As part of Beijing’s $40 billion Silk Road Fund, created for the implementation of Beijing’s “One Belt, One Road” policy aiming to improve economic cooperation and markets between China and the rest of Eurasia, China has announced plans to invest $1.9 billion in Kazakhstan’s agriculture industry. Although Kazakhstan is eighth among the top 10 wheat exporting countries in the world, the country’s agriculture sector is underdeveloped. The government of Kazakhstan is hoping China’s investment in Kazakh agriculture will help offset the weakest economic growth the oil-dependent country has experienced in 20 years. Chinese firms are planning to partner with Kazakh companies and invest in agricultural processing facilities. Forecasted investments include $1.2 billion by Zhongfu Investment Group for oilseed processing; $200 million by Rifa Investment for beef, lamb and horsemeat production; and $80 million by Cofco for tomatoes and tomato paste.

Source: Financial Times