Kazakhstan will introduce a ban on the export of sugar

"Introduce by August 31, 2024 a ban on the export of sugar from the territory of the Republic of Kazakhstan, including to member states of the Eurasian Economic Union, with the exception of international transit of sugar through the territory of the Republic of Kazakhstan, as well as the movement of sugar from the territory of one member state of the Eurasian Economic Union . to the territory of another state – a member of the Eurasian Economic Union through the territory of the Republic of Kazakhstan within the limits of indicative balances," the document states.

As the MSG explains, the need for the domestic market is provided due to the production of sugar from domestic raw materials for only 13% of the total volume of consumption, the rest – due to the processing of raw cane and the supply of finished sugar from the EAEU countries (the share of the Russian Federation – 57%, the Republic of Belarus – 1 5 %).

Available stocks of sugar and raw cane in the amount of 136,000 tons are likely to be sufficient for consumption for a period of up to 2.5-3 months.

At the same time, the supply of sugar from the Russian Federation within the quota of 120,000 tons will provide the needs of the domestic market for an additional 2.5 months, excluding imports from the Republic of Belarus.

"At the same time, from May to August, the monthly consumption of sugar increases several times (in June 2022, sugar consumption amounted to 63.5 thousand tons, in August it reached a peak – 68.6 thousand tons; in 2023, the peak of demand fell on May – 49 thousand tons)", the MSG notes.

At the same time, there has been an increased demand for sugar from abroad since the beginning of the year. Thus, in three months of the current year, 32.9 thousand tons of sugar were exported (in 2023 – 19 thousand tons), which is 70% more than the annual volume of 2023.

In two months of 2024, imports amounted to 53.1 thousand tons, in particular from Russia – 52.8 thousand tons, Belarus – 0.3 thousand tons. According to KMD data, in March imports amounted to 23.5 thousand tons, including 22.5 thousand tons from Russia.

"So, in order to ensure the domestic sugar market during the period of the introduction of restrictive measures of the Russian Federation and the exclusion of re-exports, a temporary ban on the export of sugar is being introduced," the rationale states.