Kazakhstan denies re-exporting sugar to Russia

Published: 09/14/2017, 9:09:51 AM

Kazakhstan uses quota for raw sugar import from third states for processing for its own needs and does not re-export sugar to Russia, said Timur Suleimenov, Minister of National Economy, according to Kazakhstan's KazTAG.

"In the time of formation of the Customs Union, the Eurasian Economic Union, all the states defined transformation regulations, including our quota for raw sugar import from the third state. It will stay valid until 2018," the Russian mass media cite T. Suleimenov.

He said Kazakhstan did not commit any infringements as the quota is fixed on the level of demand of a state. "We have no overstocks of sugar to export it to Kyrgyzstan, China or Russia. This quota is fixed on the level to cover the domestic demand. We do not import sugar from the third state re-exporting to Russia," he said.

As it was reported, the Russian Agricultural Ministry estimated loss of sugar industry of Russia caused by actions of Belarus and Kazakhstan to RUB70 billion (US$1.2 billion)-RUB80 billion.

Alexander Tkachev, Russian Minister of Agriculture, called Kazakhstan and Belarus "to bring order". He said to the Vedomosti newspaper sugar production in Russia got uncompetitive due to sugar re-export from Kazakhstan. Sugar prices fell from RUB44 to RUB26 per 1 kg in August-September.