Kazakhstan exporting grain to Afghanistan through Turkmenistan

Kazakhstan is looking for an alternative route for the supply of flour to Afghanistan, bypassing Uzbekistan, AfTAG reports quoting the Kazakh Telegraph Agency (KazTAG).

“Afghanistan is the main importer of flour from Kazakhstan (Kazakhstan’s share in the Afghan flour market is about 60%). However, Uzbekistan sets high rates for the transit of flour through Uzbekistan to Afghanistan. (…) In order to resolve this issue, KazAgro NMH JSC is developing alternative routes for flour delivery to Afghanistan through Turkmenistan”, Prime Minister Askar Mamin said, responding to a request from Mazhilis deputy Amanzhan Zhamalov.

The prime minister cited the data of the Organization of Legal Entities “Union of Grain Processors of Kazakhstan”, according to which Turkmenistan is interested both in developing transportation across its territory and creating competitive routes, and provides a 30% transit rate discount, equal to the tariff for domestic transportation.

According to the Cabinet head, Uzbekistan, protecting the domestic market from import of goods, uses an excise policy and high tariffs for the transit of imported products through Uzbekistan.

“The right to apply excise taxes equivalent to customs duties is enshrined in the protocol on the CIS free trade zone agreement application until December 31, 2020,” the Kazakh prime minister specified.

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