Turkish Cengiz Holding Plans $500 Million Investment in Kazakhstan’s Sugar Industry
Cengiz Holding will invest $500 million to build two sugar plants in Kazakhstan, adding 300,000 tonnes annual capacity. Construction begins in 2026, aiming to boost domestic supply. Kazakhstan meets only 14% of its 500,000-tonne demand, despite good beet harvests. Another Turkish group, Safi Holding, is also exploring investment.
Turkish industrial conglomerate Cengiz Holding has announced plans to invest $500 million in the construction of two sugar processing plants in Kazakhstan, according to the Ministry of Agriculture. The announcement followed a meeting between Agriculture Minister Aidarbek Saparov and Cengiz Holding board member Jengiz Shaban.
The proposed facilities would have a combined annual capacity of up to 300,000 tons of sugar. North Kazakhstan and Pavlodar regions are under consideration as potential locations for the new factories.
The project has a 10-year investment horizon. Construction is expected to begin in 2026, with production to commence within two years. According to Shaban, the initiative aims to boost domestic sugar supply while also supporting the development of by-products such as animal feed, food ingredients, and industrial alcohol.
Saparov described the proposal as “strategically important” for Kazakhstan’s food security.
“The creation of new processing capacities and the formation of a sustainable raw material base are key priorities for the state,” he said.
The Ministry of Agriculture reports that Kazakhstan currently operates four sugar factories, three of which process domestically grown sugar beets. Despite this, annual consumption stands at approximately 500,000 tons, with local production meeting only 14% of national demand.
Earlier, another Turkish conglomerate, Safi Holding, also expressed interest in establishing a sugar processing facility in Kazakhstan.
The existing sugar factories include Aksu-Kant (Taldykorgan district), Koksu Sugar Factory (Almaty region), and the Merken and Taraz plants in Zhambyl region. Three of these process local sugar beets, while the Taraz facility relies on imported cane sugar. In 2024, Kazakhstan recorded a bumper sugar beet harvest of 1.2 million tons, yet only about 700,000 tons were processed, once again exposing deep-rooted inefficiencies in the sector.
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Source : Times Of Central Asia
