Astyk Trans stimulates export of kazakhstan grain to China
Traditionally, according to phytosanitary requirements by the Chinese Government, grain to China was shipped in bags. In recent years, thanks to joint efforts of the Kazakhstan-China authorities and active promotion of these restrictions’ removal by the Ministry of Agriculture of the Republic of Kazakhstan, the Chinese authorities have allowed import of Kazakhstan grain and barley in bulk in wagons. As a result, from year to year cooperation is being established between grain traders in Kazakhstan and China. This has opened a new niche for transport companies in Kazakhstan.
In October this year, Astyk Trans, in order to stimulate the supply of Kazakhstan grain to foreign markets, including China, announced a reduction in export rates for grain wagons in a number of directions. So, grain wagons are provided for export to China with a discount of up to 25%.
Such measures have significantly increased the volume of grain transportation in this direction. In October this year, transportation amounted to 13,750 tons, which is 10 times more than the volume of transportation in September this year (1 255 tons). At the same time, the growth in grain transportation from Kazakhstan to China over the 2 months of the new season — September — October — amounted to 60% compared to the same period last year.
Certainly, the volumes of Kazakhstani grain supplied to the Chinese market in grain wagons are relatively small in the framework of the total volume of grain exports from Kazakhstan to China. However, observing the dynamics of development of these transportations, it is worth to notice that the demand in the Chinese market is definitely growing and leaves hope for a sufficiently large potential.
Best regards,
Astyk Trans JSC.