Kazakhstan's Pavlodar regional administration has signed a memorandum of cooperation with China's Snow Valley Agricultural Group Co. Ltd. This agreement facilitates a major potato processing investment project, estimated at between $100 million and $200 million.
The planned agro-industrial complex targets an annual processing capacity of 100,000 to 200,000 tonnes, focusing on value-added products. It includes a research and breeding centre for potato cultivation and seed production, French fries manufacturing, and integrated storage and logistics infrastructure.
Regional authorities anticipate the project will create a full production and supply chain, addressing a deficit in agricultural deep-processing capacity and generating new employment. Governor Asain Baikhanov affirmed the administration's readiness to support initiatives that establish high-tech, value-added production.
China's Snow Valley Agricultural Group, founded in 2007 in Zhangjiakou, is a vertically integrated agro-industrial holding. It processes over 800,000 tonnes of raw materials annually, including 400,000 tonnes of frozen products, and holds 700,000 tonnes of storage capacity.
The company utilises advanced technologies like pulsed electric field (PEF) systems, improving product quality. Snow Valley also develops over 80 potato varieties through breeding programmes and exports its products to over 40 countries.
Chairman Wang Dengshe highlighted Pavlodar region's strong potential, confirming Snow Valley's interest in long-term cooperation. The regional press service stated the Chinese firm is ready to implement the project using modern technologies and local resources.
Pavlodar authorities have pledged comprehensive support, encompassing infrastructure development, provision of resource bases, and administrative assistance. This commitment aims to facilitate the project's smooth implementation and maximise its economic benefits.
The project emerges after Kazakhstan's previous temporary bans on potato exports outside the Eurasian Economic Union (EAEU). These restrictions, enacted due to rising domestic prices, exposed vulnerabilities in national supply chains and processing capabilities.
While the market currently remains stable, authorities did not rule out reinstating such measures in autumn 2025. This underscores the strategic importance of the Snow Valley partnership for enhancing domestic deep-processing capacity and ensuring supply stability for Kazakhstan.