13-2478 
 JOB/ACC/36/Rev.2                   13 May 2013 
 
Page: 1/3 
Working Party on the     
Accession of Kazakhstan          Original:  English 
 
 
WORKING PARTY ON THE ACCESSION OF 
KAZAKHSTAN TO THE WTO 
SUBMISSION BY THE REPUBLIC OF KAZAKHSTAN 
Revision 
 The following submission is being circulated to  Members of the Working Party, at the request 
of the Delegation of the Republic of Kazakhstan. 
  
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 JOB/ACC/36/Rev.2 
 
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  ACCESSION OF KAZAKHSTAN TO THE WORLD TRADE ORGANIZATION 
PLURILATERAL NEGOTIATIONS ON AGRICULTURE 
REVISED PROPOSAL 
ON DOMESTIC SUPPORT AND EXPORT SUBSIDIES 
Taking into account the results of the last plurilateral negotiations on agriculture between 
the Delegations of Kazakhstan and the WTO Members, which took place in Geneva on 
21 March 2013, with the purpose to move forward negotiations on domestic support and export 
subsidies, Kazakhstan proposes the following: 
1. Domestic support:  
- de minimis  level of 10%, which will remain at the same level during the implementation of 
the Government Programme "Agribusiness 2020" and will be reduced to 8.5% by 
1 January 2021; 
- AMS level is calculated based on the revised and most recent consecutive period from 
2010-2012 and provided in the DS tables. 
Note: Based on the assumption that once phased out, VAT preferences for agricultural producers 
and processors will be available as cost reducing subsidies for AG producers and processors, such 
subsidies were included into the calculations of non-product-specific AMS.  Please see Annex 1 to the revised proposal for further details.  
2. Export subsidies:  
No export subsidies will be applied by Kazakhstan as of 1 January 2018.  The volume and 
budgetary outlays commitments will remain at the same level over the duration of the requested 
transition period and will be phased out by 1 January 2018. 
Note: Based on the assumption that once phased ou t, export subsidies will be available as direct 
payments for wheat producers, such payments were included into the calculations of 
product-specific AMS.  Please see Annex 1 to the revised proposal for further details.  
Taking the above into account, Kazakhstan looks forward to a constructive approach on the 
part of the WTO Members in its negotiations on agriculture. 
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  ANNEX 1 
 
1. VAT preferences.  
In order to phase-out currently applied VAT preferences, Kazakhstan is planning to introduce 
alternative cost reducing subsidies for agricultural producers and processors.  As such, cost 
reducing subsidies were calculated using the data  on the total value of VAT preferences provided 
during the period of 2010-2012 as follows:  
Types of VAT 
preferences Total value of VAT preferences 
2010 2011 2012 
1,000 KZT 1,000 US$ 1,000 KZT 1,000 US$ 1,000 KZT 1,000 US$ 
1.  Special tax regime 
for peasant farms "Single Land Tax" Not registered as VAT payers 
2.  Special tax regime 
for juridical persons – producers of agricultural products 12,670,187 85,987 16,498,313 112,524 14,696,578  98,562
 
3.  Preferences for 
processors of agricultural primary products 4,558,236 30,935 6,971,684 47,549  7,352,904 49,312  
 
Total 17,228,423 116,922 23,469,997  160,073 22,049,482 147,874 
The total value for each year was reported as non-product-specific support in the Supporting 
Table DS:9. 
2. Export subsidies.  
In order to phase-out export subsidies, Kazakhstan is planning to provide alternative 
subsidies in the form of direct payments calculated based on the total volume of wheat produced 
in Kazakhstan during the three year base period as follows: 
Calendar 
year Volume of wheat 
production, MT Value of export subsidy Alternative subsidy calculated based 
on total volume of produced wheat 
1,000 KZT 1,000 US$ 1,000 KZT 1,000 US$ 
2010 9,638,400 5,876 40 56,808,730 385,536  
2011 22,732,067 6,002 40 133,319,027 909,283  
2012 9,841,128 4,824 32 44,022,318 295,234  
The results of this calculation are reported as other product-specific direct payments in the 
Supporting Table DS:6. 
 
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