Military Review

The impact of the Customs Union on the economy of Kazakhstan

14
The impact of the Customs Union on the economy of KazakhstanThe economy of Kazakhstan has been operating for more than two years under the conditions of the Customs Union. Around this very important for all countries of the participants of the association there are constantly disputes about the benefits and profits for different countries. Unfortunately, good analytical materials supported by statistics are rare. Partly, this post appeared precisely because I could not find enough quantitative data on the results of the activities of the customs union, partly as a desire to express my opinion on economic integration with Russia and Belarus.


In this post we will try to answer such questions:

  • How much has Kazakhstan’s trade with the CU countries increased?
  • How has the structure of Kazakhstan's trade turnover changed after joining the union?
  • Has the creation of a customs union influenced trade between Kazakhstan and China?
  • What are the pros and cons of Kazakhstan after the creation of the customs union?

    Dynamics of foreign trade turnover of Kazakhstan

    One of the main tasks of the creation of the customs union was the desire to increase trade and export of Kazakhstan goods to the CU countries. Consider the data of the Customs Committee of Kazakhstan on the volume of foreign trade of Kazakhstan and trade within the CU.




    The graph shows that the largest decline in foreign trade occurred in 2009, the year of greatest recession after the economic crisis. Since 2010, there has been a steady increase in international trade both in the CU countries and in other countries of the world.

    The share of imports of goods to Kazakhstan in total trade with the CU countries is about 70%. By and large, we are much more “giving away” to the economies of Russia and Belarus than “helping out” from the sale of our goods in these countries. At the same time, the union is, of course, the main partner of the Russian Federation. The Russian Federation occupies about 97% in the trade turnover of Kazakhstan with the CU countries; Belarus, respectively, only 3%.

    Commodity structure of trade with the countries of the Customs Union

    If we consider the structure of the entire foreign trade of Kazakhstan (with all countries), then the influence of the CU becomes noticeably strong. Thus, in total exports from Kazakhstan, the share of exports to the CU countries from 2008 of the year tends to decrease (for example, in 2007, exports to Russia and Belarus occupied about 10% of total exports from Kazakhstan, and in 2011, only 8,7%). This indicates that since the beginning of the CU operation, our trade policy towards Russia and Belarus did not undergo fundamental changes: as we exported there about 9% of our exports before the CU was established, we also export them later. The growth of exports from Kazakhstan to the countries of the Customs Union is only partially explained by the reasons for creating the CU, the main reasons, in my opinion, are the same mechanisms that ensured the growth of all Kazakhstani exports (revitalization of the world economy, favorable conjuncture in commodity markets).

    The situation is quite different with the import of goods from Russia and Belarus to Kazakhstan. Immediately after the creation of the CU, imports to Kazakhstan from Russia began to increase dramatically. So if in 2007, imports from Russia accounted for about 36,7% of the total imports to Kazakhstan, then in 2011, it became almost 46%. Those. Kazakhstan’s imports have become even more supplied with goods from Russia.

    Conclusion: With an obvious increase in commodity turnover within the framework of the customs union, its creation did not greatly change the position of Russia and Belarus in the export structure of Kazakhstan, but rather strongly affected the structure of imports to Kazakhstan. Kazakhstani imports became even more supplied with goods from Russia.


    The commodity structure of exports from Kazakhstan has changed, but not drastically. The leading position still belongs to mineral products (ie, raw materials: primarily oil products, ores and concentrates). Kazakhstan's chemical and metallurgical products are also popular in Russia and Belarus. Also noteworthy is the increase in the share in exports of such a group as computing equipment. True, to be honest, I am confused by this article, because in Kazakhstan, sufficiently well-developed industrial productions of computing equipment have not yet been observed. Those. By and large, there are no fundamental changes in exports from Kazakhstan to the CU.

    There are no significant changes in the structure of imports to Kazakhstan.


    As before, mineral products (oil and oil products, ores and concentrates, coke, etc.) are leading in imports from Russia - 26%.
    In second place is a large group - metallurgical products (metal, pipes, rods, and much more). This group accumulated in 2012 about 15%. 13% of imports is a group of machines and equipment. The fourth place belongs to the group “Vehicles” - 10%. And 8% comes from ready-made foods.

    The conclusion from the graphs above can be made as follows: Approximately the same goods and in the same proportion as before the creation of the customs union are exported to Kazakhstan from the CU countries.

    It should also be noted that the export operations of Kazakhstan primarily include raw materials and industrial goods, i.e. Benefit from the creation of the vehicle and simplify the movement of goods will receive, first of all, the major Kazakhstani industrial producers (in the areas of oil and gas, metallurgy, mining, chemical industry). Unfortunately, the change in the structure of Kazakhstan's exports in the direction of consumer goods has yet to be said.

    China's trading activity towards Kazakhstan

    Another task was to limit imports of goods from China, but according to the Customs Committee, trade with China only slightly slowed down its growth in 2010, but in 2011 it had already surpassed its pre-crisis maximum.


    The structure of import of goods from China before and after the creation of the customs union also remained almost unchanged. China is still active in the import of various machinery and equipment, non-precious metals and products from them (metal, pipes, rods, etc.), vehicles, plastics, plastic products, textiles, shoes and many other things.

    Conclusion: the creation of the CU did not significantly affect the foreign trade activity of China in relation to Kazakhstan.
    It was statistics, and statistics is a stubborn thing.

    Pros and cons of the creation of the Customs Union

    Further, I would like to consider the main pros and cons of creating a customs union for Kazakhstan, and finally understand, for the benefit of Kazakhstan, the customs union or to the detriment.

    Pros:
  • Simplification of the declaration within the CU.
  • Potential growth in transit trade operations (China-Europe). Development of the logistics market in Kazakhstan
  • Simplification of the transit of Kazakhstan goods through Russia and Belarus.
  • The growth of budget revenues due to the growth of the customs tariff
  • Investment growth through the creation of joint ventures in Kazakhstan
  • The entry of Kazakhstani producers into new markets (Russia, Belarus) and the increase in the competitiveness of our products
  • Significant political benefits - integration with a strong partner
  • Simplification of the movement of human resources, the influx of specialists in Kazakhstan

    Cons:
  • The growth of customs tariffs will cause a rise in goods imported from third countries
  • Rising prices due to equalization of Kazakhstan and Russian prices
  • Increased competition due to lower prices for Russian and Belarusian goods may hit some Kazakhstan markets.
  • Breaking the usual mechanisms and processes of movement of goods
  • Lack of uniform standards and those regulations

    In my opinion, in the strategic aspect, such integration will be very useful, and is a natural continuation of the already close cooperation with Russia. It would be foolish to reject the fact that during all the years of independence we have been actively working with Russia, which is one of the main partners of Kazakhstan, not only in trade, but also in many other areas. Russia is much closer to Kazakhstan than, for example, the other strongest player in the region, China. And it is quite natural that the idea of ​​such a union arose with Russia, and not with China.

    In macroeconomic terms, the vehicle also has more advantages than minuses, since we have a more simplified variant of transit and sale of our main goods (oil, raw materials, grain, etc.) to the main consumers (EU, Russia).

    After the transition period, when the rules of doing business in the new environment will be shaped, the investment attractiveness of creating new joint ventures will increase significantly. Kazakhstan is more attractive in terms of setting up and running a business, so one should expect that our country will be more attractive to foreign investors. A clear example is the recent visit to Kazakhstan and the agreements reached with representatives from Vietnam.

    But there are problems and disadvantages of integration. They must not be forgotten, they must be recognized, they must be worked with. Many of the negative aspects associated with the activities of the CU arise from the breakdown of the old mechanisms of work and the incompleteness, and often the lack of new mechanisms. Such problems are inherent in any transition period. In my opinion, a similar period can last even 3-5 years before a relatively workable set of documents, principles and standards is created allowing to effectively solve the tasks set for the union.

    Another important drawback is the threat of a decrease in the competitiveness of Kazakhstani goods in relation to Belarus and Russia. Such an increase in competition can be viewed from two opposite aspects. I agree that it will become more difficult for Kazakhstani businessmen to work in some markets, but on the other hand, the growth of competition will force Kazakhstani businessmen to improve their business processes. As shows история economy, competition brings more advantages than disadvantages and is the driving force of progress. First of all, consumers benefit from competition.

    It should also be borne in mind that the Kazakh market is not so capacious that Russian commodity producers rush to it in orderly rows. We are interested in Russian partners, primarily as consumers of industrial goods (machinery, equipment, consumables for the mining, oil and gas, agriculture and other industries) and as a major supplier of raw materials. This is also evident in the structure of imports and exports with Russia and Belarus.

    The rise in prices is one more minus, actively discussed in the press. It is based on two main trends: a rise in prices for goods from third countries due to the increase in customs tariffs; The second trend is speculation at lower prices in Kazakhstan compared to Russia. Regarding the first trend, the average tariff rate for the republic increased by 4.4%. This is not a critical increase in the customs tariff and it is impossible to talk about a large-scale increase in domestic prices because of this.

    If we consider the second upward trend in prices from Kazakhstani producers, on the contrary, it is positive for them. Some of our products are cheaper than Russian ones, which means that our manufacturers have a real competitive advantage over Russian or Belarusian ones. Here again, it is clear that the customs union provides advantages for local producers, when Russian buyers can purchase most of their products. I think no one will argue that for sellers such an expansion of sales opportunities is very profitable. On the other hand, local consumers suffer because the law of supply and demand aligns our prices with Russian.

    Therefore, it cannot be said that such an alignment is an absolute evil for Kazakhstan, producers benefit, consumers suffer. In general, public statements on this issue look illogical, on the one hand they care about the problems of our manufacturers, that they suffer from the creation of the CU, but as soon as some local players, according to the law of supply and demand, level up (in this case, increase) their prices, they come out to new Russian buyers, and thereby win, everyone starts to swear and be indignant about this situation. We need to be completely honest, if we want to support our producers, it means that we need to create conditions for them when they can get enough profit for development, which means being ready to buy lower-quality Kazakhstani goods, at higher prices and give them the opportunity to earn money. selling goods to Russia (and thereby reducing the domestic supply of goods, which causes a rise in domestic prices).

    In general, I look at the integration processes with Russia positively. Our economies are already rather intertwined, integration is quite natural. In macroeconomic terms, Kazakhstan gets more than it loses. First of all, the large industrial enterprises of Kazakhstan benefit (Oil and gas, mining, metallurgy, chemical industry, etc.). The main disadvantages and problems arising from the creation of the CU stem from: deficiencies or the lack of new mechanisms; now there is a transition period; due to insufficient competitiveness of some of our products and problems in price regulation. In my opinion, we need to recognize these problems, work with them and gradually come to effective mechanisms for the functioning of the union.
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    1. Melchakov
      Melchakov 7 June 2013 15: 30 New
      0
      I have one this article appeared earlier than in the main feed? recourse
      1. Alexander Romanov
        Alexander Romanov 7 June 2013 15: 44 New
        +2
        Quote: Melchakov
        I have one this article appeared earlier than in the main feed?

        This article was found yesterday for a site on a third-party resource.
      2. Lord of the Sith
        Lord of the Sith 7 June 2013 17: 47 New
        +1
        I hope our Ukrainian government will move from observation to direct participation in TM.
        1. Akim
          Akim 7 June 2013 18: 17 New
          0
          Quote: Lord of the Sith
          Lord of the Sith

          I knew before, but now I’ve become even more convinced. I have little interest in where the bourgeoisie will push metal, but I do not want either bread, butter, or cheese at Russian prices, but with our salaries. I am against full economic integration and THERE and THERE!
          1. AlexxxNik
            AlexxxNik 8 June 2013 05: 52 New
            0
            with "bourgeois metal" you are paid salaries, they will not push metal, you have to whip the oil yourself, and there you look again, subsistence farming
    2. Grigorich 1962
      Grigorich 1962 7 June 2013 15: 43 New
      -1
      After reading, I still did not understand ..... on whose mill the water pours .....
      1. Alexander Romanov
        Alexander Romanov 7 June 2013 15: 45 New
        +5
        Quote: Grigorich 1962
        ... on whose mill the water pours .....

        on the total! There are also disadvantages, but pluses are obvious, everything in the article is there.
        1. aksakal
          aksakal 7 June 2013 19: 57 New
          +7
          Quote: Alexander Romanov
          on the total! There are also disadvantages, but pluses are obvious, everything in the article is there.

          - and a general conclusion - in the strategic plan I win all the sides of the Customs Union, and Kazakhstan as well. So let Clinton smoke aside, until cigarettes are deprived.
          1. Bekzat
            Bekzat 8 June 2013 00: 49 New
            +4
            I welcome everyone, “Lack of uniform standards and those regulations,” the author was a little mistaken, we already have a single certification and standardization system, and the form (certificate of conformity) is common for three countries. I am for Unity !!!
    3. MIKHAN
      MIKHAN 7 June 2013 15: 57 New
      -1
      Plus one Kazakhstan is a vast territory rich in natural resources and a large buffer on the Russian border .. we need to be friends Kazakhs, the peace-loving people of Nazarbayev keep the country for now .. Although I remember in the 90s, Kazakhs (in principle, like other small peoples of the USSR) had territorial claims against Russia and Russian squeezed specifically (without massacre of course) ..
    4. individual
      individual 7 June 2013 16: 01 New
      +6
      The Customs Union of Russia and Kazakhstan removes a significant part of the antagonism in the oil and gas sector.
      Takes off barriers on the path of the movement of commodity circulation and monetary relations.
      Improves the communication of our peoples
    5. teodorh
      teodorh 7 June 2013 17: 21 New
      -3
      The numbers don't lie. My country needs to leave this organization.
      1. Wild_grey_wolf
        Wild_grey_wolf 7 June 2013 19: 18 New
        +2
        no need to go out that you are aggravating the situation ...
    6. The comment was deleted.
      1. Uralean
        Uralean 7 June 2013 18: 27 New
        -1
        Quote: teodorh
        The numbers don't lie. My country needs to leave this organization.

        Quitting is not a problem ... And then what will you do? As soon as you leave, you will immediately fall under the influence of both the West and the East. It will turn out as Cat Basilio and Fox Alice of the wooden Pinocchio, who escaped from Pope Carlo, are waiting for you ...
        1. Jet
          Jet 7 June 2013 18: 40 New
          +1
          of two evils choose the lesser?)
          1. Wild_grey_wolf
            Wild_grey_wolf 7 June 2013 19: 19 New
            -1
            what evil we are already trading with Russia, we just summed it all up to the same laws
        2. teodorh
          teodorh 7 June 2013 21: 04 New
          0
          Do you want us to be under your influence?
    7. Avenger711
      Avenger711 7 June 2013 18: 20 New
      +1
      producers win, consumers suffer


      If manufacturers win, then the salary in the country grows, which means that everyone wins.
      1. Jet
        Jet 7 June 2013 18: 44 New
        +3
        That's the whole point that salary is not growing. Personally, I, like many Kazakhstanis, will always support favorable for Kazakhstan international economic cooperation and partnership, especially with the truly fraternal people of Russia. But, if we look at the official data, then since the creation of the CU, the export volume of Belarus increased by 22 percent, Russia - by 28, while the export volume of Kazakhstan, on the contrary, decreased by 30 percent! It should be noted that even before joining the CU, a zero tax rate was applied in trade with Russia. Since the share of Russia in the customs tariffs of the CU is 92 percent, the prices of goods imported into Kazakhstan have risen sharply, and 88 percent of the proceeds from customs taxes are deposited in the budget of Russia and only 7 percent receives the budget of Kazakhstan. However, the government does not pay any attention to this and does not intend to correct a deliberately erroneous policy, ignoring our national interests. In short, in the whole story under the title “Customs and Economic Integration of the Three Countries”, only Russia and to a lesser extent Belarus won. They had and have something to offer to a new market.
        1. Jet
          Jet 7 June 2013 18: 47 New
          +4
          Again, if we ignore geopolitics, it should be recognized that the CU was created, in the same way, for economic expansion. Have we become better off from this? To put it mildly, NO, the reasons are simple - the collapse of their own non-raw materials industry and complete dependence on imports. We simply sacrificed the state and personal economies to the CU, now we’ll finish it by joining the WTO. But in reality, we were not and are now not ready for competition, and due to the fencing in the almost old Soviet borders of the customs regime, prices have risen yet, and cheap import of goods (primarily from China) of consumer goods has ordered a long life. The government, which does not even want to respond to the opening of new industries to a very specific problem - the shortage of fuel and lubricants, but dejectedly reiterates the reconstruction of old facilities, is simply ready to waste the money of national companies in order to restrain galloping prices. What happened to prices is the result of two opposite actions: opening borders with Russia and transferring all transport food flows there and closing borders with our natural supplying countries - Uzbekistan, Kyrgyzstan, and of course China. But the experience of such countries as Canada, Argentina, Australia, suggests that it is better to become an agrarian power, for which Kazakhstan has all the prerequisites, than a raw materials appendage, which we are fully. In the near future, one that will be able to provide its citizens with their own food and water will be considered a successful country. And we bring lamb from New Zealand and apples from China in exchange for petrodollars, which we get from the barbaric production of hydrocarbons. Indeed, in fact, we committed ourselves to coordinate macroeconomic policies with Russia and Belarus, which in fact means that our country transferred to Russia, in the first place, a lot of powers in the formation of already internal economic processes, as a result of which Kazakhstan lost its economic sovereignty and, as a result there is a clear reduction in the prospects for the formation of an independent, sustainable economy in Kazakhstan.
          1. Wild_grey_wolf
            Wild_grey_wolf 7 June 2013 19: 26 New
            +1
            the factories worked and work for us here, thanks to the god of Chinese junk, it became less, it pleases. And the problems due to the 2008 crisis, so the TS has nothing to do with it ... the economy is slowly accelerating ... you are telling some passions
          2. zxz71
            zxz71 9 June 2013 07: 42 New
            +2
            I agree with you that the delights of the TS are somehow not observed. It seems that this is a political decision drawn to the economy. We just have nothing to offer Russia from industrial goods. We have simplified only the raw materials for this !!!
        2. Wild_grey_wolf
          Wild_grey_wolf 7 June 2013 19: 21 New
          +1
          and in which city prices so jumped wildly? here in Pavlodar what prices were and remained, rise as everywhere with inflation
    8. Akim
      Akim 7 June 2013 18: 20 New
      0
      It is interesting to read the same article from Belarus.
    9. The comment was deleted.
    10. Akim
      Akim 7 June 2013 18: 59 New
      -2
      Here is a photo from Yekaterinburg. There is a Ukrainian "Bogdanchik" without any integration into the vehicle. In Russia, they did the right thing, protecting the economic interests of the Union by conducting a recycling fee. Cars and buses from Ukraine are cheaper and better in quality even at high gas prices.
      1. GELEZNII_KAPUT
        GELEZNII_KAPUT 7 June 2013 19: 16 New
        +2
        which one, the left one is like Chinese, and the second one from south Korea ... or what?
        1. Akim
          Akim 7 June 2013 19: 26 New
          0
          Quote: GELEZNII_KAPUT
          and the second from south korea ...

          I will not confuse Bogdan with anything, for we have millions of people ride them every day. And it goes for export like Isuzu, because there the box and engine are Japanese.
          1. GELEZNII_KAPUT
            GELEZNII_KAPUT 7 June 2013 19: 30 New
            0
            we have everything in Altai with gazelles and hunday ... and everyone is falling apart wildly! wassat
            1. Akim
              Akim 7 June 2013 19: 42 New
              0
              Quote: GELEZNII_KAPUT
              us in Altai gazelles and hunday everything is clogged

              We have such “goodness”. I just saw Bogdan on the lines of Yekaterinburg. There are many of them in Georgia - but this is a completely different topic (not the CU).
    11. cerko
      cerko 7 June 2013 19: 59 New
      0
      I live in Bashkiria I went to the market, the price for a bag of Kazakh flour is 760 p, Renburg 900 p, Bashkir 920 p, so it seems to me from the hardware that Kazakhstan still wins
      1. Akim
        Akim 7 June 2013 20: 16 New
        +1
        Quote: cerko
        entered the market, the price for a bag of Kazakh flour is 760 p, Orenburg 900 p, Bashkir 920 p,

        It’s already become interesting. I called a friend on Privoz (Odessa). The price for a bag is 140-160 UAH. (560-620 rubles). They offered me even cheaper (they thought that I want to buy laughing ).
    12. Semurg
      Semurg 7 June 2013 20: 21 New
      +6
      After joining the TS there was a jump in prices. 15% of salaries as always lag behind, but those who grew up with the Soviet Union nostalgia and are somewhere ready to put up with this for the sake of restoring the union. Young people already have different views and in 10-15 years when they will have authorities, the CU or EVRAZES should give tangible advantages if this generation does not burden nostalgia for unions to refuse to integrate. It takes 7-10 years for this integration to prove its benefits to people or refuse, and the benefits should be tangible and not according to statistical calculations that can be drawn in any direction.
      1. Wild_grey_wolf
        Wild_grey_wolf 7 June 2013 20: 37 New
        +1
        prices jumped to the vehicle, every couple of years the fare rises in transport and before joining the vehicle. . . I buy mainly a local manufacturer and I don’t feel any problems, but prices are rising, s / n remains in place, but it was 8 years ago that there was nothing more than natural, so that there would be nothing left out of the way, there’s no such thing, that’s what a competitor appears and you need to work yes, now sitting on the couch and just clicking seeds and drinking BEER will not work, for that we will be slimmer
        _______________________________________________
        cars more and more every year, wow poorer steel ...
        1. Alibekulu
          Alibekulu 7 June 2013 21: 13 New
          +6
          Jet: We simply sacrificed the state and personal economies to the CU .. the prices went up ..

          Quote: Wild_Grey_Wolf
          .. the economy is slowly accelerating ..

          In general, and Jet right and Wild_grey_wolf right - in general, as in one of the parables about Khoja Nasreddin: "A friend of Khoja came to consult with him about a case. He told him everything and asked:" Well, how? Am I not right? "Hodge said: "You're right brother, you're right". The next day, the enemy, who knew nothing about this, also came to the Hodge.
          In order to correctly, fairly judge by Islam, Khoja Nasreddin decided to listen to both sides. And the enemy, wanting to find out how the lawsuit would end, told him the matter, of course, in a light favorable to himself. "Well, hodge, what do you say? Am I not right?" He asked the hodge. Hoja answered him: "Of course you are right".
          Khoja’s wife accidentally overheard his conversation with litigants and, seeing that Khoja considers both right, she set out to shame him and said: “Efendi, you had a neighbor Korkud yesterday, he explained his business to you, you told him that he was right. Then he came his adversary Sanjar, you told him that he was right. How is it? You are a cadet, and I’ve been a cadet’s wife for how many years. Can both the plaintiff and the defendant be right at the same time? " Hodge calmly said: "Yes, that's right, you say the wife, and you're right too".
          And as I wrote Semurg if there is no real benefit, then just get out of the vehicle ..
          1. Wild_grey_wolf
            Wild_grey_wolf 7 June 2013 21: 26 New
            +1
            Mlyn, I live according to these laws in Kazakhstan and speak from life experience, and I don’t start from the numbers ... probably when you enter any organization you then bear responsibility and obligations ... I just wanted to and it won’t work out ...
            1. Alibekulu
              Alibekulu 7 June 2013 22: 35 New
              +4
              Quote: Wild_Grey_Wolf
              probably when you enter into any organization then you bear responsibility and obligations ... already like that wanted and didn’t work out .
              Well, as if we have before us a recent, clear historical example repeat - in Belovezhskaya Pushcha, for example, they wanted to get together and they actually succeeded .. If the leaders of the RSFSR, Belarus and Ukraine did this, then why can’t Kazakhstan do ??! Somewhere, Nazarbayev said that if integration will be contrary to the direct state interests of Kazakhstan, then this process will certainly discontinued..
              1. Wild_grey_wolf
                Wild_grey_wolf 8 June 2013 07: 55 New
                0
                and when you mention such an example ... what price did you pay for it, why don't you mention it? somehow it doesn’t work out well.
                1. Alibekulu
                  Alibekulu 8 June 2013 16: 18 New
                  +3
                  Quote: Wild_Grey_Wolf
                  and when you mention such an example ... what price did you pay for it, why don't you mention it?

                  I’ll try to explain .. The fact is that this is an axiom - everyone knows perfectly well, and not by hearsay, but on "their own skin" ..
                  somehow it doesn’t work out well.
                  Here to this "somehow it is not good" - Kazakhstan, has nothing to do .. This, they did in Moscow am
                  It is clear that Kazakhstan will receive many advantages - and moreover, not only economic ones .. But even if, for example, it comes out, we definitely won’t "fight" .. And, most importantly, the key to the relationship is mainly with the Russian Federation. Kazakhstan is always trying to find common ground, to compromise .. And if Moscow will conduct an “adequate” policy, then Ak-Orda will behave accordingly ..
    13. pinecone
      pinecone 7 June 2013 20: 34 New
      +4
      Unfortunately, the economies of both countries for the most part are purely raw materials. Extremely low share of finished products in foreign trade. Roughly speaking, oil and other raw materials go there, and practically the same from there, however, with some gains due to lower transportation costs, given the vast territory of both one and the other partner.
      1. Bekzat
        Bekzat 8 June 2013 00: 54 New
        +3
        For Alexey, you are right Dear, + to you !!!
    14. Andrey KZ
      Andrey KZ 8 June 2013 15: 38 New
      +3
      Welcome all! hi.I had no doubt that in order for the TS to begin to bear fruit, it takes time. To build, to create something new is always difficult, because you need to re-clutch the wagons of our economies, which have rusted on siding for more than 20 years, to lubricate to clean, upgrade somewhere, and only then on the road. What do I see today? Here in the village of Shubar, South Kazakhstan region, a breeding pig farm is being restored. Considering that in South Kazakhstan, for obvious reasons, the pork market is small, and it provided by those who raise pigs in farms, what do you think, for whom will the products of this farm be intended? Correctly, Russians, meet in all stores our Kazakhstani, high-quality meat, without any GMOs, stimulants, and other flavorings winkBut it’s such a trifle, a friend of mine is working on the construction of a mineral fertilizer plant in Karatau, the Dzhambul region, he is amazed at the scale of construction. 2 billion dollars are being built into the construction of this plant. Is there only a plant being built for the domestic market? No:
      - Are you planning to export raw materials from Kazakhstan to the countries of near and far abroad?

      - Our republic has raw materials for the production of all types of high-quality mineral fertilizers necessary to meet the needs of agriculture. Moreover, I am sure that our products will eventually be exported to many countries. Advanced technologies will make it possible to market fertilizers that meet the most stringent international standards. Successful implementation of the project will fully satisfy the needs of the domestic market of Kazakhstan in fertilizers. It is also worth noting that the supply of phosphorus raw materials, whose reserves in our country are quite large, to Russia and Belarus will be organized. And this, in turn, will strengthen fraternal relations between our countries and significantly increase Kazakhstan's export revenue.
      Who cares, read for yourself:http://www.newchemistry.ru/letter.php?n_id=5821