Kazakhstan launches major halal meat processing plant

It is believed the project will be important to the development of Kazakhstan’s beef industry, which currently faces a lack of processing capacity.

The project’s investment cost is estimated at KZT2 billion (US$6.5m), including KZT140m (US$450,000) allocated by the country’s authorities for local infrastructure.

Huge importance​

At the opening of the plant, Vice-Minister of Agriculture Gulmira Isayeva said the facility would have a huge impact on the development of beef in the west of Kazakhstan and.

“The project will result in an increase in the number of livestock and will expand the export potential of the region. The plant will create 88 new jobs,​” said Berdybek Saparbayev, governor of the Aktobe region.

According to company representatives, the production cycle will be based on the latest European technology, and processing will be fully automated. Meat will be produced in quarter-carcases and half-carcases, in the form of semi-finished products and minced vacuum-packed products.

Export focus​

The facility will be almost fully focused on the supply of beef to the Russian market within the Common Customs space of the Eurasia Economic Union. The price of beef in Russia is 20-25% higher than in Kazakhstan and, following Russia’s food embargo, its domestic market faces a shortage of quality beef products.

“We will export about 60% of all products, primarily to Russian cities neighbouring Kazakhstan, including Orenburg and Sverdlovsk. We will also deliver products to retail chains in Moscow and St Petersburg, which have already expressed an interest. Overall, we will supply beef to 15 Russian cities,​” said Nurlan Sagnalin, head of LLP Aktepa Company.

Beef cluster​

According to a spokesperson from the country’s Agriculture Ministry, a beef cluster will also be established around the new meat processing plant. It will include several beef farms that are participating in the special state program ‘Sybaga’, which is focused on quality-controlled meat production, and a feedlot for 11,000 head of cattle.

It is expected that, in future, the project will also have its own feed mill and several new beef farms, as regional authorities believe the capacity of the plant could be expanded in future.