Raw cane or beet sugar in solid form market in Kazakhstan

Earlier Report Observations

The sugar market in Kazakhstan has been characterized by a heavy reliance on imported raw cane sugar, primarily from Brazil and other Latin American countries, for processing at local beet sugar plants. This dependency made the market volume sensitive to changes in international raw material costs and logistics. Between 2018 and 2020, rising prices for raw sugar and increased transportation expenses raised production costs, which contributed to a reduction in imports and a contraction of the total market volume from 746 thousand tons to 590 thousand tons.

To strengthen domestic production, the government introduced support measures including subsidies for sugar beet growers and VAT benefits for sugar manufacturers. In 2022, a 70% VAT exemption for sugar producers and a zero-VAT rate on imports of raw cane material helped lower costs and supported market recovery. The following year, the implementation of a 300 thousand ton duty-free quota for raw cane sugar imports further secured supply for processors, leading to a rebound in domestic output and a market volume increase to 697 thousand tons in 2023.

Production raw cane or beet sugar in solid form in Kazakhstan

In kind, 2017-2020, K t

Top producers of raw cane or beet sugar in solid form, 2017-2020

World map of production of raw cane or beet sugar in solid form, 2017-2020

Kazakhstan's production of raw cane or beet sugar in solid form declined for the second year in a row. In 2018, output reached its highest level at 580.0 K t, marking a 12.3% increase from the previous year. However, production then fell by 5.6% in 2019 and continued to decrease in 2020, dropping to 517.1 K t, which was another 5.6% decline compared to 2019.

Annual dynamics of production in Kazakhstan in kind, 2017-2020, K t

Exports raw cane or beet sugar in solid form from Kazakhstan

Exports in kind, K t

The export market for raw cane or beet sugar in solid form from Kazakhstan showed significant volatility during this period. In 2019, exports hit their lowest point at just 0.0 K t, representing a 99.8% decline from earlier levels. Then in 2020, shipments surged dramatically to 0.1 K t, a massive 774 900.0% year-over-year increase, creating a swing of 7 750 times between the two years.

Annual dynamics of product's exports from Kazakhstan in kind, 2017-2020, K t

From 2017 to 2020, Kazakhstan's exports of raw cane or beet sugar in solid form were almost entirely concentrated in Russia, which accounted for 100.0% of the total volume.

Structure of product's exports in kind by countries, 2017-2020

World map of product's exports from Kazakhstan in kind, 2017-2020

Exports in value, M $ US

Export values for raw cane or beet sugar in solid form from Kazakhstan followed an unstable trend. In 2019, the value dropped to its minimum at 0.0 M $ US, a 99.8% decrease. This was followed by a sharp rebound in 2020, with exports reaching 0.1 M $ US, an 831 837.8% rise compared to 2019, resulting in an 8 319-fold difference between the two years.

Annual dynamics of product's exports from Kazakhstan in value, 2017-2020, M $ US

Between 2017 and 2020, Russia was overwhelmingly the main destination for Kazakhstan's exports of raw cane or beet sugar in solid form in value terms, representing 100.0% of the total.

Structure of product's exports in value by countries, 2017-2020

World map of product's exports from Kazakhstan in value, 2017-2020

Imports raw cane or beet sugar in solid form to Kazakhstan

Imports in kind, K t

Imports of raw cane or beet sugar in solid form into Kazakhstan declined for the third consecutive year. In 2020, imports amounted to 72.7 K t, a steep 48.0% drop from 2019. Over the entire period from 2017 to 2020, imports decreased by 72.8%, which translates to an annualized decline rate of 35.2%.

Annual dynamics of product's imports to Kazakhstan in kind, 2017-2020, K t

From 2017 to 2020, Brazil was the dominant source for Kazakhstan's imports of raw cane or beet sugar in solid form, accounting for 84.5% of the total volume, while the remainder was distributed among various smaller countries.

Structure of product's imports in kind by countries, 2017-2020

World map of product's imports to Kazakhstan in kind, 2017-2020

Imports in value, M $ US

The value of raw cane or beet sugar in solid form imports into Kazakhstan fell for the third year in a row. In 2020, imports totaled approximately 21.6 M $ US, down 50.8% from 2019. Across the 2017-2020 period, import values decreased by 81%, with a compound annual growth rate (CAGR) of -42.5%.

Annual dynamics of product's imports to Kazakhstan in value, 2017-2020, M $ US

Throughout 2017 to 2020, Brazil clearly led as the primary source for Kazakhstan's imports of raw cane or beet sugar in solid form in value terms, capturing 83.3% of total imports, while other countries held much smaller shares.

Structure of product's imports in value by countries, 2017-2020

World map of product's imports to Kazakhstan in value, 2017-2020