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ORDER OF THE MINISTER OF AGRICULTURE OF THE REPUBLIC OF KAZAKHSTAN

of May 18, 2020 No. 171

About approval of Rules of forward purchase of agricultural products for 2020

According to the subitem 4) Item 1 of the Presidential decree of the Republic of Kazakhstan of March 16, 2020 No. 286 "About measures for ensuring social and economic stability" PRIKAZYVAYU:

1. Approve the enclosed Rules of forward purchase of agricultural products for 2020.

2. To provide to department of production and conversion of crop products of the Ministry of Agriculture of the Republic of Kazakhstan in the procedure established by the legislation:

1) the state registration of this order in the Ministry of Justice of the Republic of Kazakhstan;

2) placement of this order on Internet resource of the Ministry of Agriculture of the Republic of Kazakhstan after its official publication.

3. To impose control of execution of this order on the supervising vice-Minister of Agriculture of the Republic of Kazakhstan.

4. This order becomes effective from the date of the state registration and is subject to official publication.

Minister of Agriculture of the Republic of Kazakhstan

S. Omarov

It is approved

Ministry of Finance of the Republic of Kazakhstan

 

It is approved

Ministry of national economy of the Republic of Kazakhstan

 

Approved by the Order of the Minister of Agriculture of the Republic of Kazakhstan of May 18, 2020 No. 171

Rules of forward purchase of agricultural products for 2020

Chapter 1. General provisions

1. These rules of forward purchase of agricultural products for 2020 (further - Rules) are developed according to the subitem 4) of Item 1 of the Presidential decree of the Republic of Kazakhstan of March 16, 2020 No. 286 "About measures for ensuring social and economic stability" and determine procedure for forward purchase of agricultural products.

2. In these rules the following concepts are used:

1) agricultural products - the types of cultures which are subject to forward purchase according to these rules;

2) agricultural producer (further - SHTP) - the physical person or legal entity which is engaged in production of agricultural products including by means of creation of simple partnership / consortium;

3) cereal receiving point (further - HPP) - the legal entity having the granary (elevator, cereal-receiving Item) on which grain storage is performed on the property right;

4) forecast purchase price - forecast purchase prices on the agricultural products which are purchased by means of forward purchase according to appendix 1 to these rules;

5) providing - bank guarantee / guarantee of social business corporation;

6) coordination council - the collegiate organ created by local executive bodies for consideration and the approval of the SHTP list participating in forward purchase;

7) forward purchase - purchase at SHTP of agricultural products on the terms of advance payment after providing providing and surcharge after delivery of agricultural products to the autumn period.

Chapter 2. Main conditions of forward purchase

3. Financing of forward purchase is performed for the account and within the means provided in the republican budget for 2020.

4. Distribution of amounts of forward purchase and cash amounts between areas (Akmola, Aktyubinsk, Almaty, East Kazakhstan, Jambyl, West Kazakhstan, Karaganda, Kostanay, Pavlodar, North Kazakhstan, Turkestan) (further - Distribution) is performed by the Ministry of Agriculture of the Republic of Kazakhstan depending on disposition of sown area of regions.

5. Qualitative indexes of the purchased agricultural products shall conform to the requirements established by the national RK 1046-2008 ST standards "Wheat. Specifications", ST of RK 2119-2011 "Barley. Requirements in case of procurements and deliveries" and the state standard specifications 22391-2015 interstate standards "Sunflower. Specifications", GOST 19092-92 "Buckwheat. Requirements in case of procurements and deliveries", GOST 10583-76 "Colza for industrial conversion. Specifications", GOST 10582-76 "Seeds of flax oily. Industrial raw materials. Specifications".

6. The amount of advance payment constitutes no more than 75 (seventy five) percent from forecast purchase price.

7. Completion date of obligations of SHTP - on November 15, 2020.

8. Delivery conditions - EXW "ex-works" (Inkoterms-2020) on the cereal receiving points determined by joint-stock company "The Food Contractual Corporation national company (further - Corporation).

Chapter 3. Mechanism of implementation of forward purchase

9. Information on the beginning of forward purchase is placed on Internet resources of the Ministry of Agriculture of the Republic of Kazakhstan of www.gov.kz, joint-stock company "National managing holding "Kazagro" www.kazagro.kz and www.fcc.kz Corporations.

10. The application for participation in forward purchase in form according to appendix 2 to these rules with the necessary list of the documents provided by agricultural producers according to appendix 3 to these rules moves electronically on the website of Corporation, or in paper form in the representative offices of Corporation which are in the respective areas.

Within 1 (one) working day from the moment of receipt of the request with complete document package the Corporation, on condition of compliance of SHTP to the requirements specified in Item 11 of these rules creates the SHTP list and submits to it and approval to coordination council of the respective area.

11. The forward purchase is performed at SHTP meeting the following requirements:

1) lack of the tax arrears, debts on the compulsory pension contributions compulsory for professional pension contributions and social assignments, lack of arrears to financial institutions over 90 days;

2) absence in lists of poor debtors concerning which there are judgments on application of the rehabilitation procedure or on recognition by the bankrupt, and also lack of unexecuted court resolutions about collection of the amount / forced obligation fulfillment.

12. The coordination council no later than 2 (two) working days from the moment of receipt from Corporation of the SHTP list approves the SHTP list of area for implementation of forward purchase with indication of agricultural products and scope of supply, total area under crops (further - the List) within the amounts specified in Distribution.

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