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Snow Valley plans potato-processing complex worth up to $200 million in Kazakhstan

China’s Snow Valley Agricultural Group plans to build a potato-processing complex in Kazakhstan’s Pavlodar region with annual capacity of 100,000-200,000 tonnes. The proposed $100-200 million project would combine processing with breeding, seed production, storage and logistics.

Snow Valley plans potato-processing complex worth up to $200 million in Kazakhstan

Chinese processor enters Kazakhstan

China’s Snow Valley Agricultural Group plans to develop a deep-processing potato complex in Kazakhstan’s Pavlodar region, digitalbusiness.kz reported. The proposed plant would process 100,000-200,000 tonnes of potatoes annually, with investment estimated at $100-200 million. Its output would include French fries and other processed potato products.

The project remains at the investment stage. Snow Valley signed a memorandum with the Pavlodar regional administration in April 2026. In September, SnowValley Food Kazakhstan Group Holdings Ltd was registered at the Astana International Financial Centre, a development identified by financial analyst Arman Batayev. The memorandum records the parties’ intentions, while the new holding company provides a local corporate structure for the planned investment.

The complex is intended to cover more than factory operations. Plans include a potato breeding and research centre, seed production, farming, storage, logistics and sales infrastructure. The Pavlodar regional administration expects the project to expand Kazakhstan’s capacity for deep agricultural processing and create jobs in breeding, cultivation, manufacturing and related services.

Demand could extend across the farm supply chain

If completed at the announced scale, the plant would create industrial demand for as much as 200,000 tonnes of potatoes each year. Consistent supply for frozen French fries requires suitable processing varieties and controlled quality, making the planned breeding and seed operations central to the project rather than an auxiliary activity. Snow Valley has said it intends to use its own technology while drawing on local resources.

The proposed model follows the group’s vertically integrated operations in China. Snow Valley says it has more than 26,600 hectares of modern virus-free seed-potato production bases across 13 Chinese provinces. Its farms use digital field planning, soil monitoring, drip irrigation, automated storage and product traceability. The company reports that it has developed more than 80 potato varieties and breeding lines; 27 have received protection for new plant varieties and 21 have been registered nationally in China.

Technology is also part of the processing proposal. Snow Valley uses pulsed electric field, or PEF, technology, which the company says can improve product characteristics and reduce oil consumption during subsequent processing. Industrial French-fry production involves selecting potatoes with specific qualities, followed by washing, sorting, peeling, cutting, pre-frying and shock freezing.

Snow Valley brings large-scale processing experience

Founded in Zhangjiakou, Hebei province, on January 15, 2007, Snow Valley started with capital of 10 million yuan, several employees and revenue below 10,000 yuan. During its first decade, annual revenue grew to about 800 million yuan, according to digitalbusiness.kz. Founder and chairman Wang Dengshe had previously worked as a potato researcher and, according to Xinhua, led experiments with the Shepody variety from 1999. He adapted the variety to Chinese conditions four years later in a project involving US potato company J.R. Simplot.

Snow Valley now processes more than 800,000 tonnes of raw materials annually and has potato storage capacity of about 700,000 tonnes. More than 400,000 tonnes of its output is shock-frozen. The group operates seven automated frozen-potato production lines equipped with machinery supplied from 11 countries and regions. Its Snow Valley Food division, established in 2012, reported three production bases in Zhangjiakou, Guyuan and Xuzhou by 2024, covering 395,000 square metres and representing accumulated investment of about 3 billion yuan.

The company supplies international food-service chains and sells products in more than 40 countries across Europe, Asia, Africa and Australia. Its range includes French fries, hash browns, potato flakes, breaded products and seasoned items. For Kazakhstan, however, the immediate milestone will be moving from a memorandum and corporate registration to construction and contracted potato supply. Until then, the $200 million investment and 200,000-tonne capacity remain proposed maximums rather than operating figures.

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