How much money do SEZs bring to the state budget?
According to Kazakh Minister for Industry and Infrastructure Development Roman Sklyar, KZT313.3bn budgetary funds were spent to build the infrastructure of all SEZs, meanwhile total KZT910bn investments were attracted, thus every 2.8 tenge attracted is matched by one tenge from the budget.
“Total 183 projects were launched in SEZs, including 46 projects involving foreign participation. 15.5 thousand jobs were created. And around 150 billion tenge was returned back to the budget in the form of taxes”, Roman Sklyar said.
168 plants were started within the territory of SEZs, with overall investment of around 183 billion tenge. More than 8.5 thousand jobs were created. 85.9 billion tenge was invested in infrastructure of industrial zones, thus one tenge from the budget attracted 2.1 tenge investment.
“By 2021, 147 projects for over 2 trillion tenge will have been implemented within SEZs. In 2019, 36 projects for up to 160 billion tenge with around 1200 new jobs will be launched. 173 projects for around 520 billion tenge will have been started by 2021, with 40 projects are slated for the present year, totaling around 163 billion tenge”, Roman Sklyar said.
On his side, vice Minister of Energy Asset Magauov delivered his report on development of SEZ “National Industrial Petrochemical Technopark” as since bringing it into operation the production amount has equaled 10.1 billion tenge, 2600 jobs have been created as at May 1.
“The zone’s main projects are the production of polypropylene and polyethylene of total cost of 9 billion dollars. The projects’ contribution to GDP is 1.5%. The zone is expected to carry out private investors’ projects on polyethylene terephthalate, methanol and cyclohexane production”, he said.
The projects will attract overall investments of 2.5 billion dollars and create up to 10 thousand jobs during construction and 1500 during the operational phase.
Alisher Pirmetov, managing director, NWF Samruk-Kazyna, told in October 2016 all 68 infrastructure facilities of SEZ Khorgos-Western Gates were put into operation. Between 29 July 2015 and 1 May 2019, the dry port SEZ Khorgos converted 317.4 thousand containers into TEU. In 2018, SEZ Khorgos-Western Gates received over private investments of 9.3 billion tenge.
“This year it is planned to launch 4 projects for 15 billion tenge, among them a feed mixing plant with a capacity of 60 thousand tones, a warehouse with the total area of 25 thousand sq.m, a food plant with a capacity of 1350 tons of finished products each year, and a plant for concrete production”, he said.
Akhmetzhan Yessimov, Board Chairman of NWF Samurk-Kazyna, said that the Fund is the main actor in constructing the infrastructure, including the most major project – the Gas Turbine Station, to be completed a year ahead – by the end of 2020.
Deputy Prime Minister Zhenis Kassymbek recalled that in the previous month the act on special economic and industrial zones was amended, simplifying procedures for getting state support measures and increasing requirements for managing companies as well.
The Kazakh PM, Askar Mamin, noted work to attract new projects and investments, create new jobs should be done in a systematic basis. The regions need to attract professional management companies with international experience to SEZs and industrial zones.
For the sake of effective operation and management, the Kazakh PM tasked to elaborate criteria for prioritized financing of successful and perspective zones. The Regions’ governors should draw attention to high-value-added products and export-orientated ones when integrating their projects into SEZs.
The Prime Minister instructed to come up with a development strategy for each SEZ or IZ for a three years period.
“Special economic and industrial zones need to switch into the regions’ growth points”, Askar Mamin said, pointing out the need of precise and well-oiled work, quality projects.
Adlet Seilkhanov
