On 1 June 2021 the construction of the first wholesale and distribution centers will start

On 1 June 2021 the construction of the first wholesale and distribution centers will start

Bakhyt Sultanov, Minister of Trade and Integration of the RK, spoke about it at the round table on creation of the National commodity distribution system (NCDS) from the network of wholesale-distribution centers (NDC). It is expected that WDC will play a crucial role in reducing the country's dependence on imports for six commodity items and saturation of the food market with stable prices for agricultural products, World of NAN reports quoting the press service of the Ministry.

In the course of the roundtable on the creation of the NCDS, regular discussions were held with the participation of members of the Majilis of the Parliament of Kazakhstan, representatives of government agencies, public figures and representatives of the business community.

 As Bakhyt Sultanov noted, one of the main tasks of creating the NCDS is to stabilize prices. So far there has been a single investor interested in the project to create the NCDS, the Minister noted.

The creation of trade infrastructure is one of two areas of the National Trade Development Project for 2021-2025.

"The growth of prices for socially important food products is caused by high losses, inefficient links of logistics and intermediaries. The cost of losses (up to 30%) of producers, intermediaries, the trade sector is eventually shifted through the final price to the consumer. The current chaotic and high-cost supply chain imposes additional logistics costs on prices," the minister enumerated the reasons for which the developed trading infrastructure can eliminate.

According to the head of the Ministry of Trade, "the consolidated power of procurement will reduce prices. A unified information system will provide effective logistics from producer to buyer.

There were different opinions and suggestions during the discussion. Fiscal issues were brought up, as well as proposals for cooperation and agricultural exchanges on the basis of the NDC. Minister said that all these issues will be solved in tandem. The need of exporters for modern infrastructure and potential of NDC in development of market approaches in farming was acknowledged.

There will be 7 NDCs in the 1st stage, 2021-2022. 3 NDCs in Nur-Sultan, Shymkent and Almaty (total transshipment capacity of 1.4 million pallets per year), 4 NDCs for storage in Michurino and Aksu, Pavlodar region; Kapshagay, Shengeldi rural district, Almaty region; Shu, Zhambyl region (total one-time storage capacity of about 80000 76.5 thousand tons).

The proposed NCDS model will be implemented through a private financial initiative.

"We are approaching the final organizational stage of the 1st stage - the conclusion of a PPP contract. In accordance with the schedule in May of this year we will complete all the necessary procedures for approval and signing of the PPP agreement," - stressed the Minister.

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