ORDER OF THE GOVERNMENT OF THE KYRGYZ REPUBLIC

of March 30, 2017 No. 191

About the Development program of food and processing industry of the Kyrgyz Republic for 2017-2021

For the purpose of stable development of food and processing industry, more complete use of the existing production capacities and involvement in production of manpower, in pursuance of the National sustainability strategy of the Kyrgyz Republic for 2013-2017 approved by the Presidential decree of the Kyrgyz Republic of January 21, 2013 No. 11, according to articles 10 and 17 of the constitutional Law of the Kyrgyz Republic "About the Government of the Kyrgyz Republic" the Government of the Kyrgyz Republic decides:

1. Approve:

- The development program of food and processing industry of the Kyrgyz Republic for 2017-2021 (further - the Program) according to appendix 1;

- The actions plan on program implementation of development of food and processing industry of the Kyrgyz Republic for 2017-2021 (further - the Actions plan) according to appendix 2.

2. Assign to the Ministry of Agriculture, the food industry and melioration of the Kyrgyz Republic responsibility for program implementation approved by Item 1 of this resolution.

3. By July 15 and on January 15 to provide to the ministries and departments, plenipotentiaries of the Government of the Kyrgyz Republic in areas following the results of half-year and year information on the course of program implementation and the Actions plan in the Ministry of Agriculture, the food industry and melioration of the Kyrgyz Republic.

4. To the Ministry of Agriculture, to the food industry and melioration of the Kyrgyz Republic following the results of half-year and year, by July 20 and on January 20 to provide submission of information on the course of accomplishment of the actions provided by the Program and the Actions plan.

5. To impose control of execution of this resolution on department of agro-industrial complex and ecology of Government office of the Kyrgyz Republic.

6. This resolution becomes effective after fifteen days from the date of official publication.

Appendix 1

The development program of food and processing industry of the Kyrgyz Republic for 2017-2021

1. General provision and purposes

The development program of food and processing industry of the Kyrgyz Republic for the period till 2021 (further - the Program) provides the problem resolution of development of food and processing industry, resource and financial provision, and also mechanisms of implementation of actions of the Program and indicators of their effectiveness. The program is developed taking into account the laws of the Kyrgyz Republic, the Presidential decree of the Kyrgyz Republic "About the National sustainability strategy of the Kyrgyz Republic for 2013-2017" of January 21, 2013 No. 11, of the resolutions and orders accepted by the Government of the Kyrgyz Republic within development of processing industry, increase in the export potential, and also taking into account the recommended regulations of food intake meeting the requirements of healthy power supply, and number of the departmental target programs oriented to the problem resolution of development of agro-industrial complex of the country.

The main objective of the Program consists in ensuring the guaranteed and steady supply of the population of the country with safe and high-quality food, way of development of food and processing industry, achievement of stability of development of internal sources of food and raw material resources.

The program is designed to create necessary conditions for upgrade of the industry, the solution of financial and economic and social problems, to promote realization of the purposes of social and economic development of the republic till 2021.

In 2021 production of foodstuff shall increase in time 1,3 in case of annual average rate of surplus of 3-4% to the level of 2014. At the same time rates of surplus of meat and molokoprodukt, sugar and fruit and vegetable products are assumed. The production capacity utilization rate shall reach 45 percent.

2. Analysis of the current situation

In republic industrial output the specific weight of food and recycling industry following the results of 2014 reached 14,5 of %, 2015 - 12, %. Now food and processing industry includes more than 18 industries combining 326 operating legal organizations, more than 5900 physical persons.

The companies of processing industry in 2015 make products on the amount 23129, 3 million som, or is 6,7% less, than in 2014, and in 2016 - is 12,1% more, than in 2015.

Despite growth in volumes of production of food, high import dependence of the country by separate types of agricultural products and food remains.

The analysis shows that in this sector of economy it was not succeeded to carry out modernization of the companies on the basis of the innovation technologies, to diversify production and to develop competitive products, the certificate to what is the low level of export of finished goods.

Weak material and technical resources of the companies of food and processing industry and undeveloped infrastructure of storage, transportation and cooling treatment of perishable raw materials and food do not allow to process in a complex starting crude and to create optimal conditions for storage that leads to additional losses, decrease in safety and quality.

Implementation level in production of modern types of packaging is insufficient for the solution of questions of improvement of quality and safety of products, merchandising process improvement.

Lack of sufficient financial resources at the organizations slows down implementation of resource-saving technologies, production diversification.

The main system problems characteristic of all industries of food and processing industry, are:

- lack of agricultural raw materials with certain quality characteristics for industrial conversion;

- moral and physical wear of processing equipment, lack of production capacities;

- low level of competitiveness of producers of food products in the internal and external food markets;

- undeveloped infrastructure of storage, transportation and logistics of merchandising of food products;

- problems when exporting.

Accomplishment of task of development of infrastructure and logistic providing food group of goods will allow to increase by 2021 the level of marketability of agricultural products for 5 percent.

Also considerable part of the secondary resources formed as a result of industrial conversion of agricultural raw materials is used inefficiently. It is necessary to increase waste putting to use of the food and overworking organizations for production of secondary resources that will provide increase in production efficiency and will reduce harmful effects on the environment.

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