Kyrgyz - EastAgri Proects Eng 28...in the Kyrgyz republic tabaldiev str. 10, ... report on marketing ... plants to process organic waste products in biogas plants, ...

Kyrgyz AgriculturAl investment Forum

Investment Projects

un Food and Agriculture organization in the Kyrgyz republic

tabaldiev str. 10, 720044, Bishkek, Kyrgyz republic

tel. (+996 312) 210722Fax (+996 312) 210126

e-mail: [email protected]

Business Development and investment council under

the government of the Kyrgyz republic

chui ave. 219, Bishkektel: (+996312) 612085Fax (+996 312) 611585

ministry of agriculture of the Kyrgyz republic

96 A, Kiev str., 720040, Bishkektel: (+996312) 623616Fax: (+996312) 623632

Kyrgyz AgrIculturAl Investment Forum september 28-29, 2011, Bishkek

Introduction This brochure has been developed under the framework of the Kyrgyz

Agricultural Investment Forum held on September 28–29, 2011 in the Bish-kek city, Kyrgyz Republic with the aim of wide discussion of issues related to attraction of investments to agricultural sector of the country. At the Forum representatives of the state bodies, private sector, investors, and interna-tional organizations took part.

To date the agrarian sector is one of the leading branches of the economy of the country. It contributes about 22% to the GDP, and 40% of all working force is engaged in the agriculture. More than half of population of the country lives in rural areas. That gives to the agriculture not only economical but also important social and political role.

Production of grain crop, vegetable growing, potato growing, technical crops production – cotton, tobacco, and sugar beet prevail in the agriculture of the Republic. There are extensive natural pastures in Kyrgyzstan, allow-ing development of animal husbandry, especially breeding of sheep, cattle, horses, and yaks.

Diversified natural-climatic conditions allow cultivation of both warm-requiring and frost-resistant agricultural cultures. Climatic conditions of the south of Kyrgyzstan permit to get 2 yields per year. The country possesses significant water resources that allow irrigation of 80% of agricultural land. Rich and pesticides-free soils provide wide possibilities for production of or-ganic products.

Multi-sectoral processing industry is one of the priority sectors of the economy based on local raw products and it has big capacity of high value added. In 2009 this sector’s share in total volume of industrial production of the Republic reached 14,3%, and in 2010 — 12,3%.

Availability of big external sales markets for agricultural products like Ka-zakhstan, Russia, China, and other countries and Agreements on free trade with the CIS countries provide significant export potential to the agricultural


sector of Kyrgyzstan. Besides starting from 1998 the Kyrgyz Republic is the only WTO member in the Central Asian region.

In Kyrgyzstan favorable conditions have been established for both local and foreign investors. Thus a company registered in Kyrgyzstan may be fully owned by foreign persons. Foreign companies have the right to repatriation of income and capital. With introduction of the Tax Code income tax has been decreased from 20 to 10%, and VAT — from 20 to 12%. Average level of cus-toms tariffs makes up 4,7%. As a result of conducted reforms Kyrgyzstan’s rank in the World Bank rating “Doing business” was 44 as of 2011

There are special preferential terms for investors in the agriculture. Agri-cultural producers in Kyrgyzstan are exempted from all taxes except moder-ate land tax. Processors of agricultural products in Kyrgyzstan are exempted from VAT and income tax. Export of agricultural products and import of agri-cultural equipment are fully exempted from any duties and taxes.

Kyrgyzstan has significant labor resources. Cost of labor force in the country is not high under practically 100% literacy of the population. Less than 20% of produced output is processed that gives wide possibilities for development of the processing industry.

As successful direct foreign investments in the agricultural sector one can mention the Russian company Vimm-Bill-Dann — processing and production of dairy products (JSC “Bishkek Syut”), Reemtsma-Kyrgyzstan — tobacco area, Close Corporation “Coca-Cola Bishkek Bottlers” — production of fresh-eners, and other companies.

Possible areas for investments in the agricultural sector of Kyrgyzstan are: Ä Production and processing of meat (more than 50% of the country ter-ritory are natural pastures);

Ä Integrated production of dairy products – production, processing, and distribution;

Ä Fish breeding and aquaculture (in general there are more than 3000 lakes in Kyrgyzstan);

Ä Production and processing of tobacco; Ä Production and processing of fruits and vegetables (ideal climatic con-ditions for production of high quality French bean, pepper, potato, ber-ries, apricots, sugar beet, tomatoes, etc.;

Ä Production of cotton; Ä Modern storehouses for agricultural products; Ä Production of high quality seed material; Ä Agricultural equipment (production, delivery, leasing, and mainte-nance).

But in spite of such an important role of the agriculture in the economy of the country its share in total volume of received investments is much less significant. That indicates persistent under-financing of the sector. In 2010 investments in fixed capital in the agriculture made up less than 2% of total volume of investments in the economy of the country. There are practically no direct foreign investments in the agrarian sector. That results in weak growth of labor productivity, serious shortage of the required agricultural infrastruc-ture, weak mechanization, decreased yield, outdated production technolo-gies, degradation of land and other resources, insufficient growth of incomes of rural population.

Thus increase of investments in the agriculture of the Kyrgyz Republic is critically important to ensure economic growth and poverty reduction in rural area. Under limited state financing attraction of private sector resources plays a significant role.

The main goal of this brochure is presentation of a number of investment proposals in the agricultural sector of Kyrgyzstan for potential foreign and local investors. These proposals have been submitted by business-associa-tions and representatives of private sector with the support from the Business Development and Investments Council. The Council is a consultative-adviso-ry body for promotion of the dialogue between the Government and business community and ensuring development of recommendations and proposals


for the state agencies on improvement of business environment and invest-ment climate in the Kyrgyz Republic.

Presented investment proposals are widely varied in size starting from small proposals for small business to big projects requiring significant invest-ments. They cover almost all areas from production to processing and mar-keting of agricultural products. In each project a local partner who can provide necessary additional information is indicated.

We hope that the Kyrgyz Agricultural Investment Forum will become a good opportunity to attract attention to the agriculture of the Kyrgyz Republic from the interested investors’ side.

T. Koichumanov

Head of the secretariat of the Business Development and Investments council under the government of the Kyrgyz republic


Investment Project

investment Project name Introduction of innovation irrigation equipment and trickle irrigation system in the Batken region

name of company/local partner Limited Liability Company “Tibet AZHU”

indicate sector of agriculture Irrigation

Brief description More than 5000 ha of land in the Batken region need development and application of innovation technologies on trickle irrigation. Project imple-mentation will contribute to poverty alleviation. The feasibility study is available. The plan has been developed, execution-authorization documents are expected to be received, report on marketing researches has been elaborated, we have a license, lease of premises, and skilled personnel. Partner has been selected, and customer has been identified.

Project profitability 1. Payback period — 5 years;2. Internal rate of return — 37–40%;3. Project profitability — 40%.

investments sum (us Dollars) 2 100 000 USD

Forms of possible investments

contact details 73, 40 let Pobedy Str., Batken region, Kyrgyz Republic 715100A.Zh. Chotbaev, Director, Limited Liability Company “Tibet Azhu”Tel: 0777 174176, 0777 512000;E-mail: [email protected]


Investment Project

investment Project name Development of biogas energy-saving technologies, construction of bio-gas plants, production of ceramic radiators

name of company/local partner Association of individual and peasant farms “Farmer”

indicate sector of agriculture

Brief description Construction of biogas plants and service centers on their maintenance. Products received from waste processing at the biogas plants — ecologi-cally pure fertilizers. Establishment of the service centers and school of biogas technologies, mechanized units on transportation and introducing of fertilizers. At present the Association of individual and peasant farms “Farmer” pos-sesses a big practical experience on construction and operation of biogas plants to process organic waste products in biogas plants, and also practi-cal experience in the use of products. At the moment construction of 4 biogas plants is being done. Calendar plan of the Project implementation is available.

Project profitability 1. DPP (direct participation program) payback period — 1,5 years;



contact details 1 a, Alma-Atinskaya Str., Bishkek city, Kyrgyz Republic, 720082A.G. Vedenev, ChairmanTel./fax: 533766, 0559 000104;E-mail: [email protected]


Investment Project

investment Project name Dairy production plant

name of company/local partner Agricultural cooperative “Mamay-Ata-Agroservice”

indicate sector of agriculture Crop production (growing of wheat, onion, French bean, sugar beet), ani-mal husbandry

Brief description Under the Project it is planned to reconstruct mini-plant in the Manas ray-on, as at the moment there are no any other enterprises on processing of dairy products, while there is a big supply of milk because the majority of population is engaged in animal husbandry. Finished product will be sold both in Kyrgyzstan and Kazakhstan.

Project profitability 1. Payback period — 3 years;2. Project profitability — 11%.

investments sum (us Dollars) 700 000 USD


contact details 44, Olkhovskogo Str., Pokrovka village, Manas rayon, Talas region, Kyrgyz Republic S.S. MamaiaevTel: 0551 190370, 0777 144697.


investment Project name Organization of machine and tractor station on servicing peasant farms

name of company/local partner Seed-growing cooperative “Batyr-Nur”, private

indicate sector of agriculture

Brief description Organization of the machine and tractor station, production of Lucerne seeds for both internal and external markets, and sheep breeding for meat and fat. Under organization of the machine and tractor station on servicing peas-ant farms it is planned to produce, process and market highly reproductive Lucerne seeds both for internal and external markets, and also to increase sheep population.To date 35 ha of Lucerne to seed has been planted. In August 2009 and in March 2010 under owned means to the sum of 880,0 thousand Som Lucerne to seed will be planted (“Zhidrune” super-elite variety).

Project profitability Payback period — 4 years



contact details 31, Podgornaya Str., Tash-Dobo village, Alamudun rayon Office: 28, Patrisa Lumumby Str., Bishkek Sultan Toichubekov — Chairman of the Board of Administration Tel.: 0312 35 57 86, 0773 63 32 57


Investment Project

investment Project name Financing of rural commodity producers

name of company/local partner Open Joint-Stock Company “Aiyl Bank”

indicate sector of agriculture — crop production;— animal husbandry;— processing of agricultural products.

Brief description At present, in spite of the fact that the “Aiyl Bank” share in total credit portfolio to agriculture of the whole banking system of the Kyrgyz Republic is almost 63%, demand for credits from the rural producers’ side exceeds total volume of supply from the banks. The Bank has all opportunities to invest resources in all regions of the country in the following areas:• 10% for development of investment crop production;• 50% for development of animal husbandry, including investment and

circulating assets;• 40% for development of production and processing of products, main-

ly for circulating assets. The most optimal period of credits recovery on circulating assets crediting is 3 years, on investment crediting — up to 10–15 years. Beneficiary of the sub-credits will be population engaged in crop produc-tion, animal husbandry, production and processing of agricultural prod-ucts, handicraft, and provision of services to rural population. Open Joint-Stock Company “Aiyl Bank” has a wide network of regional branches in every region of the country: 23 branch offices, 25 regional representative offices, 48 rural representative offices, 24 savings banks situated all over the country. In this regard there is no need in additional es-tablishment of working places. Availability of the developed infrastructure of a financial institute allows avoiding expenditures, i.e. use of the allocated resources will be directed in full at implementation of the Project goals. Open Joint-Stock Company “Aiyl Bank” for the period of its existence (15 years) has achieved significant successes in assuring access to credits for the major part of population of the country. Active credit portfolio has


Investment Project

reached 3 048 mln. Som as of 01.06.2011, servicing more than 37 thou-sand borrowers, and having good rate of credits recovery at the level of 99,8% as of June 1, 2011. As outcomes of successful implementation of the Project we assume the following:— ensuring of food security of the country through development of ag-

riculture and processing industry, small and medium business in the country regions;

— increased standard of living of population of the indicated regions;— decreased level of migration among able-bodied rural population.

Project profitability As of 01.06.2011 the Bank’s profitability indicators are: — return on assets (ROA) — 3,6%;— return on equity (ROE) — 18,9%.For the Project implementation period the ROA is foreseen at the level not less than 4%, and ROE — up to 26%.

investments sum (us Dollars) Total volume of financing — 10 000 000 USD

Forms of possible investments In the form of credit line on the following terms:• Recovery period — 10-15 years including grace period on principal

— 1 year, grace period on interest rate — 5 years, and phased repay-ment based on agreed schedule of payments;

• Interest rate — up to 8% per annum.

contact details 50, Pushkina Str., Bishkek, Kyrgyz Republic Tel: (0 312) 66 52 78, 66 10 56E-mail: [email protected], [email protected] in charge: Ainura Tezekbaeva


investment Project name Expansion and modernization of felt production

name of company/local partner Tyup rayon cooperative “Ak Shuura”

indicate sector of agriculture National felt handicraft

Brief description Procurement of wool-card and establishment of felt workshop. The coop-erative produces the following goods: national carpets (ala kiyiz, shyrdak), child’s blankets, baby’s sleeping bags, house slippers, boots, felt boots, bags, souvenirs, scarves, headgears. It is planned to enter the interna-tional market as we have experience, and product market has been es-tablished. The enterprise is situated in Tyup village in the Issyk-Kul region. Owned cash resources for building – 500,0 thousand Som, land – 60,0 thousand Som.

Project profitability 55%


Forms of possible investments Various forms are being considered

contact details 33, Borombaya Str., Tyup village, Issyk-Kul regionTel: (03945) 2-28-44, Mobile: 0543 820941Klara Alyshbaeva


Investment Project

investment Project name Production of tanning extract (tannins) of taran root, seed vessels of nuts, almonds, pistachio, and their leaves

name of company/local partner Limited Liability Company “Argymak”

indicate sector of agriculture Processing

Brief description Establishment of new capacities on production of vegetable tanning ex-tract of local natural raw materials with the aim of decreasing import of tanning agents to Kyrgyzstan to 100% and developing export potential of the state. Tanning agents are widely used in various branches of economics and in medicine. But the main user of tanning agents is the tanning industry. In spite of a wide use of synthetic tanning agents, application of natural tanning agents is obligatory in producing high quality leather. At present the tanning industry of the Central Asian countries in particular Uzbekistan and Kazakhstan strongly need vegetable tannins produced of taran root. Source of raw material is located at the territory of South Kyrgyzstan, and in other regions of the Central Asia taran is rarely found.

Project profitability 30—40%


Forms of possible investments Joint venture

contact details 114/2, Telmana Str., Suzak village, Jalal-Abat region Tel: + 996 3748 21868, 0-312 547894, 560450Mobile: (0551) 100857Kamil Ashimov


Investment Project

investment Project name Establishment of fruit-farming at the area of 680 ha in Kara-Bulun area, Djety-Oguz rayon

name of company/local partner Public Association “Baytoo”

indicate sector of agriculture Horticulture and processing of fruits

Brief description What product will be produced/processed and in what volume.Production of the following fruits starting from 2019:• pear — 19 240 tons• apple — 9 880 tons• sweet cherries — 1 650 tons• apricot — 840 tons• hips — 200 tonstotally; 31 810 tons annually Place (region, rayon) of the Project implementationKara-Bulun, Djety-Oguz rayon, Issyk-Kul regionPotential product market Russia, Kazakhstan, in future – China your contribution (land, equipment, etc.) • In 2009, 2010, and 2011 orchard at the area of 85 ha was established.• Land at the area of 600 ha • Nursery-garden with young plants at 100 ha annually • Tractors

— UTO 70 of Chinese production — 1 unit— MTZ 82 of Byelorussia production — 2 units— DT 75 bulldozer of Russia production — 1 unit— Т28 of Uzbekistan production — 2 units— Т25 of Russia production — 1 unit— tractor assemblies (plows, carriages, cultivators, harrow, etc.) —

8 units ecological compatibility level 1. Green plantations area will increase — 680 ha of area covered with

forests.


Investment Project

2. Because of increased plantations area biodiversity will enhance. Vari-ous birds will nest, hares, ground squirrels, jerboas, foxes, etc. will appear. Part of left and fallen fruits will be a food for them. Fruit trees will serve as a shelter and inhabitation place.

3. Garden itself and windbreak belts will prevent loss of top fertile soil during dust storm.

4. Climate will improve, decreasing outburst of noxious gas СО2 that causes greenhouse effect.

indicate other information important for investor This business plan will establish 110 new permanent working places and about 1200 seasonal working places during high crop yield. Income tax funds — 1 318 thousand US Dollars annually. Apart from getting incomes the Project is aimed at achieving ecological benefits, establishment of green plantations at the area of semidesert (arid lands). It will increase area under forests up to 680 ha.

Project profitability Profitability indicators In 1000 US DollarsTotal investments 4 988 thousand US Dollars.Net earnings 3 373 thousand US DollarsPayback period (1.6+5 lean years) 6.6 yearsRepayment 7 yearsNet present value 30 114 thousand US DollarsNet present value ratio 6,70Internal rate of return 60 %

investments sum (us Dollars) source of value rate of Periodfinancing (thousand assessment (years) us Dollars) (thousand us Dollars) Owned capital 1 588Loan 3 400 1 608 7total investments 4 988


Forms of possible investments Mobilization of loans

contact details 23, Mamazhana Str., Saru villageTel.: 0778 704 210E-mail: baitoo@ list.ruZhyrgalbek Madjikov


investment Project name Production of sausages, meat products, and canned stewed meat

name of company/local partner Limited Liability Company “Dordoy Bazary”

indicate sector of agriculture Processing of meat

Brief description The Project goal is to organize production of sausages and meat products in vacuum packing and production of canned stewed meat in the Naryn region. For this purpose it is planned to establish joint Limited Liability Company “Halal Et” jointly with the Limited Liability Company “Dordoy Bazary” from the Kyrgyz side. Limited Liability Company “Halal Et” plans to buy land plot in the Naryn city and construct modern meat-processing plant and install modern equipment from Finland and Kazakhstan. In this Project the Company plans:• to produce 10–15 varieties of sausages of beef, up to 2300 kg per day;• to produce beef in vacuum packing up to 630 kg per day;• to produce canned stewed meat: 600 cans per hour, net weight — 325

gram.The products will be marketed at the local market, as well as exported to Kazakhstan, and may be to other foreign countries.




contact details 115a, Ibraimova Str., Bishkek cityTel: + (996 312) 69-05-90Fax: + (996 312) 69-05-90E-mail: [email protected] Mamatbaev


Investment Project

investment Project name Extended production of natural fruit juices

name of company/local partner Limited Liability Company “PA Cooppromservice”

indicate sector of agriculture Food industry

Brief description The Company produces fruit juices of local raw products in the volume of 1100 tons annually, packaged in 3 liters glass jars, 1,0 liter glass bottles, and 1,5 liters glass jars. It is planned to increase production of juices up to 2500 tons: in 3 liters glass jars — up to 1000 tons; in 1,0 liter tetrapacks — up to 1000 tons, and in 0,5 liters plastic bottles — up to 500 tons. To implement this plan it will be required to do the following: to procure automatic machine for packing juices in 1 liter tetrapacks, to procure equipment for production of PET performs of thermopolyethulen, 30 units of enameled containers (16 cubic meters) to store juices, 2 presses for apple juices expressing (ВПШ-5) with a production capacity of 5 tons/hour, 1 strainer for apples (РЗ-ВСР-10), to replenish circulating assets of the enterprise to procure raw products: apples, apricots, sea-buckthorns, barberries, tomatoes, grapes, sugar, to procure tares: 3 liters jars, caps, 1 liter tetrapacks, ther-mopolyethulen. Project implementation place: village Tyup, Cholpon-Ata city, Issyk-Kul region, Bishkek city.

Project profitability 45 %



contact details Address of the company/partner: aprt. 37, bldg. 76, Skryabina Str.,Bishkek Tel: + (312) 509247 Mobile: 0 700 570677E-mail: [email protected] Nikolay Zhilin


Investment Project

investment Project name Organization of trickle irrigation and establishment of plantations of stool-bed and nursery.

name of company/local partner Limited Liability Company “Kyzyl Alma”

indicate sector of agriculture Growing of fruit cultures

Brief description The main area of activities of the Limited Liability Company “Kyzyl Alma” is growing of fruit cultures in Djety-Oguz rayon of the Issyk-Kul region. The main production assets are various specialized technique: tractor УТД (1 unit), T-25 (1 unit), and also there is a production basis - sheepfold shed, cellarage, house (1700 square meters), fruit store (640 cubic meters), and also fruit-bearing orchards:• apricot orchard — 2 ha (established in 2002);• apple orchard — 3,41 ha (out of which 2,26 ha were established in

2004);• stool-bed — 0,34 ha; • pear orchard — 3 ha;• orchards — 8,45 ha;• pastures — 9 ha. Fruits from the available orchards are being exported to Russia and Ka-zakhstan.



Forms of possible investments Various forms are considered

contact details Address of company/partner: 5, Bakyt Asanbaev Str., Kyzyl-Suu village, Issyk-Kul regionTel: (03946) 22407, 21721Mobile: 0772 567177Chynybek Abdykerimov


Investment Project

investment Project name Production of vegetable oil

name of company/local partner Republican Central Cooperative

indicate sector of agriculture Production of vegetable oil

Brief description Procurement of hot pressing facilities + vegetable oil bottling facilities. 1. Production volume — 800 tons/year at the beginning 2. Location — Chui region and southern region of Kyrgyzstan3. Sales market — internal market 4. Raw products — members of cooperatives in the Chui region and

southern regions of Kyrgyzstan specialized in growing safflower 5. Equipment — the Republican Central Cooperative can invest 30% of

the equipment cost 6. Production of oil doesn’t damage the environment 7. At present about 80% of vegetable oil is imported from other countries



Forms of possible investments Any forms

contact details 96a, Kievskaya Str., Bishkek Republican Central Cooperative Tel. 46 13 65 0770-93-93-30E-mail: [email protected] Kozhaliev – Chairman of the Administrative Board


Investment Project

investment Project name Processing of fruits (washing, drying, and packing of apricots, stewed fruit mixtures, and other fruits)

name of company/local partner Agricultural cooperative “Mol Tushum”

indicate sector of agriculture Processing of dried fruits

Brief description 1. The cooperatives is engaged in washing, drying, and packing of dried fruits

2. Location — Batken region, Kyrgyzstan 3. Sales market — Russia, Kazakhstan 4. Contribution of the local partner — land, equipment, raw products 5. Ecological compatibility level — apricots grow in ecologically clean

area without application of chemicals 6. The Cooperative is the commodity-service one, has been functioning

since 2004, and has 2000 members-farmers in the Batken region

Project profitability


Forms of possible investments May be in the form of equipment, agricultural machinery upon agreement with investor

contact details Address of company/partner: 14, Sultanmuratminbashy Str., Batken city, Batken region, Kyrgyz Republic Tel: 03622 6-07-25; +996777 068379E-Mail: [email protected] Khalmurzaev


Investment Project

investment Project name Provision of services to farmers of the Chui and Talas regions on issuing of micro-credits

name of company/local partner Chui postal branch office of the State enterprise “Kyrgyz Pochtasy”

indicate sector of agriculture Postal

Brief description Chui postal branch office provides financial, postal, and banking services to population of the Chui and Talas regions. At present a special atten-tion is being given to introduction of banking services. “CONTACT” system has been introduced on transfer of money. We cooperate with Open Joint-Stock Company “Aiyl Bank” on issuing and repayment of micro-credits, when the Bank representatives make contracts on places, and issuance and repayment of credits are done through the Chui postal branch office. The Chui postal branch office has a big experience on ensuring safety dur-ing currency shipment, delivery to the postal office, and issuance of money to clients. Postal offices are equipped with fireproof safes, iron-barred win-dows and doors. In all offices telephone lines and Internet are available. Bank offices are located only in the rayon centers, and farmers have to spend more money to get there. Some settlements are more than 1000 km away from the rayon centers. On of the advantages of the postal office is a branched network. At the ter-ritory of two regions 260 postal offices operate, that allows timely delivery and issuance of micro-credits. For the beginning the requested sum is 1000000,0 US Dollars. If to convert to the national currency it will make up about 45,0 mln. Som.

Project profitability Not less than 30 %


Forms of possible investments Credit

contact details 365, Pobedy Str., Lebedinovka village, Chui region Tel: 60 96 40, 0770 11 57 57E-mail: [email protected] Kurbanov


Investment Project

Investment Project

investment Project name Construction of dairy and meat commercial farm with a complete cycle to processing and packing

name of company/local partner Independent Expert Organization “Agrarian Platform”

indicate sector of agriculture Animal husbandry

Brief description Breeding Farm Reina Kench is a leading farm in livestock breeding. The Issyk-Kul region produces 400 tons of milk annually which is not processed. Also about 135–150 tons of meat is produced which is not processed as well. The Company Reina Kench has a big personnel and genetic capacity for successful implementation of the Project on construc-tion of modern workshops on milk processing, packing and delivery to retail outlets. Gained experience will enable the Reina Kench team to suc-cessfully promote the Project on construction of slaughter workshop with a completed cycle: slaughter, butchering, packing, and delivery to retail outlets of the Kyrgyz Republic and the near foreign countries. With imple-mentation of the Project the breeding farm Reina Kench will produce and process 900–1000 tons of milk and 550–600 tons of meat. The Project will be implemented in Tepke village, Ak-Suu rayon, Issyk-Kul region. Produced output is oriented mainly at the internal market, Kazakhstan and Russia. The breeding farm has 2230 ha of land, out of which 410 ha are pastures. The pastures allow significantly decreasing the prime cost of pro-duction. To date there are 270 head of highly-productive cattle, 1800 head of sheep, 250 head of horses. The breeding farm has opportunities to pro-vide fodder resources, machine and tractor stock, cellarage, fodder shop, weighing equipment. Infrastructure - roads, water supply system, electricity, and plumbing are on the balance of the breeding farm and meet modern re-quirements. Since 2005 the Breeding Farm Reina Kench has been dealing with organic crop farming without application of chemical protectants, herbi-cides, and mineral fertilizers. As a result an application has been submitted to get certificates “BIO” and “BIO HALAL”. On the basis of the Breeding Farm Reina Kench regional training center has been set up to train farmers and agricultural specialists. FAO seminar has been conducted.


Project profitability 25—28%

investments sum (us Dollars) Requested sum is 1 000 000 USD

Forms of possible investments Credit, leasing

contact details Address of company/partner: 230, Chui Prospect, Bishkek Tel: 0312 89 21 66E-mail: [email protected]


investment Project name Procurement of equipment on production of ravine to enhance bee-keep-ing, and also production of dried-fruit tea with addition of honey, pollen and marshmallow sticks.

name of company/local partner Private entrepreneur Samigulina Elfira Askhatovna, Public Association “IODOP (Issyk-Kul Voluntary Association of Beekeepers)

indicate sector of agriculture Bee-keeping and production of honey

Brief description Collection of royal jelly and apitoxin, organization of production of jam with honey, tea “honey with pollen”, juices, and dried fruits. Investments are required for construction of dryer at the area of 90 square meters, circulating assets (tares, containers to keep semi-finished prod-ucts, labels, procurement of raw products), and designing. Potential sales markets are Kazakhstan, Russia, Arab countries via trade companies, lo-cal market and CIS countries.

Project profitability Up to 40—50 %



contact details Address of company/partner: 35, Roza Lyuksemburg Str., Karakol city, Issyk-Kul regionTel: (03946) 59288, 58273Mobile: (0772) 21 40 50Askhat Galiev


Investment Project

investment Project name Processing of berries, fruits, and vegetables

name of company/local partner Republican Central Cooperative

indicate sector of agriculture Processing of berries, fruits, and vegetables

Brief description 1. Processing of fruits, up to 400 tons/year2. Location — Osh, Djalal-Abad, and Batken regions 3. Sales markets — Russia, Ukraine, Kazakhstan4. raw products – cooperative members in the Osh, Djalal-Abad, Bat-

ken, Talas, and Issyk-Kul regions specialized in growing apricots, prunes, apples, pears, etc.

5. equipment — the Republican Central Cooperative can invest 30% of the equipment cost

6. Production of dried fruits doesn’t damage the environment 7. Drying equipment is universal and allows processing of any vegeta-

ble and animal products getting quickly recoverable dried products. Equipment for drying of vegetables, fruits like any other drying equip-ment is simple in use and safe, has low price and high cost recovery.



Forms of possible investments Universal conveyor drying device of continuous operation for drying of fruits, vegetables, and berries

contact details 96a, Kievskaya Str., Bishkek Republican Central Cooperative Tel. 46 13 65 0770-93-93-30e-mail: [email protected] Kozhaliev – Chairman of the Administrative Board


Investment Project

investment Project name Crediting of agricultural commodity producers

name of company/local partner MCC “Cooperative Credit”

indicate sector of agriculture Agricultural production

Brief description 1. Credits for agricultural production2. Osh, Djalal-Abad, Batken, Chui, Talas, Naryn, and Issyk-Kul regions 3. Crediting of agricultural cooperatives — members of the Kyrgyzstan

Cooperatives Union (more than 12 thousand farmers) 4. MCC “Cooperative Credit” has been providing credits to agricultural

cooperatives since 1999. As of June 1, 2011 the credit portfolio is 25 mln. Som, repayment level is 99%

5. MCC “Cooperative Credit” is a structural subdivision of the Kyrgyz-stan Cooperatives Union. It cooperates with the Ministry of Agriculture of the Kyrgyz Republic, Ministry of Economic Development, German International Center, Swiss Agency “Helvetas”, etc.

Project profitability 10% (for investor)


Forms of possible investments Loan, credit

contact details Kyrgyzstan Cooperatives Union Tel. 46 13 65E-mail: [email protected] Imanbekova


Investment Project

investment Project name Increase of head of milk cows and cattle in the Chui region

name of company/local partner Milk Producers Association “Chuisyut”

indicate sector of agriculture Production of raw milk

Brief description 1. Production of raw milk and development of animal husbandry (milk cows) through provision of milk cows to individual persons on time with further redemption, and compulsory purchase of milk from the population at the established prices. It is planned to provide from 100 to 1000 cows to citizens of the Chui region.

2. The project will be implemented in the Chui region3. Potential sales market — processing milk plants in the Chui region

and customers from Kazakhstan 4. Our contribution — raw products 5. Ecological compatibility level — there is no risk of ecological pollution6. Implementation of this Project will result in the following:

— evident support to rural population for whom cattle is highly liquid assets and source of income

— encouraging of individual persons to improve culture of ani-mal husbandry, increase yield of raw milk and its quality стимулирование физических лиц в повышении культуры

— development of interrelated branches like growing of fodder crops, vegetables, and use of unused agrarian capacity of the area

Project profitability Profitability from marketing of produced milk including repayment of the provided cow’s cost without a calf is 9,5%With a calf — 52,4%

investments sum (us Dollars) from 132 159 to 1 321 586 USD

Forms of possible investments Commodity credit


Investment Project

contact details Address of company/partner: Zhenish Str., Rot-Front village, Issyk-Ata rayon, Chui regionTel: 0772 52 59 78 E-mail: [email protected]. Moldokmatov, Adilbek uulu Sh.


investment Project name Establishment of a joint venture on bottling of water and production of apple, plum juices, and juice beverages to be marketed both at internal and external markets

name of company/local partner Private entrepreneur, K.K. Sultanbekov

indicate sector of agriculture Production of natural and juice beverages

Brief description 1. Prunes, apple, tomato — 3000–4 000 liters per day 2. Ak-Djar stock-raising Complex, Kara-Bura rayon, Talas region 3. Products will be marketed to internal markets and Kazakhstan 4. Available assets: land, premises, and part of equipment 5. Ecologically safe production 6. Adjacent territory of the base (future Project) is located 10 km away

from Maymak station, distance to Taraz city (Kazakhstan) is 50 km. There is a possibility to market products to Kazakhstan (80%), and Uzbekistan (20%), and also to internal markets: Bishkek city and Ta-las region itself. Raw products will be delivered from Kara-Bura and Bakay-Ata rayons of the Talas region.

Project profitability

investments sum (us Dollars) From 40 000 to 200 000 USD

Forms of possible investments Share in capital

contact details Address of company/partner: Ak-Djar stock-raising Complex, Kara-Bura rayon, Talas region Tel: 0772566727E-Mail: [email protected]. Tynaliev


Investment Project

investment Project name Construction of pumping substation and vegetable storage facility for pro-duction of potato

name of company/local partner Agricultural Cooperative “Kumdobo Birimdigi”

indicate sector of agriculture Crop production

Brief description • Growing and storage of seed and commercial potato (up to 1500 tons) in the Naryn region, Kochkor rayon

• Storing till spring in a big quantity will allow selling at profitable price• Contribution to the Project: land (40 ha), agricultural machinery, elec-

tricity, and seeds• Potential product market: Kazakhstan and Russia

Project profitability 46 %


Forms of possible investments Joint implementation

contact details Tel.: 0772 71-55-50E-mail: [email protected] Zhyrgalbek Toktogaziev — Chairman


Investment Project

investment Project name Potato processing plant in the Talas city on the basis of Joint-Stock Com-pany “Azyk” (former meat-packing plant)

name of company/local partner Open Joint-Stock Company “Kyrgyz Agro-Food Corporation”

indicate sector of agriculture Production and processing of agricultural products

Brief description • Growing of potato in the Talas region for further processing. It is planned to produce varieties of potato suitable to produce chips and potato with a high content of starch. Planned volumes of potato pro-duction — up to 10 thousand tons.

• Talas city, talas region.• Products will be marketed to Russia, Kazakhstan, and internal markets.• Our contribution: Production space. Equipment received on a grant

basis from India. High-yielding varieties of potato seeds are required. • We are ready to consider possibility of investor’s share in capital by

allocating share in constituent instruments of the potato processing plant, depending on invested resources.

Project profitability Full estimate documents are being developed

investments sum (us Dollars) Estimation is being done

Forms of possible investments Share in capital, long-term preferential crediting (not less than 10 years)

contact details Address of company/partner: 96A, Kievskaya Str., Bishkek Tel: + 312 62 47 82; fax: 62 45 93E-mail: [email protected]; [email protected] Almaz Tilekeev


Investment Project

investment Project name Production of concentrated juices and tomato paste

name of company/local partner Agricultural Cooperative “Agroplast”Kyzyl-Kiya city, Batken region, Kyrgyz Republic

indicate sector of agriculture Processing of fruits and vegetables

Brief description • production of apple concentrate, 2000 tons annually • production of fruit puree, 1000 tons annually• production of concentrated tomato puree, 7000 tons annually• location: Kyzyl-Kiya city, Batken region • sales market: Russia, Kazakhstan• contribution of the enterprise: land, factory premises, raw products • ecological compatibility level: high• the Enterprise has good source of raw products and stable product

market for finished products

Project profitability Internal rate of return — 25,05 %


Forms of possible investments Share in capital

contact details 14, Kulatova Str., Kyzyl-Kiya city, Batken region, Kyrgyz Republic Е-mail: berdikul 1@mail. ru Berdikul Abdibaitov, Director


Investment Project

investment Project name Production of nonalcoholic beverages

name of company/local partner Joint-Stock Company “Kelechek”

indicate sector of agriculture Production of water and nonalcoholic beverages

Brief description • Production of nonalcoholic beverages • Location: Jalalabad city, Jalalabad region • Sales market: Kyrgyzstan, Russia, Kazakhstan• Contribution of the enterprise: land, factory premises, financial

resources • Ecological compatibility level: high• The Enterprise has good stable product market for finished products


investments sum (us Dollars) About 3 450 000 USD


contact details Jalalabad city, Jalalabad region, Kyrgyz Republic Е-mail: kelechek @rambler. ru Keldibek Tumanov, Director


Investment Project

investment Project name Production of apple concentrate and prune puree

name of company/local partner Private entrepreneur Baymyrzaev Ak-Tyube village, Aksy rayon, Jalalabad region

indicate sector of agriculture Processing of fruits

Brief description • Production of apple concentrate, 200 tons annually • Production of prune puree, 100 tons annually • Location: Ak-Tyube village, Aksy rayon, Jalalabad region • Sales market: Kyrgyzstan, Kazakhstan• Contribution of the enterprise: land, factory premises, raw products • Ecological compatibility level: high• The Enterprise has good source of raw products




contact details Ak-Tyube village, Aksy rayon, Jalalabad region Е-mail: baimirzaev@mail. ru Mamasadyk Baymyrzaev – Director


Investment Project

investment Project name Production of milk powder

name of company/local partner Limited Liability Company “Osh Nan”Osh city, Kyrgyzstan

indicate sector of agriculture Processing of milk and production of milk powder

Brief description • Production of milk powder, 75 tons • Location: Osh city, Kyrgyz Republic • Sales market: Kyrgyzstan• Contribution of the enterprise: land, factory premises, raw products • Ecological compatibility level: high• The Enterprise has good source of raw products and stable product

market for finished products


investments sum (us Dollars) About 250 000 USD


contact details Osh city, Kyrgyz Republic Е-mail: m.anarbaev @gmail.com Madamin Anarbaev


Investment Project

investment Project name Processing of local corn (groats mill) with production and packing of corn grits (and other grits), flour, cereal breakfasts, and corn sticks.

name of company/local partner Private entrepreneur SABITAKUNOVA (producer of corn sticks)

indicate sector of agriculture Processing of local corn (groats mill) with production and packing of corn grits (and other grits), flour, cereal breakfasts, and corn sticks.

Brief description 1. establishment of new capacities of the groats mill on processing of local grain crops with a high quality standard with the aim of decreas-ing import of grits to Kyrgyzstan and developing export, and ensuring food security in the country.

2. the concept of this Project is health protection of the population through production of natural product taking into account growing de-mand for snack products and cereal breakfasts, differing by higher level of natural composition targeted at wide range of consumers at the market.

Project profitability 1. Payback period — 3 years.2. Project profitability — 36%


Forms of possible investments In the form of equipment

contact details Private entrepreneur Sabitakunova110, Kozhobergenova Str., Chon-Aryk village, Bishkek, 720016 Tel. +996 312 55 12 97Mobile:+996 773 99 96 02E-mail: [email protected] Sabitakunova, Executive Director


Investment Project

investment Project name Meat processing

name of company/local partner “Central Asian Breeding Service” Ltd.

indicate sector of agriculture Livestock breeding

Brief description Introduction of closed production:• slaughtering of cattle• dressing of carcasses• freezing• selling of meat to companies, which are producing sausages and

other meat products • export

Project profitability 1. DPP (direct participation program) — 5 years;2. IRR (internal rate of return) — 37–40%;3. NPV (net present value) 4. MPI (marginal propensity to investment) — 40%.

investments sum (us Dollars) 2,5 mln USD


contact details Kyrgyz Republic, Igemberdieva str. 19АDirector: Djumaliev A.T.Tel: 47 13 74; 46 46 61E-mail: [email protected]


Investment Project

investment Project name Production of exclusive sorts of cheese

name of company/local partner “Central Asian Breeding Service” Ltd.

indicate sector of agriculture Livestock breeding

Brief description There is a lack of high-qualitative cheese in Kyrgyzstan. Many high-qual-itative sorts of cheese are imported. It is proposed to open a small plant, which will produce exclusive sorts of cheese.

Project profitability 1. DPP (direct participation program) — 3 years;2. IRR (internal rate of return) — 30–40%;3. NPV (net present value) 4. MPI (marginal propensity to investment) — 35–40%.

investments sum (us Dollars) 100.000 USD


contact details Kyrgyz Republic, Igemberdieva str. 19АDirector: Djumaliev A.T.Tel: 47 13 74; 46 46 61E-mail: [email protected]


Investment Project

Kyrgyz - EastAgri Proects Eng 28...in the Kyrgyz republic tabaldiev str. 10, ... report on marketing ... plants to process organic waste products in biogas plants, ...

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