Today AgromashHoldingKZ produces a wide range of agricultural machinery - Yesil combines, Lovol tractors with horsepower from 35 to 135, large Kirovets tractors with horsepower from 350 to 420. In addition, the production site has established the production of reapers, pickers and seeders.
According to data, Yesil combines occupy about 50% of the market share, Kirovets tractors occupy more than 90% of the market in their segment. At the same time, the demand for Lovol tractors is steadily increasing. If in the first year since the launch, 136 cars were sold, then in the six months of this year, more than three hundred units were sold.
Kostanay plant will not stop here and is already engaged in the construction of workshops to increase the localization of products.
"Now we are working on implementation of a unique project - placing a Localization center on the territory of our plant. This is a large-scale cluster where a wide range of components will be produced, both for agricultural machinery and for cars," said Dinara Shukizhanova, first Vice President of AgromashHoldingKZ.
Meanwhile, as it is emphasized at the plant, it is not enough to produce equipment, it is also important to deliver it on time, provide farmers with high-quality maintenance and availability of spare parts.
In this regard, with the support of Development Bank of Kazakhstan JSC (a subsidiary of Baiterek Holding), AgromashHoldingKZ expanded and upgraded its own service centers for the sale and maintenance of agricultural machinery in Kazakhstan.
"The machine-building industry is one of the priority sectors for DBK, including the production of domestic agricultural machinery, since this significantly affects the development of the agro-industrial complex of our country, including food security. And it is gratifying that AgromashHolding equipment meets the needs and expectations of domestic farmers" – said Abay Sarkulov, the Chairman of the Management Board of Development Bank of Kazakhstan.
Currently, the branch network is represented in eight regions of the country, which are engaged in the sale, preparation of equipment for transfer to the customer, technical and guarantee maintenance, and sale of spare parts. This year, it is planned to open two more centers in Turkestan and Aktobe regions.
"The presence of representative offices in different regions of Kazakhstan is of great importance for our customers. If the equipment breaks down, farmers have almost no time to repair – the timing of sowing and harvesting is quite compressed. Specialists of our service centers go to the places and fix any problems within a day," emphasizes the Kostanay manufacturer of agricultural machinery.
Cooperation between Development Bank of Kazakhstan and AgromashHoldingKZ was initiated in 2008. Since then, it has resulted in several major joint projects. As well, the plant is an active customer of DBK-Leasing JSC, a subsidiary structure of Development Bank of Kazakhstan.
During the coronavirus pandemic, DBK-Leasing launched an anti-crisis program with preferential terms; it allows farmers to purchase equipment on lease with a zero down payment at 6% per annum for a period of 7 years. As Dinara Lukianova noted, it is an unprecedented project in Kazakhstan, none of leasing companies provide such terms. In this regard, there is a rush among buyers of equipment – farmers want to have time to take advantage of the program and get equipment on lease under DBK-Leasing line.
Affordability and quality of Kazakhstan's agricultural machinery is confirmed also by the farmer Tatyana Pfunt:
"We prefer Kazakhstan machinery, because it is affordable and falls under investment subsidies. Domestic equipment and spare parts are affordable; maintenance and service suits us as well. This is good enough for us.
Own agricultural machinery is of great importance for the country. Its development significantly affects the renewal of agricultural machinery fleet of Kazakhstan farmers.
"Agriculture has a great potential for development. But it is worth noting that the depreciation of agricultural machinery fleet is 54%. Our farmers need a high-quality renewal of the fleet. At the moment, subsidies for the purchase of equipment are 25%, regardless of its cost. For example, a Kazakhstan-built combine harvester costs about KZT 50 mln., and an imported combine harvester costs about KZT 150 mln. Accordingly, in monetary terms, imported equipment receives more subsidized funds. It seems fair to us, as Kazakhstan manufacturers of equipment, that the amount of allocated funds should be equal within the framework of subsidies," emphasizes the first Vice-President of the Company.
It should be noted that during the state of emergency and quarantine, the plant's management was well aware that it was not necessary to stop work in any case – the sowing period was approaching, contracts were signed, and it was impossible to let the farmers down. Strict rules for sanitary treatment of all premises, mandatory wearing of masks, and constant medical examination of employees were introduced in the Company and at the place of production. It took about three weeks to rebuild the processes. Currently, the plant operates in two shifts in compliance with all epidemiological requirements.
