News - Foreign Investor Implements the Third Project in Kazakhstan

During the meeting of Meirzhan Yussupov, Chairman of the Board of «NC «KAZAKH INVEST» JSC, with Mr. Fang, founder, and Chairman of Ningbo Banshen Electric Appliance, and domestic businessmen represented by Qaz Metal Industry, the possibility of construction of an enterprise in the Karaganda region to produce ready-made high-quality products with a capacity of 500 thousand tons per year was discussed.

The investors were informed about the plans for the construction of the plant, pointing out that presently, a marketing study of the project has been carried out, negotiations with a potential supplier of process equipment were held, a pre-feasibility study of the plant construction was prepared, and a situation plan was worked out. The start-up of production is scheduled for 2023. It is expected that the products will be supplied to the country's domestic market and CIS countries. It is planned that the volume of investments in the project will be around $55 million.

«Karaganda region was not chosen randomly for the construction of the plant - the largest number of scrap metal producers is concentrated in this region. In 2019, the volume of Kazakhstan's scrap metal market was estimated at 1.9 million tonnes. In 2020, this figure rose to 2.4 million tonnes. The recorded annual growth rate of the scrap market in Kazakhstan was 22.6%. The supply and demand for scrap in 2020 was 2.8 million tones. Over 4 years, their level has increased by 23.2%», - said the investors.

Besides, within the project implementation on the free economic zone territory, the company will be able to receive tax and customs preferences and an investment site with ready-made engineering infrastructure.

In his turn, Meіrzhan Yussupov stressed that the development of investment projects in the sphere of production of metal products with high added value is one of the priority directions of Kazakhstan's economy. The head of the national company assured that the project will be given full support.

It is worth noting that the aforementioned Kazakhstani and foreign investors are jointly implementing the third project in Kazakhstan. Previously, they organized an enterprise for the production of polyester fibers worth $20 million and a plant for the production of engineering sanitary ware and heating equipment for $ 30 million.