the share of Kazakhstani content in procurement must be increased to 60%, and the volume of off-take contracts to 10%.
Since 2019, a local project office has been operating at Kazatomprom JSC, which systematically analyzes the company's needs, compiles a list of imported goods, and interacts with domestic suppliers. A working group on localization issues has been created in conjunction with member enterprises of the Association of Kazakhstan Machinery Industry.
“Thanks to this joint effort, effective interaction and coordination with domestic manufacturers, including Mashzavod LLP, Uralskagromash JSC, Elektrod SK LLP, and NGVision LLP, has been established,” noted Almat Ibraev.
According to the speaker, off-take contracts worth 36 billion tenge were signed with the Association's member companies for the period 2019-2025.
It is worth noting that this work will be continued consistently. Already in November, representatives of Kazatomprom JSC plan to visit member companies of the Association that have applied to participate in the import substitution program to familiarize themselves with production capacities and analyze the potential for localization.
Also during the meeting, Alexander Papp, Vice President of Kelet JSC, presented the company, its product range, and plans for further development.
Kelet JSC is one of Kazakhstan's leading companies specializing in the production of automatic multi-pump stations, water supply systems, ventilation, and power equipment. The company's annual turnover is 5.3 billion tenge, and sales volume is 11.4 billion tenge. The average number of employees is 247. The volume of contributions to the budget is 1,544 million tenge.
In addition to its own production, KELET JSC supplies a wide range of pumping, ventilation, heating, and power equipment, electric motors, and compressors from the best manufacturers in Russia and the CIS countries, China, Italy, Germany, and Hungary.
As part of the development of internal cooperation, Alexander Papp offered member companies of the Association of Kazakhstan Machinery Industry a 10% discount on Kelet JSC products and services.
Talgat Bazarbekov, Executive Director of the Association of Kazakhstan Machinery Industry, noted that such meetings contribute to strengthening cooperation between enterprises:
“Such presentations allow Union members to get to know each other better, exchange experience, and find new opportunities for joint production and promotion of domestic products,” he emphasized.
The meeting became a platform for exchanging experience, developing joint solutions, and strengthening cooperation between industrial enterprises and government agencies, which contributes to improving the efficiency of domestic machine building.
