RESTRICTED  WORLD TRADE  
ORGANIZATION  WT/ACC/SPEC/KAZ/9 
20 May 2005 
 (05-2039) 
Working Party on the 
Accession of Kazakhstan  
 
 
 
DRAFT REPORT OF THE WORKING PARTY ON THE  
ACCESSION OF KAZAKHSTAN  
TO THE WORLD TRADE ORGANIZATION 
 
  
  WT/ACC/SPEC/KAZ/9 
 Page i 
 
 
 TABLE OF CONTENTS 
 
I. INTRODUCTION ................................................................................................................... .1 
DOCUMENTATION PROVIDED ......................................................................................................1  
INTRODUCTORY STATEMENTS....................................................................................................1  
II. ECONOMIC POLICIES..........................................................................................................2  
- Monetary and Fiscal Policy..................................................................................................... .2 
- Foreign Exchange and Payments ............................................................................................5  
- Investment Regime.............................................................................................................. ....11  
- State Ownership and Privatization .......................................................................................14  
- Pricing Policies ............................................................................................................... .........19  
- Competition Policy............................................................................................................. .....28  
III. FRAMEWORK FOR MAKING AN D ENFORCING POLICIES ....................................29  
IV. POLICIES AFFECTING TRADE IN GOODS ...................................................................34  
- Trading Rights ................................................................................................................. .......34  
A. IMPORT REGULATIONS....................................................................................................37  
- Ordinary cust oms duties ........................................................................................................ 37 
- Other duties and charges....................................................................................................... .38 
- Tariff rate quotas, tariff exemptions.....................................................................................38  
- Fees and charges for services rendered.................................................................................39  
- Application of internal taxes to imports ...............................................................................40  
- Quantitative import restrictions, includi ng prohibitions, quotas and licensing 
systems ........................................................................................................................ .............43  
- Customs valuation.............................................................................................................. .....46  
- Rules of origin ................................................................................................................ .........49  
- Other customs formalities ...................................................................................................... 50 
- Preshipment inspection ......................................................................................................... .52 
- Anti-dumping, countervailing duties, safeguard regimes ...................................................53  
B. EXPORT REGULATIONS ...................................................................................................55  
- Customs tariffs, fees and charges for serv ices rendered, application of internal 
taxes to exports............................................................................................................... .........55  
- Export rest rictions ............................................................................................................ ......58  
- Export subsidies ............................................................................................................... .......59  
C. INTERNAL POLICIES A FFECTING FOREIGN TRADE IN GOODS .........................60  
- Industrial policy, including subsidies....................................................................................60  
- Technical barriers to trade, standards and certification.....................................................64  
- Sanitary and phytosanitary measures...................................................................................70  WT/ACC/SPEC/KAZ/9 
Page ii  
 
 -
 Trade-related investment measures ......................................................................................75  
- State-trading entities......................................................................................................... ......77  
- Free zones, special economic areas........................................................................................79  
- Government procurement......................................................................................................81  
- Transit........................................................................................................................ ..............82  
- Government-mandated counter-trade and barter...............................................................84  
- Agricultural policies.......................................................................................................... ......84  
- Trade in ci vil aircraft........................................................................................................ ......88  
V. TRADE-RELATED INTELLECTUAL  PROPERTY REGIME.......................................88  
- GENERAL........................................................................................................................ .......88  
- Industrial property protection...............................................................................................88  
- Responsible agencies for policy formulation and implementation .....................................89  
- Participation in international intellectual property agreements ........................................89  
- Application of national and MFN treatment to foreign nationals......................................90  
- SUBSTANTIVE STANDARDS OF PROTECTION, INCLUDING 
PROCEDURES FOR THE ACQUISITION AND MAINTENANCE OF 
INTELLECTUAL PROPERTY RIGHTS ...........................................................................91  
- Copyright and related rights..................................................................................................9 1 
- Trademarks, including  service marks...................................................................................92  
- Geographical indications, including appellations of origin.................................................94  
- Industrial designs............................................................................................................. .......95  
- Patents........................................................................................................................ ..............96  
- Plant variety protection....................................................................................................... ...99 
- Layout designs of integrated circuits ..................................................................................100  
- Requirements on undisclosed information, including trade secrets and test data..........100  
- MEASURES TO CONTROL ABUSE OF INTELLECTUAL PROPERTY 
RIGHTS......................................................................................................................... ........101  
- ENFORCEMENT.................................................................................................................103  
- Civil judicial procedures and remedies...............................................................................103  
- Provisional measures ........................................................................................................... .104 
- Administrative procedures and remedies...........................................................................105  
- Special border measures.......................................................................................................1 06 
- Criminal procedures............................................................................................................ .107 
VI. POLICIES AFFECTING TRADE IN SERVICES............................................................108  
VII. TRANSPARENCY ...............................................................................................................111  
- Publication of information on trade....................................................................................111  
- Notifications.................................................................................................................. .........112   WT/ACC/SPEC/KAZ/9 
 Page iii 
 
 
 VIII.  TRADE AGREEMENTS .....................................................................................................112  
CONCLUSIONS .................................................................................................................... ............113  
APPENDIX....................................................................................................................... ..................114  
ANNEX 1 ........................................................................................................................ ....................118  
ANNEX 2 ........................................................................................................................ ....................124  
ANNEX 3 ........................................................................................................................ ....................129  
ANNEX 4 ........................................................................................................................ ....................140  
ANNEX 5 ........................................................................................................................ ....................147  
ANNEX 6 ........................................................................................................................ ....................152  
ANNEX 7 ........................................................................................................................ ....................153  
ANNEX 8 ........................................................................................................................ ....................155  
ANNEX 9 ........................................................................................................................ ....................157  
ANNEX 10 ....................................................................................................................... ...................166  
ANNEX 11 ....................................................................................................................... ...................168  
ANNEX 12 ....................................................................................................................... ...................173  
ANNEX 13 ....................................................................................................................... ...................176  
ANNEX 14 ....................................................................................................................... ...................177  
ANNEX 15 ....................................................................................................................... ...................185  
ANNEX 16 ....................................................................................................................... ...................187  
 
  WT/ACC/SPEC/KAZ/9 
 Page 1 
 
 
 I. INTRODUCTION 
1. The Government of the Republic of Kazakhs tan applied for accession to the World Trade 
Organization (WTO) on 29 January 1996.  At its meeting on 6 February 1 996, the General Council 
established a Working Party to examine the appli cation of the Government of the Republic of 
Kazakhstan to accede to the WTO under Article XII of the Marrakesh Agreement establishing the 
World Trade Organization (document WT/GC/M/9).  The terms of reference and the membership of 
the Working Party are reproduced in document WT/ACC/KAZ/2/[Rev.24]. 
2. The Working Party met on 19-20 March and 9 October 1997 under the Chairmanship of 
H.E. Mr. B. Ekblom (Finland); on 9 October 1998, 12-13 July 2001, 13 December 2002 under the Chairmanship of H.E. Mr. P. Huhtaniemi (Finla nd); and on 4 March and 3 November 2004 and [......] 
under the Chairmanship of H.E. Mr. V. Himanen (Finland).   
DOCUMENTATION PROVIDED 
3. The Working Party had before it, to serve as a basis for its discussions, a Memorandum on the 
Foreign Trade Regime of the Republic of Kaza khstan (WT/ACC/KAZ/3 and Addendum 1), a Survey 
of the Foreign Trade Regime of the Republic of Kazakhstan (WT/ACC/KAZ/40 of 30 April 2003), 
the questions submitted by members of the Working Party on the foreign trade regime of the Republic 
of Kazakhstan, together with the replies th ereto (WT/ACC/KAZ/6 with Addenda 1 and 2, 
WT/ACC/KAZ/10, WT/ACC/KAZ/11, WT/ACC/KAZ/14, WT/ACC/KAZ/22, WT/ACC/KAZ/37 with Addenda 1-3 and Corrigendum 1 to Adde ndum 3, WT/ACC/KAZ/50 and Corrigendum 1, 
WT/ACC/KAZ/57 and ....), and other information pr ovided by the authorities of the Republic of 
Kazakhstan (WT/ACC/KAZ/8, WT/ACC/KAZ/12, WT/ACC/KAZ/19, WT/ACC/KAZ/24, WT/ACC/KAZ/25, WT/ACC/KAZ/26, WT/A CC/KAZ/27, WT/ACC/KAZ/27/Rev.1, 
WT/ACC/KAZ/28, WT/ACC/KAZ/29, WT/ACC/KAZ/30, WT/ACC/KAZ/31, WT/ACC/KAZ/32, WT/ACC/KAZ/32/Rev.1, WT/ACC/KAZ/32/Rev.2,  WT/ACC/KAZ/34, WT/ACC/KAZ/34/Rev.1, 
WT/ACC/KAZ/34/Rev.2, WT/ACC/KAZ/35, WT/ACC/KAZ/41, WT/ACC/KAZ/43, 
WT/ACC/KAZ/44, WT/ACC/KAZ/45, WT/ACC/KAZ/46, WT/ACC/KAZ/47, WT/ACC/KAZ/48, WT/ACC/KAZ/51, WT/ACC/KAZ/52, WT/ACC/KAZ/53, WT/ACC/KAZ/54, WT/ACC/KAZ/55,....), including the legislative text s and other documentation listed in Annex 1. 
INTRODUCTORY STATEMENTS 
[to be completed] WT/ACC/SPEC/KAZ/9 
Page 2  
 
 II. ECONOMIC POLICIES  
- Monetary and Fiscal Policy 4. The representative of Kazakhstan stated that , according to Law No. 2155 "On the National 
Bank of the Republic of Kazakhstan"  of 30 March 1995, the main objective of the monetary policy of 
the National Bank of Kazakhstan (NBK) was to ma intain price stability.  To accomplish this, the 
NBK focused on (i) formulating and implementing a national monetary policy; (ii) maintaining an 
efficiently functioning payments system; (iii) pr oviding foreign exchange re gulation and control; and 
(iv) maintaining a stable financial system.  Ka zakhstan had a two-tier banking system, in which the 
National Bank represented the upper (first) tier of  the banking system while all other banks 
represented the lower (second) tier.  The National Bank also performed the function of a lender of last 
resort and was entitled to carry out other operations in accordance with the decisions of its Board.  
The NBK maintained a free-floating exchange rate of the national currency (Tenge - KZT).  When 
necessary, however, the National Bank intervened to  prevent exchange rate fluctuations caused by 
speculative surges.  Since 1998, the National Bank did not finance the state budget deficit.  The 
representative of Kazakhstan provided the list of la ws regulating the functions of the NBK in the 
relevant section of document WT/ACC/KAZ/50. 
5. In order to conduct its monetary policy, th e National Bank provided loans to commercial 
banks; accepted deposits in nationa l and foreign currencies; undertook interventions on the foreign 
exchange market; issued short-term notes; conduc ted open market operations with securities; and 
provided commercial bills refinancing.  The in struments used by the NBK for the conduct of 
monetary policy included setting the official refi nancing rate and interest rates on principal 
operations, as well as establishing minimum reserve requirements.  At present the official refinancing rate was at 7.5 per cent.  The National Bank regul arly carried out REPO (repurchase) operations in 
order to regulate liquidity in second-tier banks.  The official REPO rate was currently at 4.5 per cent 
± 175 base points spread, whereas th e "overnight" interest rate was at 8.5 per cent.  The minimum 
reserve requirement, calculated as a percentage of the total amount of liabilities less liabilities to 
banks, was currently set at 6 per cent.  In excep tional cases, when it was impossible to slow down 
inflationary pressures by indirect methods of mone tary regulation, the NBK had the right to introduce 
direct quantitative restrictions for certain operati ons.  Yet, since introduction of the national currency 
in 1993, the National Bank had not applied maximum interest rates on trans actions and since 1995 no 
restrictions on the volume of credit existed. 
6. She noted that in view of the announced tran sition to European Union standards, the NBK 
had shifted its policy from exchange rate targeting to inflation targeti ng.  In this context, the National  WT/ACC/SPEC/KAZ/9 
 Page 3 
 
 
 Bank monitored "core inflation" dynamics (reflecti ng main inflationary pressures) for analytical 
purposes.  The National Bank also continued its efforts in developing a "transmission mechanism 
model", which would allow assessment of core inflation dynamics  in response to changes in interest 
rates, thus increasing transparency and public conf idence in the National Bank's monetary policy.  
The goal of the National Bank's monetary policy for th e next three years was to achieve and maintain 
an annual average inflation rate within the range of 4-7 per cent.   
7. In response to questions on the currency regime , the representative of Kazakhstan stated that 
liberalization of currency regula tion and control, including elimination of excessive barriers to 
operations with foreign assets of residents, would be a major goal.  To control risk related to currency 
operations, Kazakhstan intende d to develop efficient prudential re gulation and risk management tools 
used by banks, pension funds and insurance companies.  
8. Concerning requests for information on Kazakhstan's tax system, the representative of 
Kazakhstan replied that the 2001 Ta x Code laid out the tax system and changes thereto over recent 
years.  The central objectives of Kazakhstan's tax policy were to increase state budget revenues 
through expansion of the tax base , to encourage citizens to declar e their income and to stimulate 
consumer demand by reducing the overall tax burden.  Thus, as of 1 January 2004, the government 
effectively reduced the rate of individual income tax.  It introduced preferential tax treatment for 
industries investing in the petrochemical sector and it set up special tax treatment for companies 
operating in Special Economic Areas (Informatio n Technology Parks), investing in information 
technology research and development.  The main ta xes introduced by the new Code included (rates as 
of 1 January 2004): corporate income tax (30 per cent) , social tax (20 per cent to 7 per cent, according 
to a regressive scale), individual income tax, prope rty tax (1 per cent), land tax, transport tax, value 
added tax (15 per cent) and excise tax .   
9. The social tax was a contribution by employers, levied on the basis of income received by 
their employees, which was used to cover for the so cial needs of the population.  The social tax was 
applied to resident legal pers ons, non-resident legal persons (conducting business in Kazakhstan 
through a permanent establishment, branches a nd representative offices), as well as individual 
entrepreneurs.  According to a regressive scale, as an employee's income increased, lower incremental 
rates would apply for given threshold levels of income .  Thus, the social tax rate for residents varied 
from 20 per cent to 7 per cent, while the social tax rate for non-residents varied from 11 per cent to 5 
per cent. 
10. The representative of Kazakhstan added that Kazakhstan had also introduced a new tax 
regime for oil operations designed to increase stat e budget revenue.  The new tax regime only applied WT/ACC/SPEC/KAZ/9 
Page 4  
 
 to new contractual obligations and did not have re troactive force.  Taxes were imposed on subsurface 
users (taxpayers involved in minera l exploration and extraction activiti es) according to either of two 
tax regimes:  (i) Model 1 – licensing – proposed a re gime in which the subsurface user was subject to 
all taxes affecting ordinary taxpayers, as well as spec ific taxes such as rent tax on the export of crude 
oil and gas condensate, excess profits tax, royalties and bonuses.  The rent tax was calculated based 
on the value of exported crude oil, which was set on the basis of the actual volume exported and its 
market price (which depended on th e quality of crude oil), less trans portation costs.  Pursuant to 
Article 304-2 of the Tax Code, the market price for exported crude oil was determined by adding up 
the average weighted prices prevailing on world markets for similar sorts of crude oil during the reported period (daily). Rent tax rates applied on a sliding scale that varied depending on world 
market prices for crude oil – from 1 per cent for a pr ice of US$ 19 per barrel, to 33 per cent for prices 
exceeding US$ 40 per barrel.  The rent tax applied to all legal and natural persons engaged in the 
export of crude oil and gas condensate; or (ii)  Model 2 - Production Sharing Agreements (PSA) – 
proposed a regime in which the s ubsurface user was bound by the tax conditions stipulated in the PSA 
in accordance with the provisions of the tax legislati on applicable on the date the contract was signed.  
Under this model, the conditions of the PSA were fixed and could not be ch anged with subsequent 
changes in legislation without the prior agreement of both parties.  She confirmed that companies 
extracting oil, gas and other minerals were subject to  the normal corporate tax rate of 30 per cent (see 
also section on "Export Regulation"). 
11. Asked to provide information on the main s ources of state revenue, as well as the main 
expenditures, the representative of Kazakhstan said that state budget receipts for 2004 represented 
23.5 per cent of GDP (27.7 per cent higher than in 2003).  Total expenditures for 2004 amounted to 
23.9 per cent of GDP, resulting in a 0.3 per cen t budget deficit.  Tax revenue accounted for 
90.9 per cent of total budget revenue in 2004 with co rporate income tax (29.3 per cent), value added 
tax (18.6 per cent) and social tax (12.9 per cent) representing the main revenue sources.  Taxes levied 
on international trade – including customs duties, cu stoms duties applied at a uniform rate for goods 
imported by natural persons, and charges for cu stoms services rendered (excluding VAT, excise and 
other taxes) – accounted for 3.9 per cent of overa ll tax revenue.  Main expenditures in 2004 were 
directed towards social assistance  (4.9 per cent of GDP in 2004), education (3.5 per cent) and 
healthcare (2.4 per cent).  The budget deficit in 2005  was expected to remain below 1.7 per cent of 
GDP. 
12. She further noted that the Budgetary Code No. 54 8 of 24 April 2004, which entered into force 
on 1 January 2005 (replacing Law No. 357 "On Budget ary System" of 1 April 1999), laid down the 
basic provisions and principles of the budgetary system and introduced the use of medium-term  WT/ACC/SPEC/KAZ/9 
 Page 5 
 
 
 budgetary planning.  The Budgetary Code aime d to further improve the budgetary process by 
strengthening the control mechanisms for budgetary  planning and implementation, as well as through 
the development of intra-budgetary relations that were based on a clear di vision of responsibilities 
among government bodies.  She added that the intr oduction of a medium-term fiscal policy package 
for 2005-2007 would allow the government to pursue budge tary policies consistent with its social and 
economic development plan.  Priority sectors for the allocation of budgetary resources would include 
agriculture, social development, health, education,  research and development, and the preservation of 
cultural/historic heritage.  Gradua l reduction of the budget deficit a nd restructuring of the national 
debt would remain important policy goals. 
- Foreign Exchange and Payments 
13. The representative of Kazakhstan stated that  Kazakhstan had accepted the obligations of 
Article VIII of the IMF Agreement and had establis hed full current account convertibility in 1996.  
Pursuant to the Law "On Currency Regulation" of 24 December 1996 (amended by Law No. 154-1 of 
11 July 1997; No. 277-1 of 9 July 1998; No. 431-1 of 16 July 1999; No. 154-II of 30 January 2001), and Law No.411-II "On Changes and Amendments to Legislative Acts of the Republic of Kazakhstan 
on Banking, Currency Regulation and Currency Cont rol" of 8 May 2003, exchange transactions 
between residents and non-residents were subdivi ded into current account transactions and capital 
account transactions.   
14. Asked about fees or restrictions associated with the acquisition of foreign currency, the 
representative of Kazakhstan replied that the Rul es for Currency Operations , adopted by Resolution 
No. 115 of the Board of the National Bank of 20 April 2001 (WT/ACC/KAZ/4 refers) regulated 
foreign currency acquisition and transfers of national and foreign currency in Kazakhstan.  
No restrictions applied to the export of nati onal currency from Kazakhstan by residents and non-
residents.  Coins of precious metals issued by the National Bank and recognized as legal tender could 
be imported to or exported from Kazakhstan withou t any restrictions.  Currency covered by the 
provisions of Article 1-1 of the Law "On Currency Regulation" could be imported in Kazakhstan by 
residents and non-residents without any restrictions  following the procedures set out in the relevant 
legislation.  Resident and non-resident natural persons could buy foreign currency in Kazakhstan 
through authorized banks without any fees, prior deposit requirements or foreign currency surrender 
requirements.  They could export payment documents,  such as bills and checks, with their face value 
in a foreign currency, without any restrictions.  While non-resident natu ral persons could export 
foreign currency equivalent to up to US$ 3,000 in cash – without having to produce a declaration 
proving that the sum had previously been imported and proving the currency's legal origin – resident WT/ACC/SPEC/KAZ/9 
Page 6  
 
 natural persons could export the equivalent of US$ 10,000.  In both cases, if the amount exported 
exceeded US$ 3,000, it had to be declared to customs in writing.   
15. She noted that while non-resident legal persons could purchase foreign currency in 
Kazakhstan, except if the purchase had been made  using loans obtained in Kazakhstan, certain 
restrictions applied with regard to the acquisiti on of foreign currency by resident legal persons.  
Resident legal persons could purchase foreign curre ncy for the purpose of (i) money transfers and 
payments to non-residents; (ii) fulfilment of liabilitie s related to loans in foreign currency granted by 
authorized banks; (iii) official travel and ot her related expenses incurred outside Kazakhstan; 
(iv) transfers to corporate accounts in accordance with  provisions stipulated in relevant norms of the 
National Bank; (v) repayment of depos its to natural persons in forei gn currency (to corporations based 
on collective guarantees (insurance) of deposits of natu ral persons); (vi) foreig n exchange operations 
in cash conducted by legal persons licensed by th e National Bank to perform such operations; and 
(vii) any other purposes stipulated in the relevant le gislation.  There were no surrender requirements, 
except for the requirement that the amount of unused  foreign exchange by the resident legal person 
had to be sold in exchange for national currency w ithin 30 calendar days from the date of acquisition. 
16. Payments and money transfers for transactions between residents and non-residents could be 
conducted in any currency the parties had agreed upon, through authorized banks, and accompanied 
by required documents.  In general, in case a non -resident legal person failed to supply goods 
(services), the export proceeds or import prepayment  were transferred to the accounts of residents in 
authorized Kazakh banks within 180 days, or with in 365 days for certain categories of exported 
products (repatriation requirement).  
17. Payments and money transfers for current account transactions between residents and non-
residents could be conducted without any restric tions as long as such operations were performed 
through authorized banks.  In accordance with Artic le 3 of the Law "On Currency Regulation", the 
President had the right to restrict or suspend any currency transactions in order to implement 
international obligations and in em ergency situations.  The same La w authorized the National Bank to 
impose restrictions on the currency used fo r payment in export transactions, on surrender 
requirements applied to export receipts in foreig n currency, and on the form of payment under 
specific import and export contracts in order to en sure the economic safety of Kazakhstan.  Surrender 
requirements had been introduced temporarily from April to December 1999 during the transition to a 
new exchange rate regime.  Since the enactment of  this currency legislation, there were no other 
instances of restrictions enforced either by the President or by the National Bank.  WT/ACC/SPEC/KAZ/9 
 Page 7 
 
 
 18. Concerning payments and money transfers for capital account transactions, she said that such 
payments and transfers were perfo rmed in accordance with the procedures established by the National 
Bank.  Pursuant to Law No. 2200 "On Licensing"  of 17 April 1995, currency transactions from 
residents to non-residents had to be licensed by the National Bank.  Under the 2003-2004 Program for 
Liberalization of the Currency Regime (adopt ed by Government Resolution No. 103 of 
29 January 2003), new Licensing Rules of Transac tions Related to Currency Valuables were 
developed and approved, pursuant to Resolution No . 257 of 25 July 2003 of the National Bank Board.  
According to the Rules, a General Licence was issu ed to residents for the retail and provision of 
international services in foreign cash.  An Operati onal Licence was issued to residents wishing to 
open accounts abroad.  Obtaining an Operational Lice nce was not required for (i) banks; (ii) resident 
natural persons wishing to open accounts in banks located in OECD member-States that had the 
required sovereign credit rating; a nd (iii) resident natural persons who were temporarily abroad for 
work, study, medical treatment or on vacation.  A Single Licence was issued to residents for capital 
account transactions related to e xport/import operations involving (i) advance payments for imports 
for a period exceeding 180 days; (ii) receipt of export earnings beyond 180 days of the date of actual 
export; and (iii) receipt of export earnings after more  than 365 days of the date of actual export (for 
goods included in a Schedule approved by the Government).  The Single Licence was also required for residents wishing to (i) invest abroad – except for ( а) dealing operations of banks; (b) investments 
in securities of international fina ncial organisations; (c) investments in securities of credit-worthy 
non-resident issuers, investments in the charter cap ital of legal persons of OECD member-States, and 
(under certain conditions) investments in States th at had signed bilateral investment promotion 
agreements with Kazakhstan; and (d) pension fund s' investments in foreign securities; (ii) make 
transfers to non-residents to pay for real estate, except for property equated to immovable goods, such 
as air and sea vessels; (iii) grant loans to non-reside nts for a period exceeding 180 days; (iv) transfer 
currency valuables to non-residents for asset management (under trust); and (v) receive loans from 
non-residents to the account of third parties, except for publicly-guaranteed loans, loans with letter of 
credit settlements and loans under export insurance.  She further noted that provisions for simplified 
licensing procedures had also been introduced.   
19. The representative of Kazakhstan said that in a ddition, pursuant to the Rules of Registration 
of Capital Account Transactions and Opening of Fo reign Bank Accounts adopted by Resolution of the 
Board of the National Bank No. 225 of 4 July 2003,  residents were required to register with the 
National Bank for capital account transactions resu lting in receipts exceeding the equivalent of 
US$ 100,000.  These transactions included (i) borro wing loans from non-residents for more than 180 
days, including financial leasing; (ii) crediting by  non-residents of import and export operations for 
more than 180 days; (iii) direct and portfolio inv estment of non-residents into Kazakhstan, including WT/ACC/SPEC/KAZ/9 
Page 8  
 
 residents' initial public offerings and issuing of depositary receipts for securities; (iv) transfers of non-
residents to residents as payment for a complete tr ansfer of exclusive rights to intellectual property; 
and (v) transfers of non-residents to residents as pa yment for economic rights on real estate, except for 
property equated to immovable goods, such as air a nd sea vessels.  In addition, residents needed to 
register in order to (i) invest ab road in the charter capital of le gal persons of OECD member-States 
and (under certain conditions) in States that had si gned bilateral investment promotion agreements 
with Kazakhstan; and (ii) open accounts in foreign banks located in OECD member-States that had 
the required credit-rating.  She added that a regist ration certificate was issued by the National Bank 
after a notification was made by the resident on a specific capital account transaction within 30 days 
of the date of contract enforcement.  To register, the resident needed to submit a standard application 
form, a contract for the currency transaction, as we ll as identification documents.  The National Bank 
could refuse registration only when contracts were found to be invalid, pursuant to the provisions of 
the Civil Code, rather than on grounds of the ec onomic viability of the transaction.  The National 
Bank charged no fees for registration and the certificate was issued within ten business days of the date of receipt of the application package.  This  registration procedure had been introduced for the 
purpose of keeping a statistical record and for balance of payments analyses.  Existing licensing and 
registration requirements,  including plans for their future modification, are listed in Annex 2. 
20. Some members of the Working Party asked th e representative of Kazakhstan to clarify the 
term "resident" for the purposes of seeking a licence from, and registering with, the National Bank.  In 
response, the representative of Kazakhstan stated th at licensing and registration requirements applied 
only to residents who were involved in foreign econo mic deals, and not to non-residents.  She added 
that, according to Article 1-1 of the Law "On Cu rrency Regulation", "residents" were defined as 
(i) natural persons domiciled in Kazakhstan, including persons tem porarily living abroad or persons 
employed as Kazakh officials abroad; (ii) Kazakh le gal persons, established under Kazakh legislation 
and located in Kazakhstan, as well as their bran ches and representative offices located in either 
Kazakhstan or abroad; and (iii) diplomatic, trade and other official representatives of Kazakhstan 
abroad.   Accordingly, "non-residents" were defined as al l natural and legal pers ons not designated as 
"residents".  Branches and representatives of fore ign legal persons, working on the territory of 
Kazakhstan, were consider ed to be non-resident. 
21. A member of the Working Party asked whether the IMF had given its approval regarding the 
use of licensing requirements.  In response, th e representative of Kazakhstan said that Kazakhstan 
submitted regular reports on its curre ncy regime to the IMF.  The IMF had not so far expressed any 
concerns regarding Kazakhstan's compliance with th e IMF Articles of Agreement, and in particular 
Article VIII.   WT/ACC/SPEC/KAZ/9 
 Page 9 
 
 
 22. Asked whether the licensing procedure was automatic, the representative of Kazakhstan 
stated that restrictions were purely procedural  and that under current licensing procedures, the 
regulator could not refuse an application on grounds  of the economic viability of the operation or the 
financial capability of the resident.  To apply for a licence, a resident was required to submit 
(i) a standard application form; (ii) documents providing all relevant information on the currency 
transaction and/or proof that the applicant met th e requirements for currency valuables operations; and 
(iii) a proof of payment of the licensing fee in th e amount of ten Monthly Calculation Indices (MCIs). 
The MCI was an annually established indicator – conver tible to US$ or Euro at a rate established by 
the National Bank – used for calculating pension paymen ts, benefits and other social payments in the 
state budget (1 MCI equivalent to KZT 971 for 2005).  When the National Bank approved the 
submitted documents and the operation was deemed consistent with the requirements of the relevant 
legislation, the licence was issued within one mont h of the date of receipt of the last required 
document.  Authorized banks were not allowed to carry out currency transactions of residents without 
a licence.  No deposit requirements were necessary to obtain a licence.     
23. Some members of the Working Party asked how enterprises acquired rights to deal in foreign 
exchange, whether foreign enterprises were eligible to become licensed banks or exchange points, and 
whether enterprises other than banks could be a pproved.  The representativ e of Kazakhstan replied 
that operations with foreign currency, including thos e on behalf of clients, were performed by second 
tier banks and other financial ins titutions licensed by the Agency for Regulation and Supervision of 
the Financial Market and Financia l Organizations, established to exercise regulatory and supervisory 
functions in relation to financial market institu tions by Presidential Decree No. 1270 "On Further 
Improvement of the Public Management System" of  31 December 2003.  On the other hand, licenses 
for dealing with foreign exchange were issued by  the National Bank to lega l persons solely involved 
in foreign exchange (exchange points), as well as to  the OJSC "Kazpochta".  Any Kazakh legal person 
could set up an exchange bureau by establishing a s ubsidiary solely involved in foreign exchange.  
A foreign natural person or foreign legal person was not eligible to become a licensed exchange point, 
but a partially or fully foreign-owned legal person of Kazakhstan could become  one.  Thus, any bank 
established as a legal person of Kazakhstan (even if 100 per cent fo reign-owned) was eligible to 
become an authorized bank (licensed bank).  Br anch and representative offices of foreign banks, 
however, were not allowed to deal in foreign excha nge until they were registered as legal persons of 
Kazakhstan.  The representative of Kazakhstan noted th at a firm could engage in barter import/export 
of goods, without dealing in foreign exchange.   WT/ACC/SPEC/KAZ/9 
Page 10  
 
 24. Some members of the Working Party expressed concerns regarding the large quantity of 
licensing requirements for foreign exchange operatio ns under the current legislation and asked for 
specific information on Kazakhstan's plans to liberalize its foreign exchange regime by the year 2007.   
25. The representative of Kazakhstan replied that the liberalization plans were outlined in the 
Currency Regime Liberalization Concept, approve d by Resolution No. 369 of the National Bank 
Board of 11 September 2002.  The second phase of the Liberalization Program, covering the period 
2005-2007, was adopted pursuant to Resolution No . 705 of 25 June 2004.  A new draft Law "On 
Currency Regulation and Control", dealing with  the implementation of the Program, was under 
review.  The new draft Law envisaged (i) to reta in the existing repatriation requirement until 2007 - 
thereafter residents would be required to transfer  the export proceeds or import prepayment to a 
Kazakh bank within a timeframe stipulated in the foreign trade contract rather than within the 
currently applicable 180 day mandatory period; (ii) to remove the requirement compelling a resident 
to transfer a foreign currency loan by a non-reside nt to a Kazakh bank; (iii) to expand the list of 
transactions between residents, for which payments co uld be made in foreign currency; (iv) to expand 
the list of transactions between residents, which could be carried out through banks, other than the 
authorized banks; (v) to reduce the list of capita l account transactions subject to licensing 
requirements by 2007 and, thereafter, to complete the elimination of these requirements; and (vi) to replace the registration requirements for certain cu rrency transactions with a notification regime, 
under which residents (or the Kazakh bank involved in  the transaction) would submit a notification to 
the National Bank once the transaction was completed.   She added that as of 2007, the National Bank 
will only issue licences for foreign currency transacti ons made in cash.  The changes envisaged for 
licensing and registration requirements affecting ca pital account transactions, pursuant to the draft 
Law "On Currency Regulation and Co ntrol", are listed in Annex 2. 
26. Regarding the use of transaction passports (see  section on "Other customs formalities"), the 
representative of Kazakhstan said that this document was used as an instrument for implementation of 
the currency regulation policy rather than as a foreig n trade control instrument.  She emphasized that 
the key function of the transaction passport was to assi gn a special code to the foreign trade contract. 
This code provided information on the principle te rms of the contract and allowed to verify the 
consistency of the trade operation with related cu rrency flows.  The importance of the transaction 
passport for analyzing currency flows would incr ease following the 2007 transition away from the use 
of the repatriation requirement.   WT/ACC/SPEC/KAZ/9 
 Page 11 
 
 
 - Investment Regime 
27. The representative of Kazakhstan stated that  her country had developed a sound legal 
environment which had helped the country attract so me US$ 34.2 billion in foreign direct investment 
for the period 1993-2004.  In May 2004, Standard  and Poor's had upgraded Kazakhstan's foreign 
currency sovereign credit rating to " ВВВ -", its short-term foreign currency credit rating to " А3", and 
its domestic currency credit r аting to "ВВВ /А3".  She noted that Kazakhstan had become the first CIS 
member-state, to receive an "investment-grade" cred it rating from all three leading international credit 
rating agencies.   
28. She said that important legislation to implemen t international norms a nd standards had been 
enacted including Law No. 373 "On Investments" of  8 January 2003, the Tax Code of 12 June 2001, 
Customs Code No. 401 of 5 April 2003, Insurance Law No. 126 of 18 December 2000, Law 
No. 232-1 "On Unfair Competition" of 9 June 1998, Law No. 272 "On Natural Monopolies" of 
9 July 1998, Law No. 2350 "On Oil" of 28 June 1995,  Law  No. 2828 "On Subsoil and Subsoil Use" 
of 27 January 1996, Civil Code (General Section) of 27 December 1994, Civil Code (Special Section) 
of 1 July 1999, banking laws and regulations, and intellectual property rights legislation. 
29. She noted that the legal basis governing Kazakhs tan's investment policy was provided by the 
Law "On Investments" of 8 May 2003, whic h had replaced Law No. 266-XIII "On Foreign 
Investments" of 27 December 1994 and Law No. 75-I "On State Support of Foreign Investments" of 
28 February 1997.  The new Law defined investment  as all kinds of property (except for goods 
destined for personal consumption), including leased  objects as of the date of the lease agreement, 
investments in the charter capital of legal persons , or contributions made to fixed assets used in 
entrepreneurial activities.  Legal protection of i nvestments included full and unconditional protection 
of investors' rights; guarantee of indemnity for da mages suffered by invest ors as a result of issuance 
of norms non-compliant with Kazakh legislation a nd unlawful commissions or omissions of public 
officials; guarantee of the stability of terms a nd conditions of agreemen ts concluded between 
investors and respective state agencies; guarantee of i nvestors' use of income at their full discretion; 
guarantee of protection of investors' rights in  case of nationalization and expropriation; and 
investment dispute settlement regulations, including  the possibility of international arbitration. 
30. She further noted that the new mechanism for providing state support for investments offered 
a number of considerable advantages.  In her view, it created a level playing field for both domestic 
and foreign investments and simplified the procedur e for granting preferences, reducing significantly 
the maximum length of time allowed for processing of applications (30 business days).  The Law did not set minimum capital requirements for foreign investment, thus expanding the sphere of its WT/ACC/SPEC/KAZ/9 
Page 12  
 
 application to small and medium-sized enterprises.  In order to create a favourable investment climate 
for a diversified economic development, thus  facilitating technological progress and innovative 
development, the government introduced investment incentives that were granted provided that (i) the 
investment activity was included in the List of pr iority sectors; (ii) there was investment in the 
acquisition of fixed assets for setting up new or expanding/upgrading existing production facilities; 
and (iii) the application contained sufficient proof of the domestic legal person's financial, technical 
and organizational capability to undertake the project. 
31. The current list of priority activities for invest ment preferences, as approved by Government 
Resolution No. 436 "On Some Issues of Enforc ing the Law "On Investments" of 8 May 2003, 
included 233 kinds of activities.  Conditions an d requirements for receiving tax preferences were 
described in Articles 15-17 of the Law "On Investments" .  The list of priority investment activities is 
provided in Annex 3. 
32. The authorized state agency in charge of investments was the Investments Committee under 
the auspices of the Ministry of Industry and Tr ade.  The authorized st ate agency could grant 
investment tax preferences, customs duties exemptions  for imported goods, and in-kind state grants.   
33. Investment tax preferences could take the form of corporate income tax preferences, property 
tax preferences and land tax preferences.  Corporat e income tax preferences entitled the taxpayer to 
full tax exemption or to gradual deduction of the cost of commissioned fixed assets from aggregate 
annual income in equal parts throughout the term  of the preferential treatment.  The 30 per cent 
corporate income tax was assessed on the basis of the taxable income of taxpayers – legal persons, as 
adjusted, less losses incurred.  In addition, pr operty tax preferences exempted the taxpayer from 
property tax on fixed assets newly commissioned under the respective investment project.  The balance sheet value of the taxable objects constitute d their tax base.  Legal persons and individuals 
calculated property tax at the rate of one per cent of the average annual value of taxable objects.  
Finally, land tax preferences exempted the taxpa yer from tax payable on plots of land used in the 
framework of the investment project.  Different types of land were taxe d differently and were 
subdivided into three categories – agricultural lands , populated lands and industr ial lands.  Rates were 
set according to area size, soil quality and yield class.  The terms and duration of corporate income tax 
preferences depended on the volume of investments made into fixed assets and on the type of 
investment activity, the maximum term being five years.  Legal persons operating under a special tax 
regime and under subsurface use contracts were not  granted any investment tax preferences, nor 
preferences with respect to fixed assets received as in-kind state grant.    WT/ACC/SPEC/KAZ/9 
 Page 13 
 
 
 34. Customs duties exemptions on equipment/compone nts, imported for the implementation of 
investment projects, were granted for a period of up to five years.  Decisions regarding customs duties 
exemptions and possible extensions were ta ken by the authorized investment body.  
35. In-kind state grants could take the form of la nd plots, buildings, constructions, machinery and 
equipment, computational devices, measuring and re gulating units, transportation vehicles (except for 
automobiles), industrial and household tools.  The au thorized body, with the approval of the relevant 
state agencies, would confer in-kind state grants fo r either ownership or temporary use.  Approval for 
in-kind state grants was obtained within 15 business days from the date of request.  In-kind state 
grants were assessed at their ma rket value, the maximum amount not exceeding 30 per cent of the 
volume of investments made in the fixed assets of a given legal person. 
36. The representative of Kazakhstan said that according to Article 3 of the Law "On 
Investments", there could be certain areas in which investment activities were limited or banned 
because of national security considerations.  Purs uant to Article 5 of Law No. 451-1 "On the Mass 
Media" of 23 July 1999, forei gn legal persons, foreign individual s and stateless persons were not 
allowed to directly or indirectly own, use, or ma nage more than 20 per cent of the capital of a mass 
media enterprise in Kazakhstan.  Pursuant to Ar ticle 65 of Law No. 242-II "On Architectural, Town-
Building and Construction Activities in the Republic of Kazakhstan" of 16 July 2001, the share of 
foreign participation in the charter capital of ar chitectural, town-building and construction services 
joint ventures could not exceed 49 per cent.  Purs uant to Article 5 of Law No. 85-II "On Guarding 
Activities" of 19 October 2000, foreign legal persons, domestic legal persons with foreign 
participation, as well as foreign and stateless indivi duals, could not engage in  any kind of security and 
safety (guarding) activities.   
37. She added that pursuant to Article 22 of La w No. 2444 "On Banks and Banking Activities in 
the Republic of Kazakhstan" of 31 August 1995, th e charter capital of banks established and operating 
with foreign capital participation, could not exceed 50  per cent of the aggregate charter capital of all 
banks of Kazakhstan, except as permitted by the aut horized state agency.  Pursuant to Article 36 of 
Law No. 136-I "On Pensions in the Republic of Kazakhs tan" of July 1997, the total charter capital of 
open savings pension funds with foreign participat ion could not exceed 25 per cent of the aggregate 
charter capital of all open savings pension funds in  Kazakhstan.  Pursuant to Article 35 of the Law 
"On Insurance Activity" of 18 December 2000, the total charter capital of insurance/reinsurance 
companies with foreign participation could not ex ceed 25 per cent or 50 per cent – for non-life and 
life insurance respectively – of the aggregate charte r capital of insurance institutions in Kazakhstan.  
Pursuant to Law No. 568 "On Communications" of 5 July 2004, foreign citizens and foreign legal WT/ACC/SPEC/KAZ/9 
Page 14  
 
 persons, as well as stateless persons, were not allowed to directly or indirectly own, use or manage 
more than 49 per cent of the capital of a le gal person, which provided long distance and/or 
international telecommunication services, and owne d terrestrial communication lines (cable, optical 
fibre, radio relay).  This limitation did not a pply to operators of mobile, satellite and local 
communications.  
38. She noted that pursuant to Article 23 of La nd Code No. 442-II of 20 June 2003, foreign 
citizens and legal persons, as well as stateless persons, could privately own land plots, which 
contained industrial and non-industrial facilities, incl uding residential buildings (structures, facilities) 
and their compounds, and lands intended for servicing buildings (structures, facilities).  They could 
not, however, own lands intended for commercial agri cultural production and forestry, their rights to 
these lands being limited to a ten year temporary land lease.  The rights of other countries to the use of 
land in Kazakhstan were regulated by internatio nal agreements, ratified by Kazakhstan, whose 
provisions prevailed over dom estic legislation.   
39. Some members of the Working Party asked whethe r there were any restrictions or conditions, 
which did not apply to domestic le gal persons, but were applicable to  foreign-owned legal persons of 
Kazakhstan investing in land or l easing subsurface rights.  The representative of Kazakhstan replied 
that there were no restrictions which did not also  apply equally to domestically-owned Kazakh legal 
persons.   
- State Ownership and Privatization 
40. The representative of Kazakhstan said that state property management policy was regulated by 
Law No. 2335 "On State-Owned Enterprises" of 19 June 1995, Law No. 2721 "On Privatization" of 
23 December 1995, the Law "On Joint Stock Compan ies" of 13 May 2003, the Law "On Limited and 
Additional Liabilities Partnerships" of 22 April 1998 and the Civil Code. State property was 
privatized in accordance with Pr esidential Decree No. 2721 "On Privatization", as well as other laws 
listed above.   
41. She noted that in January 2003 there were 4892 state-owned enterprises.  The state owned 
shares in 111 joint-stock companies (JSCs) and ther e were 12 legal entities, which had the status of 
national companies.  The list of national compan ies and joint-stock companies with state-owned 
shares is provided in part (a) of Annex 4, while the list of the largest state-owned firms is contained in 
part (b).  WT/ACC/SPEC/KAZ/9 
 Page 15 
 
 
 42. The representative of Kazakhstan said that the large-scale privatization campaign as well as 
the improvement of the state property management system, constituted an important component of the 
transition to a market economy in Kazakhstan.  Since 1991, Kazakhstan had launched six two-year 
privatization programs.  The last one, covering the period 2003-2005, was still underway.  Three of 
the programs had focused on large scale privatization.  Since 1999 the focus had shifted to effective 
state property management.  The last two programs we re developed within the framework of the State 
Property Management and Privatization Concept approved by Government Resolution No. 1095 of 
21 July 2000.  During the period 1991-2004, 3787 jo int-stock companies (JSC) and partnerships with 
limited liabilities (LLP) were privatized – via aucti ons (2813), tenders (674), direct sales (168) and the 
stock exchange (132) – through the sale of state-owned equity.  During the same period, the sale of property complexes (including immovable property objects, unfinished constr uction sites and other) 
resulted in 34,811 privatizations.  Thus, in 2004 the private sector accounted for 75 per cent of GDP 
while the overall proceeds from the privatizati on process during the peri od 1991-2004 had totalled 
KZT 323,4 billion.   
43. The representative of Kazakhstan added that in  2005 the list of state property subject to 
privatization included state-owned shares of 55 JS Cs and LLPs, 7 property complexes and more than 
1,000 immovable real estate property objects, tran sportation vehicles and other objects.  Information 
on state property privatization methods used in 2004,  data on results of the 1991-2004 privatization 
process, as well as information on the dynamics of state property privatization in various sectors of 
the economy in 1999-2004 is reproduced in Tables 1, 2 and 3. 
Table 1: State property privatization methods used in 2004
 
(units) 
Auction Tender Name English Dutch Commercial Investment Stock 
Exchange Direct 
sale Total 
State shares 
(participation) in 
JSCs and LLPs 8 11 11 1 2 25 58 
Property complexes 5 3 4 2  7 21 
Other objects 734 1,083 54 108  36 2,015 
Total: 747 1,097 69 111 2 68 2,094 
 WT/ACC/SPEC/KAZ/9 
Page 16  
 
  Table 2: Results of the privatization process, 1991-2004
 
Years Privatization of 
property 
complexes, real 
estate property, 
incomplete 
construction, 
transportation and 
other objects 
(units) Privatization of 
state shares in JSCs 
and LLPs (units) Case-by-case 
privatization 
(units) Privatization 
proceeds 
(thousands of KZT) 
1991-1992 4,771     165 
1993 153   1 783,989 
1994 2,645   1 1,459,266 
1995 3,239 385 6 7,233,421 
1996 3,526 889 27 31,214,565 
1997 5,641 1,315 48 54,511,449 
1998 2,716 513 11 66,701,804 
1999 2,462 162   34,815,880 
2000 1,766 93   22,048,029 
2001 2,059 146   16,583,078 
2002 1,756 67   19,340,183 
2003 2,041 65   60,127,949 
2004 2,036 58   8,600,547 
Total 34,811 3,693 94 323,420,325 
 
Table 3: Dynamics of state property privati zation in various sectors of the economy, 1999-2004  
1999 2000 2001 2002 2003 2004  (units)  
1. Privatized state shares in JSC and LLP, 
total  162 93 146 67 65 58 
Including:       
Industry 26 34 39 22 16 15 
Construction 12 4 10 3 5 2 
Agriculture 20 9 25 8 3 2 
Transportation and communication 40 15 13 15 4 4 
Trade in and repair of household goods 15 4 11 3 5 3 
Finance 2  4 1  2 
Health care   12 4 3 6 
Education     8 7 
Other objects 47 27 32 11 21 17 
2.  Privatized property complexes, 
immovable property objects, incomplete 
construction, transportation and other 
objects  2,462 1,766 2,059 1,756 2,041 2,036 
TOTAL 2,624 1,859 2,205 1,823 2,106 2,094  WT/ACC/SPEC/KAZ/9 
 Page 17 
 
 
  1999 2000 2001 2002 2003 2004 
 (per cent of total)  
Industry 16.1 36.6 26.7 32.8 24.6 25.9 
Construction 7.4 4.3 6.8 4.5 7.7 3.4 
Agriculture 12.3  17.2 11.9 4.6 3.4 
Transportation and communication 24.7  8.9 22.4 6.2 7.0 
Trade in and repair of household goods 9.3  7.5 4.5 7.7 5.2 
Finance 1.2 9.7 2.7 1.5  3.4 
Health care  16.1 8.3 6.0 4.6 10.3 
Education  4.3   12.3 12.1 
Other objects 29.0 29.0 21.9 16.4 32.3 29.3 
TOTAL 100.0 100.0 100.0 100.0 100.0 100.0 
 
44. She further noted that two-staged tenders and sale of derivative securities had been introduced 
in Kazakhstan.  Most major strategic entities were  privatized through tenders, since this method 
promoted competition between potential buyers/inv estors.  Sale of derivatives was aimed at 
expanding the range of potential investors and rais ing the profile of Kazakh firms in global capital 
markets.  Another recent method of privatization was the Blue Chip Program.  Ten leading companies with state-owned shares had been chosen as "blue chips" for further sales, namely 
"Manghistaumunaigas",  "Aktobemunaigas", "K azzink", Ust-Kamenogorsk Titanium—Magnesium 
Works, Sokolovsk-Sarybaisk Mining-Concentr ating Production Association, "Aluminum of 
Kazakhstan", the transnational company "Kazch rom", People's Savings Bank of Kazakhstan, 
"Kazakhtelecom" and "Kazakhmys".  At this stage,  the state-owned shares of "Manghistaumunaigas", 
"Aktobemunaigas", "Aluminum of Kazakhstan", "K azakhmys", People's Savings Bank of Kazakhstan 
and "Ust-Kamenogorsk Titanium-Magnesi um Plant" had been fully sold.  
45. The State Property and Privatization Committee w as the authorized body for privatization in 
Kazakhstan.  The fixed assets of state-owned enterp rises were sold by decision of the authorized 
body, with the approval of the re levant government body (i.e. relevant ministry).  Proceeds from the 
sale of state property generated revenue for the state budget.  State-owned enterprises were not 
allowed to start up, buy shares or participate in the charter capital of partnerships with limited 
liabilities. 
46. A description of the rules and procedures govern ing the privatization process was available to 
the public from the State Propert y and Privatization Committee.  Information was also accessible 
through the internet ( www.minfin.kz
).  Forthcoming cash auctions were advertised in national mass 
media 30 days prior to the auction date, specif ying the list of companies, terms, and auction 
procedures.  Large-scale public education campai gns about cash auctions were carried out in 
December 1995 and January 1996.   WT/ACC/SPEC/KAZ/9 
Page 18  
 
 47. A member of the Working Party asked the repr esentative of Kazakhstan to describe how the 
state retained partial ownership in privatized firm s.  She replied that the state slated firms and 
enterprises, for either full or partial privatization, on the basis of its strategic interests while taking 
into consideration favourable conditions that may prevail on the market.  Pursuant to the Law "On 
Privatization" of 23 December 1995, the state retain ed no ownership in fully privatized companies, 
but retained control over the remainder of th e shares in partially privatized companies. 
48. Asked whether the privatization program c overed both agricultural and non-agricultural 
enterprises, the representative of Kazakhstan replied that agricultural production was predominantly 
privately-owned and that major economic activities, such as public catering, trade, food and services, 
were no longer state-owned.  
49. Some members of the Working Party asked th e representative of Kazakhstan to clarify how 
foreign investors could participate in the priva tization programs.  These members of the Working 
Party also enquired whether foreign investors could acquire shares on the secondary market and whether they were eligible to pa rticipate in the investment funds that owned shares in privatized 
companies.   
50. In response, the representative of Kazakhstan said that – according to Presidential Decree 
No. 2721 "On Privatization" – natural persons, non- governmental legal pers ons or foreign legal 
persons could all participate in the privatization pr ocess, with the exception of legal persons, who in 
accordance with the legislation of Kazakhstan or thei r own articles of incorporation, did not have the 
right to engage in the type of activity, which re presented the main business of the company subject for 
sale.  Foreign investors were accorded nationa l treatment when state-owned enterprises were 
privatised and there were no legislative acts, which provided for discriminatory treatment of 
foreigners participating in the privatization process.  She added that foreign participants could 
purchase shares on the secondary market, from groups that had previously received shares in the 
privatization of these enterprises, provided that su ch enterprises were listed on the secondary market.  
However, agricultural producers, who had privileg es (received shares in exchange of liabilities) 
during the first and second stages of privatization, c ould not sell their shares to either foreign or 
domestic investors until their liabilities to the joint stock company were paid off.  As for foreign 
participation in investment funds that owned shar es in privatized companie s, the representative of 
Kazakhstan said that there were no conditions or r estrictions, which prohibited foreign investors from 
purchasing shares in Investment Privatization Funds (IPFs) once they were converted into open-type 
JSCs.  WT/ACC/SPEC/KAZ/9 
 Page 19 
 
 
 51. The representative of Kazakhstan noted that certain areas would be exempted from 
privatization, including its preliminary stages, as approved by Presidential Decree No. 422 of 
28 July 2000 and Government Resolution No. 1587 of  24 October 2000.  The list included (i) land – 
excluding privately owned land unde r conditions set out by the legislation – subsurface and water 
resources, flora and fauna; (ii) natural zones under sp ecial protection; (iii) military organizations and 
sites essential for national security; (iv) main-lin e railroads and highways, as well as accompanying 
engineering structures, that were part of the in ternational routes network or designed for defence 
purposes; navigable waterways, as well as lighthous es, navigation devices and seamarks that ensured 
safety and regulated navigation; (v) main oil and g as pipelines, and interregional electricity networks 
of 220,500 and 1,150 kW; (vi) wa ter reservoirs and hydraulic works,  water control pivots, dams and 
water barrages; (vii) first-aid medical organizati ons operating in rural areas, specialized medical 
centres (maternity welfare, radiological medici ne, oncology, tuberculos is, HIV/AIDS and STD 
centres, blood banks, as well as mental institutions),  organizations and centres acting as the sole 
provider of medical services in a given area; (viii) social protection services, children's homes, orphanages, nursing homes, rest homes, as well as hospitals and health resorts for the disabled, World 
War II veterans and individuals of the same status , children, and the aged; (ix) secondary education 
organizations; and (x) historic and cultural sites prot ected by the state.  The same legislation also 
established the list of state property (Annex 4(c)) an d the list of national companies and joint-stock 
companies with state-owned shares (Annex 4(d )) exempted from privatization, including its 
preliminary stages, until 2006.  National companies established in strategic sectors of the economy 
constituted yet another category of state property.  Thus, oil and gas, mining and metallurgy, transport 
and communications, and energy and machine-construction  were also  excluded from the privatization 
process.  However, a part of the state-owned sh ares in these companies could be scheduled for 
privatization in line with national economic prioriti es.  Finally, there was a third category of state 
property – currently not subject to privatization – which could eventually be privatized following an 
assessment of the economic efficiency of continued st ate ownership.  State property in this category 
included state-owned shares in joint-stock companies;  state participations in the charter capital of 
partnerships with limited liabilities; real estate pr operty under construction;  and property complexes 
and other property.  State-owned shares of compan ies that had a monopoly position in the market, or 
those of strategically important companies, we re privatized by government resolutions.   
- Pricing Policies 
52. The representative of Kazakhstan stated that Presidential Decree No. 569 "On Price 
Liberalization Measures" of 3 January 1992 (subsequent ly invalidated by Presidential Decree No. 677 
of 4 September 2001) had launched the process of pri ce liberalization in Kazakhstan.  State regulation WT/ACC/SPEC/KAZ/9 
Page 20  
 
 of prices (tariffs) was confined to services provide d by natural monopolies, state-owned enterprises 
and companies with a dominant (monopolistic) position in given commodity markets.  
53. She said that Law No. 272-II "On Natural Mono polies" of 9 July 1998 established a legal 
framework for state control over the activities of natural monopolies, while balancing consumers' 
interests vis-à-vis  the interests of natural monopolies.  The Law codified the rules of conduct of 
natural monopolies, while Articles 6 and 7 cont ained a detailed description of their rights and 
responsibilities.  The coverage of the Law extended to  both foreign and domestic legal persons (their 
branches and representative offices), individual entrep reneurs, public bodies and natural persons.  The 
provisions of the Law, however, did not extend to individual entrepreneurs a nd legal persons, engaged 
in activities classified as natural monopolies, but re lating to the constructi on and operation of objects 
used for their own needs.  According to Article 3 of the Law, a natural monopoly was deemed to exist 
in a market, in which the creation of competitive c onditions for the provision of a particular type of 
services (goods, works) was not possible or economically  viable, due to the particular characteristics 
of the production process used for providing t hose services.  State regulation was implemented 
through establishing (i) tariff rates (prices, fee rates); (ii) maximum tariff rates; (iii) investment tariffs; 
(iv) tariff estimates; (v) temporary compensatory tariffs; (vi) temporary decreasing coefficients; 
(vii) special orders for cost formation; (viii) sep arate calculation of revenue, expenditures and used 
assets for each type of regulated activity; and (ix) co ordination of accounting policies.  She added that 
the legislation did not prevent foreign and domestic private enterprises from competing in sectors 
dominated by "natural monopolies".  In response to a specific question, she c onfirmed that "natural 
monopoly" was a legal term.  
54. The representative of Kazakhstan said that there was no uniform legal definition of the term 
"state monopoly".  Instead, Kazakh legislation qualif ied certain kinds of activities as state monopolies 
to be carried out exclusively by either governme nt bodies or by state-owned enterprises.  These 
included certain activities related to government procurement, licensing, operation of state-owned 
enterprises, guarding (security and safety), veteri nary protection, phyto-sanitary monitoring of 
extremely hazardous organisms, forestry regulatio n, industrial property protection, protection of 
trademarks and geographical indications, and protection of integrated-circuit layouts.   
55. In addition, Kazakh legislation defined certa in areas in which government bodies or state-
owned enterprises were given an exclusive right – but not a state monopoly – for the conduct of activities.  These included activities su ch as the state appraisal of projects (related to architecture, 
town planning and construction), the registration of real estate  operations, and the maintenance of the 
State Land Cadastre.  Since there was no uniform inte rpretation of the definitions of "state monopoly"  WT/ACC/SPEC/KAZ/9 
 Page 21 
 
 
 and "exclusive right", she acknowledged that there ha d been a need to develop new legislation, which 
would bridge the gap between existing legislative pr ovisions.  To achieve this, a new draft Law would 
be developed by the end of 2005, defining the le gal framework for government control and regulation 
of the operation of state monopolies.    
56. Regarding the state regulation of compani es with a dominant (monopolistic) position, she 
noted that the Law "On Competition and Restrict ion of Monopolistic Activ ities" had expanded the 
scope of anti-monopoly legislation.  This Law re gulated monopolistic behaviour and authorized the 
introduction of price controls when entities violat ed the anti-monopoly legislation by restricting 
competitive access to a particular market.  The Law also contained new definitions of what 
constituted a dominant (monopolistic) position.  A company was deemed to have a dominant 
(monopolistic) position if it had a greater than 35 pe r cent share of the market.  Several market 
participants were considered to have a dominant position (i) if the aggregate share of up to three 
market participants in a given commodity market  equalled or exceeded 50 per cent; or (ii) if the 
aggregate share of up to four major market participants in a given commodity market equalled or exceeded 70 per cent.   
57. The representative of Kazakhstan noted that the Agency on Natural Monopoly Regulation 
was Kazakhstan's authorized body regulating th e activities of natural monopolies, while the 
Committee on Protection of Competition under the Mi nistry of Industry and Trade was responsible 
for the regulation of the activities of entities with a dominant (monopolistic) market position.  In 
accordance with the Law "On changes and amendm ents into the legislation of the Republic 
Kazakhstan on separation of authorities between th e levels of state govern ance and budget relations", 
natural monopolies, whose annual revenue did not  exceed 350,000 Monthly Calculation Indices 
(MCIs) were transferred under the authority of local  executive bodies.  Natural monopolies, regardless 
of their ownership status, were listed in the State Register.  The Agency on Natural Monopoly 
Regulation was responsible for the "national chapte r" of the State Register, which included national 
entities, while local authorities kept records of local natural monopolies listed in the "local chapter" of 
the Register.  Natural monopolies listed in the Regi ster were required to notify the Agency about 
anticipated price (tariff) increases 60 days in adva nce.  Documents providing justification for the 
proposed increases, had to be submitted within one m onth of the date the Agency initiated a review.  
After receiving the application, the Agency revi ewed the financial and technical aspects of the 
proposed tariff changes within a 45 day period.  Na tural monopolies had to notify consumers of tariff 
changes no later than ten days prior to their introduc tion.  No more than one tariff change was allowed 
to be made in every two quarters at the initia tive of the natural monopoly.  When considering 
applications, the Agency conducted a financial and, if necessary, technical evaluation of the proposed WT/ACC/SPEC/KAZ/9 
Page 22  
 
 increases, while taking into account the operations of  other similar enterprises.  The Agency had to 
allow for an adequate level of profits necessary to ensure the company's efficient operation.  
Therefore, approved tariffs could not be set be low the value of costs required to provide the 
company's services.  Independent experts – hi red through a competitive selection – government 
bodies, consumer and business associations, as well as th e applicant, were all involved in the process.  
Based on the outcome of the review, the Agency developed a preliminary decision, which was 
discussed when public hearings were held (consulta tion process).  The Agency had the right to hold 
public hearings – determining the need for such  hearings on the basis of written requests by 
consumers – when reviewing applica tions of natural monopolies registered in the "local chapters" of 
the State Register.  The Agency was required to hold public hearings when reviewing applications of 
natural monopolies registered in the "national chapter"  of the State Register.  Public hearings had to 
be announced no later than 10 days prior to the event,  and had to take place no later than 15 days prior 
to the adoption of the final decision on the approva l of tariff changes.  Public hearings involved 
members of the local legislative branch, repr esentatives of government agencies, consumer and 
business associations, mass media, independent experts,  as well as the applicant (natural monopoly).  
Thus, legal and natural persons, in cluding foreign companies and foreign-invested firms, could take 
part in the public hearings.  The procedure for holding public hearings was regulated by the Rules 
approved by Government Resolution No. 376 of 21 Ap ril 2003.  The Agency had to announce its final 
decision on the approval of tariff changes no later than  15 days prior to their introduction.  Relevant 
information was published regularly in the mass media.  Asked to provide the list of natural 
monopolies, she referred to the Agency website – www.regulator.kz
. 
58. Asked whether the government had the authorit y to apply price controls on goods and 
whether such controls existed, the representative of Kazakhstan rep lied that the Agency regulated 
tariff rates for services provided by monopolies, while both domestic and export prices for goods were 
determined by market forces. 
59. The following activities were classified as natural monopolies: (i) transportation of oil and/or 
oil products through the main pipelines; (ii) storag e, transportation of gas and gas condensate through 
the main and/or distribution pipelines, operatio n of gas-distribution units and connected gas 
distribution pipelines; (iii) transmission and/or distri bution of electricity and heat, (iv) production of 
heat; (v) services in technical dispatching of release and consumption of electric energy; (vi) services 
of the main-line railroad network; (vii)  services of access roads, (viii)  air navigation services; 
(ix) services of seaports and airports; (x) telecommunication services, in cases where there was no competition between providers due to the fact that it might be economically or technically infeasible 
to enter the market (with the ex ception of universal telecommunication services); (xi) services related  WT/ACC/SPEC/KAZ/9 
 Page 23 
 
 
 to the leasing and provision of access to cable channels and technological facilities for connecting 
telecommunication networks to the universal telecommunication network; (xii) services of 
waterworks and/or sew erage networks; and ( хiii) public postal services.  In response to a specific 
question, the representative of Kazakhstan conf irmed that this list was exhaustive. Detailed 
information on the services provided by natural m onopolies and on the price regulations affecting 
them is contained in Annex 5.  
60. The representative of Kazakhstan said that the production of electrical power, natural gas and 
gas condensate, as well as other forms of energy, was not considered as an activity within the sphere 
of natural monopolies.  Prices for energy production were set by the market both domestically and for export.  Regarding electrical power supply services, she said that Resolution No. 190 of 18 February 2004 approved the Concept of Further Deve lopment of Market Relations in the Electrical 
Power Industry for the period 2004-2006.  She adde d that the Law "On Power Industry" was adopted 
on 9 July 2004.  In accordance with the provisions of the new legislation, electrical power supply services (on the retail market for electricity) were tr ansferred to the competitive market.  However, the 
transmission and distribution of electricity by inter-regional (via the national company "KEGOC" 
OJSC), regional and local networks was considered to be an activity within the sphere of natural 
monopolies, thus subject to state price regulation.  She noted that the provisions of the new legislation 
allowed for an easier access to the wholesale market for electricity.  A plan to dismantle vertically 
integrated monopolies had also been developed.   
61. Regarding the regime governing gas, a member of the Working Party asked the representative 
of Kazakhstan whether foreign companies in Kazakhstan benefited from the same prices as Kazakh companies, and whether prices charged for domestic  consumers were the same as for export.  The 
representative of Kazakhstan replied that, domestic consumers of natural gas were charged a final 
price that corresponded to the sum of the production cost of gas, the transportation cost via main 
pipelines (KZT 420 per 1,000 m3 for legal persons or KZT 171 for househol ds), the transit cost of gas 
by distribution networks, as well as the profit margin.  No decreasing coefficient for the transportation 
of natural gas was applied in Kaza khstan.  Gas exports were carried out by only two companies:  (i) 
"Tengizchevroil", which sold gas at the Russian border at prices, which reflected 
production/transportation costs, as well as the pr ofit margin; and (ii) "Karachaganak Petroleum 
Operating" CJSC, which supplied gas under contr act with KazRosGas CJSC through its own 35 km 
long gas pipeline at prices, which reflected produ ction/transportation costs, as well as the profit 
margin.   WT/ACC/SPEC/KAZ/9 
Page 24  
 
 62. Pipeline transportation tariffs for exports of g as as well as transit tariffs were not subject to 
government regulation and were negotiated under in ternational Concession Agreements with foreign 
companies.  Information on the transportation of natural gas by Intergas Central Asia CJSC is 
provided in Table 4.  
  Table 4: Tariffs on natural gas tran sportation and storage services provided by 
 
Intergas Central Asia CJSC in 2004  
Item Tariff 
International transit (US$ per 1,000 m3 per 100 km)  
- Russian transit  0.9 
- Turkmen transit 0.68 
- Uzbek transit*  0.68 
- Uzbek transit* 1.2 
- Kyrgyz transit 14.8% of gas actually transported at the 
price of US$ 42 per 1,000 m3 
Export of Kazakh gas (US$/per 1,000 m3 per 100 km) 0.7 
Transportation of natural gas for domestic consumption in 
Kazakhstan (tenge/1,000 m3 excluding VAT)  
- for legal entities 420 
- for legal entities supplying natural gas to the population 171 
* Different pipeline technical characteristics. 
63. Some members of the Working Party requested  more information on the natural monopolies 
operating in the oil and gas pipeline industry a nd on the procedures for allowing natural monopolies 
access to the oil pipelines.  These members of the Wo rking Party wanted to know what criteria were 
considered in allocating access to the pipelines and whether any form of guidance was provided by 
the government with respect to ac cess allocation.  In response, th e representative of Kazakhstan said 
that currently the registered na tural monopolies in the sector were  CJSC KazTransOil, CJSC "Munai 
Tas" and CJSC Intergas Central Asia.  At present,  Kazakhstan's oil was exported via two pipelines, 
namely Uzen – Atyrau (Kazakhstan) – Samara (Ru ssia) and the Caspian Pipeline Consortium (CPC).  
The Agency regulated the activities of the Uzen-Atyrau-Samara pipepline, while oil transportation via 
the CPC was regulated by shareholders of the Consortium.  The volume of oil exports via Uzen-Atyrau-Samara was determined by the pipeline' s traffic capacity and was based on the annual 
intergovernmental agreement between Russia and Kaza khstan.  Because of these limitations, and in 
the absence of alternative routes, Kazakh compani es faced reduced marketing opportunities for their 
products, given that their annual output exceeded the pipeline capacity.   
64. The Ministry of Energy and Mineral Resources allocated available quotas among Kazakh 
exporters proportionally to the volume of their prod uction, on the basis of monthly applications that 
indicated volume and destination for their transportati on of oil.  If a company planned to increase its 
production, it had to apply for additional quotas, wh ich became available when a company gave up its 
quota or when the Russian Federation granted a dditional transit opportunities.  Once the quotas had  WT/ACC/SPEC/KAZ/9 
 Page 25 
 
 
 been granted, the exporter had to sign an oil tr ansportation agreement with CJSC KazTransOil – the 
pipeline operator.  When negotiating annual volume  quotas with the Russian Federation, Kazakhstan 
took into account the forecasted oil transportation need s of all Kazakh companies.  Thus, to this date, 
all requests for volumes of transported oil had been  satisfied and there had not been a shortage of 
quotas.  No preferences were granted to either domestic or foreign companies in awarding export 
quotas and uniform tariff rates were applied to the export of crude oil.  She added that, even though 
pipeline transportation had been qualified as a natura l monopoly, there were no restrictions imposed 
on the access of foreign or local companies to th e market for construction and operation of oil 
pipelines. 
65. Some members of the Working Party noted that, although a priori  tariff rates for the transport 
of oil by pipeline were the same for domestic c onsumption and export, the application of a decreasing 
coefficient for domestic consumption resulted in a higher de facto  rate for the transportation of 
exported oil.  These members of the Working Party noted that Article XI of GATT 1994 provided that 
"other measures" could not be used to prohibit or restrict the exportation or sale for export of any product destined for the territory of another Memb er.  These members of the Working Party stated 
that Kazakhstan was expected to eliminate the discr iminatory pricing applicable to oil destined for 
export prior to its WTO accession.  Some members of  the Working Party also noted that differential 
oil transport fees applied by Kazakhstan were in conflict with the provisions of Article V of GATT 
1994 on freedom of transit.   
66. In response, the representative of Kazakhstan said that Order of the Chairperson of the 
Agency No. 248- ОD of 13 December 2002 established the Price List (tariffs) for services of CJSC 
KazTransOil, according to which unified tariff ra tes applied both for domestic consumption and 
export.  In order to support the production capacity of domestic oil refineries  and to slow down the 
growth of domestic prices of oil products, a decreasing coefficient of 0.46 was applied for the 
transportation of crude oil to Kazakh refineries.  She noted that the application of the decreasing 
coefficient had not restricted oil exports – Kaza khstan had produced 47,199 tonnes of crude oil in 
2002, of which 41,530 tonnes had been exported; and 51,256 tonnes in 2003, of which 45,187 tonnes 
had been exported.  She also noted that the decreasing coefficient did not affect the price of crude oil 
supplied to domestic refineries and the price of refi ned oil products.  She added that prices for oil and 
oil products were determined by market forces – in 2003 and 2004 the price of crude oil had been 
US$ 70-80 per tonne and US$ 130-140 per tonne respectively, while the same decreasing coefficient had been applied continuously.  Thus, in her opini on, practice had shown that the introduction of the 
decreasing coefficient did not constitute an export rest riction in the meaning of Article XI of GATT.   WT/ACC/SPEC/KAZ/9 
Page 26  
 
 67. With regard to Members' concerns related to freedom of transit she said that, as of 2004, oil 
transit from the Russian Federation to the People' s Republic of China through Kazakhstan had been 
conducted via the Omsk-Pavlodar-Atasu pipeline, as we ll as  via railway from Atasu to China.  Thirty 
to forty thousand tons of crude oil were transpor ted monthly via transit routes.  Oil transportation 
tariffs for transit via the Omsk-Pavlodar-Atasu o il pipeline to China and for export via the Kumkol-
Karakain-Atasu oil pipeline to China (both pipelin es operated by KazTransOil CJSC) were both set at 
KZT 2413 per ton per 1,000 km.  Thus, pursuant to Order No. 248-OD of 13 December 2002, unified 
tariff rates were charged for oil transportation on th e territory of Kazakhstan, as well as for oil transit 
through the territory of Kazakhstan via the oil pi pelines operated by KazTransOil CJSC.  She stated 
that there were no differential oil transport f ees applied in Kazakhstan and confirmed that 
Kazakhstan's oil transportation policy was in full c onformity with the provisions of Article V of 
GATT 1994 on freedom of transit.   
68. The representative of Kazakhstan said that R esolution No. 145 of 6 February 2004 had 
approved the Program on Railway Transport Restructuri ng for 2004-2006.  She noted that in line with 
the Program, the national company "Kazakhstan Te mir Zholy" (KZT) had spun off two independent 
legal persons – "Kazzheldortrans" JSC (a national car rier) and "Locomotiv" JSC (a locomotive header 
operator) – which had been registered as compan ies with a dominant (monopolistic) position.  The 
Agency was also coordinating the development of ot her joint stock companies in this sector.  As for 
price regulation in this sector, according to the Progr am charges for freight transportation services, as 
well as for maintenance services (repair of railway s, wagons and locomotives), would be established 
under competitive market conditions.  Thus, the scope of natural monopoly activity in this sector would be "limited" to the services of the main-lin e railway network.  Carriers would have to pay 
charges for using the main-line railway network, re gulated by the government and set by KZT.  The 
relevant procedures were established by the Rul es on Use of the Main-Line Railway, approved by 
Government Resolution No. 424 of 16 April 2004.  According to the Rules, carriers were given access 
to the main-line railway provided that they signe d a Model Agreement approved by the government; 
their rolling stock (wagons) complied with techni cal, traffic safety, and environment protection 
requirements/regulations; and that they were licensed  for the transportation of goods and passengers.  
Tariffs for main-line railway services, effective as of 20 July 2004, were approved by Order 
No. 242-OD of the Chairman of the Agency on Natural Monopolies Regulation and Protection of Competition of 25 May 2004.  The representative of K azakhstan said that different tariffs for railway 
freight transportation were set depending on di stance, rolling stock (wagons) type, cargo and 
destination.  She acknowledged that the application of differential tariffs by type of destination was in 
contradiction with the provisions of Article III of  GATT 1994.  Nevertheless she noted that, in the 
context of the ongoing restructuring of the ra ilway transportation sector , the government was  WT/ACC/SPEC/KAZ/9 
 Page 27 
 
 
 developing a new tariff policy.   Against this background, the govern ment of Kazakhstan was planning 
to undertake a staged unification of tariffs charge d for the services of the main-line railway - thus 
phasing out the differential application of tariffs by type of destination - to be completed by 
1 January 2008. 
69. The representative of Kazakhstan said that pri ce regulation also extended to utility services 
and public services.  Utility services were subject to  price controls because they were important for 
attracting investment and their de livery depended heavily on natural monopolies.  The Agency was in 
charge of regulating prices for certain utility ser vices, including heating, sewage systems, water 
supply, and electricity/gas distribution.  Production costs were regulated only for activities classified as natural monopolies and for entities enjoying  a dominant (monopolistic) position in a given 
commodity market in cases stipulated by the Law "On Power Industry" and Law No. 144 "On 
Competition and Restriction of Monopolistic Activ ity" of 19 January 2001.  The representative of 
Kazakhstan added that public services were sole ly provided by public bodies and state-owned 
enterprises.  A comprehensive list of public ser vices, indicating agencies responsible for their 
provision, had been provided in document WT/ACC/KAZ/6/Add.2.  The procedure for collecting fees 
was regulated by the Tax Code.  She also said that, with the exception of fees on intellectual property, 
fees applied equally to foreign and national legal persons, as well as na tural persons.  Public transport 
charges were controlled by local administrative bodies.  
 
70. The representative of Kazakhstan added that the list of postal services, which belonged to the 
category of natural monopolies, was determined by the Law "On Postal Services" and tariff rates for 
those services were approved by the Agency.  The list had previously included eight types of postal services, but had subsequently been reduced to onl y include the posting of cards, letters and postal 
wrapper.  Rates established for private companies co mpeting in this sector were not regulated by the 
Agency.   
71. Regarding telecommunication services, she said th at the definition of the relevant Law had 
been amended.  Currently the activities of natu ral monopolies in this sector pertained only to 
(i) telecommunication services, in cases where ther e was no competition between providers due to the 
fact that it might be economically or technically in feasible to enter the market (with the exception of 
universal telecommunication services); and (ii) services related to the leasing and provision of access 
to cable channels and technological facilities fo r connecting telecommunication networks to the 
universal telecommunication network.  The reduced list of telecommunication services subject to government regulation, approved by Governme nt Resolution No. 1064 of 15 October 2004, is 
provided in Annex 6 (see also section on "Policies Affecting Trade in Services").  WT/ACC/SPEC/KAZ/9 
Page 28  
 
 72. She further noted that the adoption of a Program  on Improvement of Tariff Policies of Natural 
Monopolies for the period 2002-2004 signalled the govern ment's intention to ensure the sustainable 
functioning of natural monopolies.  The Program aimed at improving the legal regulatory framework 
and the methodology for establishing tariffs.  The Program introduced forward-looking methods, such 
as a new calculation of profit rates of assets subject to state regulation and setting of medium-term tariff caps.  In particular, as indicated in preced ing paragraphs, the government undertook to eliminate 
price controls for electrical power services, rail transport services, and certain telecommunication 
services. 
73. Some members of the Working Party stated th at enterprises that had a monopoly position in 
international trade and/or domestic distribution should be notified under Article XVII of the 
GATT 1994 and the 1994 Understanding,  and enquired whether Kazakhsta n intended to notify any of 
its "natural" monopolies.  The representative of  Kazakhstan replied that natural monopolies in 
Kazakhstan acted as transport carriers with equal non-discriminatory (open) access for all suppliers 
and operators, regardless of form a nd type of ownership.  No exclusive rights or special privileges 
were granted to these natural monopolies and, ther efore, such natural monopolies did not fall under 
the definition of Article XVII of GATT 1994 or Article VIII of GATS. 
74. A member of the Working Party noted that Ka zakh authorities had a very large discretionary 
margin to qualify activities as natural monopolies and said that this member of the Working Party did 
not consider, for instance, telecommunications and po stal services to be natural monopolies.  Another 
member of the Working Party asked Kazakhstan to explain how there was competition in the markets 
dominated by natural monopolies.  In response, the representative of Kazakhs tan reiterated that, as 
evidenced by the description of ong oing reforms in key sectors of the economy, the government was 
pursuing liberalization programs, in order to fac ilitate competition and to "narrow down" the list of 
natural monopolies.  
- Competition Policy 
75. The representative of Kazakhstan stated that  the key objectives of domestic competition 
policy included (i) creation of a favourable enviro nment for development of free competition in major 
domestic commodity markets (through elimination of  market entry barriers); (ii) protection of 
consumer interests; (iii) prevention of unfair comp etition and agreements aimed at distorting market 
competition; and (iv) prevention of government agencies' actions aimed at introducing special 
privileges for individual companies with the aim to restrict competition.  Legislation on competition policy was developed in line with the Constituti on of Kazakhstan and comprised of the relevant 
provisions of the Civil Code, Law No. 232 "On Unfair Competition" of 9 June 1998, Law "On  WT/ACC/SPEC/KAZ/9 
 Page 29 
 
 
 Competition and Restriction of Monopolistic Activiti es" and other related legislative acts.  The Law 
"On Unfair Competition" listed instances of unfai r competition, introduced mechanisms for its 
prevention and elimination, and also defined responsibilities for actions that constituted unfair 
competition.  The Law applied to domestic and fore ign natural and legal pers ons, public bodies, local 
administration and stateless persons, whose actions  may restrict or eliminate free competition on 
commodity markets in Kazakhstan.  
76.   She noted that in 2004, to meet the obj ectives of domestic competition policy, the 
government developed the Law "O n Competition and Restriction of  Monopolies", which introduced 
fundamental legislative provisions for the prot ection of competition in line with established 
international practices.  It also developed a pr ogram for the period 2004-2006, which was aimed at 
reorganizing/downsizing monopolistic structur es and natural monopolies (details on the 
implementation of this program are provided in the section on "Pricing Policies").  The anti-monopoly 
body would focus on monitoring the behaviour of entities with dominant monopolistic position 
through prevention and restriction of actions that  could lead to (i) establishment of monopolistic 
prices; (ii) unjustified cutbacks in  pr oduction and supply of goods and services;  and (iii) creation of 
market entry barriers for new entrants.  The anti-monopoly body would also monitor the 
establishment, reorganisation and liquidation of busin ess entities, and the acquisition of charter capital 
shares of market participants; it would also focu s on preventing collusion between competing market 
players.  The representative of Kazakhstan added th at the government also planned to enforce anti-
monopoly regulation in the financial market, in line with the new Law "On State Regulation and 
Control of the Financial Market  and Financial Organizations".  
77. In response to further questions the representa tive of Kazakhstan noted that agreements or 
coordinated activities between competing and non- competing market agents, as well as agreements 
concluded between public bodies, or between a public body and a market agent, were invalidated and 
prohibited in cases where they resulted in restricti on of competition or infringement of rights of legal 
and natural persons.  Price regulation of compan ies enjoying a monopoly position in specific markets 
was only imposed by the authorized body in accordance with the releva nt anti-monopoly legislation.   
III. FRAMEWORK FOR MAKING AND ENFORCING POLICIES  
78. The representative of Kazakhstan stated that the Republic of Kazakhstan was a Presidential 
State with power divided among the legislative, exec utive, and judicial bran ches.  The President was 
the Head of State and executive powers were ex ercised by the President and the Government.   The 
President was elected for seven year terms on the basis of universal, equal and direct suffrage by WT/ACC/SPEC/KAZ/9 
Page 30  
 
 secret ballot.  The President appointed and could dismiss members of the Government, including the 
Prime Minister, ministers and heads of state committees. 
79. The President was authorized to prioritize draft laws for consideration by the Parliament and, 
once adopted, to either sign them into effect or ve to them.  In order to override a Presidential veto, 
both houses of Parliament had to generate a two-thirds  majority vote.  A draft law with a top-priority 
status had to be considered by the Parliament w ithin one month after its submission.  The President 
approved laws submitted by the Senate  (the upper house of Parliament) within 15 days, or returned 
laws (or separate Articles thereof) to the Parliament  for reconsideration to be completed within one 
month.   Once the Parliament had reconsidered the law (or separate Articles thereof), confirming or not 
its earlier decision, the President signed the law wi thin seven days.  In cases where the Parliament 
failed to incorporate the President's comments into  the Law, the Law would be considered as not 
adopted, or adopted in the form proposed by the Pr esident.  Laws came into force within ten calendar 
days after the date of their first official publication, unless the laws or acts on implementation of these laws had specified different terms for enactment.  The Parliament c ould delegate its legislative powers 
to the President for a period of up to one year, while  the President had the right to dissolve Parliament 
in certain circumstances.  The President could deci de to hold a national referendum, to issue decrees, 
and to issue decrees having the force of law.   
80. The Parliament was a bi-cameral legislative body, consisting of a lower house, called the 
Majilis, and an upper house, called the Senate .  The Parliament was responsible for adopting 
constitutional laws, laws, resolutions of the Parlia ment, separate resolutions of the Senate and the 
Majilis, and for passing Constitutional amendments , upon the initiative of the President.  The 
Parliament could adopt and amend the state budget,  as well as put forward an initiative calling for a 
national referendum.  At separate sessions, the Ma jilis and then the Senate  ratified international 
treaties and took decisions on state loans and othe r forms of economic assistance.  The Senate, 
inter alia , had exclusive jurisdiction, at the initiative of  the President, to elect and discharge the 
Chairperson and all Justices of the Supreme Court and the Chairpersons of the Collegiums of Justice.  
The Majilis, inter alia,  had exclusive jurisdiction to accept dr aft Laws for consideration and to 
announce regular Presidential elections.  
81. The Government was organized and supervised by the Prime Minister.  The Government was 
accountable to the President, except in cases set out in Articles 53.6 and 57.6 of the Constitution, in 
which the Government was accountable to the Par liament.  The Government submitted draft laws to 
the Majilis, the lower house of Parliament, and was responsible for their implementation when 
enacted.  Subsidiary legislation, in the form of resolutions and directives, could be issued by the  WT/ACC/SPEC/KAZ/9 
 Page 31 
 
 
 Government.  The subsidiary legislative acts of th e Government, as well as the acts of municipal chief 
executives could be annulled by the President.  The ma ndate of the Government expired with that of 
the President unless otherwise terminated by the President. 
82. The Government was responsible for directing national socio-economic policy.  Kazakhstan's 
economic policy was developed and coordinated by the Ministry of  Economy and Budget Planning.  
The Ministry of Industry and Trade was the prin cipal Government body res ponsible for developing  
(i) industrial and investment policy; and (ii) tr ade policy, including proposals on customs rates and 
duties (subsequently administered by the Customs C ontrol Committee of the Ministry of Finance) and 
the issuing of import/export licenses.  State fina nce policy, including curre ncy control and currency 
aspects of foreign economic relations, was determined by the Ministry of Finance.  Administration of 
currency control was carried out by the Nationa l Bank through licensing of currency transactions. 
83. The representative of Kazakhstan noted that the national authorities delegated some of their 
governmental powers affecting foreign trade to lo cal authorities.  The governmental authority in 
Kazakhstan was divided between ce ntral and regional (local) governments.  Local governmental 
power was divided between representative bodies called Maslikhats and executive bodies called 
Akimats.  Local governments  had (i) partial aut onomy to regulate region-specific economic relations; 
(ii) a regional (local) administrative system; (iii)  reciprocal obligations among different tiers of 
government to bring businesses into conformity with  requirements of social, environmental and moral 
standards; (iv) the right to allocate state support to specific sectors and regions and promote 
cooperation between local authorities, business and management bodies; (v) the right to allocate 
budget resources and regional property on commercially viable terms; and (vi) the obligation to 
co-ordinate foreign trade i ssues with the Government.  
84. Asked to explain the relationship between lo cal (sub-central) authorities and the central 
government in the implementation of WTO provisions , the representative of Kazakhstan stated that, 
according to Article 4 of the Law "On Local Govern ment in the Republic of Kazakhstan", Maslikhats 
and Akimats did not have the right to adopt decisions  inconsistent with nationa l policy or international 
commitments arising from Kazakhstan's ratification of  international agreements.  In particular, sub-
central authorities could not independently impose measures aimed at hinderi ng the free exchange of 
goods and services within the country, such as imposi ng taxes and establishing regulations.  Decisions 
of Akims or Maslikhats, which derogated from K azakhstan's commitments ensuing from international 
agreements (including WTO commitments), could be  annulled by the President, the Government, a 
Senior Akim, as well as through court procedures.  In addition, the Prosecutor General's Office WT/ACC/SPEC/KAZ/9 
Page 32  
 
 exercised constant supervision over the precise and uniform application of la ws and other legislative 
acts. 
85. Judicial power was exercised by means of civil, criminal, and other legislation, within the 
framework of a three-tier unitary court system.  The Supreme Court was the supreme body for civil, 
criminal and other cases.  It exercised supervisor y powers over the conduct of courts of general 
jurisdiction within a statutory framework, and pr ovided clarifications on issues relating to court 
practice.  The Supreme Court could also act as a nisi prius  court (first instance court) whose decisions, 
came into legal force from the date of their adoption.   Oblast (regional) and rayon (district) courts 
were courts of first instance and proceedings, c onducted in these courts, took place within two months 
of receipt of claims.  This period could vary, however, depending on the category of civil case.  
Questions challenging the constitutionality of laws or  subsidiary legislation were reviewed by the 
Constitutional Council. 
86. Some members of the Working Party enquired a bout the administrative and judicial channels 
for appeal of administrative decisions made on WTO-related issues – namely how importers and 
exporters could appeal (i) customs and other WTO -related decisions within administrative channels; 
and (ii) administrative rulings to a court or other "independent tribunal" as provided for in Article X 
of GATT 1994.  The representative of  Kazakhstan replied that the Civil Procedural Code defined the 
common judicial procedure for appeals – including  administrative appeals – as well as for special 
proceedings.  The review of judicial decisions – of  rayon (district), oblast (regional) and other local 
courts made at first instance – was carried out th rough an appeal/supervision procedure.  Irrespective 
of whether or not they participated in the hear ing, the Prosecutor-General, Oblast, Rayon and other 
public prosecutors of equal stature, as well as their deputies, had the right to appeal against court 
judgments which had not yet come into force (other than judgments of the Supreme Court).  Parties to 
a case, as well as other parties affected by the d ecision, could also appeal against such decisions.  
Appeals were heard no later than one month from the date of receipt of the appeal by the court of first 
instance.  The court of appeal could make new fi ndings of fact within the limits of the claim and 
investigate new evidence, which, for valid reasons, had not been presented at first instance.  Court 
decisions, rulings, decrees and orders, which had al ready come into force, could be reviewed and 
appealed within a year, on grounds stipulated in the Civil Procedural Code (e.g. discovery of new 
facts), in line with the judicial supervision procedur e.  Review of decisions made by the supervisory 
board of the Supreme Court, and a second review of  the case by the supervisory board of the Supreme 
Court, were allowed in certain cases prescribed by law.  Rulings of the appellate court, as well as 
rulings of the court authorized to review the case under the supervisory procedure, came into legal 
force on the date when they were adopted.  WT/ACC/SPEC/KAZ/9 
 Page 33 
 
 
 87. She noted that the Code "Concerning Administrative Violations" of 30 January 2001 aimed to 
prevent administrative violations, while protecting the rights, freedoms and lawful interests of 
persons, citizens and organizations.  The Code  addressed issues concerning the sanitary and 
epidemiological welfare and health of the popula tion, the environment, public morals, property, 
public order and safety, and the established procedure for exercising state powers.  The hearing with a 
judge or an authorized body usually lasted for 15 days (with a possible 1 month extension).  A request 
for review of a judge or authorized body ruling could be made within one year; the submission of 
such request suspended the ruling's execution.  Th e Prosecutor-General or his deputies could ask a 
board of the Supreme Court to verify the legalit y and legal grounds of a decision on administrative 
violations, which had already taken legal effect.  The Supreme Court could also review the results of a 
review ruling. 
88. Some members of the Working Party asked whether following accession the WTO 
Agreement would have priority ove r Kazakhstan's national legislati on and further sought a description 
of how, in legal terms, would WTO rules and commitments be ratified.  The representative of Kazakhstan stated that Article 4.3 of the Constitution stipulated that international agreements, ratified 
by Kazakhstan, had priority over national legislation.   Ratified international agreements were applied 
directly, except in cases when a la w had to be adopted before an international agreement became 
applicable.  Asked to confirm that Kazakhstan needed  to adopt a law domestically in order to make 
WTO agreements applicable, the representative of K azakhstan replied that, pursuant to Article 22 of 
Presidential Decree No. 2679 "On the Procedure for Conclusion, Execution and Denunciation of 
International Agreements of the Republic of Kaza khstan" of 12 December 1995, the Government and 
other relevant state bodies were obliged to ensu re that Kazakhstan fulfilled all obligations it had 
assumed under international agreements.  To this end, the Government intended to introduce all 
necessary amendments to existing laws by the da te of WTO accession.  She further stated that 
obligations, ensuing from WTO accession but contra dicting the provisions of other international 
agreements, would take effect in Kazakhstan only after (i) the incorporation of appropriate 
amendments to such international agreements; (ii)  the expiry of their duration; or (iii) their 
denouncement pursuant to the Presidential Decree  "On the Procedure for Conclusion, Execution and 
Denouncement of International Ag reements of the Republic of Kazakhstan", and the Vienna 
Convention "On International Treaty Law" of 23 May 1969.  She stressed, however, that no 
contradictions were expected to arise between  WTO membership obligations and international 
agreements signed by Kazakhstan. WT/ACC/SPEC/KAZ/9 
Page 34  
 
 IV. POLICIES AFFECTING TRADE IN GOODS  
- Trading Rights 89. The representative of Kazakhstan said that according to Presidential Decree No. 2021 "On 
Liberalisation of Foreign Economic Activities" of 11 January 1995, natural pe rsons and legal persons 
had the right to carry out foreign economic activities – i.e. international trade (import and export) – as 
well as the right to trade with domestic products.   
90. According to Article 3 of Law No. 2198 "O n State Registration of Legal persons and 
Registration of Branches and Representative Offices" of 17 April 1995, registration was obligatory for 
all legal persons established on the territory of Kaza khstan regardless of the purpose and type of their 
activities.  Registration was necessary for (i) certifyi ng, as well as keeping a record of, the creation, 
reorganization and liquidation of legal persons, branches and representative offices; (ii) keeping a 
single State Register of legal persons, and a Branches and Representative Offices Register; and 
(iii) allowing for the sale of information, other than  confidential information and commercial secrets.  
Foreign firms, as well as individuals, had to register in order to carry out import and export activities.  
Branches and representative offices of legal persons, located on the territory of Kazakhstan, were 
subject to registration for record-keeping (accounting)  purposes.  Foreign firms, wishing to engage in 
import/export activities without establishing a physical  presence in Kazakhstan, could do so under 
civil contracts signed with Kazakh partners.  St ate registration and re-registration was performed 
within three days for small businesses, within ten days  for public associations, and within 15 days for 
legal persons, from the date of submission of a complete application.  The procedure involved 
(i) verification of the company's articles of inco rporation, as well as other submitted documents, for 
compliance with Kazakh legislation; (ii) issuing of a state registration certificate with an assigned registration number; and (iii) entering of a record in the single State Register or the Branches and Representative Offices Register, as appropriate.  Pu rsuant to the Law "On Amendments and Addenda 
to Legal Acts of the Republic of Kazakhsta n on State Registration of Legal persons" of 
18 March 2004, legal persons, as well as thei r branches and representative offices, obtained all 
certificates from a single source – the justice authorities.  These certificates included a state registration certificate, a taxpayer registration certificate, and a statistical certificate of registration in 
the State Statistical Register.  The registration cr iteria were equally applicable to all businesses in 
Kazakhstan.   
91. Registration fees for legal persons (as well as activity licence fees), including small 
businesses, aimed at reflecting the costs of services rendered.  All registration fees applied equally throughout Kazakhstan at both central and local leve ls and revenues were forwarded to local budgets.   WT/ACC/SPEC/KAZ/9 
 Page 35 
 
 
 Pursuant to Government Resolution No. 1660 "On establishing fees for state registration of legal 
persons" of 19 December 2001, the fees were levied on the basis of the MCI (Monthly Calculated 
Index) effective on the day of payment.  State-f unded institutions and public companies were charged 
one MCI (US$ 6.74 or € 5.53); children and yout h public associations – two MCIs (US$ 13.48 or 
€ 11.05); small businesses – five MC Is (US$ 33.7 or € 27.63); and legal persons – 20 MCIs 
(US$ 134.83 or € 110.54).  The re-registrati on fee for legal persons was 50 per cent of the 
corresponding registration fee, while the fee for issuing a duplicate of state registration (or 
re-registration) was 25 per cent of the correspondi ng registration fee.  The registration fee for 
liquidation of business was one MCI, e ffective on the date of payment.  
92. Small businesses – the predominant type of regi stered legal persons in Kazakhstan – had to 
register with the local tax agency at their place of  residence.  According to Law No. 131 "On State 
Support to Small Businesses" of 19 June 1997, small businesses were defined as legal persons 
engaged in business activities, with average a nnual staff not exceeding 50 employees, and with 
average annual total asset value not exceeding 60,00 0 MCIs, equivalent to US$ 404,489/€ 331,800 as 
of 6 June 2004.  The three day period for the re gistration of small businesses had been introduced in 
2003 when a State Program for Small Business S upport and Development had been adopted.  The 
Program simplified state regulation procedures fo r small businesses, introducing a more favourable 
treatment by, notably, lowering the level of registration fees. 
93. Pursuant to the Law "On Licensing", an activity licence was required for engaging in 107 
types of activities.  A draft law was being developed, which would reduce the number of activities 
subject to licensing to 87.  Activity licensing wa s principally applied to (i) especially hazardous 
objects and objects of national importance; (ii)  servicing natural pers ons and legal persons; 
(iii) accumulation of financial resources; and (iv) currency operations.  The list also included activities 
related to production, storage, design and devel opment.  Pursuant to Government Resolution 
No. 1037, in order to obtain an import/export licence,  for certain types of ac tivities the applicant had 
to produce an activity licence issued by the authorized government body.   
94. An activity licence for the production of alcoho lic beverages was required for the importation 
of ethyl spirit (the previously existing additiona l licensing requirement for the storage and wholesale 
sale of ethyl spirit had been eliminated in Fe bruary 2004).  This activity licence was necessary 
because ethyl spirit was a highly toxic product, which was dangerous to human health and the 
environment.  An activity licence for the production,  storage or wholesale sale of alcoholic beverages 
was required for the importation of alcoholic beverages, other than beer.  In this case the activity 
licence was necessary because alcoholic beverages, other than beer, were subject to certain WT/ACC/SPEC/KAZ/9 
Page 36  
 
 qualification requirements for their storage.  These qualification requirements were listed in Article 15 
of the Rules on Licensing the Production of Ethy l Spirit and Alcoholic Products, Storage and 
Wholesale Sale of Alcoholic Products (Except for B eer) as well as Retail Sale of Alcoholic Products 
(Except for Beer) approved by Government Resolution No. 1258 of 27 August 1999.  According to the Rules, an applicant had to have speciali zed premises for storage, drives/entrances, and 
communication systems; as well as required technical documentation regulating consumer safety; 
approved measurement instruments; appropriate storage conditions for preserving product quality; 
and appropriate protective means for employees, necessary for meeting sanitary norms and safety 
rules.  In addition, an applicant had to receive the approval of the re levant sanitary, ecological and fire 
safety agencies, as well as the approval of GosStandard.  
95. Some members of the Working Party raised con cerns about the requirement for re-registration 
and duplicate registration, since this requirement would amount to an ad valorem fee that appeared to 
place an extra burden on foreign businesses/entities.   These members of the Working Party asked 
Kazakhstan to confirm that it woul d bring its registration fees into conformity with the requirements 
of Article VIII of the GATT 1994 prior to WTO accession.  The representative of Kazakhstan replied 
that Kazakhstan planned to introduce a new calcula tion methodology that would ensure that fees for 
re-registration and duplicate registration reflected  the cost of services rendered, thus bringing 
legislation into conformity with the requi rements of Article VIII of the GATT 1994.  
96. A member of the Working Party asked the repr esentative of Kazakhstan whether a firm or an 
enterprise registered in Kazakhstan was considered a "resident" for the purposes of preferential trade 
with other CIS countries.  This member of the Working Party asked Kazakhstan to provide a clear 
distinction between legal personhood in Kazakhstan th rough registration and being a "resident".  The 
representative of Kazakhstan replied that whenever a ratified international agreement did not contain a 
definition of the term "resident" for the purposes of the given agreement, the "residency" status was 
regulated by the provisions of Article 191 of the Budgetary Code, Article 1-1 of the Law "On 
Currency Regulation", and the Tax Code.  Accord ing to these legal acts, residency status was 
conferred to legal persons establishe d in Kazakhstan and/or legal pers ons with management control in 
Kazakhstan.  Non-residents were considered as pe rmanently established if their permanent place of 
activity for the conduct of all or part of their business activities was in Kazakhstan, including 
activities conducted through authorized agents.  Thus, non-residents could be considered as 
permanently established, regardless of whether or not they were registered.  She also confirmed that 
resident legal persons of Kazakhsta n were eligible to participate in preferential trade arrangements 
between Kazakhstan and other CIS countries.   WT/ACC/SPEC/KAZ/9 
 Page 37 
 
 
 A. IMPORT REGULATIONS 
- Ordinary customs duties  - Customs tariff
 
97. The representative of Kazakhstan said that import tariff duties were established by 
Government Resolution No. 1389 of 14 November  1996 "On Rates of Customs Duties Levied on 
Imported Goods", as amended.  Kazakhstan's cust oms tariff policy was aimed at (i) protecting 
consumers' interests; (ii) diversifying the nati onal economy; (iii) facilitating the development of 
technology-based and value added industries; (iv) creating a favourable investment climate; and 
(iv) generating revenue for the state budget.  Co mmitments ensuing from K azakhstan's participation 
in international agreements and regional integration initiatives, including the free trade area of CIS 
countries and the formation of a Customs Union among the Eurasian Economic Community member-
States, were also incorporated into  the national customs tariff policy.  
98. In order to apply tariff and non-tariff measures vis-à-vis  imported goods, and carry out 
customs valuation and classification of goods in acco rdance with the tariff nomenclature, the Customs 
Control Agency issued Order No. 210 "Rules of Adoption of Preliminary Decisions and Their Standard Forms" of 15 May 2003. 
99. Kazakhstan had replaced a 9-digit tariff nomen clature with a 10-digit nomenclature on 
1 January 2004, which was base d on the 2002 revision of the Harmonized Description and Coding 
System (HS 2002).  Thus, current applied rates we re established in the HS 2002 nomenclature (also 
used for conducting WTO tariff negotiations).  The switch to a new tariff nomenclature was stipulated 
by the Agreement "On Common Tariff Nomenclature of Foreign Economic Activity of the EurAsEC" 
adopted on 11 June 2003.  The new import tariff consisted of 11,195 tariff lines.  A significant 
majority of tariff items (9875 items or 88.2 per cent) were subject to ad valorem  rates, while 1,152 
items (10.3 per cent) were subject to compound (or mixed) rates, and 168 items (1.5 per cent) to 
specific rates.  The ad valorem  import duty rates ranged from 0 to 35 per cent, except for two items 
related to ethyl alcohol (HS 2207 10 000 and 2207 20 000), for which the tariff rate was set at 
100 per cent.  The structure of Kazakhstan's Customs Tariff is provided in Table 5.  WT/ACC/SPEC/KAZ/9 
Page 38  
 
 Table 5: Structure of the import Customs Tariff of Kazakhstan
 
Import tariff rates (per cent) Number of tariff lines 
From 0 to 5 6,553 
10 1,397 
15 2,333 
20 626 
25 17 
30 57 
Over 30 48 
 
100. Import duty rates charged for imports under the Generalized System of Preferences (GSP) 
were levied at 75 per cent of the MFN rate, for goods originating in developing countries.  Goods 
imported from least-developed countries were exempt from customs duties.  The GSP rates applied to 
over 1,500 tariff lines and included goods that were not produced in Kazakhstan, as well as handicraft 
items, art and antiques.  The list of countries eligible  for GSP treatment is provided in Annex 7.  The 
tariff rates applicable to goods of unknown country origin were set at two times the rate of MFN 
tariffs.  This measure was aimed at ensuring that th e country of origin of imported goods was declared 
appropriately.  
- Other duties and charges 
101. The representative of Kazakhstan stated that Kazakhstan did not apply any other duties and 
charges on imports, apart from the existing import customs duties approved by Government Resolution No. 1389 of 14 November 1997, an d fees charged for services rendered.    
- Tariff rate quotas, tariff exemptions 
102. The representative of Kazakhstan said that Law No. 544 "On Regulation of Trade Activity" of 
12 April 2004 provided the general legal framework  for introduction of tariff rate quotas (TRQs) in 
Kazakhstan.  At present Kazakhsta n did not apply TRQs.  However,  the Government intended to 
apply TRQs on a limited number of sensitive agricultura l products – namely meat and cane sugar – in 
an attempt to eliminate "peak rates" in tariff commitments and to increase market access opportunities 
for foreign exporters through allo cation of import quotas.  She added that the Government was 
committed to apply the most transparent methods fo r administration of TRQs – combining a "first 
come, first served" method with an import licensing procedure.  
103. She noted that tariff exemptions were re gulated by the Customs Code, Government 
Resolutions No. 668 "On Adoption of the List of  Temporarily Imported Goods Exempt from All 
Customs Duties and Taxes and Temporarily Exported Goods from All Customs Duties" of  WT/ACC/SPEC/KAZ/9 
 Page 39 
 
 
 8 July 2003, and No. 1092 "On A doption of the List of Leasing Objects Subject to the Customs 
Regime of Temporary Importation of Goods and Vehicles" of 21 August 2001.  She added that 
Kazakhstan also granted tariff exemptions to certa in goods originating in CIS countries, except 
Turkmenistan, as stipulated in the re levant bilateral trade agreements.  She added that  the Ministry of 
Industry and Trade was preparing to phase out and eliminate currently applied tariff exemptions.  
104. She further noted that goods imported tempor arily to Kazakhstan could be exempted from 
payment of customs duties and taxes, either in whol e or in part.  Goods falling within the scope of 
Government Resolution No. 668 and Government  Resolution No. 1092 were fully exempt from 
payment of duties, while other temporarily-imported goods were subject to a fee of 3 per cent of the 
chargeable duty, for each month the goods remained  on the territory of Kazakhstan.  The term of 
temporary importation was determined on the basis of  the applicant's tasks and objectives, and could 
not exceed a period of three years of the date the go ods had entered the country.  To conform with the 
provisions of the temporary importation regime, goods  had to remain unchanged during the period of 
temporary importation.  Pursuant to Article 189-2 of the Customs Code the customs regime of temporary importation did not cover (i) industrial waste; (ii) spare parts and components (except when 
designated for temporarily imported vehicles), cons umables and samples, raw materials and semi-
finished goods, except if imported temporarily in si ngle units for promotion/demonstration; (iii) foods 
and beverages (including alcoholic  beverages and tobacco products),  except if imported temporarily 
in single units for promotion/demonstration; and (i v) goods subject to an import ban.  The temporary 
importation regime did not cover food products and beverages, as such goods were solely imported 
for consumption purposes and c ould not remain unchanged during the three year temporary 
importation period.  Similarly, spare parts and co mponents, consumables and samples, raw materials 
and semi-finished goods, could not remain unc hanged during the three year period and were, 
therefore, excluded from the product covera ge of the temporary importation regime. 
105. The term of temporary importation could be exte nded beyond three years at the request of an 
applicant, if an acceptable justification could be provi ded.  To apply for an extension of this term, an 
application had to be filed with the customs body no  later than one month prior to the expiry of the 
initial term.  The extension of the term of tem porary importation was not subject to customs fees 
requirements nor to resubmission of the customs declaration.  
- Fees and charges for services rendered 
106. The representative of Kazakhstan said that a new Customs Code had been enacted on 
1 May 2003.  The new Code had abolished the  fee levied at 0.2 per cent of the customs value.  
Article 293 of the new Customs Code stipulated that  customs fees could be levied for the following WT/ACC/SPEC/KAZ/9 
Page 40  
 
 services:  (i) customs clearance; (ii) customs escort  of goods; and (iii) cust oms warehousing of goods.  
The customs clearance of goods and vehicles incl uded registration of a customs declaration; 
verification of the application of tariff and no n-tariff regulations; verification of compliance of 
location of goods with customs requirements; admi nistration of customs fees; determination of 
customs value; classification of goods for the pur pose of customs examination and customs expert 
evaluation. 
107. Customs clearance fees and customs escort fees  were levied on all imported goods in 
accordance with Government Resolu tion No. 669 "On Adoption of Rates of Customs Fees, Charges 
and Payments Levied by Customs Bodies" of 7 July  2003.  Customs clearance fees were levied at 
€ 50 for the original Cargo Customs Declaration (CCD) and then at € 20 for each additional CCD 
page.  Customs escort fees were calculated on the basis of the Monthly Calculation Index (MCI) and 
were levied on the basis of distance.  Accordingly,  on 6 June 2004, the follo wing fees applied:  up to 
50 km – 2 MCI (US$ 13.5); 50-100 km – 4 MC I (US$ 26.9); 100-200 km – 7 MCI (US$ 47.2); 
200-400 km – 14 MCI (US$ 94.4); 400-600 km – 21 MCI (US$ 141.57); 600-800 km – 29 MCI 
(US$ 195.5); 800-1,000 km – 36 MCI (US$ 242.7); 1,000-1,500 km – 54 MCI (US$ 364); 1,500-2,000 km – 72 MCI (US$ 485.44); and over 2,000 km – 89 MCI (US$ 600).  Fees for customs 
warehousing of goods depended on the type of warehousing (indoors, outdoors or in a special 
building).  Other fees collected by customs included fees for setting up a customs warehouse; obtaining a customhouse brokerage licence; obtaining a customs carrier licence; issuing a customs specialist qualification certificate; and fees fo r a preliminary decision.  The representative of 
Kazakhstan confirmed that this was an exhaustive list of fees collected by the customs authorities. 
108. A member of the Working Party noted that the calculations of charges for the customs escort 
of goods in transit appeared complex and to some extent excessive, especially the need to cover for 
the salaries of customs officers.  The representativ e of Kazakhstan replied that a draft Government 
Resolution, which provided for the calculation of customs fees without the salary component, had been prepared.  Thus, customs fees would be calculated on the basis of the cost of services rendered and would be brought in full conformity with Article VIII of GATT 1994. 
- Application of internal taxes to imports 
109. The representative of Kazakhstan said that the Tax Code provided the legal framework for 
application of internal taxes on imported goods.  The Tax Code stipulated that taxes applied to 
imported goods included value adde d tax (VAT) and excise tax.  Local government authorities did not 
have the right to introduce taxes on imported goods, as these taxes could only be introduced by the  WT/ACC/SPEC/KAZ/9 
 Page 41 
 
 
 national government through the adoption of new legi slative acts or amendments to the effective Tax 
Code.   
 - Value Added Tax 
110. The representative of Kazakhstan said that pursu ant to Section III of the Tax Code (Law 
No. 209-II of 12 June 2001), VAT was set at a general rate of 15 per cent, which was levied equally 
on domestically produced products, as well as impor ted products.  VAT was levied on domestic 
products on the basis of the volume of taxable tur nover, while for imports VAT was levied on the sum 
of the customs value of goods, other taxes and manda tory payments.  Kazakhstan applied the "country 
of destination" principle to imports originating fro m all trading partners, including member-States of 
the Customs Union (between Kazakhstan, Belaru s, the Russian Federation, Kyrgyzstan and 
Tajikistan) and CIS states.  Specifically, as of 1 Janua ry 2005 all imports of oil, natural gas and gas 
condensate were also subject to a 15 per cent VAT rate, irrespective of the country of origin. Pursuant 
to Article 222 of the Tax Code, all exporte d goods were zero-rated for VAT purposes.  
111. She further noted that no VAT tax was levi ed on (i) imported national currency, foreign 
currencies (except for currencies imported for numismatic purposes), and securities; (ii) goods, 
imported by natural persons in line with duty -free import norms, set out by the Government; 
(iii) goods, except for excisable goods, imported as humanitarian aid in accordance with procedures, 
set out by the Government; (iv) goods, except for excisable goods, imported as charity at the initiative of the state, national governments, internationa l organisations, including for purposes of technical 
assistance; (v) goods imported for use by foreign dipl omatic representative offices and offices of the 
same status, as well as for personal use by foreig n diplomats and general staff of representative 
offices, including family members residing with them; exempted from excise under international agreements to which Kazakhstan was party; (vi) imported goods, subject to declaration in accordance 
with the customs legislation of Kazakhstan, under customs treatments providing for tax exemptions; 
(vii) imports of drugs, including medical substa nces; medical (veterinary) products, including 
prosthetic appliances, devices for the deaf-blind, medical and veterinary equipment; materials and 
components required for production of drugs and di abetic products, medical (veterinary) products, 
including prosthetic appliances, and medical (veterin ary) equipment, if approved by the Government; 
(viii) imports  of mail stamps (except for collectors' imports); (ix) imports of raw materials for 
production of paper currency by the National Bank and its subordinate bodi es; (x) goods, imported 
under grants, provided by states, government and inte rnational organisations; and (xi) goods imported 
by a leasing party within the framework of financial lease contracts.  WT/ACC/SPEC/KAZ/9 
Page 42  
 
 112. Asked specifically about the export of ferrous  and non-ferrous scrap, the representative of 
Kazakhstan replied that VAT had been levied on th e export of ferrous and non-ferrous scrap since 
1 July 2001.  However, since 1 January 2004, the export of ferrous and non-ferrous scrap was 
exempted from the payment of VAT.  Since 1 Janua ry 2005, the export of ferrous and non-ferrous 
scrap was zero-rated for VAT purposes.  
113. A member of the Working Party asked the repr esentative of Kazakhstan to confirm that the 
15 per cent VAT was applied to all goods, imported and domestic, in particular  exemptions for small 
businesses and exemptions for domestic raw agricultural produce at its first point of sale from the 
farm.  The representative of Kazakhstan replied th at turnovers, which did not exceed 12,000 times the 
value of the MCI (US$ 84,000), were not subject to VAT.   Regarding agricultural production, she said that a special tax treatment, involving the use of licensing and the payment of a land tax, applied 
to manufacturers of agricultural products.  T hus, VAT payments for legal persons producing 
agricultural products were reduced by 80 per cent.  
- Excise Tax 
114. The representative of Kazakhstan said that excise tax rates were approved by Government 
Resolution No. 137 "On Rates of Excise Taxes on Excisable Goods Produced in the Republic of Kazakhstan and Imported to the Customs Territory  of the Republic of Kazakhstan and on Gambling 
Business" of 28 January 2000.  The Resolution sti pulated that excise rates were equal for domestic 
and imported goods, except for alcohol, tobacco, autom obiles, gasoline and diesel fuel.  The list of 
goods subject to excise tax is provided in Annex 8.  
115. To ensure the progressive unification of excise tax rates, the Government increased excise 
rates on domestically produced products by ame nding Resolution No. 137 by Resolutions No. 1257 of 
26 November 2002, No. 182 of 20 February 2003, and No. 241 of 27 February 2004.  Thus, the excise 
tax per 1 litre of vodka had been increased from KZT 60 to KZT 125; per 1,000 filter tobacco products from KZT 140 to KZT 180; per 1,000 tobacco products without filter from KZT 95 to 
KZT 100; per 1 litre of beer from KZT 6 to KZT 7.  Excise tax rates levied on the basis of the 
percentage of alcohol content had also been establis hed.  Additionally, in order to take preparatory 
steps towards the unification of excise tax rates, the Government was developing a system for controlling the manufacturing and turnover of alcoho lic products (through the use of registration and 
control marks).  She noted that the Sectoral Program for State Regulation of Production and Turnover of Ethyl Spirit and Alcohol Products for 2004-200 6 had been terminated by the Government.  WT/ACC/SPEC/KAZ/9 
 Page 43 
 
 
 116. She further noted that Kazakhstan did not appl y excise tax on imports of (i) excisable goods 
imported by natural persons within limits set by the Government; (ii) excisable goods required for 
operation of vehicles, involved in  international transportation, en route  and in intermediate locations, 
as well as excisable goods, purchased abroad for the repair of damages caused by a road accident 
(breakdown); (iii) goods damaged prior to being transported acro ss the customs border and rendered 
unusable as products and materials; (iv) goods impor ted for use by foreign diplomatic representative 
offices and offices of the same status, as well as for personal use by foreign diplomats and general staff of representative offices, including family me mbers residing with them; exempted from excise 
under international agreements to which Kazakhsta n was party; (v) goods, transported across the 
customs border, exempted under customs treatment se t by the customs legislation, excluding for the 
"issue of goods for free use"; and (vi) products containi ng alcohol used in medicine and  registered as 
pharmaceuticals.    
117. Some members of the Working Party enquired about  the target date for unification of excise 
taxes.  These members of the Working Party also asked the representative of Kazakhstan to confirm 
that there were no additional excise tax exemptions, namely that export tax wa s applied to all similar 
goods imported from all countries in a non-discriminator y manner.  In response, the representative of 
Kazakhstan said that her Government envisaged fu ll unification of excise tax rates by the date of 
Kazakhstan's accession to the WTO.  She also conf irmed that excise taxes were applicable to 
domestic and imported goo ds regardless of the country of origin. 
118.  [The representative of Kazakhstan stated that, from the date of accession, Kazakhstan will 
apply its domestic taxes, including excise taxes on products listed in Annex 8 in strict compliance 
with Article III of the GATT 1994, in a non-discriminatory manner to imports regardless of country of origin and to domestically-produced goods. The Working Party took note of this commitment.] 
- Quantitative import restrictions, including  prohibitions, quotas and licensing systems 
119. The representative of Kazakhstan said that K azakhstan did not apply any quantitative import 
restrictions, except restrictions established pursuan t to the Government Resolution "On ban imposed 
for goods and vehicles imported to the territory of  the Republic of Kazakhs tan and exported from its 
territory that were prohibited to be located under special customs regimes, and the bans and 
limitations for conducting operations  with goods under special custom regimes" of 10 July 2003, 
adopted in accordance with Articles 8, 125, 142, 153, 165, 175, 182 and 240 of the Customs Code.  This Resolution banned imports of (i) military w eapons and ammunition, materials and equipment 
which could be used in the production of weapons of  mass destruction; (ii) narcotics, psychotropic 
agents and precursors, as well as instruments for thei r consumption; and (iii) printed and illustrative WT/ACC/SPEC/KAZ/9 
Page 44  
 
 materials aimed at creating propaganda for war, te rrorism, violence, racism, as well as pornographic 
materials.  She added that a quota on imported gri nding and forged spheres (Resolution No. 1243) and 
a limitation on the imports of ethyl spirit and al coholic beverages (Resolution No. 1031) had been 
abolished on 1 January 2003 and 17 June 2004, respec tively.  She confirmed that the list of import 
prohibitions listed in this paragra ph was exhaustive.  In response to a specific question she stated that 
Kazakhstan did not apply, and ha d never applied, any import prohibition on the import of second-
hand clothes and tires.   
120. The representative of Kazakhstan confirmed that  Kazakhstan would not introduce any import 
quotas after accession to the WTO, except for emergenc y reasons stipulated in Article XIX of the 
GATT 1994 and the WTO Agreement on Safeguards. 
 - Import licensing 
121. The representative of Kazakhstan said that th e list of goods subject to import (and export) 
licensing, as well as the rules governing the licensing of goods (and services), were approved by Government Resolution No. 1037 "On licensing e xport and import of goods and services in the 
Republic of Kazakhstan" of 30 June 1997.  The lic ensing system regulated the import (and export) of 
a limited number of goods to ensure the protectio n of human life and health, the environment, and 
public order, as well as for reasons of national securi ty.  In addition, the im port licensing of ethyl 
spirit and alcoholic beverages was regulated by  the Rules approved by Government Resolution 
No. 1031 "On licensing of import of ethyl spirit  and alcoholic beverage s in the Republic of 
Kazakhstan" of 27 June 1997.  The list of goods subject to import and export licensing, along with 
information on licensing rules and procedures, is provi ded in Annex 9 (a, b).  In response to a specific 
question, she confirmed that the procedures listed in Annex 9 outlined all import licensing procedures 
contained in Government Resolution No. 1037 and Government Resolution No. 1031. 
122. Import (and export) licences were issued by the Ministry of Industry and Trade, with the 
exception of ethyl spirit and alcoholic beverages, fo r which licences were issued by the Ministry of 
Finance.  All licences were issued for one calendar y ear with a possible one year extension.  To obtain 
an import/export licence from the relevant Ministry the applicant had to submit (i) an application; 
(ii) a copy of the purchase/sale agreement betw een traders, along with an original copy for 
verification; (iii)  a copy of a contract between  exporter/manufacturer or importer/consumer if the 
application was filed by a middleman; (iv) a certificate of state registration; (v) confirmation for the payment of the licence fee; (vi) an  activity licence issued by the relevant authorized body for certain 
types of activities; (vii) a permission from the governme nt or the relevant authorized body for certain 
goods listed in Annex 2-5 of Government Resolu tion No. 1037; and (viii) a list of submitted  WT/ACC/SPEC/KAZ/9 
 Page 45 
 
 
 documents.  In addition, to obtain a licence for the importation of ethyl spirit an applicant had to 
submit an activity licence for the production of alc oholic beverages.  To obtain a licence for the 
importation of alcoholic beverages (other than bee r) an applicant had to submit an activity licence for 
the production, storage or wholesale sale of alcoholic  beverages.  Pursuant to Government Resolution 
No. 100 "On approval of licensing fees for carrying out certain types of activities" of 24 January 2002, a uniform licence fee was levied  for all import/export licences at a rate of 6 MCIs 
(Monthly Calculation Indices), equivale nt to US$ 40.4/€ 33.2.  In accordance with Article XVII of the 
Law "On Licensing" a licence had to be issued with in ten days for small businesses and no later than 
one month for legal persons.  The decision, as well as  the procedure, regarding the issuing of a licence 
could be appealed in court within one month (see section on "Trading Rights" for further information 
on state registration and activity licensing).  
123. The representative of Kazakhstan added that, in or der to bring fees into full conformity with 
Article VIII of GATT, the Ministry of Economy and Budget Planning had de veloped and approved a 
new methodology for calculating import/export licensing fees (and registration fees) for legal persons 
that would reflect the actual cost of services rende red for the processing of the application.  On the 
basis of this methodology, the Ministry of Indus try and Trade had developed a draft Government 
Resolution (currently under review) which stipulated  a fixed licence fee.   This new methodology is 
provided in Annex 9 (c).   
124. She further added that, in her view, import licensing in Kazakhstan was automatic and had no 
trade-restrictive effects on imports.  Import licenses were granted on a non-discriminatory basis to 
domestic and foreign legal and natu ral persons.  She added that import licences were also granted on a 
most-favoured-nation basis.   
125. In response to a specific question, the repres entative of Kazakhsta n confirmed that the 
import/export licence was separate from the requirement to register and apply for a licence from the 
National Bank for import- and export-related cred its for a period exceeding 180 days.  Once a trader 
had acquired a licence under Government Resolution No. 1037, no additional specific import licences 
for goods were required. 
126. A member of the Working Party asked the re presentative of Kazakhstan to clarify whether 
Government Resolution No. 1037 of 30 June 1997 pr ovided for activity licensing, import licensing of 
goods, or both.  The representative of Kazakhstan replied that Government Resolution No. 1037 
covered import and export licensing of goods (as well as works and services).  WT/ACC/SPEC/KAZ/9 
Page 46  
 
 - Customs valuation 
127.  The representative of Kazakhstan said that customs valuation was carried out on the basis of 
the new Customs Code of 5 April 2003.  Issues re lating to customs valuation of goods were also 
regulated by the Decree of the Customs Committe e No. 209 "On Adoption of Rules on Completion of 
Declarations of Customs Value and Customs Valu e Adjustment Forms" of 15 May 2003 (legislation 
available through documents WT/ACC/KAZ/50/ Add.1 and WT/ACC/KAZ/57/Add.1).  She added 
that Government Resolution No. 782 of 16 July  2002, dealing with independent conformity 
assessment of customs valuation, had been invalid ated as of 19 December 2003.  She confirmed that 
all legislation related to the relevant provisions on customs valuation in Kazakhstan was listed in this 
paragraph. 
128. She noted that Article 308 of the Customs Code stipulated that the customs valuation of 
imported goods was determined according to six met hods:  (i) transaction value; (ii) transaction value 
of identical goods; (iii) transaction value of similar goods; (iv) deduction of costs method; (v) composition of costs; and (vi) reserve met hod.  The transaction value method established the 
customs value of goods on the basis of their sale price in the importing country, and had priority over 
the other methods of valuation.  When the appli cation of this method was impossible, other methods 
were used in the order indicated above , until customs value was determined.   
129. She further noted that according to Article 311 of the Customs Code, "homogenous" or 
"similar" goods meant goods, which were comme rcially interchangeab le and had similar 
characteristics and consisted of sim ilar components, to the extent that allowed them to perform the 
same functions as the goods being valued.  The goods had to be manufactured in the same country as 
the goods being valued; they could, however, be manufactured by another manufacturer.  The goods' 
quality, trademark availability, and market reputa tion were all taken into account when determining 
the similarity of goods.  Article 309 of the Code set out the conditions for goods not to be considered 
similar.   
130. According to Article 314 of the Customs Code , the "reserve" method was applied when the 
customs value could not be determined by a su ccessive application of all other methods.  When 
applying the reserve method the customs authority could use Government recognized price reference 
books, statistical data, generally accepted commission ra tes, discounts, profit, transport rates and other 
data.  The application of price reference books had been  approved by Government Resolution No. 794 
"On information reference books used upon the appli cation of the reserve method of determination of 
goods customs value" of 8 August 2003 and Gove rnment Resolution No. 797 "On Changes to 
Government Resolution No. 788 of 9 June 2001" of 11  August 2003.  The appropriate data adjustment  WT/ACC/SPEC/KAZ/9 
 Page 47 
 
 
 was mandatory, taking into account commercial sta ndards (wholesale, retail) and/or the quantity of 
goods being valued.  However, Article 314 of the Cu stoms Code, described factors that could not be 
relied upon.  She acknowledged that the applicati on of the reserve method might amount to an 
administered valuation of imports based on information gathered by the customs authorities.  She added that the reserve method was used less fr equently than the principle method of customs 
valuation, based on the transaction value of imported goods. 
131. Asked whether Kazakhstan applied minimum values,  the representative of Kazakhstan stated 
that Kazakhstan did not determine customs value on the basis of fi xed minimum values.  She added 
that, in accordance with Article 310 of the Custom s Code, when determining customs value based on 
the transaction value of identical goods and more th an one transaction value for identical goods was 
identified, the lowest value was applied to dete rmine the customs value of the imported goods.  
132. Asked about the existing procedures for judicial review of customs measures, she replied that 
Code No. 155-11 "On Administrative Violations" ha d been adopted on January 2001.  This Code, 
governed procedures on disputes related to customs valuation, as well as cases involving deliberate 
evasion of customs duties and taxes.  Bodies author ised to address cases of administrative violation 
and the imposition of sanctions were al so appointed according to this Code. 
133. Concerning the right of appeal, she said that Articles 318 (paragraph 7) and 319 of the 
Customs Code provided for the right of appeal of customs authorities' decisions related to customs 
valuation of goods, while Section XV of the Code stipulated specific provisions for appeal.  She 
added that Presidential Decree No. 2340 "On Or der of the Consideration of Subjects Appeal" 
(available through document WT/ACC/KAZ/57/Add.1) de termined the order in which decisions were 
appealed.  Asked specifically whether paragraph 7 of Article 318 foresaw a right of appeal without 
penalty, she replied that Article  318, paragraph 7, did not stip ulate any penalty provisions upon 
determination of the customs value of goods by the customs authorities.   
134. Transparency provisions were dealt with in Artic le 30 of the Customs Code.  Statutory legal 
acts on customs-related issues were published in offici al periodicals.  Relevant information was also 
disseminated at various border check-points; airports , railway and car stations, as well as water ports; 
on board of vehicles, as well as air and water vessels th at carried out international traffic; and in areas 
where customs control took place.  Customs author ities provided unimpeded access to the relevant 
laws, statutory legal acts, court decisions and admini strative acts for all interested parties involved in 
foreign economic activity, except for confidential info rmation as outlined in Article 26 of the Customs 
Code.  She also referred to the official website  www.customs.kz, which provided information on the WT/ACC/SPEC/KAZ/9 
Page 48  
 
 Customs Control Committee, as well as relevant le gislation, administrative decisions, explanatory 
notes and foreign trade statistics. 
135. Surety bond (warranty) provisions were covere d in Article 321 and 339 of the Customs Code.  
Customs authorities had the right to carry out the conditional release of goods, as long as payment of 
customs duties and fees was in a ccordance with the customs value of goods.  Guarantees could take 
the form of pledges; bank guarantees; monetary contributions to the customs authority's deposit 
account; and insurance agreements. 
136. A member of the Working Party noted that only the Interpretative Notes to Article 1 and 
Article 15 of the Customs Valuation Agreement we re partially included in Kazakhstan's Customs 
Code.  This member of the Working Party enqu ired when the Interpretative Notes would be 
completely included in the Customs Code.  The repr esentative of Kazakhstan replied that a draft Law 
"On Alterations and Additions in the Customs C ode of the Republic of Kazakhstan" was being 
approved in Parliament.  This draft Law foresaw th e issuing of a Commentary to the Customs Code of 
Kazakhstan, in which the Interpretative Notes to the Customs Valuation Agreement would be 
included. 
137. The representative of Kazakhstan added that sev eral major changes were envisaged to be 
introduced to the Customs Code.  Regarding the method for determining customs value based on the 
transaction value of similar goods, the draft Law stipulated that (i) insignificant differences in appearance may not serve as the basis for refusal to r ecognize goods as similar; (ii) the cost of similar 
goods imported in different quantity and at a differe nt commercial level may be used, and their value 
had to be adjusted taking into consideration th ese differences when there were no cases of import of 
goods in the same quantity and at the same commercial level; (iii) some adjustments had to be 
introduced on the basis of reliable information verifi ed by documentation; and (iv) the lowest value 
had to be applied to determine the customs value of imported goods when more than one transaction 
value with similar goods was identified.  Regardin g the method for determining customs value based 
on deduction of costs, the draft Law stipulated th at (i) the customs authority may not require from a 
non-resident information determining the customs value; and (ii) information supplied by the 
producer of the goods for the purposes of determin ing customs value may be verified with the 
agreement of the producer provided that sufficient advance notice was given to the government of the 
country in question and the latter did not object to th e investigation.  In her view, the draft Law would 
bring the definition of persons associated in expor tation and importation of goods in line with the 
provisions of Article 15(5) of the Customs Valuation Agreement.  WT/ACC/SPEC/KAZ/9 
 Page 49 
 
 
 - Rules of origin 
138. The representative of Kazakhstan said that Secti on IV of the Customs Code established the 
rules for determination of the country of origin of goods.  She stated that these rules were applied for 
both non-preferential and preferential trade.  The ru les established a uniform system for determination 
of the country of origin of goods for applica tion of both tariff and non-tariff measures to both 
exported and imported products.  The existing sy stem was developed by the World Customs 
Organization and covered provisions  of the Kyoto Convention.   
139. She noted that in accordance with the criteria set out in the Customs Code, the country of 
origin was the country, in which a good was who lly-obtained or had undergone significant processing 
involving inter alia  changes in tariff code and value adde d.  Several countries, customs unions, 
regions, or parts of countries could be viewed as  the country of origin, provided that this was 
justifiable for the purpose of determining the country of origin.  In response to a specific question she 
confirmed that the tariff nomenclature referred to in Article 157 of the Customs Code corresponded to 
the subheadings and headings of the tariff nomenclat ure mentioned in Article 2a (i) of the Agreement 
on Rules of Origin, adding that Kazakhstan ha d adopted the Harmonized System nomenclature. 
140. A member of the Working Party expressed doubts about the WTO compliance of the 
provision stipulating that origin could be prescribed  to parts of a country if there was a justifiable 
reason.  The representative of Kazakhstan replied th at a draft Law "On Alterations and Additions in 
the Customs Code of the Republic of Kazakhstan" , would amend paragraph 2 of Article 33 of the 
Customs Code ensuring that country of origin may be prescribed only to a country, group of countries 
and to customs unions. 
141. She further noted that a certificate of origin was required for imports subject to preferential 
treatment by Kazakhstan, goods subject to non-tariff measures, and in compliance with international 
agreements signed by Kazakhstan.  Certificates of origin were also required by legislation on sanitary 
and epidemiological safety, environmental protectio n, protection of human health, consumer rights, 
public order and national security.  A certificate of or igin had to contain an indication of the country 
of origin; a written declaration that the good confor med with the corresponding criteria of origin; and 
a written certification regarding the accuracy of the supplied information, issued by the competent 
body of the country of export.  She stressed that certificates of origin were not obligatory for non-
preferential trade, except if the customs authorities ha d sound reasons to believe that goods originated 
from countries whose imports were subject to non-tari ff measures; or if stipulated by international 
agreements signed by Kazakhstan.  Failure to provide a correctly drafted certificate or information on 
the origin of a good was not a sufficient r eason for denial of customs clearance. WT/ACC/SPEC/KAZ/9 
Page 50  
 
 142. Chapter 9 (Articles 47-52) of the Customs Code  set out the order (sequence) that applied 
when issuing a certificate of origin.  The rules governing the procedure for preliminary decisions 
taken by the customs authorities were set out in Order No. 210 of the Customs Control Agency of 
15 May 2003.  According to the Customs Code, a d ecision was issued within ten working days and 
was valid for three years.  A preliminary d ecision could be annulled or amended by a written 
justification if (i) the World Customs Organization adopted a binding decision that would affect 
Kazakhstan; (ii) inconsistenci es existed between the prelimin ary decision and international 
agreements signed by Kazakhstan; (iii) the Custom s Code was amended with regard to provisions 
related to preliminary decisions; (iv) administra tive violations were recorded during the decision-
making process; and (v) the decision was taken on the basis of incomplete or incorrect information provided by the applicant.  The new decision ente red into force only after the applicant had been 
notified about the amendment or nullification.  The decision may be published and provided in 
writing upon written request to any person, excluding confidential information.  The Customs Code 
had no provision prohibiting applications  before actual trade began or at any later stage.  A review of 
administrative actions on the application of rules of origin by judicial, arbitral or administrative 
tribunals or procedures was not foreseen.  Neverthe less, section XV of the Customs Code provided for 
the appeal of customs authorities' resolutions a nd decisions.  A comparative table, outlining the 
relevant provisions of Kazakhsta n's Customs Code alongside provisions of the WTO Agreement on 
Rules of Origin, is provided in Annex 10. 
143. A member of the Working Party noted that the ri ght to seek a determination of origin prior to 
importation was contained in Article 2(h) and A nnex II, paragraph 3(d), of the WTO Agreement on 
Rules of Origin.  This member of the Working Part y stated that if these provisions were not already 
reflected in Kazakhstan's laws, this member of the Working Party would seek legislation to remedy 
that prior to Kazakhstan's accession to the WTO.  The representative of Kazakhstan replied that, in 
her view, there was no need for separate legislat ion to implement Article 2 (h) and Annex II, 
paragraph 3 (d) of the WTO Agreement on Rules of Origin.   
- Other customs formalities 
144. The representative of Kazakhstan said that in accordance with the Law "On Currency 
Regulation" and Resolution of the National Bank Board No. 343 "On Adoption of Guidelines for 
Export and Import Currency Control in the Republic of Kazakhstan" of 5 Se ptember 2001, importers 
and exporters had to obtain a "Transaction Passport"  (TA) for any transaction exceeding US$ 10,000.  
The issue of a TA by the customs authorities wa s automatic, free of charge, and took two working 
days.  The TA contained information on foreign economic operations and a llowed monitoring of the  WT/ACC/SPEC/KAZ/9 
 Page 51 
 
 
 flow of goods and money involved in export and im port operations.  Currency controls ensured that 
currency earnings flowed into the country in a comp lete and timely fashion, and ensured the proper 
use of domestic and foreign currency for the purpose of importation.   
145. Some members of the Working Party stated that the requirement to obtain an import 
"transaction passport", in addition to registration and licensing for currency control was duplicative 
and an unnecessary burden on trade.  These members of the Working Party were concerned that the 
transaction passport constituted an unacceptable un iversal licensing system and currency control 
incompatible with Articles XI and XV of GATT 199 4.  These members of the Working Party asked 
Kazakhstan to remove the transacti on passport requirement prior to WTO accession.  In response, the 
representative of Kazakhstan emphasized that the TA was by no means used for trade-balancing 
purposes and, as such, could not be viewed as a hindrance to foreign economic activities nor as an 
additional burden on commercial relations.  She added that the transaction passport requirement 
would remain in force after 2007.  However, either  licensing or registration requirements in relation to 
currency control would be abolished in respect to  transactions registered with passports, thus 
eliminating any duplication or additional burden on trade. 
146. She noted that in order to facilitate control at the border, the Government first introduced 
electronic monitoring by creating a TA database  and a Unified Automated Information System 
(UAIS).  The UAIS operated on the basis of electronic copies of customs declarations provided by 
"Accept Corporation", which had held an exclusiv e right to make such copies.  In 1999, the 
Government had withdrawn the exclusive right from Accept Corporation and since then the UAIS 
was operated by the Customs.  The Government planned to introduce an "Electronic Customs" 
project, which would implement a transition to the us e of electronic customs documents.  For the time 
being continued use of the paper customs declaration would be required.  
147. Asked about the provision of confidentiality of  information, she replied that measures to 
protect confidential information were envisaged for the UAIS. 
148. Some members of the Working Party expressed  concerns regarding the requirement to 
provide an electronic copy of the import and export declaration as part of the required customs 
documentation, the granting of an exclusive licence to  provide electronic copies of those declarations 
to "Accept Corporation", the cost to the importer of obtaining such an electronic copy, and the 
requirement that importers still had to presen t a paper copy of the import declaration. 
149. Asked about the results of the review of the temporary customs warehouse storage regime, the 
representative of Kazakhstan replied that the temporary storage regime was regulated by Chapter 13 WT/ACC/SPEC/KAZ/9 
Page 52  
 
 of the Customs Code of the Republic of Kazakhsta n (Articles 87-111).  Temporary storage of goods 
was not limited or restricted to the use of temporary storage warehouses, but could also involve 
storage in vehicles, warehouses owned by the goods ’ recipient, as well as special quarters allocated 
and equipped either for indoor or outdoor storag e.  Furthermore, licensing requirements and fees 
charged for temporary storage were not required wh en goods were stored in vehicles, warehouses 
owned by the goods’ recipient, as well as in special quarters allocated and e quipped either for indoor 
or outdoor storage.  Pre-arrival declaration pr ocedures, periodic declaration procedures, and 
procedures related to the customs clearance of urgent  consignments stipulated that goods and vehicles 
cleared under high-priority and simplified procedures could be released directly without placement in 
a temporary storage location (temporary storage wa rehouses).  No physical placement of goods and 
vehicles in a temporary storage warehouse was requi red when goods were cleared by customs within 
one business day. 
- Preshipment inspection 
150. The representative of Kazakhstan stated that the Program of Pre-shipment Inspection (PPI) 
had been terminated on 31 January 1997, and accordi ngly no pre-shipment inspection was applied in 
Kazakhstan. 
151. The representative of Kazakhstan noted that Reso lution No. 782 of 16 July 2002 on Rules for 
Independent Examination of Cons istency of Customs Value, Quality, and Quantity of Imported 
Goods, dealing with independent conformity assessmen t of customs valuation, had been invalidated 
as of 19 December 2003.  This Resolution had aimed at further improving customs valuation 
procedures and at implementing a system of "indepe ndent examination".  The Rules had set out the 
procedures for an independent examination.  An independent examination of customs value, in 
contrast to a pre-shipment inspection, implied a price audit (control of the compliance of declared 
information with actual cost) of imported goods afte r their arrival in Kazakhstan.  The independent 
price audit of imported goods had been introduced to increase revenue collected from the payment of 
customs duties and fees, to minimise administrative violations on the part of customs officials, and to 
prevent capital flight.  The independent examinati on was carried out by the private company "I.C.S. 
Inspection and Control Services Kazakhstan" Ltd., wh ich charged a fee of 30 per cent of the value of 
customs duties and fees due on the imported product.  The information, provided as a result of the 
independent examination, could e ither be rejected or used by the customs authorities when doubts 
existed concerning the reliability of the declared cu stoms value.  The conclusion of the independent 
examination was only a recommendation, while the fi nal decision regarding the customs valuation of  WT/ACC/SPEC/KAZ/9 
 Page 53 
 
 
 goods was taken by the customs authorities.  The decision of the customs authorities could be 
appealed.  She added that there was no list of "risky" goods that required a price audit. 
- Anti-dumping, countervailing duties, safeguard regimes 
152. The representative of Kazakhstan noted that  the use of anti-dumping, safeguard, and 
countervailing measures was regulated by Laws  No. 421-1 "On Anti-Dumping Measures" of 
13 July 1999, No. 337-1 "On Measures for the Protection of Domestic Markets in the Process of Imports of Goods" of 28 December 1998, a nd No. 441-1 "On Subsidies and Countervailing 
Measures" of 16 July 1999.  These Laws defined th e rules and procedures for the use of anti-dumping, 
safeguard, and countervailing measures for protecting the domestic market against the adverse effects 
of an increased share of imports or supplies of du mped or subsidized goods.  Under these laws, anti-
dumping, safeguard, and countervailing duties could onl y be introduced when there was evidence that 
serious damage had been incurred or had threaten ed domestic producers of a like product.  These 
measures could be implemented for a limited term, sufficient to allow domestic producers to adapt to 
the competitive environment.  Government Resolution No. 1347 "On Rules of Conducting 
Investigation Prior to Implementing Safeguard , Countervailing and Anti-Dumping Duties" of 
9 September 2000 set the framework for conducting an investigation concerning trade remedy 
measures.  The authorized body for conducting the investigation was the Ministry of Industry and 
Trade.  The Rules also contained a detailed desc ription of procedures governing the application of 
trade remedy measures, developed in confor mity with relevant WTO Agreements.   
153. Some members of the Working Party noted that  the above-mentioned laws generally appeared 
to comply with the provisions of the relevant WTO Agreements but that, nevertheless, some concerns 
remained.  The representative of Kazakhstan replied th at her Government had developed draft laws on 
amendments and additions to the above-mentioned laws  in order to bring Kazakhstan's legislation into 
full compliance with the provisions of the relevant WTO Agreements. 
154. Several important changes would be introdu ced to the Law "On Safeguard Measures of 
Domestic Market when Importing Goods".  Namely the definitions of key terms used in the law – 
such as domestic industry (manufacturers), serious in jury and threat of serious injury – would be 
brought into full compliance with the WTO Agreemen t.  To enhance transp arency, the authorized 
body would be required to notify interested partie s of a forthcoming investigation within thirty 
calendar days of the date a decision on initiating an investigation was taken.  Information would be 
made available to the public through the mass medi a in both the state language and other relevant 
languages.  To ensure confidentiality, the author ized body could choose not to disclose information WT/ACC/SPEC/KAZ/9 
Page 54  
 
 publicly if the party concerned would be unwilling to  do so, unless it could be demonstrated that the 
information was official.  
155. The Law "On Antidumping Measures" would also be amended in line with the provisions of 
the Anti-dumping Agreement.  In particular, the defi nitions of key terms used in the law, such as 
domestic manufacturers, would be brought in conf ormity with the WTO Anti-dumping Agreement.  
The de minimis dumping margin would be changed to less than 2 per cent, in accordance with the 
Agreement.  To ensure transparency and confiden tiality, the authorized body would be required to 
make written evidence, presented by one interested party, promptly available to other interested 
parties participating in the investigation.  The authorized body would also be required to provide 
opportunities to all interested parties to consult all non-confidential information relevant to the 
investigation.  Investigations should be comple ted within one year, and in no case more than 
18 months, after initiation. 
156. The amendments to the Law "On Subsidies and Countervailing Measures" would introduce 
changes to the provisions governing the consultation process.  Prior to initiating an investigation, the 
authorized body would invite foreign states, the produc ts of which may be subject  to investigation, for 
consultations with the aim to clarify the situation and reach a mutually agreed solution.  Throughout 
the investigation these foreign states would have to  be given a reasonable opportunity to continue 
such consultations.  Consultations would not be intended to preclude the initiation of an investigation, 
the conclusion of preliminary or final decisions  on subsidized imports, and the application of 
provisional or final measures.  The authorized body,  upon request of a foreign state the products of 
which were subject to investigation, should pr ovide access to non-confiden tial evidence used for 
initiating or conducting the investigation. 
157. Asked about the review procedures for an  anti-dumping case, the representative of 
Kazakhstan replied that the review was carried out  by courts, which were neutral and independent 
from the executive power, like the judicial review of any administrative or other decision of an 
executive body of Kazakhstan.  Accordingly, th e executive body involved in an anti-dumping 
investigation could not interfere with any le gal proceedings pending before a court.   
158. She added that the Law "On Anti-Dumping" sti pulated that review or cancellation of anti-
dumping measures should be carried out by the Government upon submission of the case by an 
Authorized Body.  Under Article 53 of the Law, in  case the complainant disag reed with the executive 
body's decision on an anti-dumping investigation, he/s he had the right to appeal.  The current Civil 
Procedural Code set forth the general procedures for filing inter alia a complaint in court to review 
administrative actions.  Pursuant to Articles 15 a nd 118 of the Civil Procedural Code, an anti-dumping  WT/ACC/SPEC/KAZ/9 
 Page 55 
 
 
 claim, filed by a foreigner or a non-resident, c ould be brought to the court having jurisdiction and 
located as close as possible to the decision-making body.  Oblast courts and the Almaty city court 
were considered to be courts of first instance.  All details of court procedures were regulated by the 
laws "On Court of Arbitration" and "On intern ational commercial arbitrage", as well as the Civil 
Procedural Code.  Claims of lega l persons would be considered by  the Board of Economic Disputes 
within the court of first instance.   Pursuant to Article 30 of the Civil Procedural Code civil cases of 
citizens who had no established legal personhood and we re involved in entrepreneurial activities were 
reviewed by specialized district-level economic c ourts (except for cases subject to review by oblast-
level courts and the Supreme Court). 
159. [The representative of Kazakhsta n confirmed that Kazakhstan would ensure that by the time 
of its accession to WTO its legislation concer ning anti-dumping, countervailing and safeguard 
measures was brought into full conformity with th e relevant WTO provisions, including Article VI 
and  XIX of the GATT 1994 and the Agreements on the Implementation of Article VI, the Agreement 
on Subsidies and Countervailing Measures and the Ag reement on Safeguards. After such legislation 
was implemented, Kazakhstan w ould only apply any anti-dumping duties, countervailing duties and 
safeguard measures in full conformity with the relevant WTO provisions. The Working Party took 
note of this commitments.]      
B. EXPORT REGULATIONS  
- Customs tariffs, fees and charges for services rendered, application of internal taxes to 
exports 
160. The representative of Kazakhstan said that expor t tariffs were established by Government 
Resolution No. 841 of 5 June 2000.  Export duties were published after being approved by the 
Government, on the basis of proposals of the Interm inisterial Commission on customs-tariff policy.   
She added that Kazakhstan applied export custom s duties on a MFN basis, except for exports to 
member-States of the Customs Union between K azakhstan, Belarus, the Russian Federation, 
Kyrgyzstan and Tajikistan.  She further noted that the Agreement between Kazakhstan and the 
European Coal and Steel Community on Trade in Certain Steel Products (Article 2. p.3) abolished quantitative restrictions, customs duties, charges or any similar measures on the export of ferrous 
scrap and waste falling under heading 7204 of the EC Combined Nomenclature.  Export duty rates are 
provided in Table 6. WT/ACC/SPEC/KAZ/9 
Page 56  
 
 Table 6: Rates of export duties applied by Kazakhstan
 
HS number Description of Goods* Duty rate 
(in per cent of customs value) 
4101 Raw pelts of cattle or animals of horse family, with hair or 
without hair, splitting or non-splitting.  20, but not less than  
€200 per 1,000 kg 
4102  Raw pelts of sheep or lambs, woolly or non-woolly, 
splitting or non-splitting, except excluded according to 
Note 1в for this group. 20, but not less than  
€200 per 1,000 kg 
4103 Other raw skins, with hair or without hair, splitting or non-
splitting, except excluded by Note 16 or 1 в for this group. 20, but not less than  
€200 per 1,000 kg 
5101- 
5104 00 000 0 Un-carded and uncombed wool;  10, but not less than   
€50 per 1,000 kg 
7204** Iron-and-steel waste and scrap; ferrous metal ingots for re-
melting (charging ingots) 40, but not less than  
€35 per 1,000 kg 
7302 Ferrous metal products, used for railway lines and tram-
lines: rails, flange rail and rack rails, switch blades, point 
frogs, regulating rods and other cross connections, crossties, splice bars and base-plates, wedges, bedplates, 
hood joint bolts, bad plates and bracing wires, foundation 
slabs, cross bars and other details for connection and bonding of rails.  40, but not less than  
€35 per 1,000 kg 
 
7326 90 600 0 Other ventilators, non-mechanical, guttering, hooks and 
like Articles used in the building industry, n.e.s., of iron or 
steel 40, but not less than  
€35 per 1,000 kg   
7404 00 Copper waste and scrap 30, but not less than  
€330 per 1,000 kg 
76 Secondary unprocessed aluminium and aluminium 
products. 15, but not less than  
€100 per 1,000 kg  
8607 Parts of locomotives and motor-wags of trams and rolling-
stocks.  40, but not less than  
€35 per 1,000 kg 
* The goods nomenclature is determined both by code and by description of goods. ** Rates of export customs duties not applied with respect to European Union countries.
 
161. Some members of the Working Party noted that export duties appeared to be introduced to 
displace products that would otherwise be imported w ith domestic products or otherwise distort trade.  
These members of the Working Party considered that this application of export duties was 
unacceptable and inconsistent with Articles II and XXIII of GATT 1994.  These members of the Working Party also noted that the discriminatory ex port duty exemptions granted to member-States of 
the Customs Union were inconsistent with Article I of GATT 1994.  They requested a timetable to be 
set for the elimination of all export duties.  In addition, a member of the Working Party expressed particular concerns regarding the export duty im posed on iron and steel scrap, considering the 
pressure that it placed on countries not applying such r estrictions in the current market.  This member 
of the Working Party also noted the non-MFN treat ment of nonferrous scrap in Kazakhstan's exports 
to the European Union, and stated that this prac tice had to be eliminated prior to WTO accession.  
Finally, this member of the Working Party enquired why only exports to the Customs Union were exempt from the payment of export duties, given the fact the Kazakhstan had free-trade-area relations 
with other CIS countries as well.    WT/ACC/SPEC/KAZ/9 
 Page 57 
 
 
 162. The representative of Kazakhstan replied that export duties were applied on a very limited 
number of goods mainly for fiscal purposes and, as such, did not violate provisions of the 
GATT 1994.  She added that export duty exemptions  applied only toward member-States of the 
Customs Union and were applied in accordan ce with Article XXIV of the GATT 1994.  She 
acknowledged that export duties were applied to exports to other CIS countries, which were not 
members of the Customs Union.  Moreover, she not ed that export duties were not prohibited by the 
WTO agreements.   She confirmed that from th e date of WTO accession, Kazakhstan would apply 
export duties on a non-discriminatory basis to all WTO Members, with the exception of goods exported to members-States of the Euroasian Economic Community.  
163. Some members of the Working Party asked Kaza khstan to describe the new tax regime for oil 
operations.  In addition, a member of the Worki ng Party asked Kazakhstan specifically to provide 
further information on how the world price of crude oil was determined. 
164. The representative of Kazakhstan replied that Kazakhstan had introduced a new tax regime 
for oil operations designed to increase oil revenue fro m the export of crude oil.  The new tax regime 
for oil operations applied only for new contract ual obligations (since 2004) and did not have 
retroactive force.  Taxes were imposed on subsurface users according to either of two tax regimes –  
licensing or Production Sharing Agreements (PSA).  
165. Natural persons and legal persons (subsurface u sers), operating under the licensing tax regime 
were subject to taxes affecting ordinary tax payers, as well as specific taxes, including a rent tax on 
the export of crude oil, excess profits tax, royalties and bonuses.  The rent tax had been established 
pursuant to the Law "On Changes and Additions to Some Legal Acts of the Republic of Kazakhstan 
on Taxation Issues" of 29 November 2003.  The rent tax was calculated based on the value of exported crude oil, which was set on the basis of the actual volume exported and its market (world) 
price, excluding transportation costs.  Rent tax rates were applied on a sliding scale that ranged from 
1 per cent for a price of US$ 19 per barrel, to 33 per cent for prices exceeding US$ 40 per barrel.  The 
rent tax applied to all legal pers ons and natural persons engaged in the export of crude oil and gas 
condensate.  Hydrocarbons royalties rates were applied on a sliding scale based on annual production 
levels.  The excess profits tax was aimed at recovering excess profits from subsurface users.  
A mechanism of products division between Kazakhs tan and contracting orga nizations, based on the 
application of threshold values, had also been established. 
166. Subsurface users operating under Production Sh aring Agreements were bound by the tax 
conditions stipulated in the PSA in accordance with the provisions of the tax legislation which applied 
on the date the contract had been signed.  The co nditions of the PSA were fixed and could not be WT/ACC/SPEC/KAZ/9 
Page 58  
 
 changed with subsequent changes in legislation w ithout the prior agreement of both parties (see also 
section on "Monetary and Fiscal Policy").  
- Export restrictions 
167. The representative of Kazakhstan said that Kazakhstan maintained a number of export 
restrictions applied in accordance with Article XI .2 of the GATT 1994.  Export restrictions were 
imposed pursuant to Government Resolutions No. 43 8 "On Export of Diesel Oils" of 20 April 2004, 
No. 1243 "On Introduction of Restrictions on Im port and Export of Goods" of 5 December 1998, 
No. 785 "On Some Issues of Forest Utilization"  of 16 July 2002, and No. 1163 "On Forest 
Management Related Issues" of  21 November 2003.  Furthermore, pursuant to the agreement 
concluded with the European Union on trade in st eel products, a number of quantitative restrictions 
had been introduced on specific types of steel products exported from Kazakhstan to the European 
Union.  A list of goods subject to export r estrictions is provided in Annex 11 (a).  
168. She added that Kazakhstan did not apply any quantit ative or other restrictions on the export of 
grain, or any other agricultural products.  Kaza khstan had no provisions to impose or maintain 
minimum export prices on grain and did not apply sanc tions/permits applicable to grain exports.  The 
export of certain flora and fauna species under the th reat of extinction, listed in Annexes I, II and III 
of the Convention on international trade in speci es of wild flora and fauna, was subject to export 
permits issued by the CITES in Kazakhstan. 
169. A member of the Working Party noted that export bans and quantitative restrictions on 
commercial products were hard to justify under WT O provisions.  This member of the Working Party 
sought a commitment from Kazakhstan that, fro m the date of accession, Kazakhstan's export 
restrictions would be in conformity with WTO pr ovisions, including Article XI of the GATT 1994.  
The representative of Kazakhstan replied that Kaza khstan would amend current legislation to bring 
export restrictions in compliance with the provisions  of Article XI of the GATT 1994.  From the date 
of accession, her Government was considering to limit the seasonal export ban on mazut, diesel and 
aviation fuel to the high season, while introducing e xport duties for the rest of the year.  As for the 
elimination of the export ban on aluminium and ni ckel waste and scrap, the government had adopted 
Resolution No. 1404 of 27 December 2004, which elim inated this measure.  She confirmed that from 
the date of accession Kazakhstan woul d not apply export restrictions contradicting the provisions of 
the GATT 1994.   
170. Some members of the Working Party noted that, although minimum export prices had 
previously been eliminated, it app eared that the authorities were still operating a system with a similar  WT/ACC/SPEC/KAZ/9 
 Page 59 
 
 
 effect.  The representative of Kazakhstan replied that  Government Resolution No. 994 of 19 July 1997 
had eliminated contract registration at the comm odity exchange, and that Kazakhstan did not apply 
minimum export prices.   
171. The representative of Kazakhstan said that export licensing was regulated by the same 
legislation as import licensing and differed only in th e product coverage (Annex 9(a, b)).  She further 
noted that, pursuant to Kazakhstan's obligations ensuing from its membersh ip in international 
agreements on non-proliferation of nuclear materi als, technologies, armaments and weapons of mass 
destruction, her government had adopted Resoluti ons No. 1919 of 14 December 1999 and No. 1282 of 
18 August 2000.  Annex 11 (b) provides a list of goods subject to export licensing requirements 
ensuing from Kazakhstan's obligations  under bilateral agreements signe d with the European Coal and 
Steel Community (steel) and the European Economic Community (textiles). 
172. She further noted that export licenses were no longer required for scrap (Resolution No. 924 
of 19 August 2002) and precious stones (Resolution No. 1347 of 29 December 1998).  
- Export subsidies 
173. Referring to a statement made by the represen tative of Kazakhstan regarding soft loans 
granted for the export of non-ferrous products a nd gold by the Development Bank of Kazakhstan, 
some members of the Working Party requested furt her information on the expo rt benefits provided by 
this Bank.  The representative of Kazakhstan replie d that the Development Bank did not provide, and 
could not provide, export subsidies to its clients.   She added that the terms of financing for export 
operations by this Bank were regulated by  Law No. 178-II "On the Development Bank of 
Kazakhstan" of 25 April 2001.  According to this  Law, the Development Bank could not use its 
charter capital for crediting purposes (Article 16) a nd could only use loans borrowed on domestic and 
international capital markets at commercial interest rates, pledging its own a ssets as collateral and 
subject to a fixed rate return (Articles 9 and 13).  Pu rsuant to Article 12 of this Law, the interest rate 
used for the loans was based on the average cost of borrowing and operating expenses of the 
Development Bank.  In her view, Annex I of the WTO Agreement on Subsidies and Countervailing 
Measures – "Illustrative List of Prohibited Subsidi es" – indicated that the Development Bank loans 
should not be considered as prohibited export subsidies.   
174. A member of the Working Party noted that  Kazakhstan applied a system of decreasing 
(discount) coefficients on tariffs for railway tran sportation (Annex 12), which appeared to provide 
tariff reductions to producers of sulphuric aci d and iron ore products, only available for export 
transportation.  This member of the Working Party stated that, to the extent  that these incentives were WT/ACC/SPEC/KAZ/9 
Page 60  
 
 contingent upon export, they c ould constitute prohibited export s ubsidies under Article 3.1 of the 
WTO Agreement on Subsidies and Countervailing Measu res.  This member of the Working Party 
asked Kazakhstan to demonstrate how it planned to  bring this program into compliance with WTO 
provisions. 
175. The representative of Kazakhstan replied that the system of decreasing (discount) coefficients 
on tariffs for railway transportation of sulphuric aci d and iron ore had not been directed at supporting 
domestic manufacturers.  For sulphuric acid, decrea sing coefficients had been established to address 
ecological safety concerns; for iron ore, decreasi ng coefficients had been established to address 
concerns related to the increased volume of expor ted iron ore by rail.  Moreover, Order No. 24-OD 
"On Adoption of Rules for Introduction and Discontinua tion of Decreasing Coefficients for Tariffs on 
Regulated Rail Freight" of 30 December 1999 had been invalidated since August 2004, thus 
eliminating earlier provisions governing the estab lishment of temporary decreasing coefficients on 
tariffs for railway transportation (including sulphuri c acid and iron ore).  In line with the Program on 
Railway Transport Restructuring for 2004-2006 and pursuant to Order No. 375-OD of 8 September 2004, new rules governing the estab lishment and discontinuation of temporary 
decreasing coefficients on tariffs for railway tr ansportation had been adopted.  These new rules 
affected only the services of the main-line railway network, which was considered to function as a 
natural monopoly.  Temporary decreasing coefficien ts were only set on the condition that (i) the 
declared goods' turnover exceeded, or was the same  as, the actual goods turnover during a similar 
period in the preceding year; (ii) there was an opportunity to use idle/under-utilised sections of the main-line railway network; (iii) the by-products of industrial production pr esented an environmental 
hazard; (iv) equal tariff conditions applied for acce ss to the main-line railway services; and (v) the 
transportation of passengers was socially importa nt (see also section on "Pricing Policies"). 
176. Asked whether Kazakhstan had any export performan ce requirements, e.g. in free trade zones, 
or any import duty drawbacks, she replied that  the government did not grant any preferences 
conditional on export performance requirements and did not apply import duty drawbacks.   
C. INTERNAL POLICIES AFFECTIN G FOREIGN TRADE IN GOODS  
- Industrial policy, including subsidies  
177. Some members of the Working Party requested  Kazakhstan to provide more information on 
any existing subsidies – including details on their legal basis – and enquired about specific proposals 
for their elimination.  These members of the Work ing Party also enquired about the objective criteria 
and guidelines that governed the availability of regiona l subsidies and their use by regional bodies.  In  WT/ACC/SPEC/KAZ/9 
 Page 61 
 
 
 particular, these members of the Working Party s ought confirmation that regional subsidies were 
budget transfers to regional governments for the sole  purpose of carrying out governmental activities.  
In addition, some members of the Working Party noted that preferentia l (soft) loans appeared to be 
provided to certain industries for export promotion or import substitution purposes.   
178. The representative of Kazakhstan replied that, pursuant to Law No. 373-II "On Investments" 
of 8 January 2003, the government provided support fo r private investment projects in priority sectors 
of the national economy, such as chemicals, meta llurgy, machinery, textiles, furniture, paper, 
construction and pharmaceuticals.  The government granted (under contracts concluded between the 
authorized body and investors) ta x privileges, railway transportation preferences, soft loans, customs 
duties exemptions for imported products, and debt r escheduling for industrial enterprises.  In addition, 
the Development Bank of Kazakhstan granted soft lo ans for implementation of investment projects in 
priority sectors of the economy, including machinery construction, metallurgy, textiles, leather 
production, footwear, production of electric and electronic equipment, as well as a number of state-guaranteed soft loans (more information on the activ ities of the Development Bank is provided in the 
section on "Export Subsidies"). 
179. In response to concerns raised by members of the Working Party, who noted that tax 
exemptions had been granted under Law No. 75-I "On State Support to Direct Investments" of 
28 February 1997, the representative of Kazakhstan clar ified that the latter Law, as well as Law 
No. 266-XIII "On Foreign Investments" of 27 Dece mber 1994, had been abolished by Law No. 373-II 
"On Investments" of 8 January 2003.  She acknowle dged that tax preferences that had been granted 
prior to the adoption of the new Law on "On Invest ments" would be in effect until the expiration of 
the terms of contracts signed between the authorized body and investors.  She added that the new Law 
did not contain requirements regarding the volume of inv estment to be made in order to be eligible for 
investment preferences.  The new Law did not cont ain any provisions that made investment incentives 
contingent upon export or import substitution.  She, therefore, held the view that these preferences did 
not constitute prohibited export subsidies in the meaning of Article 3.1 of the WTO Agreement on 
Subsidies and Countervailing Measures.  She confir med that the Law No. 373-II "On Investments" of 
8 January 2003 did not contradict  Article 3 of the WTO Agreemen t on Subsidies and Countervailing 
Measures (see also section on "Investment Regime" for information on the set of criteria used for 
granting investment incentives). 
180. Concerning regional subsidies, the represen tative of Kazakhstan confirmed that, in 
accordance with Law No. 357-1 "On Budgetary Syst em" of 1 April 1999, regional subsidies were 
official transfers from higher-level to lower-lev el budgets, received within limits of approved WT/ACC/SPEC/KAZ/9 
Page 62  
 
 amounts, for the purpose of carrying out governmental  activities, e.g. creating local infrastructure, 
running schools, making social income support paym ents unrelated to production of goods, etc. 
181. As for railway transportation preferences, the representative of Kazakhstan said that, pursuant 
to Order of the Chairman of the Agency of Kazakhstan on Regulation of  Natural Monopolies, 
Protection of Competition and Support of Sma ll Business No. 24-OD "On Adoption of Rules for 
Introduction and Discontinuation of Decreasing Coeffici ents for Tariffs on Regulated Rail Freight" of 
30 December 1999, state-regulated tariff discounts (d ecreasing coefficients) for railway transportation 
had been granted to natural monopolists.  However, this provision had been invalidated by Order of 
the Chairman of the Agency No. 337-OD of 5 August 2004.  Pursuant to Order No. 375-OD of 
8 September 2004, new rules governing the estab lishment and discontinuation of temporary 
decreasing coefficients on tariffs for railway tr ansportation had been adopted.  These new rules 
affected only the services of the main-line railway network, which was considered to function as a 
natural monopoly.  She added that the approval of  temporary decreasing (discount) coefficients was 
contingent upon an evaluation of the economic effect  of such a measure on the state, the main-line 
railway network operator, as well as consumers.  Once established, decreasing coefficients for 
transportation of a particular type of goods a pplied to all entities (consignors) transporting these 
goods, and were valid for all destin ations – domestic, for importation, or for exportation.  Kazakhstan 
had set a 0.5 temporary decreasing coefficient for th e services of the main-line railway network for 
the transportation of coal and black oil, exporte d in return for electrical power supplied from the 
Kyrgyz Republic.  This measure had been introd uced by Order of the Chairman of the Agency 
No. 434-OD of 1 November 2004, and had been in force until 31 December 2004.  In 2005, the Agency had introduced a 0.1 temporary decreasing coefficient for the services of the main-line 
railway network, which had applied to JSC "Pass azhirskie perevozki", JS C "Prigorodnie perevozki" 
and JSC "Zholserik Almaty" and had been in force for the fist quarter of 2005.  A 0.5 decreasing 
coefficient had been introduced for JSC "Kazcink" – valid until the end of 2005. 
182. In response to concerns raised by some memb ers of the Working Party, the representative of 
Kazakhstan reiterated that the procedure for gran ting discount coefficients under Order No. 24-OD 
had not been contingent upon export performance an d had been applied to transportation of goods for 
both domestic consumption and export.  Therefor e, she held the view that granting discount 
coefficients could not be viewed as a prohibited expo rt subsidy within the meaning of Article 3 of the 
WTO Agreement on Subsidies and Countervailing Measures and Article XVI of the GATT 1994.  In response to a specific question, she clarified that  a "0.8 decreasing coefficient" meant a 20 per cent 
main-line railway network tariff discount.  Informa tion on decreasing (discount) coefficients on tariffs  WT/ACC/SPEC/KAZ/9 
 Page 63 
 
 
 for railway transportation in 2 002 and 2003 is provide d in Annex 12 (see also section on "Export 
Subsidies).  
183.   She added that, in 2004, decreasing (discount) co efficients had also been applied to electrical 
power distribution through OJSC "KEGOC".  Info rmation on decreasing (discount) coefficients 
applied to electrical power distribution thr ough OJSC "KEGOC" is provided in Annex 13. 
184. Regarding preferential loans, some member s of the Working Party expressed specific 
concerns that, to the extent that these loans were contingent upon export or import substitution, they 
could constitute a prohibited subsidy under Article  3.1 of the WTO Subsidies Agreement.  In 
response, the representative of Kazakhstan sai d that the Export-Import Bank of Kazakhstan 
(Eximbank) was in charge of providing preferentia l loans.  According to Presidential Decree No. 1815 
of 16 July 1994 the main functions of Eximbank included obtaining and administering foreign loans 
under state guarantee; and financing Kazakh compan ies with the aim to stimulate imports of 
technology, equipment and other products essential for real sector structural reforms.  Eximbank was 
a public bank, which performed the functions of a development bank by providing soft loans for 
financing priority investment projects.  Eximbank fi nanced three- to five-year investment projects, 
under a 6 per cent interest rate, and with a grace period of two to three years.  Uniform terms and 
conditions applied to all enterpri ses and the granting of loans was not contingent upon the use of 
domestic over imported products.  
185. Some members of the Working Party noted th at Kazakhstan provided tax exemptions to 
exporters of yellow phosphorus, ground phosphate rock and phosphate  fertilizer, and expressed their 
concerns about whether these tax exemptions were  in conformity with Article 3 of the WTO 
Agreement on Subsidies and Countervailing Measures.  In response, the representative of Kazakhstan 
said that "Kazphosphat" Ltd. was active in a prior ity sector of the economy and, as such, received 
corporate income tax, property and land tax preferenc es in line with investment contracts concluded in 
1998-1999, with an eight year validity period.  She confirmed that the criteria used for granting tax 
preferences did not violate WTO provisions. 
186. A member of the Working Party asked Kazakhs tan to provide more detail on corporate 
income tax preferences provided to industries inv esting in the petrochemical sector, as well as on a 
special tax treatment for companies primarily engaged in information technology research and 
development, which operated in special economic areas (SEAs).  In response, the representative of 
Kazakhstan said that the preferential tax regime affecting industries in the petrochemical sector aimed at encouraging the development of new non-mine ral sectors in the economy.  In accordance with 
Article 119-1 of the Tax Code, petrochemical en terprises were granted a 100 per cent corporate WT/ACC/SPEC/KAZ/9 
Page 64  
 
 income tax reduction for a five year period from th e date their production units were commissioned, 
provided that (i) these enterprises were established between 2004 and 2007; (ii) at least 90 per cent of 
their annual aggregate income was generated from the sale of products derived from refining oil and 
gas extracted in Kazakhstan (for specific types of pe trochemical-related activit ies determined by the 
Government); and (iii) their level of investment  in production units was at least 5 million Monthly 
Calculation Indices (MCIs).  The preferential tax regime did not apply to (i) subsurface users; 
(ii) companies producing goods subject to excise ta x (i.e. spirits, alcoholic products, beer, tobacco 
goods, sturgeon and salmon caviar, petrol, diesel fuel ); and (iii) companies, which already received 
tax preferences.  Companies operating in special  economic areas were provided with a 50 per cent 
corporate income tax reduction, as well as an exemp tion from the payment of land tax, property tax 
and value-added tax provided that they fulfilled ce rtain criteria (see also section on "Free zones, 
special economic areas").  
187. Some members of the Working Party request ed Kazakhstan to provide comprehensive 
information on subsidies that would have to be  notified under Article 25 of the WTO Agreement on 
Subsidies and Countervailing Measures.  In par ticular, a member of the Working Party enquired 
whether there had been any administered programm es, other than the one described in Annex 12, 
which met the definition of a specific subsidy.   The representative of Kazakhstan replied that 
Kazakhstan was currently reviewing its industrial s ubsidy policy in order to determine the existence 
of any specific subsidies other than  the one described in Annex 12.   
188. [The representative of Kazakhstan confirme d that any subsidy programmes would be 
administered in line with the Agreement on Subsidies and Countervailing Measures and that all necessary information on programmes to be notified,  if such exist, would be provided to the 
Committee on Subsidies and Countervailing Measures in accordance with Article 25 of the Agreement upon entry into force of Kazakhstan's Pr otocol of Accession. The Working Party took note 
of this commitment.]  
- Technical barriers to trade, standards and certification 
189. The representative of Kazakhstan said that le gislation on standardization, metrology, and 
certification in Kazakhstan was ba sed on Law No. 433-1 "On Standard ization" of 16 July 1999 and 
Law No. 434-1 "On Certification" of 16 Ju ly 1999 – amended by Laws No. 141-II of 
15 January 2001; No. 230-II of 11 July 2001; No . 272-II of 15 December 2001; and No. 3788 of 
10 June 2003.  She provided information on the c onformity of Kazakhstan's legislation with the 
provisions of the WTO Agreement on Technical Ba rriers on Trade (TBT Agreement) in documents 
WT/ACC/KAZ/37 and WT/ACC/KAZ/40.  WT/ACC/SPEC/KAZ/9 
 Page 65 
 
 
 190. She noted that the main principles of state st andardization were based on the requirements of 
the WTO TBT Agreement.  These principles established equal standardization requirements for both 
local and foreign manufacturers and suppliers.  Do mestic legislative requirements were based on 
scientific analysis and technological developments, a nd were set in accordance with international, as 
well as foreign countries' standards, rules a nd recommendations.  In her view, these domestic 
legislative requirements could not constitute technical  barriers to trade with other countries.  When 
preparing national normative documents on  technical regulations and standards , international 
technical regulations and standards had to be used , except when they failed to meet domestic safety 
requirements.  If state standards under developmen t failed to meet international requirements (or 
when international standards were not applicable ), notifications about the development of such 
standards, outlining differences in technical cont ent, had to be published by the Committee on 
Technical Regulation and Metrology of the Mini stry of Industry and Trade (Gosstandard) for 
comments and proposals by interested parties.   
191. The State Standard of the Republic of Ka zakhstan (ST RK 1.2-2002) regulated the 
development of state standards, as well as their modification and cancellation.  Gosstandard was the 
only state body authorized to administer work and issue official standards in the field of 
standardization, metrology and certification.  Pursua nt to the Law "On Standa rdization", international 
standards and foreign countries' national standards were valid in Kazakhstan.  Thus, both natural 
persons and legal persons could use international, regional a nd national standards, as well as other 
normative documents on standardization of foreign countries.   
192. In response to questions concerning a clear di stinction between technical regulations and 
standards required by the TBT Agreement, the repr esentative of Kazakhstan said that, pursuant to the 
Law "On Standardization", a "technical regul ation" was a normative document establishing 
mandatory requirements either directly or by referen ce to a standard or rule, or by reiteration of its 
content.  It could also include or exclusivel y contain requirements related to terminology, 
designations, packaging, and marking to the exte nt that they applied to products, processes or 
services.  A "standard" was a document developed with the agreement of all interested parties and approved by the authorized body on standardization,  metrology, and certification (Gosstandard).  It 
established general rules, principles or characteristics as well as rules, principles or characteristics for 
repeated use, regulating various forms of activities and its results.  She confirmed that a "standard" 
included both mandatory and recommended requirements.  She also noted that the amendments to the 
Law "On Standardization" established technical re gulations and requirements for products, processes 
and services that were applicable to Kazakh natural persons and legal persons.  Any interested party 
could obtain the necessary information from the enquiry point. WT/ACC/SPEC/KAZ/9 
Page 66  
 
 193. Article 11 of the Law "On Certification" provi ded for two types of certification – mandatory 
and voluntary.  Voluntary certification was perform ed at the initiative of the applicant (producer, 
vendor) or consumer of a good, in order to determine conformity with  existing standards.  Mandatory 
certification was required to ensure the protection of human life, health and safety, as well as the protection of the environment.   
194. Some members of the Working Party request ed information on the elimination of WTO-
inconsistent mandatory national sta ndards.  In particular, these members of the Working Party wanted 
to know whether there were any plans to  address such "hold-over" standards.   
195. In response, the representative of Kazakhstan noted that the Law No. 434-1 "On 
Certification" had been amended to grant the right to producers to confirm the conformity of products 
by declaration .  Product certification procedures were pe rformed by certification bodies accredited by 
Gosstandard.  The list of accredited certifica tion bodies and laboratories was available from 
Gosstandard's website.  Certification rules and pro cedures were the same for both local and imported 
products, regardless of their origin, as required by Article 5.1.1 of the WTO TBT Agreement.  
Mandatory certification applied to products and ser vices potentially dangerous to people's health and 
the environment (motor transport, agricultural m achinery, weapons, sports, electro-technical, radio-
technical electronic items, communication means, household chemistry, consumer goods used in 
contact with human skin, food and water, constr uction materials and cons tructions, light industry 
products, medical products, raw fuel, toys, special technical guarding means, etc.).  A manufacturer's 
self declaration could be filed for products, for whic h relevant tests could be easily performed by the 
producer, and which could be adequately tested by any of Gosstandard's accredited bodies.  Records 
of the testing procedures performed, as well as docum ents that guaranteed product safety, were also 
needed.  Upon review of all necessary documents, a certificate could be issued by an accredited 
certification body.  There was no predetermined list of products that could not be tested by the 
accredited bodies, and decisions as to whether or not a product could be tested were made on a case-
by-case basis.  Importers could also confirm the conformity of products by declaration, as long as the imported products we re included in the "List of Products  Permitted to be confirmed by the 
Conformity Declaration" approved by Government R esolution No. 77 of 22 January 2003.  This List 
included (i) telecommunication devices such as telephones, fax and transmission equipment; 
(ii) medical items (first-aid kits); (iii) consumer goods used in contact with human skin (rubber masks 
for diving, swimming caps, rubber hot-water bags, oilcloth); (iv) equipment for potentially hazardous products (steel wire ropes); (v) construction mate rials (insulation materials and double-glazed window 
panes);  (vi) packing material (metal caps for glass c ontainers); (vii) light industry products (cloths,  WT/ACC/SPEC/KAZ/9 
 Page 67 
 
 
 footwear); and (viii) woodwork industry products (m atches, furniture).  Testing laboratories were 
constantly being modernized, thus expanding the scope of their testing capabilities.  
196. A member of the Working Party expressed concerns regarding the application of 
Kazakhstan's conformity assessment procedure in pr actice, notably in the case of pharmaceuticals.  
This member of the Working Party noted that the resulting process seriously distorted trade, as it was 
time consuming and costly, an as such was incompa tible with the TBT Agreement.  This member of 
the Working Party also asked Kazakhstan to pr ovide information on international conformity 
assessment bodies whose certificates were recognized in  Kazakhstan.  In response, the representative 
of Kazakhstan said that conformity certificates were  mutually recognized in accordance with signed 
international agreements.  At present, such mutu al recognition agreements existed only with CIS 
countries.  Conformity certificates were also recognized if issued by a foreign authorized body, 
accredited in Kazakhstan's national certification sy stem.  She added that internationally-recognized 
certificates did not exist.  She also acknowledged th at Kazakhstan's conformity assessment procedure 
provided for several modules of conformity conf irmation, during which se veral consignments of 
identical products were tested.  If the nationall y-accredited foreign certification body had performed 
all necessary conformity assessment procedures, th e imported goods' certificate would be recognized 
and there would be no need to certify individual c onsignments.  The same certification rules and 
procedures were applicable to both imported and domestic goods.  
197. Regarding measures taken to address the transp arency and publication requirements of the 
TBT Agreement, the representative of Kazakhstan sai d that the Centre for collaboration with the 
WTO on issues of accreditation, standardization, metrology and certification (enquiry point) was 
created in 2002.  Databases were being set up acco rding to international, regional and foreign 
standards.  Interstate and State standards, and part  of international ones, were being transferred into 
electronic formats.  A draft program of standard s development was being printed in the monthly 
"Informational Catalog (register) of Standards" (ICS) , published by Gosstandard to enable interested 
parties to submit comments on draft standards.  Th e comments were taken into account in the process 
of finalizing draft standards and the standards were  only adopted after comments were received, listed 
and attached thereto, and agreement was reached be tween the interested parties.  She further noted 
that the Law "On Standardization" established a pr ocedure to process and analyse comments.  There 
were no criteria to be eligible to receive dr aft standards and conformity assessments and any 
interested organization could request to receive them.  Moreover, drafts of state standards were published in the official publication of Gossta ndard and electronic versions were placed on 
Gosstandard's website at www.memst.kz
.  Gosstandard had two subordinate state enterprises – the 
Kazakh Institute of Standardization and Certificati on, and the Kazakh Institute of Metrology.  These WT/ACC/SPEC/KAZ/9 
Page 68  
 
 issued periodic publications, including the maga zines "Gosstandard News", "Metrology", and 
"Monthly Informational Index of Standards", whic h contained draft standards, news, articles and 
normative documents regulating standardi zation, metrology, and certification. 
198. Some members of the Working Party asked for information on the requirement to receive 
separate permissions from the chief veterinarian to transport imports within Kazakhstan, even after 
obtaining a valid certificate of conformity.  These members of the Working Party also enquired about 
why new certificates of conformity were needed for the import of pharmaceuticals that had already 
obtained certificates of conformity.  The representative of Kazakhstan replied that these requirements were legally justified under Article 2 of the WTO TBT Agreement, namely the intention to protect the 
health and safety of people or animals.  These pr ocedures were mandatory for importers, as well as 
domestic producers, for the transportation of goods s ubject to state veterinary control or included in 
the official list of products requiring mandatory certification.  
199. Some members of the Working Party noted the ex istence of standards agreements with China 
and Turkey and asked whether the provisions of  these agreements would be applied on a most-
favoured-nation basis.  In response, the representativ e of Kazakhstan stated that there was a Protocol 
of Cooperation with the Turkish In stitute of Standards of 6 March 1996 and an Agreement with China 
on cooperation to provide quality and mutual inspec tion of import-export goods dated 5 July 1996.  
She said that Kazakhstan was ready to negotiate an agreement with any WTO Member regarding 
standards.  She confirmed that upon WTO accessi on, Kazakhstan would provide WTO Members with 
MFN treatment in connection with the applica tion of technical barriers to trade.   
200. A member of the Working Party requested more information on the implementation of the 
provisions of the new Law "On Technical Regulation" , enquiring specifically about the application of 
mandatory requirements in the area of teleco mmunications within the framework of the new 
legislation.  This member of the Working Party so ught additional detail on the scope of publication 
for prior comment, the operations of the enquiry point in terms of outreach, its intra-governmental and 
external coordination plans, as well as on provisions  for the recognition of test results from reputable 
bodies not located in Kazakhstan.   
201. The representative of Kazakhstan replied that, in order to bring Kazakhstan's system into 
conformity with international practice, Kaza khstan had prepared a new Law "On Technical 
Regulation".  This Law had been signed by the President on 9 November 2004, and would 
subsequently come into force six months after th at date.  The new Law aimed at further harmonizing 
existing legislation with the requirements of the WTO TBT Agreement.  Pursuant to the new Law, 
technical regulations would contain mandatory  requirements only insofar as necessary for the  WT/ACC/SPEC/KAZ/9 
 Page 69 
 
 
 protection of human, animal or plant life and he alth, and the environment, as well as for the 
prevention of deceptive practices.  Requirements a ffecting standards would be voluntary.  Technical 
regulations would set minimal necessary requirem ents to ensure product/process safety and would not 
create barriers for entrepreneurial activities, more than to the extent n ecessary to address security 
concerns.  The Law's provisions were aimed at c onforming with the principles of non-discrimination 
and national treatment, as well as the transparency pr ovisions of the TBT Agreement.  International 
and regional standards would be applied in drawi ng up domestic legislation on technical regulations 
and standards, except if these standards failed to meet  domestic security concerns.  International and 
regional standards would be applied equally, and to the same extent, as domestic state standards.  The 
Law would also provide for the mutual recognition of  conformity assessment results.  She added that 
the telecommunications sector would be regulated by a separate standardization system, which – 
while conforming with the principles established by the Law "On Technical Regulation" – would be 
excluded from the coverage of that Law.  Regard ing the recognition of test results, she said that 
foreign conformity and accreditation certificates woul d be recognized in accordance with international 
agreements.  In the absence of inte rnational agreements, test results  issued by foreign authorized 
bodies would only be recognized through the accred itation of these foreign bodies in Kazakhstan's 
national accreditation system, in line with Article 6.1 of the TBT Agreement.   
202. She added that Kazakhstan was developing a Program for drawing up new legislation and 
revising existing legislation in the area of technical  regulations.  To this end, 10 new laws and 100 
government resolutions would need to be develope d, while 30 existing laws would need to be 
amended.  About 10,000 normative documents would need to be harmonized with international 
standards.  By the end of 2004, Kazakhstan had developed over 1,000 state standards, a quarter of 
which had been harmonized with international standa rds.  A list of harmonized standards is provided 
in Annex 14.   
203. With regard to inter-agency coordination on the development of technical regulations, the 
authorized body had developed a relevant dr aft program, which had been submitted to the 
Government for approval.  According to the dr aft program, the state agency responsible for 
development of technical regulations would estab lish an Experts Committee, which would include 
representatives of all parties concerned.  The Experts Committee was in charge of providing 
information on the development of a technical regula tion in the relevant official publication.  The 
state agency had to (i) organize a public discussion  of the draft document; (ii) take into account 
received comments and proposals; (iii) notify about completion of the public discussion through an official publication; and (iv) submit, upon the request of interested parties, received comments and 
proposals.  Public discussions had to continue for no less than 60 days.  Following review and WT/ACC/SPEC/KAZ/9 
Page 70  
 
 approval at the inter-agency committee level, the draft document would be submitted to the 
Government and then to Parliament for approva l.  Once adopted by Parliament, the technical 
regulation would be published in the "Code of Norm ative Acts of the President of the Republic of 
Kazakhstan and Government of Kaza khstan", the republican level newspaper, the official publication 
of the authorized body and on the web.     
204. In order to implement its reform program, Kazakhstan requested members of the Working 
Party to consider the granting of a transition period, which would be necessary for transforming the 
national technical regulation system into an effective mechanism based on the requirements of the TBT Agreement.   
205. Some members of the Working Party expressed doub ts that the granting of such a transition 
period was either warranted or necessary, given that  Kazakhstan had been in the process of accession 
to the WTO for over eight years.  These member s of the Working Party strongly encouraged 
Kazakhstan to bring its standards and technical regulations system into compliance with WTO 
requirements prior to WTO accession.  
- Sanitary and phytosanitary measures 
206. The representative of Kazakhstan said that her Government was actively working on bringing 
national legislation in line with the WTO Agreement on the Application of Sanitary and Phytosanitary 
Measures (SPS Agreement).  To this end, a number  of new Laws had been adopted, including Law 
No. 543-II "On Quality and Security of Food Products" of 8 April 2004, Law No. 361-II "On Sanitary 
and Epidemiological Welfare" of 4 December 2002,  Law No. 339-II "On Veterinary" of 10 July 2002 
and Law No. 344-I "On Plant Quarantine" of 11 Februa ry 1999.  Other relevant legislation included 
the Law "Environmental Protection" .  Detailed information on legislative provisions had been 
provided in documents WT/ACC/KAZ/44 and 45.  The Committee for the state Sanitary and 
Epidemiological Surveillance of the Ministry of Hea lth was the authorized body responsible for issues 
related to sanitary and epidemiological welfare.  The sanitary and epidemiological service was an 
integrated structure of public and subsidiary bodies with their regional border and transport branches. 
The Department of Veterinary of the Ministry of Agriculture was the authorized body in charge of 
veterinary control and legislation.  The Depa rtment on Plant Protection and Quarantine of the 
Ministry of Agriculture was responsible for the de velopment of state policy in the sphere of plant 
quarantine.   
207. She noted that over the years a reliable open structure of national sanitary and 
epidemiological standardization, based on scientific principles had been developed.  According to the  WT/ACC/SPEC/KAZ/9 
 Page 71 
 
 
 legislation, requirements and norms to protect huma n health and ensure product safety had to be based 
on scientific research and field studies' results and had to incorporate provisions of international 
norms, guidelines and recommendations (FAO, WHO,  ILO, the Codex Alimentarius Commission, 
etc.).  The legislation equally covered domestica lly produced products, as well as imported products 
designated for domestic use.  U nder the Law "On Sanitary and Ep idemiological Welfare", national 
sanitary and epidemiological standardization app lied only to the extent necessary to prevent all 
environmental hazards to human life and health, ensuring product safety and eliminating factors 
favourable to the outbreak and spread of diseases.   
208. She further noted that current legislation recognized the phytosanitary measures of exporting 
countries as equivalent, if they achieved the appropria te level of protection.  In addition, questions 
regarding equivalence and the adequate reflection of regional characteristics of exporting countries 
could be resolved in the framework of bilateral agreements.  Kazakhstan was party to a number of 
agreements on sanitary and phytosanitary measures within the framework of the Eurasian Economic 
Community (Russian Federation, Kazakhstan, Belaru s, Kyrgyzstan and Tajikistan), as well as within 
the framework of the Commonwealth of Independent States (CIS).  
209. She said that, pursuant to Ordinance No. 841 "On Adoption of Rules for Sanitary and 
Epidemiological Inspection" of 14 November 2003, a shipment of goods was certified to be in 
conformity with sanitary norms and rules – before or after entry into Kazakhstan – by a sanitary and 
epidemiological expert opinion or by registration cer tificate, depending on the nature of the product or 
the substance used in the product.  Sampling, laboratory testing and reporting procedures were 
established under relevant guidelines and national testing standards.  When performing an inspection, 
the authorities had to take into account the product safety certificate issued by the producer, as well as 
the safety certificate issued by the authorized bodies of the exporting country.  When issued, the 
expert opinion became valid on the entire territory  of Kazakhstan and had to be presented to the 
relevant bodies upon request.  Sanitary and epidemio logical requirements for assessment and approval 
procedures applied equally to domestic and imported products. 
210. She noted that, pursuant to Article 16 of the La w "On Sanitary and Epidemiological Welfare", 
when a new imported substance – potentially h azardous for human life or health – was first 
introduced in the production cycle, this substance had to  be registered with the relevant state bodies, if 
no record of its previous use existed.  Registrati on also applied if the substance was used in the 
production of food additives and dyes, as well as pr oducts and materials whose use involved direct 
contact with water or food products.  During the re gistration process the authorities had to take into 
account the results of an expert scientific evaluation;  an objective conformity assessment in line with WT/ACC/SPEC/KAZ/9 
Page 72  
 
 acting sanitary regulations and hygienic norms; a nd certain special measures regulating the use and 
disposal of such substances.  Pesticides had to undergo registrati on and production tests, carried out 
by research (and other) organizations of Kazakhstan .  Pesticides also had to be accompanied by test 
documents approved by oblast administrations of the Ministry of Agriculture, in accordance with the 
"Rules on Making Registration Tests and State Registration of Pesticides (Chemical Insecticides) in the Republic of Kazakhstan" appr oved by Ordinance of the Ministry of Agriculture No. 432 of 
26 December 2002.  Registration tests were necess ary for the development of regulations and the 
examination of their application (use). Production tests were necessary for the verification of the 
biological stability and the economic efficiency of recommended rates of substance use in the 
production process.  The period necessary for registrati on and production tests was two to three years.  
Applications for registration tests were refused fo r pesticides containing highly toxic agents, as well 
as for prohibited pesticides.  Pesticides registered in  the Register of Potentially Hazardous Substances, 
as well as those included in the "List of Pesticides  Prohibited from Application on the Territory of the 
Republic of Kazakhstan", did not require registration. 
211. She said that all requirements applied by the veterinary service were either based on 
guidelines and recommendations of the International O ffice of Epizootics, or on national sanitary and 
veterinary rules and regulations, based on solid scientific evidence.  Kazakhstan had been a member 
of the Office of Epizootics since 1993 and had u ndertaken to harmonize its national legislative 
framework with the requirements of th e International Animal Health Code. 
212. Restrictions or bans on imports of animal products could be intr oduced or lifted by instruction 
of the Senior Government Veterinary Inspector (o r his/her Deputy) based on the available official 
information provided by the International Office of Epizootics or the central body of the State Veterinary Service of the relevant exporting country.   When restrictions by Kazakhstan were to be 
lifted, the representative of the Department of Veteri nary could, where necessary, inspect the territory 
(producers) of the exporting county.  The Veterina ry Service notified the International Office of 
Epizootics prior to taking any veterinary measur es.  Kazakhstan's veterina ry service informed the 
countries concerned about all newly introduced or lift ed restrictions (bans) through their veterinary 
services.  Information on restrictions that had been introduced was also published at www.minagri.kz
. 
213. The import and export of goods subject to veteri nary control required an  import/export permit 
by the authorized body on veterinary, issued upon recommendation of its oblast (municipal) branch, 
within a specified period of time.  To obtain a perm it for imports of products subject to veterinary 
control, the applicant had to apply in  writing to the oblast branch, describing inter alia the goods' 
characteristics, country of origin, purpose, transpor t type, route, the border entry point of either CIS  WT/ACC/SPEC/KAZ/9 
 Page 73 
 
 
 countries or Kazakhstan, storage place, quarantin e conditions, processing, and sale period.  This 
information had to be submitted in the original la nguage, and had to be accompanied by a translation 
in Kazakh or in Russian.  The oblast branch consid ered the application within 15 days and issued a 
recommendation.  Upon issuing a positive recommendati on, the oblast branch informed the applicant 
about the specific veterinary requirements affec ting the imported goods and requested the authorized 
body to issue an import permit.  The authorized body issued the permit within five days, but could 
also refuse a permit by written justification.  At the border point, the goods, as well as the permit, 
were inspected by a veterinary inspector.  The veteri nary inspector informed the relevant local branch 
of the authorized body (at the border) about the results of the inspection of the product subject to veterinary control and about the final destination of the product.  Pursuant to paragraph 2 of Article 17 
of the Law "On Vetarinary", the actions (or inactions ) of veterinary inspectors could be appealed to 
higher state veterinary bodies and/or in court.  Up on arrival at destination, the head of the oblast 
branch took samples from the goods and sent them to th e veterinary centre for testing.  This procedure 
was obligatory for imported animals, as well as for pr oducts and raw materials of animal origin.  
Based on the report of the testing centre the oblast br anch took a final decision regarding the imported 
products.  A list of goods subject to vete rinary control is provided in Annex 15. 
214. The transit of products subject to control was regulated by international agreements on co-
operation in veterinary and did not require any special permit, if accompanied by an original 
veterinary certificate of the exporting country and if  in conformity with requirements on packaging, 
integrity and consistency of marking with accompa nying documents.  The transit of live animals was 
an exception. It could be performed only with a written authorization by the Senior Government 
Veterinary Inspector upon request of the cent ral veterinary body of  the importing country, 
accompanied by an indication of entry/exit point s, transportation routes and feeding points. 
215. The representative of Kazakhstan said that legislation on plant quarantine reflected provisions 
and principles established by the International Plant Protection Convention, the European and 
Mediterranean Plant Protection Organization and the WTO SPS Agreement.  In line with accepted 
international practice, when quarantinable products  were imported from countries on whose territory 
were registered cases of infection with disease- carrying or disease-causing organisms, imports of 
products from pest- or disease-free areas were allowe d.  In urgent circumstances the authorized body 
could, depending on the phytosanitary conditions  of the exporting party, provisionally introduce 
restrictions or bans on imports of quarantinable pr oducts.  In such circumst ances, the authorized body 
would provide all pertinent information about its actions to the relevant service in the exporting 
country.  Where repeated supply of infected quaran tinable products had been registered, a total ban on WT/ACC/SPEC/KAZ/9 
Page 74  
 
 imports of the relevant product could be imposed.  She added that contentious issues were, 
nevertheless, normally open for negotiation.  
216. She noted that in order to establish a transparent system, the schedule of products under 
quarantine subject to phytosanitary control was provided through Ordinance No. 166 "On Adoption of 
Nomenclature for Major Quarantinable Objects Subject to Phytosanitary Control under Plant 
Quarantine Procedures" of 30 May 2002.  Produc ts included in the schedule could only be 
imported/exported with a relevant permit, issued by the Department on Plant Protection and 
Quarantine and signed by the Senior Government In spector in conformity with procedures established 
under the Law "On Plant Quarantine".  In specific cases, where large amounts of products were 
supplied or imported from countries whose phyto sanitary conditions had not been adequately 
analyzed, the authorized body on plant quarantine could dispatch an expert to the importing country 
for inspection at the source.  The quarantine permit was issued on the basis of a written application by 
consignee to the Department on Plant Protection and Quarantine.  The permit specified binding 
phytosanitary conditions for each shipment (on the basis of a thorough examination, including 
sampling) and stipulated that each shipment had to be accompanied by a phytosanitary certificate 
issued by the relevant bodies of the exporting country.  
217. If it could be objectively demonstrated that products  subject to control were infected, or were 
in some way inconsistent with existing rules and regulations, these products could be returned to the 
exporting country or could undergo disinfection (dec ontamination) at the destination points.  Any 
natural person or legal pers on could appeal the actions of government officials.  
218. Asked about compliance with the transparen cy requirements of the SPS Agreement, the 
representative of Kazakhstan replied that, pursu ant to Government Resolution No. 1627 of 
30 October 2000, the Ministry of Agriculture had established an Information Marketing System to 
enhance transparency through regular exchange of analytical marketing information between 
agricultural producers, public bodies, and other partic ipants of the agricultural market; and through 
enhanced interaction with international organizatio ns.  The Ministry also maintained a web-site, 
www.minargri.kz
, and all interested parties and participants of the agricultural market could send 
questions and comments to the Ministry at strategy@minagri.kz.   The Ministry also published a 
monthly bulletin entitled "Environment and Human Hea lth" and an analytical bulletin "Agroinform", 
which contained all legal acts, approved by the Ministry of Agriculture, including legislation on 
veterinary, quarantine and plant protection.  In add ition, the state sanitary and epidemiological control 
system maintained a database that was regularly up dated with data submitted by regional branches.  
This information was accessible to  all interested parties.  Moreover, a single enquiry point on TBT  WT/ACC/SPEC/KAZ/9 
 Page 75 
 
 
 and SPS issues was created in 2004.  The enqui ry point notified WTO Members on effective SPS 
measures, as well as on measures that were still in prep aration.  Notifications were sent in accordance 
with the "Rules and Procedures for Preparation of Notifications on Pending (Being Adopted) 
Technical Regulations and Standards", developed in  line with document G/SPS/7.  In response to 
specific questions, the representative of Kazakhstan re plied that Kazakhstan's le gislation contained no 
restrictions on foreign participation in the devel opment of sanitary and phytosanitary standards (e.g. 
participation in technical committees meetings, providing comments). 
219. Some members of the Working Party found the seven-year transition period - initially 
requested by Kazakhstan for joining the SPS Agr eement - unacceptable.  These members of the 
Working Party noted that a clear justification woul d have to be provided, including a submission of a 
detailed action plan.  These members of the Work ing Party' remained unconvinced that even a 
shortened transition period was necessary a nd stated that Kazakhstan should apply the SPS 
Agreement from the date of accession.   
220. The representative of Kazakhstan replied that Kazakhstan had submitted an action plan for 
2004-2006, covering the period needed to harmonize its  existing system with the requirements of the 
SPS Agreement.  She requested a four year trans ition period from the date of WTO accession to bring 
national legislation in full compliance with the pr ovisions of the SPS Agreement.  She noted that a 
transition period – until 2010 – was needed for ha rmonizing Kazakhstan's SPS rules and regulations 
with international standards, and, most importa ntly for upgrading out-of-date laboratory equipment 
and re-training of personnel.  In this regard, she emphasized the importance of technical assistance 
that Kazakhstan would need in this area.  She added that her Governme nt planned to introduce 
amendments to the Law "On Sanitary and Epidem iological Welfare", in order to bring it into 
conformity with the key principles of the SPS Ag reement, including non-discrimination and national 
treatment.  Amendments to the Laws "On Plant Quarantine" and "On Veterinary" were also 
envisaged.  In addition, Law No. 543-II "On Quality and Security of Food Products", regulating the 
quality and safety of food products, had been a dopted on 8 April 2004.  This new Law contained 
provisions ensuring the application of the transpar ency and equivalence principles in relation to 
sanitary measures.   
- Trade-related investment measures 
221. The representative of Kazakhstan confirmed that  Law No. 2828 "On  Subsurface and its Use" 
of 27 January 1996, Law No. 2350 "On Oil" of  28 June 1995 and Government Resolution "On 
Approval of Rules of purchasing of goods, servi ces and works for oil operations" established a 
requirement to use domestically produced products and services  – provided that they met the WT/ACC/SPEC/KAZ/9 
Page 76  
 
 standards and technical requirements of the project – as a result of a competitive tender process.  
Preferences were granted to local producers of goo ds and local suppliers of services only when they 
fully met all the requirements of  the bidding process.  Both nati onal and foreign companies were 
equally entitled to participate in the bidding process.  In her view, such provisions were 
non-discriminatory and introduced an opportu nity for imported goods and services.   
222. She also noted that, during the period of economic adversities in the early 1990s, in order to 
attract foreign direct investment to Kazakhstan a nd develop the country's unexplored oil fields, the 
government had signed long-term (up to 40 years) i nvestment contracts with major multinational oil 
companies, under terms, which granted VAT and customs duty exemption for imported goods used in 
oil operations.  Since the terms of signed investme nt contracts could not be changed retroactively 
(contract stability clause),  the  representative of Kaza khstan stated that, in fact, the provisions of the 
laws "On Subsurface and its Use" and "On Oil" we re aimed at eliminating the discriminatory terms 
that existed against domestically produced goods, which were subject to the payment of VAT. 
 
223. In response to a specific question, she noted  that the draft Law "On Production Sharing 
Agreements in Offshore Oil Operation" had been su bmitted to Parliament for approval.  According to 
the December 2004 amendments to the laws "On Oi l" and "On Subsurface and its Use" proposals on 
the purchase of domestically produced goods and services,  had to be foreseen in the tender offers of 
applicants (i.e. potential subsurface users) a nd included in the subsurface use contracts.  
224. She added that Kazakhstan's industry was do minated by the extraction and processing of 
hydrocarbon and mineral products, the oil sector bei ng the most attractive for both foreign and local 
investors.  Forecasts showed that the volume of foreign investments in oil production was continuously increasing, while other sectors of th e economy remained underdeveloped.  Hence, her 
Government had introduced the requirement to u se domestically produced products and services in 
order to (i) ensure the rational restructuring of subsurface use; (ii) achieve sustainable economic 
development through economic diversification a nd reduction of the economy's heavy dependence on 
mineral resources; and (iii) create an environm ent conducive to the development of processing 
industries and the production of high value-a dded goods.  She emphasized the importance of the 
diversification program for the Kazakh economy,  and added that providing support for the 
development of infant industries was a priority for her Government. 
225. The representative of Kazakhstan added that, pur suant to Presidential Decree No. 1096 of 
17 May 2003, her Government had launched a Stra tegy on Industrial Innovation Development for the 
period 2003-2015.  This Strategy aimed at di versifying the economy away from its current 
dependence on raw materials.   The Strategy aimed at boosting the real sector of the economy through  WT/ACC/SPEC/KAZ/9 
 Page 77 
 
 
 the implementation of innovative industrial projects,  ensuring a strong linkage between research and 
development and the industrial sector, and buildin g high-tech production facilities.  This Strategy 
envisaged the granting of preferen ces to local producers and service suppliers under equal conditions 
with foreign producers.   She stated that this Strategy did not provide for the application of any prohibited export subsidies and preferences to local producers.   
226. Some members of the Working Party consid ered the requirement to use domestically 
produced products and services inconsistent with the WTO Agreement on Trade-Related Investment 
Measures (TRIMs).  These members of  the Working Party added that th is requirement also appeared 
to constitute prohibited export subsidies under Article  3.1 of the WTO Subsidies Agreement.  These 
members of the Working Party asked Kazakhstan to pr ovide further justification for this measure, as 
well as to present a program for bringing existing legislation into conformity with WTO obligations.  
To assess the need for any transition period, a deta iled action plan would, in any case, need to be 
provided.  These members of the Working Party s ought a commitment from Kazakhstan that, from the 
date of WTO accession, it would not maintain meas ures that would be in conflict with the TRIMs 
Agreement. 
227. The representative of Kazakhstan said that Kaza khstan required a sufficient transition period, 
after WTO accession, to bring national legisla tion governing the use of subsurface resources in 
conformity with the provisions of the TRIMs Agreem ent.  In her view, a transition period up to 2010 
would help Kazakhstan address concerns related to  unemployment and sustainable economic growth.  
The Government of Kazakhstan was preparing a priority list of stra tegically important goods for the 
diversification of the national economy, as well as a detailed action plan coveri ng the transition period 
that would be needed to bring its legislation in conformity with the TRIMs Agreement.     
- State-trading entities  
228. Some members of the Working Party noted that in practical, if not in legal terms, many of the 
enterprises in Kazakhstan appeared to enjoy exclus ive or special privileges.  These members of the 
Working Party requested Kazakhstan to submit a draf t notification prepared in conformity with the 
provisions of Article XVII of GATT 1994.  A member of the Working Party sought a strong commitment from Kazakhstan that state-owned firms operated within WTO provisions and on a commercial basis. 
229. The representative of Kazakhstan replied that her Government would analyze the enterprises 
whose activities could be covered by Article XVII of GATT 1994.  She said that Kazakhstan provided 
information on the role of state trading enterpri ses in Kazakhstan in document WT/ACC/KAZ/51.  WT/ACC/SPEC/KAZ/9 
Page 78  
 
 She also noted that state trading enterprises in  Kazakhstan operated under  competitive market 
conditions.  
230. The JSC "Food Contract Corporation" was a 100 per cent state-owned company, which had 
the objective to ensure the safety of state grain r esources.  The Government approved the volumes, as 
well as the rules governing grain purchases.  The JSC "Food Contract Corporation" had the exclusive right to implement annually-determined state budget funds for procurement, storage and transportation of state grain resources.  The compan y had the right to import and export grain and had 
been involved in grain exportation since 1998.  Its share in total grain exports did not exceed 12 per cent.  Wheat and barley were the main products traded by JSC "Food Contract Corporation".  The company's major objectives included the consolid ation of existing – and the development of new 
– export markets.  The Government did not regu late the conclusion and implementation of export 
contracts signed by JSC "Food Contract Corporation", except for supplies negotiated through inter-governmental agreements.  The representative of Kazakhstan said that, in her opinion, JSC "Food 
Contract Corporation" conducted its  foreign trade operations in a competitive environment, subject to 
market prices, and alongside private enterpri ses that were also involved in trade.   
231. The JSC "Mal Onimderi Korporatsiyasy" was involved in procurement, stock up, processing 
and delivery, to external and domestic markets, of cattle-breeding produc ts and livestock.  The 
company was involved in import/export of cattle-breed ing products – notably meat, dry milk, cheese, 
skins and wool.  JSC "Mal Onimderi Korporatsiyasy" had the exclusive right to administer the "Crediting Purchases and Export of Cattle-Breeding Products" program, which was funded out of the 
national budget.  In 2001-2003, the market share of  the JSC "Mal Onimderi Korporatsiyasy" in annual 
volume of exports represented 10.2 per cent for wool; cheese products – 13.9 per cent; skin - 
0.7 per cent; semi-finished products (Web-Blue) - 0.6 per cent; and pork - 24.6 per cent.  The 
Government did not regulate th e execution of the contractual liabilities of JSC "Mal Onimderi 
Korporatsiyasy".  The company determined export volumes and prices at its own discretion, and in line with world market prices.  The representative of Kazakhstan held the view that the import/export 
operations of JSC "Mal Onimderi Korporatsiyasy"  were conducted in a free market environment. 
232. The JSC "KazAgroFinans" was a state trading en terprise, which was established in order to 
provide for the leasing of machinery and equipmen t to producers and processors of agricultural 
products.  Using state budget funds, the company s upplied agricultural machinery and equipment, 
including agricultural tractors, harvesters, as well as grain, feed and other combines.  
JSC "KazAgroFinans" had the exclusive right to  implement the state budget-funded program on 
domestic purchase and importation of agricultural e quipment for subsequent leasing to farmers.   WT/ACC/SPEC/KAZ/9 
 Page 79 
 
 
 JSC "KazAgroFinans" had no monopoly, or any other exclusive rights or privileges, on the import and 
export of agricultural machinery and equipment.  The Government did not regulate the company's import and export operations, nor the volume and ty pe of its agricultural equipment purchases.  
Agricultural equipment leasing rates were defined by the Government, which also financed the 
company's leased equipment expenses out of the budget.  The Government did not regulate the 
execution of the contractual liabilities of JSC "KazAgroFinans". 
233. The representative of Kazakhstan said that, in addition to JSC "Food Contract Corporation", 
JSC "Mal Onimderi Korporatsiyasy" and JSC "KazA groFinans", there were a number of companies 
producing industrial products with a state-owned share in their capital.  She he ld the view that these 
companies with state-owned shares did not fall under the provisions of Article XVII of GATT 1994.  
A list of all state-owned companies and companies wi th state shares is provided in Annex 4(a).   
- Free zones, special economic areas 
234. The representative of Kazakhstan said that Kaza khstan's special economic areas (SEAs) were 
regulated by Law No. 2823 "On Special Economic Zones in the Republic of Kazakhstan" of 
26 January 1996, the Customs Code and the Tax Code , as well as other legislative acts.  Changes to 
existing legislation had been introduced with th e Law "On Changes and Amendments to Legislative 
Acts on the Special Economic Zones" of 5 July 2001.  
235. She noted that in 2004 Kazakhstan had hosted three SEAs – "Astana – New City", "Seaport 
Aktau" and "Informational Technologies Park".  The three SEAs were  established by Decree of the 
President No. 645 of 29 June 2001 for 2002- 2007; Decree of the President No. 853 of 26 April 2002 for 2003-2007; and Decree of the President No. 1166 of 18 August 2003 for a the ten-year period.  
236. Pursuant to Chapter 30 of the Customs Code , a "free customs area", meant the customs 
regime, within the borders of a special economic  area, under which foreign and Kazakh goods were 
placed and used.  Such goods were exempt from cust oms duties and taxes, except for excise tax on 
imported goods.  No non-tariff regulatory measures,  other than goods safety requirements, were 
applied.  When exporting goods from the territory of special economic areas to the rest of the customs territory of Kazakhstan, export taxes were charged,  and non-tariff regulatory measures were applied in 
compliance with the provisions of the customs regi me.  When a certificate of origin establishing the 
SEA origin of goods was not available, the goods were considered to be either Kazakh (when 
exported from Kazakhstan) or fore ign (when exported to the rest of the customs territory of 
Kazakhstan).  WT/ACC/SPEC/KAZ/9 
Page 80  
 
 237. The SEA "Astana – New City" had been establishe d to facilitate the development of the left 
bank area of the river Ishym in the new capital of  Kazakhstan through attracting investments, using 
advanced construction technologies, and building mode rn infrastructure.  The SEA "Aktau Seaport" 
had been created to facilitate the socio-economic development of the region through building high-
tech industry, attracting new investments, creati ng new jobs and introducing modern administration 
and economic management methods.  The new SEA "Information Technologies Park" had been set up 
in order to diversify the economy through th e production of information technologies and the 
utilisation of the country's scientific and technical innovation capacity.  
238. The representative of Kazakhstan said that a ttracting investment, modern technology, and 
know-how to SEAs was considered as their primar y purpose.  To accomplish this, the Government 
provided certain preferences, such as exemptions fro m the payment of land and property tax, zero per 
cent VAT, and import duty exemptions on goods used in the construction process.  The Government 
also provided a reduction of up to 50 per cent on the payment of corporate income tax in "Astana-New City".  The SEA "Aktau Seaport" provided fo r corporate income tax, property tax and land tax 
exemptions.  The SEA "Information Technologies Park "  provided for a reduction of up to 50 per cent 
on the payment of corporate income tax, corporate and land tax exemptions, as well as a zero per cent 
VAT on the purchase of services, which were in line with the objectives of the SEA.  She noted that 
Kazakhstan imposed no restrictions on the participation of foreign companies in the SEAs, other than 
the generic set of criteria, which had to be met by both foreign and national entities wishing to 
become eligible for SEA tax and customs duty prefer ences.  Pursuant to Article 140 (1,2) of the Tax 
Code, companies operating in special economic are as were provided with a 50 per cent corporate 
income tax reduction, as well as an exemption from the payment of land tax, property tax and VAT 
provided that they (i) were registered with the tax authorities within the territory of a SEA; (ii) had no branches or other structural units outside the territory  of the SEA; and (iii) at least 90 per cent of their 
annual aggregate income was generated by the desi gn, development, introduction and pilot-production 
of software, databases and hardware; and/or the development of new informational technologies (IT) 
based on artificial immune and neural syst ems; and/or IT research and development 
239. A member of the Working Party said that K azakhstan's free zones were authorized by 
legislation that contained provisions for granting special benefits contingent on export orientation 
and/or import substitution of enterprises.  This member of the Working Party stated that these 
provisions violated both the WTO Agreement on S ubsidies and Countervailing Measures, as well as 
the TRIMs Agreement and, therefore, should be e liminated.  This member of the Working Party 
sought a commitment from Kazakhstan that, from the da te of accession, Kazakhstan would ensure the 
enforcement of its WTO obligations in free zones ex isting of established within its territory, including  WT/ACC/SPEC/KAZ/9 
 Page 81 
 
 
 the prohibition of TRIMs or subsidies contingent in law or in fact on local content or export 
performance.  In addition, Kazakhstan should ensure  that goods produced in the free zones under tax 
and tariff provisions that exempted imports and im ported inputs from tariffs and certain taxes would 
be subject to normal customs formalities when entering the rest of Kazakhstan, including the application of tariffs and taxes. 
240. The representative of Kazakhstan replied that ex isting legislation did contain any provisions 
that granted special privileges contingent on ex port orientation and/or import substitution.  She 
clarified that the term "export oriented productio n", as found in the text of Presidential Decrees 
establishing SEAs, meant that production in SEAs shoul d offer export potential.  This term did not 
mean that the export of goods and servi ces was a condition for privileged taxation. 
- Government procurement 
241. The representative of Kazakhstan said that th e legislation of Kazakhstan on government 
procurement consisted of Law No. 321-II "On Stat e Procurement" of 16 May 2002, Resolutions 
No. 1158 "On Rules for Organisation and Holding of State Procurement of Goods, Works, and 
Services" of 31 October 2002 and No. 1163 "On Sp ecial Procedures for State Procurement" of 
3 November 2000; and Order No. 8 establishi ng Standard Bidding Documentation of 
31 October 2002.  This legislation was formulated taking into account requirements of international 
law, specifically the Model Law of the United Nations Commission on International Trade Law 
(UNCINTRAL). The body responsible for developmen t and implementation of state policies in the 
area of government procurement was the Agency for Financial Control and State Procurement. 
242. She noted that under the Law "On State Procur ement" government procurement was defined 
as the procurement of goods, works, and services effected by public bodies and agencies, public 
enterprises, and joint stock companies with a st ate-owned controlling share, as well as by their 
affiliated legal persons, using ava ilable resources.  A certain share of goods, works, and services – 
procured by public bodies and agencies, public ente rprises, and joint stock companies with a state-
owned controlling share, as well as by their affili ated legal persons – was used for their own 
production purposes.  
243. She further noted that government procurement was implemented through public bidding, 
limited bidding (public and limited bidding could c onsist of two stages), procurement from one 
source, selection of a supplier based on requests of pr ice offers, and market procurement.  According 
to Article 3 of the Law, the procurement process ha d to provide equal opportu nities for participation 
for all potential suppliers of goods and services, unless there were provisions to the contrary in the WT/ACC/SPEC/KAZ/9 
Page 82  
 
 legislation; fair competition among potential supplie rs; and openness and transparency of government 
procurement procedures.  
244. Some members of the Working Party sought a commitment from Kazakhstan that it would 
initiate negotiations for membership in the Agre ement on Government Procurement by tabling an 
entity offer [membership application] immediately af ter [one year after] its accession to the WTO. 
245. The representative of Kazakhstan replied that  Kazakhstan would consider accession to the 
WTO Agreement on Government Procurement after its accession to the WTO.  
- Transit 
246. The representative of Kazakhstan said that goods in  transit across the territory of Kazakhstan 
were exempt from customs charges and fees, VAT, a nd excise taxes.  Kazakhstan allowed free transit 
to reflect provisions of Article V of GATT 1994, as well as those of international treaties to which 
Kazakhstan was party.  Goods listed in Resolution No. 524 could only transit the customs territory of 
Kazakhstan, provided that they were accompanied by a guarantee of payment of all chargeable 
customs duties and taxes.  In addition, pursuant to Article 42 of the Customs Code, the customs 
authority could deny, in writing, the release of goods in the event that the goods originated in a 
country whose goods were prohibited for importation in to Kazakhstan.  Except for bans on import and 
export of certain goods (arms, drugs, antiques, etc. ) there was no legislation prohibiting the transit of 
goods. 
247. She noted that Kazakhstan applied no transit ch arges, except for charges on transportation 
services for road, railroad and sea transport.  Payments were collected without any special 
preferences.  For international transit of goods by  railway, Kazakhstan applied a Tariff Policy, which 
was annually coordinated and approve d at Tariff Conferences held in  the framework of the Tariff 
Agreement of the Railway Administ rations (Carriers) of the CIS Countries of 17 February 1993.  The 
maximum tariff rates, established in the Tariff Polic y, were based on the International Transit Tariffs 
(ITT) and the Uniform Transit Tariff (UTT).  Transit charges were regulated by Government Decrees 
No. 62 "On some issues regulating the movements of vehicles on the territory of Kazakhstan" of 
19 January 2002 and No. 1306 of 24  December 2003; the Rate Policy of the Republic of Kazakhstan 
for the Goods Transportation in International Communication for 2005; and Decree No. 320-OD of 
the Chairman of the Agency for Regulation of Natural Monopolies, Protection of Competition and 
Support of Small Business of 12 December 2003.    WT/ACC/SPEC/KAZ/9 
 Page 83 
 
 
 248. Transit charges for foreign vehicles transporti ng international cargoes by road - only in cases 
when the number of permits exceeded the annual qu ota established at Tariff Conferences - were fixed 
at the rate of ten Monthly Calculation Indices.  These charges covered for administrative costs or the 
costs of services rendered.  No decreasing coeffi cients applied for the transit of goods through 
seaports.  As for railway transit, in accordance with the provisions of the Concept on Tariff Policy 
Coordination for the CIS Members' Railway Transport, Kazakhstan had the right to increase tariff 
rates for railway transport twice a year; and to reduce these tariff rates by granting decreasing 
coefficients for the transportation of certain types of  goods by certain routes.  This flexible transit 
tariff policy for railway transportation was aimed at  retaining the existing turnover of transported 
goods, as well as at drawing additional flows of goods.  A list of specific examples of applied decreasing coefficients for transit transportation of  goods by railway is provided in Annex 16.   
249. The representative of Kazakhstan said that the Cu stoms Code provided that certain types of 
imported goods listed in Resolution No. 524 of 4 June  2003 could only transit the customs territory of 
Kazakhstan provided that there was a guarantee of payment of all chargeable customs duties and taxes.  The list of such goods included alcohol a nd brands of alcoholic products, cigars and tobacco.  
As stipulated in the Article 339 of the Customs Code, a guarantee of payment of customs duties and 
taxes had to be provided in the form of (i) collate ral deposit, (ii) bank guarantees, (iii) deposit of the 
payable sum with the customs authorities; or (iv) insurance contracts.   
250. Asked about the redemption of a guarantee, she re plied that, in accordance with Article 345 of 
the Customs Code, the guarantee was refunded af ter all commitments required by the deposit had 
been fulfilled within ten working days of the day the request was received.  A request for a deposit 
refund had to be submitted to the customs author ity no later than five years from the date the 
commitment had been fulfilled.  The deposit was re funded after a deduction of debts in respect to 
customs duties, taxes and penalties (Article 351 of the Customs Code) – no interest was refunded.  
Bank fees were covered by the declarant and th e deposited amount could no t be indexed.  Bank 
guarantees, property collateral deposit and insurance were refunded/terminated after five working 
days from the date the commitment had been fulfilled. 
251. She noted that procedures applied by custom s bodies to enforce payment of customs duties 
and taxes were defined in Order of the Customs Control Agency No. 199 "On Adoption of Procedures 
of Customs Bodies to Enforce Payment of Customs Duties and Taxes" of 13 May 2003.  
252. [The representative of Kazakhstan confirmed th at her Government would apply its laws and 
regulations governing transit operations and would act in full conformity with the provisions of the WT/ACC/SPEC/KAZ/9 
Page 84  
 
 WTO Agreement, in particular Article V of the GA TT 1994.  The Working Party took note of this 
commitment].  
- Government-mandated counter-trade and barter 
253. The representative of Kazakhstan said that Gove rnment approval was not required to engage 
in counter-trade and barter tran sactions.  Moreover, where barter trade was permitted, such products 
were subject to the same tariff and non-tariff measures as like products imported through normal 
channels.  Kazakhstan applied the same WTO custom s valuation-based system for such transactions 
as was applied to goods imported through normal ch annels – i.e. if the transaction value of the 
imported merchandise could not be de termined, then the goods were valu ed on the basis of one of the 
other valuation methods provided under the WT O Customs Valuation Agreement, applied in 
sequential order.  Any barter and counter-t rade arrangements were  only conducted on a 
company-to-company basis. 
- Agricultural policies 
254. The representative of Kazakhstan said that K azakhstan required no licenses for agricultural 
purposes.  She provided information concerning domestic support and expor t subsidies in the 
agricultural sector in documents WT/ACC/SPEC/KAZ/6/Rev.1 and Rev.2, and 
WT/ACC/SPEC/KAZ/7 (and annexes).  
255. Some members of the Working Party stated that  they had concerns about the use of a "base 
period" other than the most recent three-year period.  Kazakhstan's use of the 1996-1998 period 
seemed inappropriate, as it was characterised by a large-scale debt forgiveness program that operated 
to artificially inflate AMS levels.  These members of the Working Party asked Kazakhstan to provide 
domestic support and export subsidy info rmation for the period 2000-2002.  
256. The representative of Kazakhstan replied that the level of support provided in 2000-2002, 
when Governmental financing had been at its lowe st level due to the 1998 fi nancial crisis, would not 
be sufficient to cover for the actual needs of the ag ricultural sector.  An assessment of the situation in 
the agricultural sector for 1996-2002, had shown th at the needs of the agricultural sector had not 
diminished over the years and that the level of  support provided in 1999-2002 did not adequately 
reflect the needs of agricultural producers.  More over, the content of agriculture support programs 
implemented since 1996 was consistent , despite reductions in the volume of financing in certain years 
as a result of budget cuts.  She also noted that, in recent years (2003-2005), due to increased budget 
revenues from Kazakhstan's oil exports, state budget allocations for agriculture had increased by  WT/ACC/SPEC/KAZ/9 
 Page 85 
 
 
 20 per cent annually in accordance with the State Agro Food Program.  Thus, in her view, the level of 
support provided in the pre-crisis 1996-1998 period therefore would still be relevant. 
257. She further noted that although debt accumu lation was no longer a widespread practice 
among agricultural goods producers, a serious problem  of deferred debts of 1994-1997 still remained 
unresolved.  Within the framework of the State Agro-Food Industry Development Program of 2003- 2005, the government planned to analyze debts of agricultural producers with the purpose of 
restructuring deferred debts of existing enterprises,  writing-off debts of bankrupt ones and developing 
appropriate measures vis-à-vis  liquidated enterprises.  
258. The representative of Kazakhstan said that th e agricultural sector was subsidised with 
preferential credits through the State Eximbank, st ate guarantees for foreign loans, and preferential 
loans through the Fund in support of agricultural sma ll and medium-size businesses.  These tools were 
used to strengthen reforms in th e agricultural sector and implement a unified medium-term investment 
policy.  A set of criteria used for competitive selection of investment projects included: (i) the compliance of investment projects with restructuring goals in the agriculture sector; 
(ii) the creation of competitive markets for agri cultural commodities; (iii) the use of modern 
machinery and technologies, and (iv) the economic viab ility of projects.  She noted that there were no 
export requirements to obtain financing from Exim bank, which applied equa l terms and conditions 
across sectors and industries, irrespective of market s, in which the exports of agricultural products 
were sold.  Furthermore, preferential loans and cr edits to lease agricultural machinery were provided 
in accordance with the ADB Program Loan for th e agricultural sector.  Likewise, the Fund on 
Financial Support of Agriculture (FFSA), set up in  December 1994, assumed the debts of agricultural 
producers in the amount of over US$ 600 Million on the basis of individual agreements that stipulated 
the procedure, timing and conditions of repayment. 
259. Asked to provide more information on the support system for high-grade seeds, pedigree 
cattle and a farming development program, she sai d that subsidies had been granted through the 
FFSA, and that its main goal was to increase th e efficiency of agricultural production by 
compensating for the costs incurred by seed breedi ng stations and livestock breeding stations as a 
result of price falls on seeds and breeding stock sold  to agricultural producers.  The subsidies were 
also used to stimulate farmers to purchase pedigree cattle, use new equipment, technology, high 
quality seeds, mineral fertilizers and to protect pl ants under the farming development program.    
260. Some members of the Working Party request ed information demons trating how domestic 
support measures, for which exemption from the re duction commitments was cl aimed, met the criteria 
set for such exemptions in Annex 2 of the Agreem ent of Agriculture.  They further asked Kazakhstan WT/ACC/SPEC/KAZ/9 
Page 86  
 
 to confirm that no direct payments were made to fa rmers or processors within the framework of those 
measures.  More information concerning state procurement under "public stockholding for food 
security purposes" was also requested including how it met the paragraph 3 criteria of Annex 2 of the 
Agreement of Agriculture. 
261. The representative of Kazakhstan referred to th e revised Tables DS:1 and stated that funds 
listed in Table DS:1 under "general services" were allocated for implementation of measures of 
general nature as well as for maintenance of service s provided by the Ministry of Agriculture.  These 
measures did not involve direct payments and did not grant price support to producers.  They met the requirements of Paragraphs 1 and 2 of Annex 2 of the Agreement on Agriculture.  Furthermore, the 
representative of Kazakhstan stated that the public stockholding of grain was created to ensure food 
security in Kazakhstan and followed procedures set by the decision of the government for the 
corresponding year.  The mechanisms for government  procurement of grain were determined by the 
Government decision adopted based on an appropriate  level of transparency in terms of financial 
costs.  The purchase of grain for the state food secur ity reserve in the base period, i.e. in 1996, was 
carried out at market prices on the commodity exch ange.  Grain from the state food security reserve 
was sold domestically through open tenders or th e commodity exchange.  The export price for grain 
set by the "Food Contract Corporation" also reflect ed the situation on the world market as well as 
concluded contracts on grain supply.  Therefore, the sale procedures of grain from the state reserve were in compliance with the WTO Agreement on Agri culture (paragraph 3, Article 2), which required 
that "sales from food security stocks shall be made at no less than the current domestic market price 
for the product and quality in question". 
262. Some members of the Working Party further re iterated their views that Kazakhstan should not 
have recourse to Article 6.2 provisions of the WT O Agreement on Agriculture.  The representative of 
Kazakhstan replied that the afterm ath of implementation of structural reforms had been devastating 
for the agriculture sector of Kazakhstan.  The curre nt policy was therefore aimed at attracting long-
term investments in the agricultural sector.  This  was being achieved with the participation of 
international banks, in particular  the Asian Development Bank (ADB ) and the International Bank for 
Reconstruction and Development (IBRD).  The repr esentative of Kazakhstan stated that all of the 
above investment projects were in complete conform ity with the provisions of Article 6.2 of the WTO 
Agreement on Agriculture.  She further stated that given the interest shown by international credit 
organizations in direct long-term investments in to the agricultural sector, Kazakhstan was willing to 
create favourable investment conditions.  Moreover,  the policy of leasing agricultural machinery and 
the development thereof, ensuring availability of ag ricultural machinery, was one of the top priority 
objectives for which a long-term plan had been estab lished.  Against the above background, as well as  WT/ACC/SPEC/KAZ/9 
 Page 87 
 
 
 taking into account the ongoing structural changes due to Kazakhstan's transition to a market 
economy, the representative of Kazakhstan urged memb ers of the Working Party to consider granting 
Kazakhstan the right to use Article 6.2 provisi ons of the WTO Agreement on Agriculture.   
263. She confirmed that Kazakhstan did not main tain any market price support measures or 
interference programs.  She referred to Article 18 of Law No. 1543-XII "On Protection and Support of 
Private Entrepreneurship" of 4 July 1992.  Direct  state regulation of prices of goods was, however, 
permitted only in cases where entrepreneurs abused their monopolistic market position.  This was 
regulated following the guidelines of the anti-monopoly legislation.  
264. Some members of the Working Party sought a commitment from Kazakhstan to bind all 
export subsidies at zero upon accession.  In respon se, the representative of Kazakhstan said that 
Kazakhstan needed to use export subsidies due to its land-locked geographical location, the vastness 
of its territory, its remoteness from major agricultu ral markets and high transportation costs, which 
drastically decreased the competitive power of K azakh agricultural products.  Furthermore, the 
production of main export products exceeded by far the level of domestic demand, while export sales 
of agricultural products constituted one of the ma in sources of income for population living in the 
rural areas.  She further noted that some WTO Memb ers extensively exercised their right to subsidize 
exports.  She added that Kazakhstan would not seek di rect export subsidies for wheat, provided that it 
could continue to provide transportation export subsidies to agricultural products. 
265. Some members of the Working Party stated that  Kazakhstan did not have  automatic recourse 
to the Special and Differential treatment provision s contained in Article 6.2 and 6.4 of the WTO 
Agreement on Agriculture.  These members of the Working Party noted that neighbouring Kyrgyz 
Republic had agreed to a treatment as a developed country for its agriculture commitments, agreeing 
to use 5 per cent de minimis levels.  These members of the Working Party requested Kazakhstan to 
make the same commitment.   
266. The representative of Kazakhstan replied that given objective economic development criteria 
such as GDP per capita and income level of the ru ral population, Kazakhstan with its GDP per capita 
level belonged to the group of middle-income count ries (classification of the World Bank), but could 
be, when taking into account the personal annual in come of rural citizens (US$ 456.6 per capita), 
considered a poor country.  Moreover, as the Gove rnment had started to implement the market 
economy reforms in agriculture only recently, the de velopment level of the agricultural sector still 
remained below the pre-reform stage.  The sh are of agricultural production in GDP fell from 
16.7 per cent in 1993 to 7.3 per cent in 2003.  T hus, Kazakhstan would seek a number of preferences 
in the agricultural sector at the time of its accession to the WTO, which were close to benefits granted WT/ACC/SPEC/KAZ/9 
Page 88  
 
 to developing countries and had been provided to  a number of acceding countries with economies in 
transition.  In particular, Kazakhstan would seek re course to the provisions of Article 6.2 of the WTO 
Agreement on Agriculture. 
- Trade in civil aircraft 
267. In response to a request from some members of the Working Party, the representative of the 
Republic of Kazakhstan said that Kazakhstan did not plan to join the WTO Agreement on Civil 
Aircraft prior to accession to the WTO. 
V. TRADE-RELATED INTELLECTUAL PROPERTY REGIME 
- GENERAL 
- Industrial property protection 
268. The representative of Kazakhstan said that the policies of Kazakhstan in the sphere of 
protection of intellectual property rights aimed at (i) bringing legislation regulating intellectual 
property rights in line with international standa rds; (ii) developing mechanisms to ensure the 
enforcement of provisions of the laws on protection of intellectual property rights; and (iii) training of 
intellectual property protection experts.  These po licies' objective was to ensure lawful use and 
protection of intellectual property in Kazakhstan,  as set forth in the Concept of Protection of 
Intellectual Property Rights, approved by Govern ment Resolution No. 1249 of 26 September 2001. 
269. She added that existing legislation governing the protection of intellectual property rights 
included the General Part of the Civil Code of 27 December 1994, the Special Part of the Civil Code 
of 1 July 1999, the Criminal Code, the Administ rative Offences Code, and the Laws "On Copyright 
and Related Rights" of 10 June 1996, "On Trade Marks, Service Ma rks and Geographical Indications" 
of 26 July 1999, "Patent Law" of 16 July 1999,  "On Protection of Selective Achievements" of 
13 July 1999, Customs Code of 5 April 2003, "On Legal Protection of Layout Design of Integrated 
Microcircuits" of 29 June 2001.  The Law "On Chang es and Amendments to Legislative Acts of the 
Republic of Kazakhstan on Intellect ual Property" of 9 July 2004 had introduced changes to all main 
legal texts that regulated the protection of intell ectual property rights in Kazakhstan.  She provided 
detailed information on the implementation of th e WTO Agreement on Trade-Related Aspects of 
Intellectual Property Rights (TRIPS) in document WT/ACC/KAZ/24.   
270. She also provided an action plan for harmonizi ng national legislation on intellectual property 
rights with the WTO TRIPS Agreement, for the period 2004-2006, in document WT/ACC/KAZ/48.   WT/ACC/SPEC/KAZ/9 
 Page 89 
 
 
 Document WT/ACC/KAZ/55 contained information on th e implementation of the action plan in 2004.  
She noted that Kazakhstan would further amend ex isting legislation and w ould implement programs 
to improve legal practices.  To this end, a draft Law "On Software and Program Complexes" would be 
developed.  Kazakhstan would also  provide training for officials and enlist technical assistance from 
international organizations and associations.  More over, her Government was preparing amendments 
and addenda to existing criminal and administrativ e legislation concerning enforcement of measures 
for infringement of intellectual property rights and illegal use of copyright. 
- Responsible agencies for policy formulation and implementation 
271. The representative of Kazakhstan stated that th e Committee for Intellectual Property Rights of 
the Ministry of Justice had been established by Government Resolution No. 411 "On Issues Relating 
to the Committee for Intellectual Property Rights of the Ministry of Justice" of 29 March 2001.  The 
Committee abolished the Committee for Copyright of th e Ministry of Justice and the Republican State 
Enterprise on Patents and Trademarks "Kazpatent" of the Ministry of Justice, and was authorized to 
perform specific executive, monitoring, and superv isory functions, as well as general administration 
in the sphere of protection of intellectual property rights.   
272. She noted that production and commerce activities re lating to scientific issues of intellectual 
property were delegated to the Republican State Ente rprise "National Institute on Intellectual Property 
of the Committee on Intellectual Property Rights of the Ministry of Justice of the Republic of Kazakhstan". 
- Participation in international intellectual property agreements 
273. The representative of Kazakhstan confirmed th at Kazakhstan was party to a number of 
international treaties, agreements , and conventions – notably the Convention Establishing the World 
Intellectual Property Organization (WIPO); the Pa ris Convention for the Protection of Industrial 
Property; the Madrid Agreement Concerning the In ternational Registration of Marks; the Patent 
Cooperation Treaty (PCT); the Berne Convention for the Protection of Literary and Artistic Works; 
the Nice Agreement Concerning the Internationa l Classification of Goods and Services for the 
Purposes of the Registration of Marks; the Stras bourg Agreement Concerning the International Patent 
Classification; the Budapest Treaty on the International Recognition of the Deposit of 
Microorganisms for the Purposes of Patent Proce dure; the Universal Copyright Convention; the 
Locarno Agreement Establishing an International Cl assification for Industrial Designs; the Trademark 
Law Treaty; the Eurasian Patent Convention; and the Convention for the Protection of Producers of WT/ACC/SPEC/KAZ/9 
Page 90  
 
 Phonograms Against Unauthorized Duplication of Their Phonograms.  In addition, Kazakhstan had 
acceded to the WIPO's Copyright Treaty and the Perf ormances and Phonograms Treaty in April 2004.   
274. She noted that Kazakhstan had bilateral co-opera tion agreements in the area of intellectual 
property with Azerbaijan, the Kyrgyz Republic, Ge orgia, the United States, the Russian Federation 
and Uzbekistan. 
275. Asked about obligations ensuing from the coope ration agreement with the Russian Federation 
and to the Eurasian Patent Convention, she replie d that the agreement introduced national treatment 
for applicants from the Russian Federation in conn ection with the issuing of titles of protection and 
the payment of fees.  She further stated that in acceding to the Convention, Kazakhstan did not 
undertake any obligations extending beyond the frame work of the Paris Convention.  Furthermore, 
there were no specific obligations contained in the bilateral agreements signed with other CIS 
countries, which would not be extended to other countries. 
- Application of national and MF N treatment to foreign nationals 
276. The representative of Kazakhstan stated that Ar ticle 12.4 of the Constitution, Article 3.7 of 
the Civil Code, as well as Article 5 of the Law "On Copyright and Related Rights", Article 48 of the 
Law "On Trademarks, Service Marks and Geographical Indications" and Article 38 of the Patent Law, 
granted foreign natural and legal persons national and most-favoured nation treatment. 
277. Some members of the Working Party expressed c oncerns regarding the difference in fees for 
certain industrial property rights charged to nati onals and non-nationals of  Kazakhstan, and asked 
how such differences could be justified consider ing that Kazakhstan's Constitution and Civil Code 
required that natural and legal persons be given national legal treatment.  The representative of 
Kazakhstan replied that pursuant to the Order of the Chairman of the Committee on Intellectual 
Property Rights, approved by the Agency for the Regulation of Natural Monopolies, Protection of 
Competition and Support of Small Businesses of 27 May 2004, a new list of fees charged by the 
Republican State Enterprise "National Institute  of Intellectual Property of the Committee on 
Intellectual Property Rights of the Ministry of Ju stice of the Republic of Kazakhstan" had been 
adopted.   
278. Some members of the Working Party also noted that nationals of the Russian Federation and 
the Kyrgyz Republic did not need to use the services of  a patent or trademark attorney in order to file 
applications with the Committee for Intellectual Prope rty Rights.  Additionally, the patent fees could 
be paid in Russian Rubles or Kyrgyz Som, pursuan t to the schedule applicable to Kazakh nationals.   WT/ACC/SPEC/KAZ/9 
 Page 91 
 
 
 Asked how the Government intende d to bring its legislation into conformity with WTO most-
favoured nation requirements, she replied that, in he r view, these provisions were in conformity with 
Article 4.A.2 of the Paris Convention and Article 4.d of the WTO TRIPS Agreement. 
- SUBSTANTIVE STANDARDS OF PROTECTION, INCLUDING PROCEDURES 
FOR THE ACQUISITION AND MAINTENA NCE OF INTELLECTUAL PROPERTY 
RIGHTS 
- Copyright and related rights 
279. The representative of Kazakhstan said that the Law "On Copyright and Related Rights" of 
10 June 1996 and provisions of the Berne Convention,  which were applied directly in accordance with 
Article 4 of the Constitution, extended protect ion of literary, artistic and scientific works to 
incorporate all forms of copyright covered by the TRIPS Agreement.  Even though the protection 
included computer programs, computer operating systems and databases (defined as a collection of 
information, i.e. Articles, calculations, facts, etc. ) – which due to the selection and/or organization of 
materials represented results of creative work, systema tized so that the information could be retrieved 
and processed electronically – her Government st ill planned to draft a Law "On Software and 
Program Complexes" by the 2006 in order to fulf il the requirements of Article 10 of the TRIPS 
Agreement.  Rental rights for musical works in text  of note form, phonogram works, audio and visual 
items, databases and computer software were provi ded for in Article 16 of the Law "On Copyright 
and Related Rights". 
280. Article 28 of the Law "On Copyright and Relate d Rights" provided a term of protection for 
the whole period of the author's life and 50 years following his/her death, except for cases stipulated 
in the Article.  The copyright for a work first publ ished within 30 years of the author's death was 
protected for 50 years after the publication da te.  Works, published anonymously or under a 
pseudonym, were protected for 50 years after the date of publication, unless the author had been 
revealed.  The rights of performers, phonograms and broadcasters were protected for 50 years from 
the date of performance/publication/broadcast.  Sp ecial terms for cinematographic and photographic 
works were not foreseen.   
281. Asked specifically about protection of works th at were still protected in their country of 
origin and that had not had full term of protect ion in Kazakhstan, she replied that Kazakhstan 
extended protection to such works, as provided in Ar ticle 28, unless they had become available in the 
public domain in their country of origin.  Works, w hose terms of protection had expired, fell into the WT/ACC/SPEC/KAZ/9 
Page 92  
 
 public domain and were deemed to be national pr operty, in accordance with Article 29 of the Law 
"On Copyright and Related Rights", and could be  used free of charge by any person.   
282. A member of the Working Party noted that th e Law "On Copyright and Related Rights" did 
not contain a clear provision for the protection of pre-existing works and sound recordings.  This 
member of the Working Party requested detail on the draft Law "On Changes and Amendments to 
Legislative Acts of the Republic of Kazakhstan on Intellectual Propert y", in particular on its specific 
provisions addressing the protection of pre-existing works and sound recordings. 
283. The representative of Kazakhstan replied that  the Law "On Changes and Amendments to 
Legislative Acts of the Republic of Kazakhsta n on Intellectual Property" had been adopted on 
9 July 2004.  This Law had introduced retroactive protection procedures and other amendments to the 
Law "On Copyright and Related Rights" and, in par ticular, amendments pertaining to the protection of 
pre-exiting works 
284. A member of the Working Party urged the government of Kazakhstan to increase the 
penalties for copyright piracy and impose penalties that were sufficient to act as an effective deterrent 
to potential pirates and counterfeiters.  The repres entative of Kazakhstan responded that, even though 
the Government considered that the penalties were  sufficiently strict, it was preparing amendments 
and addenda to existing criminal and administrati ve legislation concerning the enforcement of 
measures for infringement of intellectual prope rty rights and illegal use of copyright.   
- Trademarks, including service marks 
285. The representative of Kazakhstan stated that the Parliament had adopted a new Law "On 
Trade Marks, Service Marks and Geographical I ndications" (Trademarks Law) on 26 July 1999, 
pursuant to which all requirements of Articles 15- 24 of the WTO TRIPS Agreement were taken into 
account.  Other legal acts included the Rules for Filing and Submission of Application for 
Registration of a Trademark and the Rules for Processing of Application for Registration of a 
Trademark, both dated 8 October 1996; and Decree  No. 133 adopting "The Instruction on Recognition 
of Trademark (Service Mark) as Well-Known" of 15 August 2002.  In additi on, the Law "On Changes 
and Amendments to Legislative Acts of the Re public of Kazakhstan on In tellectual Property" had 
been adopted on 9 July 2004.  This Law had introd uced changes to the Law "On Trade Marks, Service 
Marks and Geographical Indications".  Furthermore, she noted that the terms of the Paris Convention, 
specifically Articles 6 bis and 10 bis, were directly applicable in accordance with Article 4 of the 
Constitution.  WT/ACC/SPEC/KAZ/9 
 Page 93 
 
 
 286. She noted that the Trademarks Law accorded tr ademark protection to all pictorial, verbal, 
letter, digital, volumetric and other designations or  their combinations that allowed to distinguish 
goods and services of one manufacturer from similar goods and services of another manufacturer.  
Names could not be registered when they were id entical, or confusingly similar to those already 
protected, and when they had become generall y accepted symbols. Pursuant to Article 6, 
paragraph 3(1), signs – that were false or could mi slead the public with regard to the product, its  
manufacturer or origin – could not be registered .  Well-known trademarks were protected without 
restrictions regarding classes of goods and services.  She held the view that these provisions were in 
compliance with Article 16 of the TRIPS Agreement. 
287. Protection of trademarks was provided on the basis of registration and issuance of a 
trademark certificate by the Committee for Intell ectual Property Rights and was available to all 
owners of well-known trademarks, re gardless of whether or not their trademark rights were registered 
in Kazakhstan. The registration of a trademark coul d be contested and deemed invalid, in full or in 
part, and owners of a well-known trademark could petition in Kazakh courts to recognize their mark 
as well-known and to prevent its continued unauthorized  use.  The owner bore the burden of proof to 
establish that the trademark was "well known" and wa s required to demonstrate this on the basis of 
public-opinion poll results.  Besides poll results, the authorities could also consider information about extensive use of the trademark in Kazakhstan, me thods of its use, sales volume and the marketing 
outlets; information about the annual average number of consumers, the cost of the trademark, how 
extensive the advertising of this trademark ha d been, and the extent of initial of acquired 
distinctiveness of the trademark; and information ab out the trademarks use or a similar trademark by 
third parties, about the number of licensees, about trademark registration abroad, etc. 
288. A member of the Working Party questioned the value of the mandatory licence recording, in 
particular, as it could affect the rights of legitimate  trademark owners.  In response, the representative 
of Kazakhstan said that the mandatory licence record ing procedure protected the rights of intellectual 
property owners and, as such, was in compliance with Article 21 of the TRIPS Agreement.  
289. The validity of a trademark was ten years with a possibility of extension for another ten years.  
Any person could file for a cancellation of a tradem ark to the Appellate Council of the Committee for 
Intellectual Property Rights on grounds of non-use,  following five years of non-use.  However, 
trademark owners could submit evidence to demonstr ate that non-use had been due to circumstances 
beyond their control.    
290. Asked whether a trademark could be assigned w ith or without the goodwill of a company, the 
representative of Kazakhstan replied that assigning trademark rights entailed transferring of the WT/ACC/SPEC/KAZ/9 
Page 94  
 
 trademark itself, when used with certain products or  services, as well as transferring of the trademark's 
business reputation that had been gained through its  use. Pursuant to the Law "On Trade Marks, 
Service Marks and Geographical Indications", the ow ner of a registered trademark (licensor) could 
assign the exclusive right to use a registered trademar k to another party (licensee) – i.e. a complete 
transfer of all rights on this intellectual prope rty.  The trademark was assigned along with the 
goodwill.  For licensing rights and exclusive rights to  a trademark, the written agreement had to 
contain provisions stipulating that the quality of  goods associated with the licensee's use of the 
trademark must not be inferior to that of the licensor's, as well as provisions providing for the licensor's right to supervise compliance with the terms of the agreement.  Licensing and assignment agreements had to be registered with the Comm ittee for Intellectual Property Rights.  Asked about 
any possible negative effects of the registration pr ocedure for such agreements, she clarified that 
official registration of agreements with the Committe e implied that the rights of a person, to whom the 
exclusive rights for industrial property were assigned,  must not be infringed in any way – in the event 
that the other party requested to make further cha nges to the agreement – and that such changes could 
only be made by court decision.  In her view, th e provisions of the Law "On Trade Marks, Service 
Marks and Geographical Indications" met the requirements of Article 6 quater  of the Paris 
Convention. 
- Geographical indications, including appellations of origin 
291. The representative of Kazakhstan said that th e Law "On Trade Marks, Service Marks and 
Geographical Indications" (Trademarks Law) includ ed provisions on the protection of geographical 
indications in Kazakhstan. Geographical indications , registered in Kazakhstan by foreigners, and 
protected by Kazakhstan's Laws or by internationa l treaties and agreements to which Kazakhstan was 
party, enjoyed the same protection as geographical in dications registered by Kazakh nationals.     
292. Geographical indications could be registered if they denominated a product whose specific 
qualities were mainly or exclusively associated with its place of origin (including natural conditions 
and/or human factors).  Only geographical indicati ons associated with a particular product could be 
registered.  The registration certificate entitled the ow ner to the right to use the appellation of origin 
for the goods listed in the certificate.  Registration of geographical indications was prohibited when it 
could mislead consumers about the place of origin, or when registration could infringe upon the rights 
of third parties.  Geographical indications, which were  false, identical, confusingly similar, or clearly 
misled consumers about the product's place of origin, were not protected.  Asked whether 
geographical indications were protected against unfai r competition, she referred to Articles 5 and 6 of 
the Law "On Unfair Competition".    WT/ACC/SPEC/KAZ/9 
 Page 95 
 
 
 293. Applications for geographical protection could be filed with the Committee for Intellectual 
Property Rights by any person (regardless of citizensh ip) by providing (i) a single name indicating the 
place of origin of a good; (ii) the name and address of the applicant(s); (iii) the good's designation; 
(iv) the type of product for whic h appellation of origin registration was sought, including its place of 
manufacture and/or natural occurrence and a description of the specific properties of the good; and (v) a document confirming the authority of a patent a ttorney to act on behalf of the applicant.  While 
residents could submit their applications directly  to the Committee for Intellectual Property Rights, 
foreign applicants had to submit their app lications through a patent attorney.   
294. She noted that the application for registration of  an appellation of origin used in association 
with goods originating within the territory of K azakhstan also entailed a conclusion of the local 
administrative body certifying that the applicant reside d in its territory; and that the quality of goods 
originating therein was associated with the natura l conditions and human factors of that geographical 
place.  The registration of an appe llation of origin used in associati on with goods originating outside 
the territory of Kazakhstan, entailed only a documen t certifying the right of the foreign applicant to 
the geographical indication in association with  the product from the country where the goods 
originated.  
295. With regard to wines and spirits, she said th at the Trademarks Law provided for geographical 
indications protection as stipulated in Articles 22 and 23 of WTO TRIPS Agreements. 
296. A member of the Working Party asked Kazakhsta n to clarify whether, in order to have a 
geographical indication protected, it must be register ed in Kazakhstan.  This member of the Working 
Party noted that such a provision would be in conf lict with Article 22.2 of the TRIPS Agreement, 
which set an obligation for Members to provide  legal protection regardless of registration. 
297. The representative of Kazakhstan replied that Article 37 (2) of the Trademarks Law 
prohibited the use of unregistered geographical indicati ons that were identical or similar to registered 
ones, where such use would result in confusion.  Legal protection of geographical indications in 
Kazakhstan was provided through registration,  along with the corresponding certificate. 
- Industrial designs 
298. The representative of Kazakhstan noted that the ri ghts of industrial designs were regulated by 
the Patent Law and certified by preliminary patents and patents, provided that  the applied industrial 
design met patentability requirements, such as novelty, originality, and industrial application.  She 
acknowledged that the "industrial applicability" criteri on – i.e. the possibility to industrially reproduce WT/ACC/SPEC/KAZ/9 
Page 96  
 
 the industrial design – was the main criterion for an industrial design.  Industrial, hydraulic 
engineering and other stationary c onstructions were not recognized as industrial designs because they 
did not meet the "industrial applicability" criteri on.  However, these constructions qualified for 
copyright protection.  Artistic-design solutions that determined the exterior of a product, as well as 
textile goods, were considered as industrial d esigns (Article 8 of the Patent Law).  
299. She further noted that a preliminary industrial design patent was valid for five years, whereas 
a (full) industrial design patent was valid for ten year s of the date of application.  Industrial design 
patents could be extended upon request of the owner for a period of up to five years.  The owner of an 
industrial design patent had the exclusive right for its use.  A person other than  the patent owner could 
use the protected industrial design only by perm ission of the patent owner and under a licence 
agreement subject to compulsory registration w ith the Committee for Intellectual Property Rights. 
- Patents 
300. The representative of Kazakhstan stated that the Patent Law contained all the requirements of 
Articles 25-34 of the WTO TRIPS Agreement.  The pr ovisions of the Patent Law applied equally to 
both foreign and Kazakh natural persons and le gal persons, in accordance with international 
agreements signed by Kazakhstan, or in accordance with  the reciprocity principle.  In particular, the 
Law contained provisions regulati ng conditions and procedures for judicial granting of compulsory 
licenses to use inventions, as well as other forms of  utilization without permission from the patent 
owner, pursuant to the requirements of Article 31 of the WTO TRIPS Agreement.  The Patent Law 
specified an expanded list of ways for protecting pa tent owners' rights and extended the subject matter 
to cover inventions, industrial desi gns and utility models.  In addition, amendments to the Patent Law 
had been introduced pursuant to the Law "On Chang es and Amendments to Legislative Acts of the 
Republic of Kazakhstan on Intellectua l Property" of 9 July 2004.   
301. She noted that Article 6 (2) of the Patent Law provided an exhaustive list of subject matter 
that could be patented as inventions, including a device, a process, a substance, a micro-organism 
strain or a culture of plant or animal cells, and al so the use of a known device, process, substance or 
strain for a new purpose.  Diagnostic, therapeutic a nd surgical methods could also be protected as 
inventions under the Article 6 criteria.  An inve ntion was granted legal protection if it was new, 
involved an inventive step and was industrially a pplicable.  The Patent Law did not recognize as 
inventions (i) discoveries, (ii) scientific theori es, (iii) mathematical methods; (iv) methods of 
economic organization and management; (v) symbols, schedules, and rules; (vi) rules and methods for 
mental activities; (vii) algorithms per se  and computer programs; (viii) projects and plans of buildings 
and structures, and land development; (ix) propo sals concerning solely the outward appearance of  WT/ACC/SPEC/KAZ/9 
 Page 97 
 
 
 manufactured goods; and (x) proposals whose commerc ial exploitation could harm the public interest, 
humanitarian principles and morality.   
302. A member of the Working Party noted that Kazakhstan excluded the patentability of 
"proposals that were contrary to the public inte rest, humanitarian principles and morality".  This 
member of the Working Party was concerned that this language was broade r than the permissible 
exceptions provided in Article 27 (2) of the TRIPS Ag reement.   This member of the Working Party 
also expressed concerns regarding the exclus ion from patentability of "methods of economic 
organization" and "computer programs".  
303. The representative of Kazakhstan replied that, in  her view, the exclusion from patentability of 
patents for "proposals that were contrary to the public interest, humanitarian principles and morality" 
was not discriminatory and, therefore, met the requirements of Article 27(2) of the 
WTO TRIPS Agreement.  She added that authori zed bodies' Resolutions, banning specific substances 
or potentially-harmful engineering solutions, could be taken into account when granting patents.  As 
for computer programs, she noted that th ese were subject to copyright protection.  
304. Asked about the difference between preliminary and full patents, she replied that the degree 
of protection provided by a preliminary patent was f unctionally equivalent to that provided by a full 
patent.  The principal difference concerned the issuance procedure and the validity period.  
Preliminary industrial design patents could be issued after a formal ex amination of the application and 
were valid for a period of five years.  Full industr ial designs patents were issued after conducting a 
substantive examination of the patent application, provided that the full patent application was filed 
within four years of the date a preliminary patent  application had been filed with the Committee for 
Intellectual Property Rights.  The substantive exam ination included verification of the patentability 
conditions of the industrial design ( novelty, originality and industrial application).  The full patent 
was valid for a period of ten years.  If, however , the preliminary patent holder did not submit an 
application for conducting a full expertise within four years of the date a preliminary patent 
application had been filed, the preliminary patent was cancelled as of the date of its expiration (i.e. 
five years from the date of application).  She furt her noted that the validity of an industrial design 
patent could be extended for up to five years,  upon receipt of a petition by the patent holder.  
305. She further noted that an application for a prel iminary patent had to be  examined during a two 
month period following its date of receipt.  During  this time the applicant had the right to amend or 
correct the elements of the application at his own initiative, provided that the amendments or 
corrections did not modify the essence of the claimed industrial property.  When the preliminary examination resulted in a decision to issue a provisi onal patent, and following payment of appropriate WT/ACC/SPEC/KAZ/9 
Page 98  
 
 fees, the details were published in the Bulletin of the Committee for Intellectual Property Rights.  The 
substantive examination was carried out by the Committee for Intellectual Property Rights at the 
request of the applicant or the owner of the provisiona l patent, filed within three years of receipt of the 
application or within five years in case the term of  the preliminary patent was renewed.  If the results 
of the substantive examination were positive, the pate nt office granted a patent for a term of 20 years 
from the date the application was filed.  
306. Asked about protection against misappropriatio n or misuse of information of the first 
applicant by the second applicant when obtaining pe rmission for sale of the same product, she replied 
that the legislation provided no definition of "the s econd applicant," because the priority for a patent 
protection was determined by the date of filing of an application and the right holder had the exclusive 
right for the protected industrial property.  
307. The representative of Kazakhstan added that ri ghts to utility models were granted patent 
protection, if utility models met the patentabilit y requirements, including novelty and industrial 
applicability.  Utility model patents were granted for a period of five years, subject to subsequent 
renewal at the request of the patent owner for a pe riod not exceeding three years.  Exclusive rights to 
use protected utility models and cover infringements we re identical with the rights and infringements 
determined for protected inve ntions and industrial designs. 
308. Article 11(2) of the Patent Law stipulated the re quirement that a patented invention be used.  
The use of industrial property was defined as manufact uring, application, importation, offer for sale, 
sale, as well as other means of putting the industrial property into circulation, including storage in 
view of subsequent use.  
309. A member of the Working Party asked Kazakhs tan to provide detail on how the compulsory 
licensing provisions of the Patent Law complied wi th the requirements of Article 31(a)-(l) of the 
TRIPS Agreement. 
310. The representative of Kazakhstan replied that, pursu ant to Article 11(1) of the Patent Law, the 
patent holder had the exclusive right for the use of protected industrial property.  The unauthorized use of a protected invention was deemed as infri nging the exclusive rights of the patent owner.  
Protected inventions could only be used by obt aining the patent holder's authorisation under a 
licensing agreement, subject to compulsory regist ration with the Committee for Intellectual Property 
Rights.  Pursuant to Article 11(3)-(5) of the Pate nt Law, any person could appeal in court for a 
compulsory non-exclusive licence if, prior to the cl aim, efforts to obtain authorization from the right 
holder on reasonable commercial terms, and over a reas onable time period, had failed.  An interested  WT/ACC/SPEC/KAZ/9 
 Page 99 
 
 
 party could also file an application requesting a compulsory licence if uninterrupted non-use had 
occurred for a period of four consecutive years, pr ovided that evidence of non-use was supplied.  The 
court would issue a compulsory licence – specifying the term and scope of use, as well as terms, 
amount and conditions of payment – unless the patent  owner proved that non-use was due to valid 
reasons.  The compulsory licence would be non-excl usive, while the amount of payment could not be 
lower than the market price of the licence.   
311. Pursuant to Article 12 of the Patent Law, th e following were not considered to constitute a 
violation of the exclusive right of a patent holder: (i) application of a patent in foreign transportation 
vehicles, which were present on the territory of K azakhstan temporarily (or by accident), provided the 
patent was used for the needs of the vehicles; (ii) research or experimentation conducted on an object 
containing a patent; (iii) application of a patent in  emergency situations (natural and other disasters, 
major accidents) with immediate notification of  the patent holder and subsequent payment of 
corresponding compensation to the patent holder; (i v) application of a patent for personal needs 
without a commercial purpose; and (v) a one-time preparation of prescription medicine.  The aforementioned provisions met, in her view, the re quirements of Article 31 (a)-(k) of the WTO TRIPS 
Agreement.  As for the requirements of Artic le 31(1) of the WTO TRIPS Agreement, the 
representative of Kazakhstan noted that there were no definitions of "the first patent" and "the second 
patent" in Kazakhstan. 
312. Concerning the reversal of the burden of proof in civil proceedings concerning the 
infringement of process patent, she noted that the Pa tent Law contained no provi sions that covered the 
requirements of Article 34 of the TRIPS Agreemen t.  However, Article 65 of the Civil Code 
contained such provisions, and stipulated that each  party was responsible for proving its own claims 
and statements.  Other persons involved in the process could also provide evidence.   
- Plant variety protection 
313. The representative of Kazakhstan said that new kinds  of plants and animals were protected in 
accordance with the Law "On Protection of Selectio n Achievements" of 13 July 1999.  The law was 
awarded a positive legal opinion by the Internationa l Union for the Protection of New Plant Varieties 
(UPOV), due to its conformity with the Interna tional Convention for the Protection of New Plant 
Varieties (Geneva, 2 December 1961 reviewed in 1972, 1978, 1991).  She held the view that through 
the adoption of this Law, Kazakhstan met th e requirement of Article 27(3) (b) of the 
WTO TRIPS Agreement, according to which WTO members had to ensure protection of plant 
varieties either by patents, an effective inde pendent single system, or a combination thereof. WT/ACC/SPEC/KAZ/9 
Page 100  
 
 - Layout designs of integrated circuits 
314. The representative of Kazakhstan said that legal protection of layout designs of integrated 
microcircuits in Kazakhstan was provided by Law No . 217 "On Legal Protection of Layout Design of 
Integrated Microcircuits" of 29 June 2001, and was implemented on the basis of Articles 1013-1016 
of the Civil Code of Kazakhstan (Special Part), in which the requirements of Articles 35-38 of the 
WTO TRIPS Agreement were reflected.   
- Requirements on undisclosed information,  including trade secrets and test data 
315. The representative of Kazakhstan said that, pursuan t to Article 126 of the Civil Code, the civil 
legislation ensured the protection of information of  real or commercial value, provided that this 
information was unknown to third parties, its confiden tiality was strictly preserved, and that it was not 
accessible on legal grounds.  The Civil Code also pr otected confidential data or other information, 
which was required in the process of approving the marketing or sale of chemical, pharmaceutical, or 
agricultural products.   
316. Asked about how the Patent Law met the requirements of Article 39(3) of the 
WTO TRIPS Agreement, she replied that in accordan ce with Article 34 of the Patent Law, disclosure 
of industrial property without the authorization of  the author/applicant, prior to publication of 
information concerning the industrial property, entail ed legal responsibility.  In addition, Article 126 
of the Civil Code protected confidential inform ation, which had actual or commercial value while 
undisclosed to third parties.  The provisions of this Article also applied to the submission of undisclosed test or other data, the origination of  which involved a considerable effort, thus 
guaranteeing the protection of all such data agains t unfair commercial use.  Moreover, pursuant to 
Article 15 of the Law "On Protection of Selecti on Achievements", a natural person or a business 
entity that disclosed commercial secrets on the variet y or breed for which an application was filed, 
without the authorization of the patent holder, infring ed the rights of the patent holder.  She added that 
existing legislation did not provide a definition of  the term "second applicant", as industrial property 
protection was accorded on a first-come first-serve basis and the right holder was given the exclusive right on the protected industrial property. 
317. She further noted that a person accessing restri cted information deliberately or because of 
negligence, could be liable for acts constituting unf air competition in accordance with Article 158 of 
the Law "On Administrative Violations" and Ar ticle 184 of the Criminal Code.  Moreover, 
Article 200 of the Criminal Code pr ohibited collection of information that constituted a commercial or 
banking secret by persons who had access to such information in their work capacity, including  WT/ACC/SPEC/KAZ/9 
 Page 101 
 
 
 disclosure or use of such information for mercenar y or personal interest without the consent of the 
owner.  Employees of ministries and other state ag encies who disclosed protected information were 
held administratively responsible, together with the ministries or state agencies that employed them.  
Such disclosure was punishable by imprisonment of up to three years, payment of fines, arrest, or 
correctional labour. 
318. Asked to clarify how a person in control of restricted information could enforce his/her rights, 
she said that the civil law provided a number of judi cial means, including the possibility to file a 
complaint with the court having jurisdiction over the alleged rights violation.  The court could order 
reimbursement of damages and all costs incurred by the claimant.  
319. Asked whether the draft Law "On Commercia l Secrets", referred to in document 
WT/ACC/KAZ/24, had been adopted, the representativ e of Kazakhstan replied that the cited draft 
Law had been withdrawn from a hearing in Parliament  and that no re-consideration had been planned. 
- MEASURES TO CONTROL ABUSE OF INTELLECTUAL PROPERTY RIGHTS 
320. The representative of Kazakhstan said that, in general, intellectual property rights were 
protected by civil legislation through common court procedures (lawsuit procedures).  Kazakh 
legislation provided criminal, administrative, and civil liabilities for the infringement of intellectual 
property rights, stipulated in Articles 184 and 199 of the Criminal Code, Articles 128, 129 and 145 of 
the Code "On Administrative Violations", th e Law "On Copyright and Related Rights", "On 
Trademarks, Service Marks and Geographical Indi cations", the Patent Law, and other laws. 
Furthermore, pursuant to Resolution No. 1249 of 26 September 2001, the Government approved the 
Intellectual Property Protection Concept.  To impl ement this concept, the Government adopted the 
Program of Implementation of Intellectual Propert y Protection Concept, pursuant to Resolution 
No. 591 of 29 May 2002. 
321. The representative of Kazakhstan stated that the a doption of the special part of the Civil Code 
in 1999, which contained an entire section dedicated to intellectual property issues and the 
fundamental norms regulating relations in this area, was the most important stage in the formation of a 
domestic legislative base in the area of intellectual property. 
322. Some members of the Working Party asked what  efforts were being made to educate the 
public to avoid activities that infringe the rights of intellectual property owners.  The representative of 
Kazakhstan replied that the Committee for Intellect ual Property Rights regularly held regional and 
national workshops on protection of intellectual property rights in order to upgrade the qualifications WT/ACC/SPEC/KAZ/9 
Page 102  
 
 of intellectual property rights protection experts, and to share experiences in this field.  Officials of 
the justice, law, and customs bodies, judges, owne rs of intellectual property rights, as well as users 
and the mass media took part in these workshops .  She further noted that the Committee for 
Intellectual Property Rights conducted seminars jointl y with international organisations, including the 
World Intellectual Property Organisation, the Coaliti on for Intellectual Property Rights Protection, the 
Phonograms Producers International Federation and US AID.  In addition, officials of the Committee 
on Intellectual Property Rights also actively particip ated in radio and television shows on protection 
of intellectual property rights in Kazakhstan.  Th e Ministry of Justice initiated a national campaign, 
called "Intellect", in October 2003 and April 2004.  Th is had been the first large-scale campaign of the 
Ministry of Justice with the active participati on of other interested public bodies, international 
agencies, public associations, commercial organisations , educational institutions, mass media, and the 
population of Kazakhstan, aimed at promoting concep ts of intellectual prope rty, enhancing public 
intolerance toward piracy, strengthening the role of  intellectual property, as well as the status of 
authors, innovators and inventors. 
323. Moreover, the representative of Kazakhstan not ed that the number of applications for 
registration of copyright and related rights, as well as of licence agreements for the use of copyright 
and related rights, had increased.  In her opinion th ese developments demonstrated that the number of 
authors and persons aware of copyright and related laws had increased. 
324. Asked about measures to control the importati on of infringing goods into Kazakhstan, the 
representative of Kazakhstan replied that, in accordan ce with the provisions of the Customs Code, the 
Customs Control Committee maintain ed a register of goods, containing intellectual property and 
ensuring its periodical publication.  Pursuant to the Customs Code, the Customs Control Committee could suspend the customs processing of goods including intellectual property, if it found that these goods violated the intellectual property rights of an applicant.  When the processing of such goods had 
been suspended, the legal owner – within three work ing days of receipt of notification of suspension – 
was obliged to make a payment sufficient for comp ensating the losses of the declarer in connection 
with the suspension of the goods' release.  The rate  of payment was specified by the Customs Control 
Committee.  Furthermore, under the Customs Code , the decision of the Customs Control Committee 
on inclusion of goods containing intellectual property into the register for a term specified by an 
applicant, guaranteed that the rights of the right  holder were protected by the customs bodies for a 
term not exceeding two years of the day on which goods were included in the register.  WT/ACC/SPEC/KAZ/9 
 Page 103 
 
 
 - ENFORCEMENT 
- Civil judicial procedures and remedies 325. The representative of Kazakhstan noted that the Civil Code, the Criminal Code, Article 33 of 
the Patent Law, and Article 42 of the Law "O n Trademarks, Service Marks and Geographical 
Indications" provided that there was no discrimin ation between domestic and foreign parties in 
disputes concerning intellectual property rights.  Fo reign and domestic owners of intellectual property 
rights had the right to settle disputes in court arising from (i) authorship; (ii) legality of the grant of a title of protection; (iii) infringements of exclusive rights and other economic rights; (iv) identification 
of the patent owner; (v) grant of a compulsory  licence; (vi) conclusion and execution of licence 
contracts; (vii) compensation and damages for infringement of exclusive rights; and (viii) other disputes arising from the title of protection.  Moreover,  the right holders had the right to apply for the 
protection of their rights to local authorities or administration, which did not prevent them from filing an application in court.   
326. She noted that, pursuant to Article 66(4) of the Civil Procedural Code, the court could assist 
the parties to a dispute in obtaining necessary eviden ce – when evidence relevant to the substantiation 
of one party's claims lay in the control of the opp osing party – by providing the requesting party with 
an official letter of request for obtaining the evidence.  Moreover, Article 74(1) of the Civil 
Procedural Code , stipulated that a party could request a "securing of evidence" when in doubt about 
the availability of necessary eviden ce at a later point in time.  In addition, Article 126 of the 
Civil Code protected legally non-accessible confiden tial information, which had actual or commercial 
value while undisclosed to third parties. 
 
327. In accordance with the civil, administrative, a nd criminal legislation of Kazakhstan, the court 
had the authority to recover from the infringer damag es that were incurred by the right holder.  In 
particular, Article 44 of the Law "On Trademarks , Service Marks and Geogr aphical Indications"  
provided that a person illegally using a trademark or  a geographical indication shall discontinue such 
use and compensate the losses incurred by the tr ademark's right holder and the holder of the 
geographical indication.   Article 49 of the Law "On Copyright and Related Rights" ensured that the 
court could oblige a copyright infringer to comp ensate the claimant for losses incurred due to 
copyright infringement, either by transferring the amount of lost profit from the infringer to the claimant, or by obliging the infringer to pay compensation in the amount of 20 to 20,000 minimum wages (500 to 50,000 minimum wages for infringement of software or database copyright).  Articles 9 
and 917 of the Civil Code stipulated that a pe rson whose rights had been infringed could demand 
complete recovery of losses, unless otherwise provided by law or contract.  The compensation WT/ACC/SPEC/KAZ/9 
Page 104  
 
 liability could be imposed on the party, which was not the infringer; higher compensation amounts 
could also be set.  Moreover, in accordance with Article 111 of the Civil Procedural Code, the court 
could order the infringer to compensate the successf ul party for attorney's fees, but for a sum not 
exceeding 10 per cent of the amount of the claim.  The violator should provide complete recovery of 
the damage caused by his/her act or omission to the property or non-property rights and goods of 
citizens or legal persons. 
328. She further noted that Article 49 of the Law "O n Copyright and Related Rights," stipulated 
that a judge could order the seizure and withdrawal  of all copies of suspected counterfeit works and 
phonograms, as well as all materials and equipmen t used in their production or reproduction.  
Counterfeit copies of works or phonograms could be transferred to the copyright or related right 
holders upon their request, or be destroyed by court resolution.  The materials and equipment used for 
their reproduction were destroyed, or confiscated as state property, by court resolution.  Article 129 of 
the Administrative Code also provided for the expropriation of pirated copies of works and 
phonograms.  Pursuant to Article 44 of the Law "On Trademarks, Service Marks, and Geographical 
Indications", a person illegally using a trademark or an appellation of origin, or using a confusingly 
similar designation, had to destroy the manufact ured images of the trademark or geographical 
indication in question.  The images had to be re moved from the product, its packaging, blank forms 
and other documents.  If doing so was impossible,  the goods were destroyed in accordance with the 
relevant legal procedures.  Article 15 of the Patent Law stipulated that a patent holder had the right to 
demand cessation of the violation of the title of prot ection and to seize the in fringing products, as well 
as the means designated specifically for violation of the right.  Pursuant to Article 158 of the Civil Procedural Code, the court could adopt provisional measures when, in the ab sence of such measures, 
the court's ruling would be hinde red or rendered impossible.  
329. Some members of the Working Party enquired whether any training, had been provided to 
judges to enable them to consider disputes invol ving intellectual property rights.  The representative 
of Kazakhstan replied that judges took active part in discussion events on intellectual property rights 
protection issues (workshops, conferences, roundtabl es).  In 2002, for instance, the Committee for 
Intellectual Property Rights together with th e World Intellectual Property Rights Organisation 
(WIPO) and Coalition for Intellectual Property Right s (CIPR) held a workshop for judges, in which 
judges from Oblast centres, Almaty and Astana took part. 
- Provisional measures 
330. The representative of Kazakhstan said that ju dges and administrative authorities had the 
authority to grant interim measures if any delay was likely to cause irreparable harm to the right  WT/ACC/SPEC/KAZ/9 
 Page 105 
 
 
 holder, or if a demonstrable risk of evidence being destroyed existed.  Pursuant to provisions of the 
civil legislation and the Law "On Copyright and Related Rights", judges – at the request of the 
claimant, or at their own initiative – had the power to (i) seize the defendant's property; (ii) prohibit a defendant from taking certain actions, such as the sal e of goods bearing a trademark belonging to the 
claimant; (iii) prohibit other persons from transfe rring property, or fulfilling other commitments with 
regard to the defendant; (iv) suspend sales of prope rty in case a claim was filed to cancel the seizure; 
(v) suspend a contested legal act issued by a gov ernment body, organization, or an official; and 
(vi) suspend a penalty imposed by an executive documen t, contested by the debtor in court.  Pursuant 
to Article 184 of the Criminal Code, the infringement  of intellectual property rights was punishable by 
the payment of fines, detention of four to six mo nths or imprisonment of up to five years.  In 
accordance with Article 638 of the Administrative Code, a report on a detected administrative infringement had to be issued immediately. 
- Administrative procedures and remedies 
331. The representative of Kazakhstan stated that , pursuant to Articles 128, 129 and 145 of the 
Code of Administrative Violations, certain actions were considered as an infringement of intellectual property rights and entailed administrative respons ibility.  These included (i) non-criminal but illegal 
use of an invention, industrial design or model, disclosure without consent of an author or an applicant of a scientific discovery, invention, in dustrial design or model prior to its official 
publication, as well as usurpation of authorship or coercion into joint authorship; (ii) sale, hire and 
other illegal use of copyright or related rights; a nd (iii) illegal use of a trademark, service mark, 
appellation of origin or similar designations for g oods (services), as well as illegal use of a firm name, 
unless the above actions resulted in severe damages. 
332. She noted that such infringements could l ead to review by the bodies authorised by 
Articles 128, 129 and 145 of the Code of Admi nistrative Violations, which could include 
Administrative Commissions.  A review would start with the introduction of members of a 
Commission, other review body or individual officials, followed by the announcement of a protocol of administrative violation.  Petitions were permitt ed during meetings, person s participating in the 
review were given a hearing, and evidence was examined.  After consideration of the case, the 
administrative body terminated the proceedi ngs or imposed administrative sanctions. 
333. For Article 128 violations, fines for natural pe rsons were set at 15-20 Monthly Calculation 
Indices (MCI), for officials at 20-50 MCI, and for legal persons at 300-400 MC I.  As for Article 129 
violations, fines for natural persons were set at 3-5 MCI, for officials at 5-10 MCI and for legal 
persons at up to 100 MCI – with a corresponding co nfiscation of copies of works and phonograms.  WT/ACC/SPEC/KAZ/9 
Page 106  
 
 For repeated violations under this Article fines for natural persons were set at 5-10 MCI, for officials 
at 10-20 MCI, and for legal persons at 200 MCI – with a corresponding confiscation of copies of 
works and phonograms.  Finally, in the case of Article  145 violations, fines fo r natural persons were 
set at an amount of up to 5 MCI, for officials up to 15 MCI, and for legal persons up to 100 MCI.  
Any interested party could challenge the court decision in a higher court of law. 
334. Asked about the administrative actions available to owners of intellectual property rights for 
the enforcement of their rights, the agencies r esponsible for such actions, as well as about the 
channels available to foreign parties to invoke such  actions, she replied that the applicant (foreign or 
resident) had the right to raise objections to th e Appellate Council of the Committee on Intellectual 
Property Rights (Articles 22, 23, and 29 of the Pate nt Law and Articles 12, 23, and 31 of the Law "On 
Trademarks, Service Marks and Geographical Indica tions", Article 44 of the Law "On Trademarks, 
Service Marks, and Geographical Indications").  If  the applicant remained dissatisfied with the 
decision of the Board of Appeal, the applicant had the right to further appeal that decision in court.  
She further noted that while violations were consid ered by the courts, violations concerning the rights 
to objects of industrial property, other than thos e considered in the Administrative Code, were 
considered within the framework of the civil legislation.  
335. Asked to provide more information concerning the procedures followed by the administrative 
commissions in reviewing allegations of violation and about the remedies that the commissions could 
impose, she replied that, in accord ance with the national legislation, no administrative commissions 
on violation of intellectual property rights could be established in Kazakhstan.  Under the legislation, 
all disputes concerning intellectual property rights could be settled only in courts. 
- Special border measures 
336. The representative of Kazakhstan said that Articles 410 – 420 of the Customs Code 
(i.e. Section X) established a customs control me chanism for preventing the import and export of 
goods containing objects of intellectual property righ ts and provided for the adoption of a number of 
legislative acts targeting the control of enforcement. 
337. Asked whether the Customs Code provided for any measures for the customs bodies to 
suspend the export of counterfeit goods from Kaza khstan or the transit of counterfeit goods in 
Kazakhstan, she noted that Article 416 of the Cu stoms Code provided the customs bodies with the 
authority to suspend release of the goods containing intellectual property.  The release of goods had to 
be suspended, if in the process of customs clear ance of the goods containing intellectual property  WT/ACC/SPEC/KAZ/9 
 Page 107 
 
 
 registered in the Customs Registry, the custom s bodies discovered any signs that the goods were 
counterfeit. 
338. She further noted that, when such goods were  discovered, the customs body informed the 
right holder about the goods under investigatio n and provided the right holder, or his/her 
representative, with the opportunity to inspect the goods under customs supervision (Article 418 of 
the Customs Code).  Pursuant to Article 416 of the Customs Code, the customs body also had to 
provide the name and address of the declarer. 
- Criminal procedures 
339. The representative of Kazakhstan said that the Criminal Code provide d for legal protection 
against infringement of intellectual property rights and contained provisions on criminal 
responsibility.   
340. She noted that illegal use of a copyright and re lated rights, invention, industrial design or 
utility model, the disclosure without consent of the author/applicant of a scientific discovery, 
invention, industrial design or model prior to its official publication, as well as usurpation of 
authorship or coercion into joint authorship, could result in a fine or imprisonment if the action was 
performed with the view to receive profits and resulted in severe damag es.  In accordance with 
Article 184 of the Criminal Code, the court c ould impose fines equivalent to 100-500 monthly 
calculation indices (MCI), or equivalent to the amount of income received by the convicted party for a period of one to five months, as well as public work for 180 to 240 hours or imprisonment for up to 
two years.  Repeated actions and premeditated group actions were subject to fines equivalent to 
500-800 MCI, or the amount of income received by the convicted party for a period of five to nine 
months; detention for four to six months; or impr isonment for up to five years, with or without 
confiscation of the property of the convicted party. 
341. She further noted that the illegal use of a trademark, service mark, firm name, appellation of 
origin or other designations of goods (services) for the related goods or services could result in a fine 
or imprisonment if the action was performed repeat edly and resulted in severe damages.  The court 
could impose fines equivalent to 200-500 MCI, or to  the amount of income received by the convicted 
party for a period of two to five months; public works for 180 to 240 hours; detention for up to 
six months; or imprisonment for up to two years.   
342. For illegal use of a trademark or appellations of origin not registered in Kazakhstan, if the 
action was performed repeatedly and resulted in severe damages, the court could impose fines WT/ACC/SPEC/KAZ/9 
Page 108  
 
 equivalent to 100-200 MCI, or to the amount of income received by the convicted party for up to 
two months; public works for 120 to 180 hours; deten tion for up to three months; or imprisonment for 
up to one year (Article 199 of the Criminal Code). 
343. Some members of the Working Party noted that  there was a criminal penalty for pirated 
copyright and related rights (Article 184 of the Crimin al Code), but remarked that there did not appear 
to be a criminal penalty for counterfeit trademarked goods.  They further stated that the administrative 
fine provided by the Administrative Code appeared in sufficient to serve as an effective deterrent.  In 
response, the representative of Kazakhstan said that criminal penalties to prevent trade in counterfeit 
trademarked goods were provided in Article 199 of the Criminal Code (Special Part).   
344. The representative of Kazakhstan added that a draft Law "On Changes and Amendments to 
Legislative Acts of the Republic of Kazakhstan on Intellectual Property", which would amend the 
criminal and administrative laws of Kazakhstan, ha d been submitted to the Parliament for approval.  
This draft Law aimed at reinforcing the sancti ons available against recurrent infringement of 
copyright and other rights, and provided for sanctions  for administrative infringements.  In accordance 
with the proposed amendments, there would be no need to prove the amount of the right holder's 
incurred losses, as a large quantity of suspended c ounterfeit goods would be sufficient to start a 
criminal investigation.  
VI. POLICIES AFFECTING TRADE IN SERVICES 
345. The representative of Kazakhstan stated that the services sector was one of the most dynamic 
sectors of the economy, and its role was expected to  grow in the future.  Since 1990, the share of 
services in GDP had grown steadily to reach a peak of  60 per cent in 1998, while the average level for 
the last decade had been 50 per cent.  In 2001 an d 2002, the balance of foreign trade in services had 
been negative, with exports amounting to US$ 1,588 million, and imports amounting to 
US$ 3,667 million in 2002.  In the sphere of trad e in services, enterprises with foreign direct 
investment (FDI) accounted for more than 90 pe r cent of the turnover in construction and business 
services.  Among services provided by foreign supp liers were geological pr ospecting and product 
certification, legal and other consulting services, el ectronic data processing, engineering and technical 
services.  
346. Some members of the Working Party required information on the legislative base regulating 
commercial services and asked whether the gove rnment was taking measures to ensure non-
discrimination of foreign service suppliers.  The re presentative of Kazakhstan, noting the growing role 
of services in the national economy, emphasized that the existing legislative framework was not  WT/ACC/SPEC/KAZ/9 
 Page 109 
 
 
 adequately developed for the services sector and that the government was, therefore, actively 
developing national legislation governing the services sector, which would help to proceed with 
further liberalization.  Moreover, she noted that re levant provisions, which would ensure the right of 
foreign legal and natural persons  to participate in enterprise activity on equal conditions with 
domestic suppliers of services, were being included in domestic legislation. 
347. She further noted that because the statistical ba se of service sectors was also at the initial 
stage of development, the Government intended to apply provisional measures of state regulation of 
trade in services in order to ensure developmen t of competition, based on well-balanced levels of 
development of the market of services and labour so as to prevent adverse economic and social effects 
on the national economy.  The provisional measures would be carried out in accordance with the 
provisions of Articles III, VI, X, XII, XIV and XIV bis of GATS and would be limited to those 
controls and restrictions necessary to achieve thei r objectives.  Licensing and authorization procedures 
would be undertaken in the most efficient manner on the basis of transparent criteria for qualification 
requirements, technical standards, and licensing requirements and will be not constitute unnecessary 
barriers to trade in services. 
348. Asked about "natural monopolies" in the telecommunications sector, she replied that the 
telecommunications Sector Development Program for the period 2003-2005, adopted by Government 
Resolution No. 168 of 18 February 2003, outlined a plan for a stage-by-stage liberalization of the 
telecommunications market, including elimination of the exclusive rights of KazakhTeleCom for 
provision of international and long-distance comm unication services.  These measures were expected 
to facilitate competition, improve the quality and capacity of telecommunication services, and remove 
barriers for new entrants.  In addition, the draf t Law "On Changes and Amendments to Legislative 
Acts of the Republic of Kazakhstan on Communicati ons" had introduced an amendment to Article 4 
of Law No. 272-II "On Natural Monopolies".  The draf t Law stipulated that in stead of pertaining to 
"telecommunication services through local networks ", the activities of natural monopolies covered 
(i) telecommunication services, when there was no other competing operator due to the fact that it might be economically and technically infeasible to enter the market; and (ii) leasing and provision of 
access to cable channels and technological facilities for connecting telecommunications networks to 
the universal telecommunications network.  She added that the Law "On Communications" of 
5 July 2004 established fixed telephone communications (local, area and long-distance) as basic telecommunication services.   Prices, as well as the quality in the provision of basic services, were 
subject to government regulation   Pursuant to the Law, foreign citizens and le gal persons, as well as 
stateless persons, were not allowed to directly or i ndirectly own, use or manage more than 49 per cent 
of the capital of a legal person operating terrestrial communication lines (cable, optical fibre, radio WT/ACC/SPEC/KAZ/9 
Page 110  
 
 relay), or long distance/international communications .  This limitation did not apply to operators of 
mobile, satellite and local communications. 
349. Some members of the Working Party noted that  it was clear that there was no "natural" 
monopoly in the telecommunications services sector, a dding that the limited nature of Kazakhstan's 
offer in the negotiation of its services commitments  supported the contention that a state monopoly 
was being granted and preserved.  A member of the Working Party noted that, while KazakhTeleCom 
no longer had exclusive rights for the provision of international and long-distance communication, the 
company had participated in a tender for the ac quisition of another telecommunications company – 
effectively creating a state-owned monopoly in the telecommunication sector.   
350. In response, the representative of Kazakhsta n said that only telecommunication services 
through local networks, telephone transit traffic services, and the leasing of technological property 
and communication channels were cu rrently considered as natural monopolies.  This was mainly due 
to the fact that there was no sufficient competiti on in the delivery of such services.  There were, 
however, no regulatory barriers to enter this sec tor.  Kazakhstan's commitments in the basic 
telecommunications sector and valu e-added networks were provided in  its revised offer on services.  
Regarding KazakhTeleCom, she noted that the company's actions did not contradict Kazakh 
antimonopoly law, and added that, according to her in formation, the company "Telecom Service" had 
won the tender. 
351. With respect to the Law of Kazakhstan "On Cu lture" the representative of Kazakhstan stated 
that this Law defined national policies in the sphere  of culture, regulated public relations arising from 
creation, revival, preservation, development, use, and dissemination of the national culture.  The Law 
stipulated a special treatment for sites of national cultural heritage, under which all forms of 
negotiations with sites recorded in the State Regist er including their demolition, relocation, alteration, 
reproduction, and restoration shall be  prohibited unless authorized by the responsible body.  All forms 
of exploitation of sites of the national cultural her itage for purposes inconsistent with their historical, 
artistic, and religious value was also prohibited.  Sites of special cultural value owned by religious 
organizations could be used for religious purposes.  Cultural institutions had priority in exercising 
their rights to use architectural monuments.  Owners and users of national cultural heritage sites were 
responsible for their maintenance and preservation.  The rights of owners of national cultural heritage 
sites were exercised under control and following pro cedures determined by legislation, while the state 
had a priority right to buy national cultural herita ge sites in cases where they should be offered for 
sale.  WT/ACC/SPEC/KAZ/9 
 Page 111 
 
 
 VII. TRANSPARENCY 
- Publication of information on trade 352. The representative of Kazakhstan said that Article  3 of the Constitution stipulated that all 
laws, as well as all international treaties signed by Kazakhstan, had to be published.   
353. Law No. 213-1 "On Normative Legislative Acts" of 24 March 1998 stipulated that legislative 
acts affecting the rights, freedoms and obligations of  citizens (other than act s containing state secrets 
and confidential information protected by law) had to be published in the Journal of the Parliament 
and in newspapers designated for official publications - namely "Yegemen Kazakhstan", 
"Kazakhstanskaya Pravda", "Zan" and "Yuridicheskaya Gazeta".  Decrees of the President of the Republic and Government Resolutions  were published in the Collection of Acts of the President and 
the Government.  When a wide-scale and prompt publication was necessary, Presidential Decrees and 
Government Resolutions were published in "Yeg emen Kazakhstan", "Kaza khstanskaya Pravda", 
"Zan" and "Yuridicheskaya Gazeta".  Legislative acts of the central executive state bodies were 
published in the Bulletin of Normative Legal Acts of the Central Executive State Bodies, which was 
issued by the Ministry of Justice.  Provided that central state bodies had their own official 
publications, their legislative acts were officially  published in those publications.  Pursuant to 
Article 34 of the Law "On Normative Legislative Acts," Resolutions of Maslikhats and Akims 
affecting the rights, freedoms and ob ligations of citizens had to be pub lished in official publications – 
newspapers and other periodicals – de termined by the Maslikhats and Akims.  Drafts of especially 
important legal acts, such as the Tax Code and the Civil Code, could be preliminary published in the 
official periodicals for comments.   
354. The Law "On Regulatory Legal Acts" of 24 March 1998 regulated the procedures for 
publication of regulatory legal acts, as well as the procedures for review and discussion of draft regulatory legal acts.  Governmental bodies, or  their subordinate bodies, periodically issued 
collections of their regulatory legal acts in official  periodicals – namely the Bulletin of the Parliament 
of the Republic of Kazakhstan and the Collection of  Acts by the President and the Government.   
355. The Customs Control Committee provided info rmation on relevant  customs-related 
legislation, administrative decisions, explanatory no tes and foreign trade statistics on its website at 
www.customs.kz.  Drafts of technical regulations, standards, conformity assessment procedures, 
international agreements on standardization, co nformity recognition, bilateral and multilateral 
recognition were published in the official periodical of the authorized body, as well as on the website 
of the authorized body. WT/ACC/SPEC/KAZ/9 
Page 112  
 
 356. [The representative of Kazakhstan confirme d that Kazakhstan would undertake after 
accession to the WTO to provide the obligatory and pr ompt publication of laws, rules, judgments and 
administrative orders of general nature concerni ng the questions of trade and the agreements on 
international trade policy, pursuant to Article X of GATT 1994.  She also confirmed that Kazakhstan 
would undertake to observe policy transparency require ments in the area of trade in services, pursuant 
to Article II of GATS.] 
- Notifications 
357. [The representative of Kazakhstan confirme d that Kazakhstan would undertake after the 
accession to the WTO to submit initial notifications in accordance with the WTO Agreements which 
provided for the obligation of WTO members to s ubmit such notifications.  Rules which could be 
subsequently enacted by Kazakhstan and which w ould affect the laws enacted with a view to 
implement the provisions of WTO Agreemen ts would correspond to said Agreements]. 
VIII. TRADE AGREEMENTS 
149. The representative of Kazakhstan noted that Kaza khstan had established a number of bilateral 
and multilateral agreements with other CIS countries.  Kazakhstan had bilateral trade agreements with 
all CIS countries with the exception of Turkmenist an (Azerbaijan, Armenia,  Belarus, Georgia, 
Kyrgyzstan, Moldova, the Russian Federation, Tajik istan, Uzbekistan, and Ukraine).  Under these 
bilateral free trade agreements, goods originating from these countries and imported to Kazakhstan 
were exempted from customs duties, except fo r a number of goods listed in the Schedule of 
Exemptions, which were subject to normal customs du ties, taxes and charges.  The goods listed in the 
Schedule included ethyl alcohol (HS  items 2207 10 000, 2207 20 000, 2208 90 910), vodka (2208 60), 
cigars, cigarettes (2402) and white sugar (1701 99 1 00).  The phased elimination of these exceptions 
was envisaged as part of the creation of a free trad e area.  The Schedule was included in the protocols 
on exemptions from free trade under th e bilateral free trade agreements.
  
150. Belarus, the Kyrgyz Republic, the Russian Fe deration, Tajikistan a nd Kazakhstan had signed 
an Agreement on the creation of a Customs Union on 26 February 1999 in an effort to form a Single 
Economic Area.  With the aim to complete the Customs Union, me mber-States had reorganized the 
regional arrangement into the Eurasian Economic Community (EurAsEC).  The Agreement on the 
establishment of EurAsEC had been signed on 10 October 2000, and had come into force on 
30 May 2001.  The stage-by-stage transition to wards the adoption of EurAsEC common customs 
tariffs was expected to last five years, with a possible extension.  EurAsEC member-States shared a 
free trade regime which was subject to no exceptions or limitations.    WT/ACC/SPEC/KAZ/9 
 Page 113 
 
 
 151. The Agreement on the formation of the Single Economic Area (SEA) had been signed by the 
Presidents of Belarus, the Russian Federation, Ukraine and Kazakhstan on 19 September 2003.  The 
agreement aimed at promoting trade, investment an d an improvement in living standards on the basis 
generally recognized international legal principles,  including WTO rules.  The main objectives of the 
SEA were to develop a common agriculture, transp ort and competition policies, as well as to create a 
common system for regulation of activities of natu ral monopolies.  Pursuant to Article 2 of the 
Agreement on the Formation of the SEA, the first stage of the SEA focused on the "formation of a 
free economic zone without withdrawals and restric tions, based on mutual non-application of anti-
dumping, compensation and special protection meas ures, pursuit of common policy of tariff and non-
tariff regulation, common competition rules, use of subsidies and other forms of state support".  The formation of the SEA was a stage-by-stage process wh ich was expected to take into consideration the 
different levels of socio- economic reforms taking place in member-States.  At present, SEA member-
States were drafting international legislative docum ents necessary for completing the formation of the 
SEA, while taking into account WTO rules and provis ions.  Thus, SEA member-States had developed 
common trade remedy policies and regulations, affect ing mutual trade and trade with other countries, 
which would lead to the elimination of anti-dum ping, countervailing and im port protection measures 
in trade relations between Ukraine, the Russi an Federation, Kazakhstan and Belarus.   
CONCLUSIONS 
[to be completed] 
 WT/ACC/SPEC/KAZ/9 
Page 114  
 
 APPENDIX 
[DRAFT DECISION  
 
ACCESSION OF THE REPUBLIC OF KAZAKHSTAN 
 
Decision of […]  
 
 
 The Ministerial Conference, 
 
 Having regard to  paragraph 2 of Article XII and paragr aph 1 of Article IX of the Marrakesh 
Agreement Establishing the World Trade Orga nization (the "WTO Agreement"), and the 
Decision-Making Procedures under Articles IX and X II of the Marrakesh Agreement Establishing the 
World Trade Organization agreed by the General Council (WT/L/93), 
 
 Taking note  of the application of the Republic of Kazakhstan (hereinafter referred to as 
"Kazakhstan") for accession to the Marrakesh Agreem ent Establishing the World Trade Organization 
dated 9 December 1994, 
 
 Noting  the results of the negotiations directed toward the establishment of the terms of 
accession of Kazakhstan to the WTO Agreement and having prepared a Draft Protocol on the 
Accession of Kazakhstan, 
 
 Decides  as follows: 
 
 Kazakhstan may accede to the WTO Agreement on the terms and conditions set out in the 
Draft Protocol annexed to this Decision. 
 
 
_______________ 
    WT/ACC/SPEC/KAZ/9 
 Page 115 
 
 
 DRAFT PROTOCOL  
ON THE ACCESSION OF THE REPUBLIC OF KAZAKHSTAN 
 
Preamble  
 
 The World Trade Organization (hereinafter referr ed to as the "WTO"), pursuant to the approval 
of the General Council of the WTO accorded under Article XII of the Marrakesh Agreement Establishing the World Trade Organiza tion (hereinafter referred to as the "WTO Agreement"), and the 
Republic of Kazakhstan (hereinafter referred to as "Kazakhstan"),  
 
 Taking note
 of the Report of the Working Party on the Accession of Kazakhstan to the WTO 
Agreement reproduced in document WT/ACC/KAZ …, dated … (hereinafter referred to as the 
"Working Party Report"), 
 
 Having regard  to the results of the negotiations on the accession of Kazakhstan to the WTO 
Agreement,  
 
 Agree  as follows: 
 
PART I -  GENERAL 
 
1. Upon accession Kazakhstan acce des to the WTO Agreem ent pursuant to Arti cle  XII of that 
Agreement and thereby becomes a Member of the WTO.  
 
2. The WTO Agreement to which Kazakhstan accedes shall be the WTO Agreement as rectified, 
amended or otherwise modified by such legal instrume nts as may have entered into force before the date 
of accession..  This Protocol, which shall include th e commitments referred to  in paragraph … of the 
Working Party Report, shall be an integral part  of the WTO Agreement, and nothing in these 
commitments shall be understood to derogate from  the rights of Kazakhstan under the WTO Agreement 
as applied between the Members of the WTO by th e date of accession of Kazakhstan to the WTO. 
 
3. Except as otherwise provided for in pa ragraph … of the Working Party Report, those 
obligations in the Multilateral Trade Agreements annexed to the WTO Agreement that are to be 
implemented over a period of time starting with the entry into force of that Agreement shall be 
implemented by Kazakhstan as if it had accepted that  Agreement on the date of its entry into force. 
 
4. [Kazakhstan may maintain a me asure inconsistent with paragr aph 1 of Article II of the GATS 
provided that such a measure was recorded in the list of Article II Exemptions annexed to this Protocol.] 
 WT/ACC/SPEC/KAZ/9 
Page 116  
 
 PART II - SCHEDULES 
 [5.] The Schedules reproduced in Annex I to this Protocol shall become the Schedule of 
Concessions and Commitments annexed to the General Agreement on Tariffs and Trade 1994 
(hereinafter referred to as the "GATT 1994") and the Schedule of Specific Co mmitments annexed to the 
General Agreement on Trade in Services (hereinafter referred to as "GATS') relating to Kazakhstan.  The staging of the concessions and commitments lis ted in the Schedules sh all be implemented as 
specified in the relevant parts of the respective Schedules. 
 
[6.] For the purpose of the reference in paragraph 6( a) of Article II of GATT 1994 to the date of that 
Agreement, the applicable date in respect of the Schedule of Concessions a nd Commitments annexed to 
this Protocol shall be the date of entry into force of this Protocol. 
 
PART III - FINAL PROVISIONS 
 
[7.] This Protocol shall be open for acceptance, by signature or otherwise, by Kazakhstan until …. 
 
[8.] This Protocol shall enter into force on the thirtieth day following the day upon which it shall 
have been accepted by Kazakhstan.  
 
[9.] This Protocol shall be deposited with the Di rector-General of the WTO.  The Director-General 
of the WTO shall promptly furnish a certified copy of  this Protocol and a notification of acceptance by 
Kazakhstan thereto pursuant to paragraph [8] to each Member of the WTO and to Kazakhstan.   
 
[10.] This Protocol shall be registered in accordance with the provisions of Article 102 of the Charter 
of the United Nations.   
 
 Done at … this … day of … in a single copy in the English, French and Spanish languages, 
each text being authentic, except that a Schedule anne xed hereto may specify that it its authentic in only 
one of these languages. 
 
_______________ 
 
  WT/ACC/SPEC/KAZ/9 
 Page 117 
 
 
 ANNEX I 
 
  
SCHEDULE – THE REPUBLIC OF KAZAKHSTAN 
 
Authentic only in the … language. 
 
  
 
Part I - Goods 
 
(Circulated in document WT/ACC/KAZ[…]) 
 
 
  
Part II – Services 
 
(Circulated in document WT/ACCKAZ/[…] ) 
 
 
] WT/ACC/SPEC/KAZ/9 
Page 118  
 
 ANNEX 1 
Laws, regulations and other information provided to the Working Party of Kazakhstan
 
Economic Policies 
- Law "Concerning Currency Regulation" of  14 April 1993; 
- Law "Concerning Currency Regulations" of 24 December 1996; 
- Law No. 237  "On Payments and Mone y Transfers" of 29 June 1998; 
- Edict No. 2155 "Concerning the National Bank" of 30 March 1995; 
- Edict No. 2196 "On the National Bank of Kazakhstan" of 2 August 1995; 
- Edict No. 2227 "Concerning Securities and Stock Exchange" of 21 April 1995; 
- Regulations of the Board of the National Bank "Concerning the Settlements with Cheques" of 
15 November 1994 (Meeting minutes No.22); 
- Instruction No. 127 "On Settlement, Current and Budget Accounts Opened in the Bank 
Institutions of the Republic of Kazakhstan" of 23 June 1993 approved by the Board of the 
National Bank on 23 June 1993 (Protocol No 16); 
- Instructions of the Board of the Nationa l Bank No. 188 "Rules for conducting currency 
transactions in the Republic of K azakhstan" of 24 November 1994; 
- Temporary regulation on clearing (submitted in September 1996); 
- Law No. 266-XIII "Concerning Foreign Investments" of 27 December 1994; 
- Law No. 373 "On Investments" of 8 January 2003; 
- Edict No. 2717 "Concerning Land" of 22 December 1995;  
- Resolution No.1587 "On the Schedule of Non-Privatisable State Property" of 
24 October 2000 (amended as of 18 December 2003); 
- Law "Concerning development of competition and restriction of monopoly activities" of 
11 July 1991; 
- Law No. 272-I "On Natural Monopolies" of 9 July 1998; 
- Law No. 232-1 "On Unfair Comp etition" of 9 June 1998; 
- Resolution No. 1171 "On price regulation fo r products of business entities, recognized as 
natural monopolists" of 19 October 1994; 
- Edict No. 2255 "Concerning Busin ess Partnerships" of 2 May 1995; 
- Law "Concerning the protection of the natural environment" of 18 June 1991; 
- Resolution No. 637 "On approval of the provisions on the State ecological expertise in 
Kazakhstan" of 25 October 1991; 
- Draft Law "On Joint-Stock Companies" of 4 June 1997; and 
- Draft Law "On Limited Liability Partnerships" of 25 March 1997. 
Subsurface use 
- Law No. 2350 "On Oil" of 28 June 1995; 
- Law No. 2828 "On Subsoil and Subsoi l Use" of 27 January 1996; and 
- Regulation "On Approval of Rules of purchasing of goods, services and works for oil 
operations" approved by Resolution No. 1034 of 8 December 1992. 
Framework for Making and Enforcing Policies 
- Constitution of the Republic of K azakhstan of 5 September 1995; and 
- Code "Concerning Administrative Violati ons" of 22 March 1984 (as amended on 
1 April 1995).  WT/ACC/SPEC/KAZ/9 
 Page 119 
 
 
 Taxation 
- Tax Code of 12 June 2001; 
- Tax Code Articles 3 and 4 (s ubmitted in February 1997); 
- Tax Code Section VI. Taxa tion of Subsurface Users (submitted in February 1997); 
- Edict No. 2703 "Concerning the introduction of amendments to certain legislative acts and 
edicts" of 21 December 1995; 
- Edict No. 2827 "Concerning the introduction of amendments to Edict "Concerning Taxes and 
Other Compulsory Payments to the Budget"" of 26 January 1996; 
- "Concerning the introduction of addition to Edict "Concerning Taxes and Other Obligatory 
Payments to the Budget""; 
- Order of the Customs Committee No. 131 "Concerni ng the procedure for application of value 
added tax and excise duties to goods which ar e imported into the customs territory of 
Kazakhstan" of 29 September 1995; 
- Decree No. 1439 "Concerning the rates of excise duties on certain types of excisable goods 
imported to the territory of K azakhstan" of 2 November 1995; 
- Resolution No. 960 "Concerning the rates of excise duties on imported excisable goods and 
the quotas of transfer by natural persons through the customs boundary of Kazakhstan of 
excisable goods which are not subject to excise duties" of 13 July 1995; 
- Decree No. 1397 "Concerning the introduction of amendments and additions to Resolution 
No. 960 of 13 July 1995" of 30 October 1995 ; 
- Resolution No. 974 "Concerning the rates of excise duties on excisable goods manufactured 
in Kazakhstan and the gambling business" of 14 July 1995; 
- Decree No. 1487 "Concerning the introduction of amendments and additions to Resolution 
No. 974 of 14 July 1995" of 8 November 1995; 
- Resolution No. 341 "On introduction of changes and amendments to some decisions of the 
Government" of 25 March 1996; and 
- Resolution No. 608 (Appendix 1) "Excise Taxes for the Excisable Goods Imported to the 
Customs Territory of the Republic of Kazakhstan" of 26 June 1998. 
Customs Regulations 
- Customs Code (Law No. 2368) as amended by 1 January 2001; 
- Customs Code of 5 April 2003; 
- Customs Code Chapter 12 (s ubmitted in February 1997); 
- Customs Code Articles 115, 116, 1 22-133 (submitted in February 1997); 
- Customs Code Chapter 7: Determination of Country of Origin of Goods (submitted in 
July 2004); 
- Customs Code Chapter 39: Determination of  the Customs Value of Goods (submitted in 
July 2004); 
- Decree No. 2369 "Concerning the Implementation of Edict Concerning the Customs Business 
in the Republic of Kazakhstan" of 20 July 1995; 
- Edict No. 2370 "Concerning the Introduction of Amendments to certain legislative acts and 
edicts concerning customs issues" of 20 July 1995; 
- Resolution No. 1009 "Concerning the approval of the list of countries which are users of the 
preference schedule of Kazakhstan" of 20 July 1995; 
- Resolution No. 1125 "Concerning the rates of customs duties on imported goods" of 
15 August 1995; 
- Resolution No. 1479 "On rates of customs payments" of 7 November 1995; 
- Decree No. 810 "Concerning the introduction of amendment to Decree No. 299 of 
12 March 1996" of 28 June 1996; 
- Resolution No. 891 Annex on "Rates of Custom s Duties on Imported Goods" of 29 June 2001 WT/ACC/SPEC/KAZ/9 
Page 120  
 
 - Resolution No. 669 "On Adoption of the Customs Charges, Fees and Payments Levied by the 
Customs Bodies" of 8 July 2003; 
- Commodity Nomenclature and Customs Import Tariffs; and 
- Draft Customs Code. 
Import/Export regulations 
- Law "On export control of armaments, m ilitary technology and production of double 
application" of 18 June 1996; 
- Resolution No.298 "On the procedure for expor t and import of public goods (works, services) 
in Kazakhstan" of 12 March 1996; 
- Resolution No. 342 "List of goods allowed and not  allowed to the regime of temporary import 
and export" of 25 March 1996; 
- Resolution No. 1035 "Concerning the approval of the list of exchange commodities" of 
28 July 1995; 
- Resolution No. 304 "On introduction of amendments  and additions to Resolution No. 1035 of 
28 July 1995" of 13 March 1996; 
- Resolution No. 984 "On Prohibition of export and import barter operations" of 17 July 1995; 
- Resolution No. 1200 "On introduction of chang es to Resolution No. 984 "On Prohibition of 
Export and Import Barter Operations"" of 29 August 1995; 
- Edict No. 2200 "Concerning Licensing" of 17 April 1995; 
- Decree No. 1894 "Concerning the implementation of Decree of the President No. 2201 of 
17 April 1995" of 29 December 1995; 
- Edict No. 2720 "Concerning the introduction of amendments to certain edicts" of 
23 December 1995; 
- Decree of the President No. 2198 "On State regi stration of legal persons" of 17 April 1995; 
- List of Goods Subject to Non-Tariff Measures (submitted in August 2004); and 
- Order No. 24-OD of the Chairman of the Agen cy On Regulation of Natural Monopolies, 
Protection of Competition and Support of Small Businesses "On Adoption of the Rules for Introduction and Discontinuation of Decreasing Coefficients for Tariffs on Regulated Rail 
Freight" of 12 December 1999. 
Trade remedies 
- Law "On Antidumping" (submitted in November 1999); 
- Law No. 4414 "On Subsidies and Counter vailing Measures" of 16 July 1999; 
- Law No. 337-1 "On Safeguard Measures to Protect the Domestic Market" of 
28 December 1998; 
- Draft Law on Antidumping; 
- Draft Law on Subsidies and Countervailing Measures; and 
- Draft Law on Safeguard Measures. 
Industrial Policy 
- 
Law No. 156-XIII "Concerning transport" of 21 September 1994. 
Standards, certification, technical regulations 
- Law No. 433-1 "On Standardisation" of 16 July 1999; 
- Law No. 434-1 "On Certification" of 16 July 1999;  WT/ACC/SPEC/KAZ/9 
 Page 121 
 
 
 - Law "Concerning the protection of consumer rights" of 5 June 1991; 
- Law "On standardization and certification" of 18 January 1993; 
- Decree No. 225 "Concerning the Committee for stan dardization, metrology and certification" 
of 21 February 1996; 
- Order "Of customs control over production of compulsory certification" of January 1994; 
- Resolution No. 411 "On stage-by-stage introducti on of compulsory certification of products 
(works, services) in Kazakhstan" of 20 May 1993; 
- Government Regulation No. 1112 "O n Approval of List of Goods (Works, Services) Subject 
to Mandatory Certification for Conformity to Obligatory Requirements of Standards or Other 
Documents for Guarantee of Safety of Life and Health of Citizens, Property of Citizens, and 
Environment" of 15 July 1997 (Excerpt); 
- List of organs for certification of simila r products and accredited testing laboratories 
(centres), registered at the State Register of th e State Certification System of the Republic of 
Kazakhstan, 1 January 1998; 
- The List of Products (Works, Services) that are Subject to Mandatory Certification as to the 
Conformity with Requirements of Standards or other Codes that ensure the Safety for Life, 
Health of People, Property of Citizens, and Environment; 
- Draft Law on Certification; and 
- Draft Law on Standardisation. 
SPS measures 
- Law No. 334 "On Plant Quarantine" of 11 February 1999; 
- Law No. 422 -1 "On Legal Protection of Selec tive Breeding Achievements" of 13 July 1999; 
- Law No. 339-II "On Veterinary" of 10 July 2002; 
- Resolution No. 1891 "On approval of the order of  destruction or further reprocessing products 
in the case of their recognition as not suitable for sale and consumption" of 
29 December 1995; and 
- Draft Law on the Legal Protection of Selective Breeding Achievements. 
Special economic zones 
- Law No.2823 "On special economic zones" of 26 January 1996; and 
- Edict No. 2824 "Concerning the introduction of am endments to certain laws and edicts" of 
26 January 1996. 
Government procurement 
- Resolution No. 586 "On State Procur ement of Goods" of 13 May 1996. 
Intellectual Property protection 
- Civil Code (Table of Contents); 
- Articles 184, 199 and 200 of the Criminal Code , concerning intellectual property (submitted 
in September 1997); 
- Law "Concerning trademarks, service marks a nd appellations of origin of goods" of 
18 January 1993; 
- Law No.456-1 "On trademarks, service marks and appellation of places of origin of goods" of 
26 July 1999; 
- Law "Concerning the copyright and allied rights" of 10 June 1996; WT/ACC/SPEC/KAZ/9 
Page 122  
 
 - Patent Law No. 1422-XII of 24 June 1992; 
- Patent Law of 16 July 1999; 
- Law No. 217 of the Republic of Kazakhstan "On Legal Protection of Layout Design of 
Integrated Microcircuits"; 
- Resolution No. 508 "On the establishment of state agency for copyright and related rights" of 
8 July 1992; 
- Decree No. 622 "Concerning  the National Patent Department Attached to the Cabinet of 
Ministers" of 21 July 1992; 
- Decree of the President No. 806 "On Na tional Patent Office" of 23 June 1992; 
- Decree No. 949 "Concerning the approval of procedure for issuing the protection documents 
on inventions, industrial samples, trademarks  and service marks" of 11 November 1992; 
- Resolution No. 926 "On rules of public dem onstration of cine-video production" of 
5 July 1995; 
- Resolution No. 266 "On procedure of payments and amounts of duties for foreign applicants 
for legal actions connected with protection of industrial property objects within the territory 
of Kazakhstan" of 6 April 1993; 
- Resolution No. 889 "On the procedure of payment and amounts of duties for patenting of 
inventions, industrial samples and utility mode ls, registration of trademarks and service 
marks, registration and submitting the right of using the name of the place of goods' origin" of 20 October 1992; 
- Resolution of the Cabinet of Ministers No . 896 "On Approval of the Regulation on  
Employee's Inventions, Utility Models and Indus trial Designs Created in the Republic of 
Kazakhstan" of 11 August 1994; 
- Regulation on the National Patent Office under th e Cabinet of Ministers (with amendments in 
accordance with Resolution No. 1369 of the Cabinet of Ministers of 5 December 1994) 
approved by Resolution No. 877 of the Ca binet of Ministers of 16 October 1992; 
- "Rules for Filing and Submission of Application for Registration of a Trademark" No. 226 of 
30 April 1997; 
- Declaration of the Republic of Kazakhstan on th e International Treaties in the Field of the 
Protection of Industrial Property of 5 February 1993; 
- Draft Patent Law (submitted April 1999); and 
- Draft Law  "On amendments and additions to cer tain legal acts of the Republic of Kazakhstan 
concerning intellectual property issues". 
Services regulations 
- Law "Concerning auditing" of 18 October 1993; 
- Government Resolution No. 1064 of 15 October 2004; 
- Edict No. 2329 "Concerning Medical Insurance of Citizens" of 15 June 1995; 
- Edict No. 2330 "On Measures for Implementati on of the Edict "On Medical Insurance of 
Citizens"" of 15 June 1995; 
-
 Edict No. 2444 "Concerning Banks a nd Banking Activity" of 31 August 1995; 
- Decree No. 2445 "Concerning the efforts for the implementation of Edict "Concerning Banks 
and Banking Activity"" of 31 August 1995; 
- Edict No. 2475 "Concerning Insurance" of 3 October 1995; 
- Edict No. 2697 "Concerning the Utilization of Airspace and Activities of Aviation" of 
20 December 1995; 
- Decree No. 1803 "Issues of the state insuran ce monitoring" of 19 December 1995; and 
- Resolution No. 478 "On the approval of the regulation on Licensing of Insurance Activities 
on the Territory of Kazakhstan" of 19 April 1996.  WT/ACC/SPEC/KAZ/9 
 Page 123 
 
 
 Trade agreements 
- Decree No. 2461 of the President of the Repub lic of Kazakhstan "On Ratification of the 
Agreement "Concerning the Customs Union" be tween the Government of the Republic of 
Belorussia, the Republic of Kazakhstan and th e Russian Federation" of 15 September 1995; 
- Agreement on the Customs Union between th e Russian Federation, the Republic of 
Belorussia and the Republic of Kazakhstan of 20 January 1995; 
- Agreement between the Government of the Re public of Kazakhstan and the Government of 
the Russian Federation on the Uniform Proce dure for Regulating Foreign Economic Activities 
of 20 January 1995; 
- Resolution of the Intergovernmental Belorussi an - Kazakh - Russian Commission "Terms of 
Formation of the Customs Union" of 22 November 1995; 
- Protocol "On Introduction of Free Trade Regi me Without Exceptions and Restrictions 
Between the Republic of Kazakhstan and the Russian Federation" of 20 January 1995; 
- Protocol between the Government of the Repub lic of Kazakhstan and the Government of the 
Kyrgyz Republic and the Government of Uzbekistan Concerning Discussion of Issues of Participation of the Republic of Kazakhsta n in the Customs Union between Belorussia, 
Kazakhstan and Russia of July 1995; 
- Protocol between the Government of the Repub lic of Belorussia, the Government of the 
Republic of Kazakhstan and th e Government of the Russian Federation Concerning 
Completion of the First Stage of Enforcement of the Treaty on the Customs Union of 22 November 1995; 
- Agreement on Free Trade between the Govern ment of the Kyrgyz Republic and the 
government of the Republic of K azakhstan of 22 June 1995; and 
- Agreement between the Government of the Re public of Kazakhstan and the Government of 
the Republic of Moldova on Free Trade of 26 May 1995. 
Miscellaneous 
- Kazakhstan Economic Trends - First Quarter 1996; 
- Kazakhstan Economic Trends  - February 1996; and 
- Kazakhstan Economic Tren ds - Monthly update.  
 WT/ACC/SPEC/KAZ/9 
Page 124 ANNEX 2 
Changes to licensing and registration requirements, affecting capital account transactions, pursuant to draft Law "On Currency Regulation and Control"  
Currency transaction description Cu rrent regime Regime before 20071 Regime after 2007 Note 
1 2 3 4 5 
Concerning currently licensed operations 
1. Residents open accounts 
(including accounts in the 
national currency of the 
Republic of Kazakhstan) in 
foreign banks and other 
financial organizations 
 To be licensed except for cases when:  
 
- banks open accounts;  
- natural persons open accounts in banks 
of OECD with rating "A" ("Fitch", 
"Standard & Poor's") or "A2" 
("Moody's Investors Service") and 
higher; as well as persons temporary 
staying abroad open accounts for work, 
study, medical treatment; or 
- vacation/recreation purposes. 
 To be licensed except for the following cases: 
 
1. banks open accounts; 
2. resident financia l organizations open 
accounts for transactions with financial 
instruments at the international 
securities market; 
3. resident legal pe rsons open accounts to 
finance expenses of their branches and 
representative offices (see note); 
4. resident legal pe rsons open accounts to 
pay money necessary to form the 
charter capital of a legal person if such 
was required under the laws of a 
foreign state where the legal person was 
to be formed; 
5. resident legal pe rsons open accounts to 
pay money to fulfil liabilities of 
residents to non-residents by the loans 
obtained from the non-residents; or 
6. natural persons ope n accounts in banks 
in the territory of OECD countries and 
in banks in other foreign countries 
during such person's staying in those 
countries. Notify NBK (National Bank 
of Kazakhstan) on opening 
an account in a foreign bank 
within 30 days since 
conclusion of the agreement 
with a foreign bank or since 
the day of returning to 
Kazakhstan (for natural 
persons) As for the exception from 
the licensing regime 
specified in par. (3) of 
column 3 herein, before 
2007 registration will be 
required, which will be 
changed for the notification 
regime, and as for par. (2), 
(4)-(6), the notification 
regime will be effective 
since the day of 
enforcement of the Law 
                                                      
1 Regime effective from the day of enforcement of the new La w "On Currency Regulation and Currency Control" until 31 December 20 06.  
  WT/ACC/SPEC/KAZ/9
 Page 125Currency transaction description Cu rrent regime Regime before 20071 Regime after 2007 Note 
1 2 3 4 5 
2. Residents make foreign 
investments 
 To be licensed except for the following cases: 
 
1. dealer operat ions of banks; 
2. residents' investme nts in securities of 
international financial organizations; 
3. residents' investme nts in foreign shares 
and other securities when the issuer or 
the shares/securities have the rating 
specified in par. 1 above and provided 
that the investments were made through 
Kazakh brokerage houses and dealer 
organizations; 
4. investments into the charter capital of 
legal persons of OECD  countries and/or 
countries with which Kazakhstan has 
ratified treaties/agreements on mutual 
encouragement and protection of 
investments that guarantee that the 
resident will have 50 and more percent 
of voting shares (votes) in the invested 
entity (registration regime); or 
5. investments into non-residents' 
securities on the account of pension 
funds. 1.  All direct investments (i.e. when 
residents purchase shares or contribute 
capital into the charter capital of a non-
resident legal person and such a 
resident will have 10 and more % of 
voting share or votes in the invested 
entity) will require registration. 
2.  Portfolio inves tments (when residents 
purchase shares, securities, shares of 
non-residents, purchase shares of non-
resident investment funds or contribute 
capital into the charter capital of a non-
resident legal person as well as 
transactions with derivative financial 
instruments) will be licensed except for 
the cases when the resident is a bank, 
insurance organization or an 
organization making investment 
management of pension funds (if it 
invests pension funds). 
 
In doing so, professional participants of the 
equity market (not banks or pension funds 
managers) will obtain the operation license 
for portfolio investments that entitles them 
with the right to make all such 
transactions/operations on the account of both 
its own and clients' funds. 
 
Therefore the existing requirement to obtain a 
one-time license (i.e. the license for each separate transaction) will only be valid in 
cases where resident legal persons (except for 
the ones specified above ) and natural persons 
make portfolio i nvestments bypassing 
Kazakh professional participants. 1. Direct investments 
still require 
registration. 
2. Portfolio investments 
will require a 
notification.  
 Banks and professional 
operators will make 
notifications on the 
investments (either their or 
on the behalf of clients) in 
the framework of their 
regular payment balance 
accountability by providing 
certain details of the 
transactions made (e.g., 
name of resident client and 
non-resident invested 
entity)  
3. Residents make money 
transfers to purchase (rent) 
real estate from a non-
resident To be licensed Residents' payments for the purchase of real 
estate from non-residents will require 
registration (except for natural persons whose 
purchase of real estate will require 
notification) Residents' payments for the 
purchase of real estate from 
non-residents will require a 
notification Rent payments will be 
regulated as commercial 
credits  
 WT/ACC/SPEC/KAZ/9 
Page 126 Currency transaction description Cu rrent regime Regime before 20071 Regime after 2007 Note 
1 2 3 4 5 
4. Residents pay in advance for 
import of goods (services) as 
well as receive proceeds from 
the payment for export in the 
period over 180 days (365 
days for the export of certain 
goods) To be licensed as capital transactions To be licensed as commercial credits granted 
by residents to non-residents for the period 
over 180 days Registration will still be 
required The law defines commercial 
credits as allowing to 
postpone a payment 
/delivery by a supplier and 
buyer, which conform to the 
payment balance term 
"trade credit" 
5. Residents grant loans to non-
residents for the period over 
180 days 
 To be licensed except for bank loans To be registered as financial loans Registration will still be 
required The law gives a definition 
of financial loans, which 
conforms to the meaning of 
the payment balance term 
"loans" 
6. Foreign currency obtained by 
a resident as a credit from a 
non-resident is transferred to 
accounts of third parties 
 
 To be licensed except for: 
 
1. state loans and government guaranteed 
loans; 
2. unwarranted loans from foreign banks 
providing for the use of documentary 
forms of accounts settlement; 
3. credits obtained by residents to finance 
export-import deals insured in foreign 
agencies on export loans (find the list 
enclosed); or 
4. credits where a non-resident third party 
pays for the import contract, for which 
the deal certificate was issued Neither of the regime s applies (licensing, 
registration, notification)   
 Neither of the regimes 
applies (licensing, 
registration, notification) 
 The necessary statistical 
data will be obtained from 
reports on registration of 
credits (financial loans) 
obtained  
 
7. A resident transfers currency 
values to a non-resident for 
the asset management To be licensed  To be regu lated as portfolio investment s It will be regulated as 
portfolio investments The draft laws does not put 
it as a separate transaction 
(operations) 
8. Residents' i nvestments into 
the charter capital of legal 
persons of OECD countries 
and/or countries with which 
Kazakhstan has ratified 
treaties/agreements on mutual 
encouragement and 
protection of investments that 
guarantee that the resident 
will have 50 and more 
percent of voting shares 
(votes) in the invested entity Exception from the licensing requirement 
(see sub-par. 4 of par. 2 above). To be 
registered as direct investments. To be registered as direct i nvestments It will still require 
registration The law gives the definition 
of term "direct 
investments", which 
conforms to sub-par. 1 of 
column 2 of par.2 herein  
  WT/ACC/SPEC/KAZ/9
 Page 127Currency transaction description Cu rrent regime Regime before 20071 Regime after 2007 Note 
1 2 3 4 5 
9. Natural persons open 
accounts in foreign banks in 
the territory of OECD 
countries with the rating as 
specified in par.1 above Exception from the licensing requirement 
(see par.1 above). 
To be registered except for the cases where 
resident persons temporary staying abroad 
open accounts for work, study, medical 
treatment or vacati on/recreation purposes Notification required regardless of the rating 
of the OECD country (see also par.1 above) Notification (see par.1 
above)   
10. Obtaining a credit from a 
non-resident for the period over 
180 days, including financial 
leasing 
 To be registered except for agreements on 
external state loan and government 
guaranteed loans as well as transactions 
there-under To be registered as financial loans  
 To be registered as financial 
loans  
 At present registration is 
required when the amount 
of a credit agreement 
(and/or resident's actual 
account payable) exceeds 
US$ 100,000 equivalent 
11. Non-residents credit export-
import contracts (non-
residents prepay for export or 
allow a postponed payment) 
for the period over 180 days To be registered To be registered as commercial credits To be registered as 
commercial credits At present registration is 
required when the amount 
of a credit agreement 
(and/or resident's actual 
account payable) exceeds 
US$ 100,000 equivalent 
12. Non-residents make direct 
and portfolio investments 
into Kazakhstan, including 
primary distribution of 
residents' equity in 
international capital markets, 
including issuing deposit 
receipts for residents' equity To be registered except for the cases where:  
 
1. non-residents buy securities issued in 
Kazakhstan; 
2. non-residents buy depositary receipts;  
3. non-residents buy residents' equity 
through Kazakh brokerage houses 
(except for investing into the brokerage 
house itself); 
4. residents buy resi dents' equity and 
shares in the charter capital of resident 
legal persons from non-residents; or 
5. reinvestment of non-residents. Direct investments must be registered. 
 
Portfolio investments (when non-residents 
buy equity of residents, shares of resident 
investment funds or cont ribute capital into the 
charter capital of a resident legal person as 
well as make a primary distribution of 
residents' equity in international capital 
markets, including issu ing depositary receipts 
for resident's securities) require registration. 
 1. Direct investments 
require registration 
2.  Portfolio investments 
require notification At present registration only 
is required when the 
contract amount (articles of 
incorporation, sale 
/purchase resolution, etc), 
which is the basis for 
investment, exceeds 
US$ 100,000 equivalent 
13. Non-residents make money 
transfers to pay residents for 
complete transfer of the 
exclusive right for 
intellectual property To be registered 
 To be registered 
 
After the Law becomes effective, purchase of 
the exclusive right for intellectual property by 
residents from non-reside nts will also require 
registration 
 To be registered 
 At present registration only 
is required when the 
contract amount exceeds 
US$ 100,000 equivalent 
 
It is always the resident 
who has to register it in the 
NBK  
 WT/ACC/SPEC/KAZ/9 
Page 128 Currency transaction description Cu rrent regime Regime before 20071 Regime after 2007 Note 
1 2 3 4 5 
14. Non-residents pay for the 
property rights for real estate 
except for the property 
qualified as equal to real 
estate 
 To be registered 
 Purchase of real esta te by non-residents from 
residents will require registration except 
when resident is a natural person. In this case 
resident natural person will have to notify 
NBK Purchase of real estate by 
non-residents fro m residents 
will require notification Non-residents' payments for 
the rent shall be regulated 
as commercial credits (see 
par.1 above). 
 
At present registration only 
is required when non-
residents purchase real 
estate property for the 
amount exceeding 
US$ 100,000 equivalent  WT/ACC/SPEC/KAZ/9 
 Page 129 
 
 
 ANNEX 3 
List of priority activities, on the level of the classifi er of sub-types of activity, for which investment 
preferences are granted  
No. Name of the section Code Name of the type and sub-type of activity 
1 2 3 4 
01.1 Plant growing 
01.11 Growing of cereals,  technical crops and ot her agricultural crops, 
except for: 
- growing of tobacco and its pr imary processing: gathering and 
drying of tobacco leaves 
- growing of agricultural crops not entered in other groups 
01.13 Growing of grapes for wine and table grapes 
01.2 Live stock-breeding 
01.21 Cattle breeding, except for: 
- manufacture of raw cow milk 
01.24 Breeding of agricultural poultry 
01.25 Breeding of other animals 
01.4 Rendering of services in the field of plant growing 
01.41 Rendering of services in the field of plant growing, except for: 
- making, treatment and maintenance of gardens, parks and green 
plantations at sportive units, etc. 
- trimming of trees and hedge-rows 
01.5 Hunting and breeding of game, in particular rendering of services in 
those fields 01 Agriculture 
01.50 Hunting and breeding of game, in particular rendering of services in 
those fields, except for: catching of sea mammals such as walruses seals 
02.0 Forestry and forest harvesting operations 
02.01 Forestry and forest harvesting operations, except for: 
- wood cutting and manufacture of commercial wood such as pit 
props, logs for piles, pales, firewood 
- growing of vegetable materials used for manufacture of woven 
articles 02 Forestry and rendering 
of services in that field 
02.02 Rendering of services in the field of forestry and forest harvesting 
operations, except for: - rendering of services in the fiel d of forest harvesting operations:  
 - transportation of logs within the forest WT/ACC/SPEC/KAZ/9 
Page 130  
 
 No. Name of the section Code Name of the type and sub-type of activity 
1 2 3 4 
05.0 Fishery 
05.01 Fishery, except for: 
- fishery in an ocean, in n earshore and inland waters 
- catching of sea and fresh-w ater crustacea and mollusks 
- catching of water animals: terr apins, ascidia, Tunicata, sea 
urchins, etc. 
- gathering of sea products: natural pearls, sponges, corals and 
seaweed 
05.0 Fish-breeding 05 Fishery, fish-breeding 
and rendering of services in those fields 
05.02 Fish-breedin g, except for: 
- breeding of young oysters, mussels, young lobsters, spiny 
lobsters, shrimps, young fishes 
- growing of red algae and othe r eatable seaweed, breeding of 
oysters 
15.1 Manufacture of meat and meat foods 
15.12 Manufacture of meat of agricultural poultry and rabbits 
15.13 Manufacture of m eat foods, except for: 
manufacture of ready meat dishes in the public catering system 
15.2 Processing and preservation of fish and fish foods 
15.20 Processing and preservation of fish and fish foods, except for: 
preparation of ready fish dishes 
15.3 Processing and preservation of fruits and vegetables 
15.31 Processing and preservation of potatoes, except for: 
preparation of snacks of potatoes 
15.32 Manufacture of fruit and vegetable juices 
15.33 Processing and preservation of fruits and vegetables not entered in 
other groups 
15.4 Manufacture of vegetable and animal oils and fats 
15.41 Manufacture of non-refined oils and fats 
15.42 Manufacture or refined oils and fats 
15.43 Manufacture of margarine 
15.5 Manufacture of dairy foods 
15.51 Processing of milk and manufacture of cheese 
15.52 Manufacture of ice-cream 
15.6 Manufacture of foods of the flour-milling and cereal industry, 
starches and starch products 
15.61 Manufacture of foods of the flour-milling and cereal industry 
15.62 Manufacture of star ch and starch products 
15.7 Manufacture of read y feedstuffs for animals 
15.71 Manufacture of ready feedst uffs for animals kept at farms 
15.72 Manufacture of ready feed stuffs for domestic animals 
15.8 Manufacture of other foodstuffs 
15.84 Manufacture of cocoa, chocolate and sugar confectionery 
15.87 Manufacture of spices and seasonings 
15.88 Manufacture of baby food and dietetic foodstuffs 15 Manufacture of 
foodstuffs 
15.89 Manufacture of other foodstuffs not entered in other groups (soups, 
meat broth, yeast, egg solids)  WT/ACC/SPEC/KAZ/9 
 Page 131 
 
 
 No. Name of the section Code Name of the type and sub-type of activity 
1 2 3 4 
17.1 Spinning of textile fibres 
17.11 Spinning of cotton fibres 
17.12 Carding spinning of wool fibres 
17.13 Combing spinning of wool fibres 
17.14 Spinning of flax fibres 
17.15 Manufacture of natural silk , artificial and synthetic fibres 
17.16 Manufacture of sewing threads 
17.17 Preparation and spinning of other textile fibres 
17.2 Weaving industry 
17.21 Manufacture of cotton cloths 
17.22 Manufacture of woollen cloths of fibres of carding spinning 
17.23 Manufacture of woollen cloths of fibres of combing spinning 
17.24 Manufacture of silk cloths 
17.25 Manufacture of other textile cloths 
17.4 Manufacture of ready-made textile articles, except for clothes 
17.40 Manufacture of ready-made textile articles, except for clothes 
17.5 Manufacture of other textile articles 
17.51 Manufacture of carpets and carpet articles 
17.52 Manufacture of cordage, ropes, binder and nets 
17.53 Manufacture of non-woven textile materials and articles of them 
17.54 Manufacture of other textile articles not entered in other groups 
17.6 Manufacture of knitted fabric 
17.60 Manufacture of knitted fabric 
17.7. Manufacture of knitted articles 
17.71 Manufacture of knitted hosiery articles 17 Textile industry 
17.72 Manufacture of knitted pullovers , cardigans and analogous articles 
18.1 Manufacture of clothes of leather 
18.10 Manufacture of clothes of leather 
18.2 Manufacture of clothes of textile materials 
18.21 Manufacture of  special clothes 
18.22 Manufacture of outerwear 
18.23 Manufacture of underwear 
18.24 Manufacture of other clothes and accessories 
18.3 Dressing and dyeing of fur; manufacture of fur articles 18 Manufacture of clothes, 
dressing and dyeing of 
fur 
18.30 Dressing and dyeing of fur; manufacture of fur articles 
19.1 Hardening and finishing of leather 
19.10 Hardening and finishing of leather 
19.2 Manufacture of cases, bags and other articles of leather 
19.20 Manufacture of cases, bags and other articles of leather 
19.3 Manufacture of footwear 19 Manufacture of leather, 
articles of leather and 
manufacture of footwear 
19.30 Manufacture of footwear 
20.2 Manufacture of veneer, plywood, boards and panels 
20.20 Manufacture of veneer, plywood, boards and panels 
20.3 Manufacture of wooden buildi ng structures and joiner's articles 20 Processing of wood and 
manufacture of articles 
of wood 
20.30 Manufacture of wooden building structures and joiner's articles WT/ACC/SPEC/KAZ/9 
Page 132  
 
 No. Name of the section Code Name of the type and sub-type of activity 
1 2 3 4 
21.1 Manufacture of pulp, paper and cardboard 
21.11 Manufacture of pulp 
21.12 Manufacture of paper and cardboard 
21.2. Manufacture of articles of paper and cardboard 
21.21 Manufacture of corrugated ca rdboard, paper and cardboard tare 
21.22 Manufacture of paper articles of household and sanitary-hygienic 
designation 
21.23 Manufacture of writing paper articles 
21.24 Manufacture of wallpaper 21 Manufacture of pulp, 
paper, cardboard and articles of it 
21.25 Manufacture of other articles of paper and cardboard 
22.2. Printing activity and rendering of services in that field 
22.22 Printing activity not entered in other groups 22 Printing industry and 
rendering of services in 
that field 22.23 Stitching-binding and finishing activity 
23.2 Manufacture of oil products 23 Manufacture of oil 
products 23.20 Manufacture of oil products, except for: 
- manufacture of motor fuel: gasoline, kerosene, etc. 
- manufacture of fuel:  light distillate fuel, middle distillate fuel 
and heavy distillate (diesel) fuel, oil refinery gases such as 
ethane, propane, butane, etc. 
24.1 Manufacture of general chemical matters 
24.11 Manufacture of industrial gases 
24.12 Manufacture of colours and pigments 
24.13 Manufacture of other general inorganic (chemical) matters 
24.14 Manufacture of general organic (chemical) matters, except for: 
- manufacture of wood coal, 
- manufacture of pitch and pitch coke, 
- rectification of coal-tar resin 
24.15 Manufacture of fertilis ers and nitrogen compounds 
24.16 Manufacture of plastics in primary forms 
24.17 Manufacture of synthetic caoutchouc 
24.2 Manufacture of agricu ltural chemical products 
24.20 Manufacture of agricultural chemical products 
24.3 Manufacture of paints and lacquers 
24.30 Manufacture of paints, lacquers and analogous coatings, typographic 
paints and mastics 
24.4 Manufacture of pharmaceutical products 
24.41 Manufacture of genera l pharmaceutical products 
24.42 Manufacture of pharmaceutical  preparations and materials 
24.5 Manufacture of soap and washing, cleansing and polishing matters, 
perfume and cosmetic matters 
24.51 Manufacture of soap and washing, cleansing and polishing matters 
24.52 Manufacture of perfume and cosmetic matters 
24.6 Manufacture of other chemical products 
24.61 Manufacture of explosive materials 
24.62 Manufacture of glues and gelatine 
24.63 Manufacture of essences 
24.64 Manufacture of photographic materials 
24.65 Manufacture of ready-made unrecorded carriers of information 
24.66 Manufacture of other chemical products 
24.7 Manufacture of artificial and synthetic fibres 24 Chemical industry 
24.70 Manufacture of artificial and synthetic fibres  WT/ACC/SPEC/KAZ/9 
 Page 133 
 
 
 No. Name of the section Code Name of the type and sub-type of activity 
1 2 3 4 
25.1 Manufacture of rubber articles 
25.11 Manufacture of rubber tires, cases and tubes 
25.13 Manufacture of other rubber articles 
25.2 Manufacture of plastic articles 
25.21 Manufacture of plastic plates, strips, tubes and profiles 
25.22 Manufacture of plastic articles for package of goods 
25.23 Manufacture of plastic articles used in construction 25 Manufacture of rubber 
and plastic articles 
25.24 Manufacture of other plastic articles 
26.1 Manufacture of glass and articles of glass 
26.11 Manufacture of sheet glass 
26.12 Forming and processing of sheet glass 
26.13 Manufacture of hollow glass articles 
26.14 Manufacture of glass fibre 
26.15 Manufacture and processing of other glass articles 
26.2 Manufacture of ceramic articles, except for ones used in construction 
26.21 Manufacture of household and decorative ceramic articles 
26.22 Manufacture of ceramic  sanitary-technical articles 
26.23 Manufacture of ceramic electric insulators and insulating accessories 
26.24 Manufacture of other technical ceramic articles 
26.25 Manufacture of other ceramic articles 
26.26 Manufacture of refractory products 
26.3 Manufacture of ceramic tiles and plates 
26.30 Manufacture of ceramic tiles and plates 
26.4 Manufacture of bricks, tiles and other building articles of burnt clay 
26.40 Manufacture of bricks, tiles and other building articles of burnt clay 
26.5 Manufacture of cement, lime and gypsum 
26.51 Manufacture of cement 
26.52 Manufacture of lime 
26.53 Manufacture of gypsum 
26.6 Manufacture of articles of concrete, gypsum and cement 
26.61 Manufacture of building articles of concrete 
26.62 Manufacture of gypsum articles for use in construction 
26.63 Manufacture of concrete ready for use 
26.64 Manufacture of dry concrete mixtures 
26.65 Manufacture of articles of asbestos cement and fibrous cement 
26.66 Manufacture of other articles of concrete, gypsum and cement 
26.8 Manufacture of other non-metal mineral products 
26.81 Manufacture of abrasive articles 26 Manufacture of other 
non-metal mineral 
products 
26.82 Manufacture of other non-metal mineral products not entered in other 
groups WT/ACC/SPEC/KAZ/9 
Page 134  
 
 No. Name of the section Code Name of the type and sub-type of activity 
1 2 3 4 
27.2 Manufacture of tubes 
27.21 Manufacture of tube of iron 
27.22 Manufacture of steel tubes 
27.3 Other primary processing of iron and steel and manufacture of 
ferrous alloys 
27.31 Cold drawing 
27.32 Cold rolling of strands and narrow strips 
27.33 Cold pressing and bending 
27.34 Manufacture of wires 
27.35 Manufacture of ferrous alloys and other products being out of 
consideration of the ECSC (Eur opean Coal and Steel Community) 
27.4 Manufacture of non-ferrous metals 
27.42 Manufacture of aluminium, except for: 
- manufacture of aluminium by electrolytic refining of aluminium 
wastes and scrap 
27.43 Manufacture of lead, zinc and tin, except for: 
- manufacture of lead, zinc and tin from ore; 
- manufacture of lead, zinc and tin by electrolytic refining of 
wastes and scrap of lead, zinc and tin 
27.44 Manufacture of copper, except for: 
manufacture of copper from ore; 
manufacture of copper by electrolytic refining of copper wastes and scrap 27 Metallurgical industry 
27.45 Manufacture of other non-ferrous metals 
28.1 Manufacture of building metal structures and articles 
28.12 Manufacture of building metal articles 
28.2 Manufacture of metal reservoirs, radiators and boilers of the central 
heating system 
28.21 Manufacture of metal cisterns, reservoirs and containers 
28.22 Manufacture of radiators and boilers of the central heating system 
28.3 Manufacture of steam boilers, exce pt for boilers of the central heating 
system 
28.30 Manufacture of steam boilers, exce pt for boilers of the central heating 
system 
28.7 Manufacture of other ready-made metal articles 
28.71 Manufacture of metal barrels and analogous containers 
28.71 Manufacture of package of light metals 
28.73 Manufacture of articles of wire 
28.74 Manufacture of fastening articles, chains and springs 28 Manufacture of ready-
made metal articles 
28.75 Manufacture of other ready-made metal articles  WT/ACC/SPEC/KAZ/9 
 Page 135 
 
 
 No. Name of the section Code Name of the type and sub-type of activity 
1 2 3 4 
29.1 Manufacture of mechanical equipment 
29.11 Manufacture of engines and turbines, except for aircraft, car and 
motorcycle engines 
29.12 Manufacture of pumps, compressors and hydraulic systems 
29.13 Manufacture of taps and valves 
29.14 Manufacture of bearings, gear tr ansmissions, elements of mechanical 
transmissions and drives 
29.2 Manufacture of other equipment of general designation 
29.21 Manufacture of fu rnaces and kiln burners 
29.22 Manufacture of lifting-transporting equipment, except for: 
technical servicing of elevators and escalators 
29.23 Manufacture of industrial refrigerating and ventilating equipment 
29.24 Manufacture of other machinery and equipment of general 
designation not entered in other groups 
29.3 Manufacture of machinery and equipment for agriculture and forestry 
29.31 Manufacture of agricultural tractors 
29.32 Manufacture of other machiner y and equipment for agriculture and 
forestry 
29.4 Manufacture of machines 
29.40 Manufacture of machines 
29.5 Manufacture of other mach inery and equipment of special 
designation 
29.51 Manufacture of machinery and equipment for metallurgy 
29.52 Manufacture of machinery and equipment for production of minerals 
and construction 
29.53 Manufacture of machinery and equipment for preparation of 
foodstuffs, including beverages, and tobacco articles 
29.54 Manufacture of equipment for production of textile, garment, fur and 
leather articles 
29.55 Manufacture of machinery and equipment for production of paper 
and cardboard 
29.56 Manufacture of other mach inery and equipment of special 
designation not entered in other groups 
29.7 Manufacture of home appliances 
29.71 Manufacture of home electric appliances 29 Manufacture of 
machinery and equipment 
29.72 Manufacture of home non-electric appliances 
30.0 Manufacture of office equi pment and computing machines 
30.01 Manufacture of  office equipment 30 Manufacture of office 
equipment and 
computing machines 30.02 Manufacture of electronic computing machines and other equipment 
for processing of information WT/ACC/SPEC/KAZ/9 
Page 136  
 
 No. Name of the section Code Name of the type and sub-type of activity 
1 2 3 4 
31.1 Manufacture of electric engine s, generators and transformers 
31.10 Manufacture of electric engines, generators and transformers 
31.2 Manufacture of electric distributing and controlling equipment 
31.20 Manufacture of electric distributing and controlling equipment 
31.3 Manufacture of insulated wires and cables 
31.30 Manufacture of insulated wires and cables 
31.4 Manufacture of galvanic elemen ts (electric batteries and primary 
cells) 
31.40 Manufacture of galvanic elemen ts (electric batteries and primary 
cells) 
31.5 Manufacture of electric lamps and lighting equipment 
31.50 Manufacture of electric lamps and lighting equipment 
31.6 Manufacture of other electric equipment 
31.61 Manufacture of electric equipment for engines and transport vehicles 31 Manufacture of electric 
machinery and electric equipment 
31.62 Manufacture of other electri c equipment, except for electric 
equipment for engines and transport vehicles 
32.1 Manufacture of electric and radio elements 
32.10 Manufacture of elect ric and radio elements 
32.2 Manufacture of transmitting equipment 
32.20 Manufacture of transmitting equipment 
32.3 Manufacture of equipment for r eceiving, recording and replaying of 
sound and picture 32 Manufacture of 
equipment for radio, 
television and 
communication 
32.30 Manufacture of equipment for r eceiving, recording and replaying of 
sound and picture 
33.1 Manufacture of articles of medi cal equipment, including surgical 
equipment, and orthopaedic attachments 
33.10 Manufacture of articles of medi cal equipment, including surgical 
equipment, and orthopaedic attachments 
33.2 Manufacture of controlling-meteri ng devices, except for devices of 
control and adjustment of technological processes 
33.20 Manufacture of controlling-meteri ng devices, except for devices of 
control and adjustment of technological processes 
33.4 Manufacture of optical devices and photographic equipment 
33.40 Manufacture of optical devices and photographic equipment 
33.5 Manufacture of watches 33 Manufacture of articles 
of medical equipment, 
means of 
measurements, optical devices and equipment 
33.50 Manufacture of watches 
34.1 Manufacture of cars 
34.10 Manufacture of cars 
34.2 Manufacture of car bodies, manuf acture of trailers and semi-trailers 
34.20 Manufacture of car bodies, manuf acture of trailers and semi-trailers 
34.3 Manufacture of parts and acce ssories to cars and their engines 34 Manufacture of cars, 
trailers and semi-
trailers 
34.30 Manufacture of parts and acce ssories to cars and their engines  WT/ACC/SPEC/KAZ/9 
 Page 137 
 
 
 No. Name of the section Code Name of the type and sub-type of activity 
1 2 3 4 
35.1 Building and repair of vessels 
35.11 Building and repair of vessels, except for: 
- building of military ships, - cutting of vessels for metal scrap 
35.12 Building and repaid of  sportive-tourist vessels 
35.2 Manufacture of railway rolling stock 
35.20 Manufacture of railway rolling stock 
35.3 Manufacture of aircraft, including space ones 
35.30 Manufacture of airc raft, including space ones 
35.4 Manufacture of motorcycles and bicycles 
35.41 Manufacture of motorcycles 
35.42 Manufacture of bicycles 35 Manufacture of other 
transport vehicles 
35.43 Manufacture of carri ages for the disabled 
36.1 Manufacture of furniture 
36.11 Manufacture of chairs and other furniture for sitting, except for: 
finishing, such as upholstering of  chairs, and other furniture for 
sitting 
36.12 Manufacture of furniture for offices and trading enterprises 
36.13 Manufacture of kitchen furniture 
36.14 Manufacture of other furniture, except for: 
finishing of furniture, except for chairs and other furniture for sitting, 
such as spraying treatment, painting, polishing, lacquering and upholstering 
36.15 Manufacture of mattresses 
36.3 Manufacture of musical instruments 
36.30 Manufacture of musical instruments 
36.4 Manufacture of sportive goods 
36.40 Manufacture of sportive goods 
36.5 Manufacture of games and toys 36 Manufacture  of 
furniture and other products not entered in 
other groups 
36.50 Manufacture of games and toys 
37.2 Processing of non-metal wastes and scrap 37 Processing of 
secondary raw products 37.20 Processing of non-metal wastes and scrap 
40.1 Production and distribu tion of electrical energy 
40.10 Production and distribution of electrical energy 
40.2 Production and distribution of gaseous fuel 
40.20 Production and distribution of gaseous fuel 
40.3 Supply of steam and hot water 40 Production of electrical 
energy, gas, steam and water 
40.30 Production and supply of steam and hot water 
41.0 Collection, purification and distribution of water 41 Collection, purification 
and distribution of  water 41.00 Collection, purification and distribution of water WT/ACC/SPEC/KAZ/9 
Page 138  
 
 No. Name of the section Code Name of the type and sub-type of activity 
1 2 3 4 
45.1 Preparation of a building site 
45.11 Dismantling and demolition of buildings; land operations, except for 
preparation of sites for mining operations 
45.12 Exploration drilling 
45.2 Construction of buildings and erections 
45.21 General construction operations 
45.22 Arrangement of coverings of buildings and erections 
45.23 Building of roads, autodromes and sportive facilities 
45.24 Construction of water facilities 
45.25 Other building operations 
45.3 Installation of engineering equipment in buildings and erections 
45.31 Wiring operations 
45.32 Insulation operations 
45.33 Sanitary-technical operations 
45.34 Installation of other engineering equipment 
45.4 Finishing operations 
45.41 Plastering operations 
45.42 Joiner's and carpenter's operations 
45.43 Arrangement of coverings of floors and facing of walls 
45.44 Painting and glazing operations 45 Construction 
45.45 Other finishing operations 
55.2 Rendering of services by ot her places for short-term accommodation 
55.21 Rendering of services by youth tourist camps and mountain tourist 
bases 55 Rendering of services 
by hotels and 
restaurants 
55.22 Rendering of services by camping, except for: 
- in rural houses, flats 
- in other places for short-term accommodation, such as houses 
for visitors, residential houses at farms 
60.1 Activity of railway transport 
60.10 Activity of railway transport 
60.2 Activity of other land transport 
60.21 Activity of other land transport subject to timetable 
60.24 Activity of freight motor transport 
60.3 Transportation by pipelines 60 Activity of land 
transport 
60.30 Transportation by pipelines 
61.1 Activity of marine transport 
61.10 Activity of marine transport 
61.2 Activity of river transport 61 Activity of water 
transport 
61.20 Activity of river transport 
62.1 Activity of air transport subject to timetable 
62.10 Activity of air transport subject to timetable 
62.2 Activity of air transport not subject to timetable 62 Activity of air transport 
62.20 Activity of air transport not subject to timetable 
73.1 Researches and developments in the field of natural and technical 
sciences 73 Researches and 
developments 
73.10 Researches and developments in the field of natural and technical 
sciences 
80.1 Primary education (first level) 
80.10 Primary education (first level) 
80.2 Secondary education (second level) 80 Education 
80.21 General secondary education (second level) 
85.1 Activity in the field of healthcare 85 Healthcare and 
rendering of social 
services 85.11 Activity of hospital institutions  WT/ACC/SPEC/KAZ/9 
 Page 139 
 
 
 No. Name of the section Code Name of the type and sub-type of activity 
1 2 3 4 
92.1 Activity connected with cinema and video films 
92.13 Showing of cine-films 
92.3 Other entertainment activity 
92.33 Activity of parks of entertainment and leisure 
92.6 Activity in the field of sport 
92.61 Activity of sportive items 92 Activity for 
organisation of leisure and entertainment, 
culture and sport 
92.62 Other activity in the field of sport WT/ACC/SPEC/KAZ/9 
Page 140  
 
 ANNEX 4  
(a) List of joint-stock companies with st ate-owned shares, including national companies
 
No. Business name State 
share 
(%) Line of activity, Notes 
1 2 3 4 
Oil and Gas 
1 JSC National Company "KazMunaiGaz"  (Astana) 100 oil and gas  
2 JSC Main Dispatching Unit for Oil and Gas Industry (Astana) 100 oil and gas 
3 OJSC Pavlodar Petrochemical Plant (Pavlodar) 49 oil refinery, etc. 
4 OJSC Kondensat (Aksai) 8,7  gas 
Mining 
5 OJSC Joint Venture 'Vasilkovskoe Zoloto' (Akmola Oblast) 40 mining 
6 OJSC Sokolovsk-Sarbai Conglomerate Mill (Rudny, Kostanai 
Oblast) 39.5 mining 
7 OJSC Akbaka Concentration Plant (Zhambyl Oblast) 33.3 mining, etc. 
8 JSC Transnational Company 'Kazchro mium' (Almaty) 31.37 metallurgical industry          
9 JSC KazZinc (Ust-Kamenogorsk) 27.64 metallurgical industry          
10 OJSC Maikainzoloto (Pavlodar Oblast) 25 mining, etc. 
Manufacturing 
11 OJSC National Company "Kazakhstan Engineering"  (Astana) 100 mechanical engineering 
12 OJSC Kazchermetautomatica (Karagan dy)   90 mechanical engineering 
13 OJSC Kazakhstantractor (Pavlodar) 33.92 mechanical engineering 
Energy 
14 OJSC Kazakhstan Electricity Grid Operating Company 
(KEGOC) (Almaty) 100 transportation of electric 
energy, National Company 
15  CJSC National Nuclear Power Company "Kazatomprom" 
 (Almaty) 100 nuclear energy, National 
Company 
16 CJSC Kazakhenergoexpertise (Almaty) 100 power equipment testing  
17 CJSC Operator of the Market of Electric Energy and Generated 
Output of the Republic of Kazakhstan (Almaty) 100 electric energy market 
tendering 
18 CJSC Ekibastuz Power Center (Ekibastuz) 100 electric energy 
19 OJSC Taldykorgan Joint-Stock Company for Transportation by 
Electric Networks (TATEC) (Almaty Oblast) 100 transportation of electric 
energy, etc. 
20  OJSC West Kazakhstan Distributing Power Company 
'Uralskenergo' (Uralsk) 100 transportation of electric 
energy, etc. 
21  OJSC Mangystau Distributing Power Company (Aqtau) 93.8 transportation of electric 
energy, etc. 
22 OJSC Zhezkazgan Distributing Power Company (Zhezkazgan) 90 transportation of electric 
energy 
23 OJSC Bukhtarma Water Power Plant (E ast Kazakhstan)  90 electric energy 
24 OJSC Chokin Institute of Powe r Research of the Republic of 
Kazakhstan (Almaty) 49.34 power research  
25 OJSC Eurasian Power Corporation (Aksu, Pavlodar Oblast) 24.33 electric energy 
26 OJSC Astanaenergoservice (Astana) 15.34 energy transportation 
Transport and Communications 
27 JSC National Company 'Kazakhstan Temir Zhol y' (Astana) 100 railway transportation 
28 CJSC Air Astana (Astana) 51 air transportation 
29 OJSC Aircompany 'Zhezkazgan Air' (Z hezkazgan) 90 air tran sportation, etc. 
30 JSC International Airport 'Aqtobe' (Aqtobe) 100 airport services  
31 CJSC International Airport 'Astana' (Astana) 100 national company 
32 CJSC National Shipping Company "Kazmortransflot" (Astana) 50 maritime traffic  WT/ACC/SPEC/KAZ/9 
 Page 141 
 
 
 No. Business name State 
share 
(%) Line of activity, Notes 
1 2 3 4 
33 OJSC Kazakhtelecom (Astana) 50 communications, national 
company 
34 OJSC Kazmail (Almaty) 100 communications, national 
company 
35 JSC Republican Center of Space Communications and 
Electromagnetic Compatibility of Radioelectronic Facilities 
(Astana) 100 space technologies and 
communications  
36 CJSC Catelco (Almaty) 37 satellite communications 
37 CJSC National Information Technologies (Astana) 100 development and 
implementation of 
computer technologies 
Agriculture 
38 JSC Food Contract Corporation (Astana) 100 procurement and storage of 
national grain reserves, National Company 
39 CJSC Kazagrex (Almaty) 100 grain quality testing 
40 CJSC Corporation of Meet Products (Astana) 100 processing of agricultural 
products  
41 OJSC Asyl Tulik (Aqmola Oblast) 76.77 breeding 
42 OJSC Breeding Station "Astana-Kus"  (Aqmola Oblast) 70 poultry breeding 
43 OAO Sultan (Petropavl) 58.66 grain storage, etc. 
Education and Science 
44 CJSC Karagandy Institute of Metallurgy (Temirtau) 97 scientific research in 
mining 
45 OJSC Road Research Institute of the Republic of Kazakhstan 
(Almaty) 90.01 highway design  
46 JSC S.Seifullin Agrarian University of the Republic of 
Kazakhstan (Astana) 80 education 
47 CJSC Zhezkazgan Baikonurov University (Zhezkazgan) 80 education 
48 CJSC Institute of Complex Subsurface Development 
(Karagandy) 80   
49 OJSC Academy of Civil Aviation (Almaty) 80 education 
50 CJSC F.F.Mukhamedgaliev Institute of Experimental Biology 
(Almaty) 54 biological research 
51 OJSC T.Ryskulov University of Economics of the Republic of 
Kazakhstan (Almaty) 35 education 
52 JSC Academy of Sports and Tourism of the Republic of 
Kazakhstan (Almaty) 35 education 
53 JSC Head Academy of Architecture and Construction of the 
Republic of Kazakhstan (Almaty)  35 education 
54 OJSC M.Tynyshpaev Kazakh Academy of Transport and 
Communications (Almaty) 35 education 
55 OJSC Abylai-khan University of Foreign Affairs and World 
Languages (Almaty) 35 education 
56 OJSC Humanitarian University of Law of the Republic of 
Kazakhstan (Astana) 35 education 
57 JSC Almaty Institute of Energy and Communications (Almaty) 33.6 education 
Finance 
58 CJSC Fund for the Development of Small Businesses (Almaty) 100 lending to small businesses  
59 CJSC Kazakh Center for the Promotion of Investments 
(Almaty) 100 assessment of investment 
projects  
60 JSC National Fund of Innovations (Almaty) 100 investments WT/ACC/SPEC/KAZ/9 
Page 142  
 
 No. Business name State 
share 
(%) Line of activity, Notes 
1 2 3 4 
61 JSC  Investment Company: Investment Fund of Kazakhstan 
(Almaty) 100 investments 
62 JSC National Insurance Corporation for the Insurance of Export 
Loans and Investments (Almaty) 100 investments 
63 JSC Kazagromarketing (Astana) 100 agricultural marketing  
64 JSC Agrarian Credit Corporation (A stana)  100 agricultural lending 
65 CJSC Fund for the Financial Support to Agriculture (Astana) 100 agricultural lending 
66 JSC KazAgroFinance (Astana) 100 agricultural lending 
67 CJSC Rehabilitation Fund (Astana) 100 repayment of relief loans 
68 CJSC Debt Management Center  100 financial debt management 
69 JSC  Housing Savings Banks of Kazakhstan (Almaty) 100 banking 
70 CJSC Capital Development Corporation (Astana) 100 attraction of investments  
71 CJSC National Accumulation Insurance Fund (GNPF) (Astana) 100 pension fund, etc. 
72 JSC Grain Liabilities Guaranty Fund (Astana) 90 guarantee of liabilities of 
grain receiving companies 
73 JSC Development Bank of Kazakhstan (Astana) 80 banking 
Mass Media 
74 OJSC Kazakh Gazetteri (Almaty) 100 mass media 
75 JSC Republican Newspaper "Egemen Kazakhstan" (Astana)     100 mass media 
76 JSC Republican Newspaper "Kazakhstanskaya Pravda" (Astana) 100 mass media 
77 OJSC Zhas Orken (Almaty) 100 mass media 
78 JSC Republican Television and Radio Corporation 'Kazakhstan' 
(Almaty) 100 radio- and tele-broadcasting 
79 CJSC Television and Radio Complex of the President of the 
Republic of Kazakhstan (Astana)  100 radio- and tele-broadcasting 
80 OJSC Kazteleradio (Almaty) 76.5 transmission of tele- and 
radio signals, etc. 
81 JSC Khabar Agency (Almaty) 50+1 
share radio- and tele-broadcasting 
82 OJSC National Company 'Kazakh Informatio n Agency' (Astana) 100 National Company 
Publishing 
83 OJSC Kazbaspasoz (Almaty) 100 polygraphy 
84 CJSC Publishing House of Magazine 'Health Service in 
Kazakhstan' (Almaty) 100 publishing 
85 CJSC Kazakh Encyclopedia (Almaty) 100 publishing 
86 OJSC Zan (Almaty) 67 legal services 
Miscellaneous 
87 OJSC National Assessment and Certification Center (Astana) 100 assessment, certification 
88 OJSC National Accreditation Center (Ast ana)   100 pre-accreditation document 
preparation 
89 CJSC Republican Information and Show Center for Small 
Businesses (Astana)    100 information services for 
small businesses 
90 OJSC Kazakhvzryvprom (Almaty) 100 blasting operations 
91 JSC Center of Engineering and Transfer of Technologies 
(Astana) 100   
92 CJSC Institute of Legislature of the Republic of Kazakhstan 
(Astana)    100 legal services 
93 CJSC Logistics Office of the Ministry of Education (Astana) 100 support of the public body 
94 CJSC Diplomatic Corps Management Department (Almaty) 100 support of diplomatic corps 
95 JSC Marketing Research Centre (A lmaty) 100 consultation services 
96 OJSC Medical Transport Service (Almaty) 34 medical services, sanitation  WT/ACC/SPEC/KAZ/9 
 Page 143 
 
 
 No. Business name State 
share 
(%) Line of activity, Notes 
1 2 3 4 
97 CJSC Front Office for Construction Site Surveillance of the 
Administration of the President (Astana) 100 construction site 
surveillance 
98 CJSC Alatau Hotel (Ast ana) 54 hotel services 
99 OJSC Health Resort 'Almaty' (Almaty) 100 medical services, sanitation 
100 CJSC Industrial Park (Almaty) 100 innovation projects 
101 CJSC Republican Centre of Folk Medicine (Almaty) 100 medical services 
102 OJSC Industrial Part of the Association "Progress" 
(Stepnogorsk) 100   
103 CJSC Contract Agency of the Rep ublic of Kazakhstan (Astana) 100   
104 Mangystau Industrial Company (Aqtau) 100 farming of premises and 
property  
105 JSC Kazakhstan Institute of Management, Economics and 
Strategic Research   46.73 education 
106 JSC Centre for Social and Psychological Rehabilitation of Drug 
Addicted Persons 100 medicine 
107 LLP Republican Scientific Centre for Mining Geomechanics 
and Mark Shader's Business ТОО   100 mining 
108 JSC KazKuat  100 electric power 
109 JSC Specialised Guarding Subdivision 'Kuzet'  100 guarding activity 
110 JSC Kazakh Mortgage Company  100 mortgage 
111 JSC 'JC Bayterek' 100 cosmic transport 
 WT/ACC/SPEC/KAZ/9 
Page 144  
 
 (b) Largest state-owned companies
 
 Name Main lines of business 
1 Joint-Stock Company (JSC) 
"National Company 'KazMunaiGaz"  
 Participation in implementation of the state oil and gas policy, 
ensuring efficient use of national oil and gas resources, 
participation in development of the strategy on use, reproduction 
and further expansion of oil and gas resources, representation of Kazakhstan in production sharing agreements, supply of oil and 
gas transportation services, etc. 
2 Open Joint-Stock Company (OJSC) 
"Kazakh Company Electric Network System Administration"  Wholesale power supply through national electric network, 
technical maintenance and repair of the network, ensuring effective work of the single electric network system of 
Kazakhstan, etc. 
3 OJSC "Kazpost"  
 Receipt, processing, transportati on, and delivery of letters, post 
packages, parcels; postal money orders; issuing state postal marks; special communication; pension, social subsidies, etc 
payment service; express an d courier delivery service, 
distribution of periodicals, etc 
4 JSC "Food Contract Corporation"  Purchase, forming, accounting, storage, renewal, transportation 
and sale of the state resources grain and processed grain products. 
5 Closed Joint-Stock Company 
(CJSC)"National Atomic Company "Kazatomprom"  Acts as national operator for export and import of uranium and its 
compounds, nuclear fuel for nuclear power plants, special 
equipment and technologies, reusable materials. 
6 CJSC "National Information 
Technologies"  Development and organization of national information systems 
network in Kazakhstan and their integration into the world 
information infrastructure, ensuring informational independence of Kazakhstan by creating favour able environment for the Single 
Information Area. 
7 JSC "National Company 
Kazakhstan Temir Zholy" Construction, maintenance and modernization of the railway 
system, administration of railway traffic, supply of international railway transportation se rvices, rail freight, etc 
8 CJSC "State Pension Accumulating 
Fund"  Collection of compulsory pension contributions from population, 
payment of pensions, creation of pension assets, investing 
pension assets, etc 
9 JSC "Kazakhtelecom"  Acts as national opera tor of Kazakhstan for bu ilding, installation, 
operation and technical maintenance of public and private 
telecommunication network. 
10 CJSC "International Airport Astana"  
 Receiving, dispatching and maintena nce of aircrafts, supply of 
services for passengers; handling luggage, freight, and post; 
repair and maintenance of airport infrastructure and utilities, 
aviation security service, etc. 
11 OJSC " National Company Kazakh 
Information Agency" (Kazinform) Collection, processing and distribution of news and information 
materials, dissemination of information covering the work of 
governmental bodies and Parliament of the Republic of 
Kazakhstan in local and foreign mass media, monitoring materials of foreign mass media and their dissemination in mass 
media of Kazakhstan, etc 
12 "Kazakhstan Engineering" National 
Company" OJSC (Kazakhstan Engineering) Participation in implementation of the state policy pertaining to 
the development, production, distribution, and liquidation of defence, civil and multipurpose products, etc 
 
Source:  Government Resolution No.182 "On Approval of the List of National Companies" of 16 February 2004 WT/ACC/SPEC/KAZ/9 
 Page 145 
 
 
 (c) State property exempted from privatization,  including its preliminary stages, until 2006  
1. National scientific and technical organizations operating under programs of the Ministry of 
Defense of the Republic of Kazakhstan, the Na tional Security Committee of the Republic of 
Kazakhstan, the Ministry of Internal Affairs of  the Republic of Kazakhstan, the Agency of the 
Republic of Kazakhstan for Emerge ncy Situations, the Ministry of Industry  and Trade of the 
Republic of Kazakhstan, the Agency of the Repub lic of Kazakhstan for the Protection of State 
Secrets, and under fundamental programs of the Ministry of Education and Science of the Republic of Kazakhstan.  
2. Real estate constituting national and mobilizati on reserves, capacities for the production of 
dual-purpose products. 
3. Property transferred by commissariats or local executive bodies to military units and 
organizations mobilized for the purposes of civil defense.  
4. Public organizations and sites used for milita ry purposes, incl. maintenance, launching, and 
tracking of space crafts, R&D in the same fields and in anti-aircraft, anti-missile defense, and radio- and electronic suppression.   
5. Air navigation components of air traffic mana gement systems, telecommunication networks, 
and air safety networks.  
6. Supervisory etc. public bodies and agencies.  
7. Mapping, surveying, and hydrometeorological pu blic agencies, observatories, weather and 
seismic stations.  
8. R&D agricultural bodies of the Ministry of Education and Science of the Republic of 
Kazakhstan; public bodies for grain and seed expe rtise, phytosanitary monitoring, variety test 
centers, quarantine stations and laboratories.  
9. Main Republican and regional channels.  
10. Public veterinary organizations involved in di agnostics of zoonoses, epizootic monitoring of 
wild animals, pre-registration testing and cont rol of veterinary drugs, maintenance of the 
Republican reserve of veterinary drugs, diagnos tics of dangerous contagious animal diseases 
listed in the schedule approved by the Govern ment of the Republic of Kazakhstan, and 
liquidation of focuses of infection. 
11. National organizations for patent management. 
12. Public bodies, sites and equipment for recycling and disposal of solid and liquid radioactive 
waste; graveyards of cattle.  
13. Crematoriums and cemeteries.  
14. Property of the national secure mail service. 
15. Public organizations involved in  reproduction of animals and fish farming (acclimatization 
stations, fish farms, spawning centers). 
16. Property and observation points of the national ne tworks for monitoring of subsoil, subsurface 
waters, and dangerous  geological processes. 
17. Public organizations for the protection and reproduction of fauna and forestry. 
18. Public organizations of preschool educa tion and secondary vocational education. 
19. Major cultural sites supervised by the Cultu ral Committee of the Ministry of Culture, 
Information, and Public Accord of the Repub lic of Kazakhstan, as well as museums, theaters, 
movie houses, libraries, and concert halls in public property.   
20. Collection and depositories of dangerous pa thogens and industrial microorganisms. 
21. Republican bank of biologically active compounds. 
22. Republican bank of samples of drug substances and foreign matters. 
Source: Government Resolution No. 1587 of 24 October 2000 (Annex 1) WT/ACC/SPEC/KAZ/9 
Page 146  
 
 (d) List of national companies and joint stock co mpanies with state-owned shares exempted from 
privatization, including its preliminary stages, until 2006  
1. СJSC National Company 'KazMunaiGaz' (Astana) – 100 per cent 
2. СJSC National Nuclear Power Company 'Kazatomprom' (Almaty) – 100 per cent 
3. OJSC KEGOC (Kazakhstan Electricity Grid Operating Company) (Almaty) – 100 per cent 
4. СJSC National Shipping Company 'Kazmor transflot' (Astana) – 50 per cent 
5. СJSC Food Contract Corporation (Astana) – 100 per cent 
6. OJSC Bukhtarma Water Power Plan t (Ust-Kamenogorsk) – 90 per cent 
7. OJSC Shulbinsk Water Power Plan t (Ust-Kamenogorsk) – 90 per cent 
8. OJSC Ust-Kamenogorsk Water Power Pl ant (Ust-Kamenogorsk) – 90 per cent 
9. СJSC Republican Fund of Innovations (Almaty) – 100 per cent 
10. OJSC KazdorNII (Almaty) – 90 per cent 
11. OJSC Kazchermetautomatica (Karagandy) – 90 per cent 
12. СJSC KazAgroFinance (Astana) – 100 per cent 
13. OJSC Industrial Park (Astana) – 100 per cent 
14. OJSC Tselinnaya Test Plant (Akmola Oblast, Bulandy Rayon, Nikolskoye) – 100 per cent 
15. СJSC National Company 'Kazakhstan Temir Zholy'  
16. OJSC Breeding Station 'Astana-Kus' (Akmol a Oblast, Arshaly Rayon, Aleksandrovka) – 
70 per cent 
17. OJSC Asyl Tylik (Astana, Makinsk lane, 8) – 76.88 per cent 
18. СJSC F.M.Mukhamedgaliev Institute of Experi mental Biology (Almaty) – 54 per cent 
19. OJSC Republican newspaper 'Egemen Kazakhstan' (Astana) – 100 per cent 
20. OJSC Republican newspaper 'Kazakhstans kaya Pravda' (Astana) – 100 per cent 
21. СJSC Republican Information and Show Center for Small Businesses (Astana) – 100 per cent 
22. JSC KazAutoTrans (Astana) – 100 per cent 
23. OJSC National Company 'Kazakhstan E ngineering' (Astana) – 100 per cent 
24. JSC National Insurance Company for the Insuran ce of Export Loans and Investments (Almaty) 
– 100 per cent 
25. СJSC Kazakh Gazetteri (Astana) – 100 per cent 
26. OJSC Zhas Erken (Astana) – 100 per cent 
27. СJSC Institute of Legislature of the Repub lic of Kazakhstan (Astana) – 100 per cent 
28. OJSC Kazakhvzryvprom (Almaty) – 100 per cent 
29. OJSC National Accreditation Center (Astana) – 100 per cent 
30. JSC Kazagrex (Astana) – 100 per cent 
31. OJSC ОАО  Transport Medical Service (Almaty) – 34 per cent 
32. JSC Academy of Civil Aviation (Almaty) – 80 per cent 
33. JSC KazKuat (Almaty) – 100 per cent. 
Source:  Government Resolution No. 1587 of 24 October 2000 (Annex 2)  
  WT/ACC/SPEC/KAZ/9
 Page 147ANNEX 5 
List of services provided by natural monopolies  
Number of natural monopoly 
entities providing such types 
of services included in the 
State Register No. Types of activities referred to 
the sphere of natural monopoly 
in accordance with the Law of 
the Republic of Kazakhstan 
(hereinafter RK) "On Natural 
Monopolies" Regulated types of services 
Republican 
sections Local 
sections Total Regulation mechanism The list of legal acts regulating the activities 
of natural monopoly entities and issues of 
tariff setting 
1 Transportation of oil and/or oil 
products by main pipelines 
(CPC (713, 7131, 7139, 71310)) 
 Transportation of oil and/or oil 
products by main pipelines 
 2  2 Approval of a tariff (prices, fee rates); 
Approval of tariff estimates; 
Imposition of a temporary decreasing 
coefficient; Special order of expenses 
accumulation  The Law of the RK "On Natural Monopolies" 
dated 9 July 1998; the Law of the RK "On 
competition and limitation of monopoly 
activities" dated 19 January 2001; the Law of the RK "On power industry" dated  
16 July 1999 No. 438-1  
2 Transportation of gas and/or gas 
condensate by main pipelines  
(CPC (713, 7131, 7139, 71310)) Transportation of gas and/or gas 
condensate by main pipelines  1 5 6 Approval of a tariff (prices, fee rates); 
Approval of tariff estimates; 
Imposition of a temporary decreasing coefficient; 
Special order of expenses 
accumulation The Resolution of the Government of the RK 
"On approval of the Program of Natural 
Monopoly Entity Tariff Policy Improvement for the period of 2002 – 2004" dated 15 
October  2002 No. 1126   
3 Transportation of gas and/or gas 
condensate by distributing pipelines (CPC (713, 7131, 7139)) Transportation of gas and gas 
condensate by distributing pipelines  1 33 34 Approval of a tariff (prices, fee rates); 
Approval of tariff estimates; Imposition of a temporary decreasing coefficient; 
Special order of expenses 
accumulation The Resolution of the Government of the RK 
"On approval of the Regulation for public hearings conduct when considering the applications for approval or change of the 
tariffs (prices, fee rates) of natural 
monopolies" dated 21 April 2003 No. 376   
4 Operating of gas distributing 
settings and connected gas distributing pipelines  
(CPC  713) Operating of gas distributing 
settings and connected gas distributing pipelines  8 8  Approval of a tariff (prices, fee rates); 
Approval of tariff estimates; Imposition of a temporary decreasing 
coefficient; 
Special order of expenses accumulation The Resolution of the Government of the RK 
"On additional measures for the state regulation of natural monopoly's service 
charges and tariffs" dated 9 April 1999 
No. 400;  
The Concept on Further Market Relations 
Development in the Power Industry of the RK approved by the Resolution of the 
Government of the RK of 18 February  2004 
No. 190;  
The Republic of Kazakhstan's 
Telecommunication Sector Development Program for the years 2003 – 2005", 
approved by the Resolution of the 
Government of RK of 18 February 2003 No. 168;  
The Program of Railway Transport  
 WT/ACC/SPEC/KAZ/9 
Page 148 Number of natural monopoly 
entities providing such types 
of services included in the 
State Register No. Types of activities referred to 
the sphere of natural monopoly 
in accordance with the Law of 
the Republic of Kazakhstan 
(hereinafter RK) "On Natural 
Monopolies" Regulated types of services 
Republican 
sections Local 
sections Total Regulation mechanism The list of legal acts regulating the activities 
of natural monopoly entities and issues of 
tariff setting 
Restructuring for the years 2004-2006 
approved by the Resolution of the 
Government of the RK of 6 February 2004 No. 145 
5 Delivery and/or distribution of 
of electric power by regional or 
interregional electric networks  
(CPC 87700) Delivery of electric power; 
Distribution of electric power; 
Services on providing reliability 
and stability in supply of electric power for electric power consumers 9 
 
9 
 
1 91 
 
88 98 
 
94 
 
1 
  Approval of a tariff (prices, fee rates); 
Approval of tariff estimates; 
Imposition of a temporary decreasing 
coefficient; Special order of expenses 
accumulation The Agency Order "On Approval of the 
Regulation on Expenses Formulation Used to Determine the Tariffs (Prices, fee rates) for 
the Services (Goods, Works) of Natural 
Monopolies" of 30 July 2003 No. 185-OD  
6 Services on technical production 
control of delivery into the 
network and consumption of electric power  
(CPC 87700) Services on technical production 
control of delivery into the network 
and consumption of electric power 1  1 
 Approval of a tariff (prices, fee rates); 
Approval of tariff estimates; 
Imposition of a temporary decreasing coefficient; 
Special order of expenses 
accumulation The Agency Order No. 82-OD dated  
19 March 2003 " Оn adoption of Instructions 
on the approval of tariffs (prices, fee rates) and tariff estimates on services (goods, 
works) of natural monopolies"; 
 
7 Delivery and/or distribution of 
heat energy  (CPC 88) Delivery and/or 
distribution of heat energy 7 
7 162 
162 167 
167 Approval of a tariff (prices, fee rates); 
Approval of tariff estimates; Imposition of a temporary decreasing coefficient; 
Special order of expenses 
accumulation The Agency Order No. 30-OD dated 
3 February 2003 " Оn adoption of Instructions 
on the approval and introduction of tariffs (prices, fee rates) for services (goods, works) 
of natural monopolies for a  medium term 
period" 
8 Production of heat energy by 
heating boiler-houses, stations with mixed type of production  
(CPC 88) Production of heat energy by 
heating boiler-houses, stations with mixed type of production   4 135 139 
 Approval of a tariff (prices, fee rates); 
Approval of tariff estimates; Imposition of a temporary decreasing 
coefficient; 
Special order of expenses accumulation The Order of the Agency No. 49-OD dated  
24 February 2003 " Оn adoption of the 
Instruction on approval of natural monopoly's 
reorganization or liquidation at the authorized 
body"  
9 Services of main railway 
network 
(CPC 71111, 71112) 
  
 
  
 
 (CPC 7112)  
(CPC 71124) Transportation of cargo by 
republican and international 
communications, excluding transit 
transportation; Transportation of passengers by 
railways in republican and 
international communications, excluding transportation of 
passengers by trains formed of the 
carriages produced by "Patents Talgo SA" Spanish company  Transportation of luggage and 
cargo by railways; 
Transportation of mail by railways  1 
 
 
1 
 
 
  
 
 
1 
 
1  
 
 
 1 
 
 
1 
 
 
  
 
 
1 
 
1 Approval of a tariff (prices, fee rates); 
Approval of tariff estimates; 
Imposition of a temporary decreasing 
coefficient; Special order of expenses 
accumulation The Agency Order No. 121-OD dated 
4 May 2003 " Оn adoption of the Instruction 
for approval by the authorized body the 
conduct of other types of activities technically related to the main activities and/or relevant 
to the natural monopoly's sphere in regard to 
the Kazakh legislation on mail"   
  WT/ACC/SPEC/KAZ/9
 Page 149Number of natural monopoly 
entities providing such types 
of services included in the 
State Register No. Types of activities referred to 
the sphere of natural monopoly 
in accordance with the Law of 
the Republic of Kazakhstan 
(hereinafter RK) "On Natural 
Monopolies" Regulated types of services 
Republican 
sections Local 
sections Total Regulation mechanism The list of legal acts regulating the activities 
of natural monopoly entities and issues of 
tariff setting 
10 Approaching ways services   Approaching ways serv ices   2 92 90 Approval of a tariff (prices, fee rates); 
Approval of tariff estimates; 
Imposition of a temporary decreasing coefficient; 
Special order of expenses 
accumulation The Agency Order No. 16-OD dated 
27 January 2003 " Оn adoption of the 
Instruction on approval and concordance of natural monopolies' investment projects" 
 
11 Aeronavigation services 
(CPC 7453 ) Aeronavigation servicing in 
airspace of RK; Aeronavigation servicing in the 
aerodrome area 1 
 
1  1 
 
1 Approval of a tariff (prices, fee rates); 
Approval of tariff estimates; Imposition of a temporary decreasing 
coefficient; 
Special order of expenses accumulation The Agency Order No. 125-OD dated 
5 May 2003 " Оn the Instruction on approval 
of alienation and other property transactions 
of natural monopolies with the authorized 
body"  
12 Port services 
(CPC 745) Ship services; 
Lighthouse services; 
Channel passing services; 
Mooring services; Anchor services; Tie-down services; 
Environment protection measures; 
Quarantine services; Shipment and dumping works. 1 
1 
 
1 
 
1 
1 
1 
 
1 
  
1 
 
1 
2  1 
1 
 
1 
 
1 
1 
1 
 
1 
  
1 
 
1 
2 Approval of a tariff (prices, fee rates); 
Approval of tariff estimates; 
Imposition of a temporary decreasing 
coefficient; Special order of expenses accumulation The Agency Order No. 57-OD dated 
26 February 2003 " Оn approval of the 
Regulation for addition and exclusion of 
natural monopolies from the State Register of natural monopoly entities"  
13 Airport services  
(CPC 731) Services on providing take off and 
landing of an aircraft; 
Services on providing aviation  safety  2 
 
 
2 18 
 
 
18 20 
 
 
20 Approval of a tariff (prices, fee rates); 
Approval of tariff estimates; 
Imposition of a temporary decreasing coefficient; 
Special order of expenses 
accumulation The Agency Order No. 80-OD dated 
19 March 2003 " Оn adoption of the 
Regulation on tariff  establishment (prices, fee rates) according to a simplified 
procedure" 
  
 WT/ACC/SPEC/KAZ/9 
Page 150 Number of natural monopoly 
entities providing such types 
of services included in the 
State Register No. Types of activities referred to 
the sphere of natural monopoly 
in accordance with the Law of 
the Republic of Kazakhstan 
(hereinafter RK) "On Natural 
Monopolies" Regulated types of services 
Republican 
sections Local 
sections Total Regulation mechanism The list of legal acts regulating the activities 
of natural monopoly entities and issues of 
tariff setting 
14 Telecommunication services 
with the use of local networks  
(CPC (752, 75211, 75212)) Connection of subscriber terminal 
to the telecommunication network; 
Providing local telephone communication according to a 
subscriber payment system; 
Providing local telephone communication according to time 
payment system; 
Providing inter-town telephone communication; 
Leasing of digital telephone 
channels of inter-town and zonal networks; Telegram sending in RK; 
Providing television broadcasting 
channel; Providing network resources to 
communication statement   3 
 
  
 
  
 
  
 
   
 
  12 
 
  
 
 15 
 
  
 
  
 
  
 
   
 
  Approval of a tariff (price, fee rates); 
Approval of tariff estimates; 
Imposition of a temporary decreasing coefficient; 
Special order of expenses 
accumulation The Agency Order No. 46-OD dated 
20 February 2003 " Оn approving the 
Regulation on reducing tariffs (prices, collection rates) for services (goods, works) 
provided for all consumers of natural 
monopoly entities during validity of tariffs (prices, collection rates)"; 
 
The Order of the Agency No. 216-OD dated 28 October 2002 " Оn approving the 
Regulation on applying antimonopoly 
regulation measures in case of violation of antimonopoly legislation"  
15 Water management system 
services  
(CPC (9401, 94010)) Delivery of water by main 
networks; 
Delivery of water by distribution networks; 
Water scoop and water purification  3 
 
4 
 
 
7  
 
315 
 
 
315 3 
 
319 
 
 
322 Approval of a tariff (price, fee rates); 
Approval of tariff estimates; 
Imposition of a temporary decreasing coefficient; 
Special order of expenses 
accumulation The order of the Agency No. 149-OD dated 
6 June 2003 " Оn approving the Regulation on 
procurement of material, financial resources and services, the costs of which  are taken 
into account when setting tariffs (prices, 
collection rates) on the services provided by natural monopoly entities 
16 Sewerage system services  
(CPC (940, 401, 94010)) Drainage of sewage water; 
Purification of sewage water  3 
 
3 159 
 
159 162 
 
162 Approval of a tariff (price, fee rates); 
Approval of tariff estimates; 
Imposition of a temporary decreasing 
coefficient; Special order of expenses 
accumulation The Order of the Agency No. 04-OD dated 
13 January 2003 " Оn terms of approving 
tariffs (prices, collection rates) for the 
services (goods, works) of natural monopoly entities" 
 
17 Public mail services  
(CPC 751) Sending of a letter; 
Sending of a card; 
Sending a postal wrapper  1 
 
1 1  1 
 
1 1 Approval of a tariff (price, fee rates); 
Approval of tariff estimates; 
Imposition of a temporary decreasing coefficient; 
Special order of expenses 
accumulation The Order of the Agency No. 118-OD dated 
7 June 2002 " Оn approving the Regulation on 
preparing, compiling and agreeing a normative legal act and le gal act drafts of the 
Agency of the Republic of Kazakhstan on 
regulation of natural monopolies and protection of competition"; 
The Order of the Agency No. 44-OD dated 
20 February 2003 " Оn additional 
requirements to the mandatory annual natural monopoly entity audit agreement"; 
The Order of the Agency of  
  WT/ACC/SPEC/KAZ/9
 Page 151Number of natural monopoly 
entities providing such types 
of services included in the 
State Register No. Types of activities referred to 
the sphere of natural monopoly 
in accordance with the Law of 
the Republic of Kazakhstan 
(hereinafter RK) "On Natural 
Monopolies" Regulated types of services 
Republican 
sections Local 
sections Total Regulation mechanism The list of legal acts regulating the activities 
of natural monopoly entities and issues of 
tariff setting 
26 December 2003 No. 341-OD " Оn 
approving the Regulation on agreeing a 
temporary compensating tariff (price, collection rate)"; 
The Order of the Agency " Оn approving the 
Regulation on natural monopoly entity investment program implementation 
efficiency monitoring" of 26 December 2003 
No. 340-OD; The Regulation on public utilities services 
providing and the Regulation on electric 
power consumption, The Regulation on heating power consumption approved by the 
resolution of the Government of the republic 
of Kazakhstan of  7 December 2000 No. 1822; The Regulation on establishing and 
cancellation of  reducing coefficients to the 
tariffs on electric power delivery (transit) services approved by the Order of the 
Chairman of the Agency of 
29 December 1999 No. 23- OD  registered in 
the Ministry of Justice of the Republic of 
Kazakhstan of  6 January 2000 No. 1025  
 
 WT/ACC/SPEC/KAZ/9 
Page 152  
 
 ANNEX 6 
Nomenclature of Telecommunication Services and Telecommunication Technologically Related 
Services subject to Government-regulated Prices  
 1.  Telecommunication services 
 1)  Telephone traffic services for communication operators: 
- local telephone traffic; 
- intraband telephone traffic; - long-distance telephone traffic; - international telephone traffic; and 
- telephone traffic from/to th e cellular network operators. 
2.  Telecommunication services technologically related services  1)  Services to connect communication ope rators to the Public Switched Telephone 
Network at: 
- local level; 
- intraband and long-distance level; and 
- long-distance and international level. 
 2)  Leasing infrastructure elements (technological equipment) to communication 
operators for connection to the P ublic Switched Telephone Network of: 
- communication lines and cables (except for unused optical fiber); 
- telephone cable ductwork; and 
- facilities, premises and communication line posts.  
 3)  (Analog and digital) channels leasing services to communication operators at: 
- local level; 
- intraband; - long-distance level; and 
- international level. 
Source:  Government Resolution No. 1064 of 15 October 2004  WT/ACC/SPEC/KAZ/9 
 Page 153 
 
 
 ANNEX 7  
List of countries, eligible for special preferential treatment (GSP) in Kazakhstan  
(a) Developing countries  
1. Albania     53. Former Yugoslav Republic of Macedonia 
2. Algeria     54. Malta 
3. Angola     55. Malaysia 4. Antigua and Barbuda    56. Morocco 
5. Angela     57. Marshall Islands 
6. Argentina     58. Mexico 7. Aruba      59. Micronesia 
8. Bahamian Island    60. Mongolia 
9. Barbados     61. Montserrat 10. Bahrain     62. Namibia 
11. Belize     63. Nauru 
12. Bermudian Islands    64. Nigeria 13. Bolivia     65. Netherlands Antilles Islands 
14. Brazil     66. Nicaragua 
15. British Virgin Islands    67. Niger 
16. Brunei Darussalam    68. United Arab Emirates 
17. Venezuela     69. Oman 18. Vietnam     70. Saint Elena Islands 
19. Gabon     71. Turks and Caicos Islands 
20. Guyana     72. Pakistan 21. Ghana     73. Panama 
22. Guatemala     74. Papua New Guinea 
23. Honduras     75. Paraguay 24. Hong Kong     76. Peru 
25. Grenada     77. Romania 
26. Dominica     78. Salvador 27. Dominican Republic    79. Saudi Arabia 
2 8 .  E g y p t      8 0 .  S w a z i l a n d  
29. Zimbabwe     81. Seychelles 30. India      82. Senegal 
31. Indonesia     83. Saint Vincent and the Grenadines 
32. Jordan     84. Saint Kitts and Nevis 3 3 .  I r a q       8 5 .  S a i n t  L u c i a  
34. Iran      86. Singapore 
35. Cayman Islands    87. Syria 
36. Cameroon     88. Slovenia 
37. Qatar     89. Surinam 38. Kenya     90. Thailand 
39. Cyprus     91. Tokelau Islands 
40. China     92. Tonga 41. Democratic People's Republic of Korea  93. Trinidad and Tobago 
42. Columbia     94. Tunisia 
43. Congo     95. Turkey 44. Republic of Korea    96. Uruguay 
45. Costa-Rica     97. Fiji 
46. Cote d'Ivoire     98. Philippines 47. Cuba     99. Croatia 
48. Kuwait     100. Chile 
49. Cook Islands     101. Sri Lanka 50. Lebanon     102. Ecuador 
51. Libya     103. Serbia and Montenegro (Yugoslavia) 
52. Mauritius     104. Jamaica
 WT/ACC/SPEC/KAZ/9 
Page 154  
 
 (b) Least-developed countries
 
1. Afghanistan    25. Madagascar 
2. Bangladesh    26. Malawi 
3. Benin     27. Mali 
4. Burkina Faso    28. Maldives 5. Burundi    29. Mozambique 
6. Botswana    30. Myanmar 
7. Bhutan    31. Nepal 8. Vanuatu    32. Niger 
9. Haiti     33. Rwanda 
10. Gambia    34. West Samoa 11. Guinea    35. Sao Tome and Principe 
12. Guinea Bissau   36. Solomon Islands 
13. Djibouti    37. Somali 14. Zaire    38. Sudan 
15. Zambia    39. Sierra Leone 
16. Yemen    40. Tanzania 
17. Cape Verde    41. Togo 
18. Cambodia    42. Tuvalu 19. Kiribati    43. Uganda 
20. Comorian Islands   44. Central African Republic 
21. Laos     45. Chad 22. Lesotho    46. Equatorial Guinea 
23. Liberia    47. Ethiopia 
24. Mauritania  
  WT/ACC/SPEC/KAZ/9
 Page 155ANNEX 8 
Excise tax rates applied to domes tically produced and imported goods  
(as approved by Government Resolution No. 137 of 28 January 2000)  
 
Excise rates for: 
Code of foreign 
trade invoice Title Tax base (object of 
imposing) Manufactured goods 
and gambling 
business 
(KZT) Imported goods 
(Euro) 
All types of spirits (except alcohol sold  as alcoholic beverages, medical and 
pharmaceutical medication if producers have the licence for production of 
indicated goods and received by state medi cal institutions within the limits of 
established quotas)        physical volume  300/1 litre 3 euro*/1litre 
  
Alcohol sold for production of alcoholic beverages if producers have the licence 
for production of indicated goods  physical volume 30/1 litre 0.3/1 litre 
Alcoholic beverages (except some low alcohol beverages with ethyl spirit 
content up to 12%, balms, alcohol registered in accordance to the legislation of 
the Republic of Kazakhstan as medicatio n, cognac, brandy, wine beverages, 
wine, champagne, sparkling wine, aerated wine, processed wine and beer)     physical volume 125/1 litre of 
waterless (100%) 
alcohol 1.7/1itre 
Other low alcohol beverages with ethyl spirit co ntent up to 12%  physical volume 125/1 litre of 
waterless  (100%) 
alcohol 0.4/litre 
Balms registered as medication in accordance with the legislation of the Republic 
of Kazakhstan  physical volume 10/1 litre 0.4/1 litre 
Cognac, brandy  physical volume 20/ 1 litre 1.7/1 litre 
Balms registered as medication in accordance with the legislation of the Republic 
of Kazakhstan physical volume 10/1 litre 0.4/1 litre 
Wine drinks physical volume 30/1 litre 0.4/1 litre 
Cognac, brandy  physical volume 20/1 litre 1.7/1 litre 2208** 
Wine drinks        physic al volume 30/1 litre 0.4/ 1 litre 
Wine (except champagne, sparkling wine, aerated (pearl)  physical volume 10/1 litre 0.4/1 litre From 2204, 2205, 
2206 00 Champagne, sparkling wine, aerated (pearl)  physical volume 20/1 litre 0.4/1 litre 
 
2203 00** Beer  physical volume 7/1 litre 0.2/1 litre 
Tobacco goods with filter physical  volume 180/1,000 units 2/1,000 units 2402** 
Tobacco goods without filter and other products containing tobacco            100/1,000 units 2/1,000 units 
from 0301, 0302, 
0303, 0304, 0305, 
1604 ** Sturgeon and salmon caviar            For produced– cost, for 
imported – custom value 100% 100%  
 WT/ACC/SPEC/KAZ/9 
Page 156 Excise rates for: 
Code of foreign 
trade invoice Title Tax base (object of 
imposing) Manufactured goods 
and gambling 
business 
(KZT) Imported goods 
(Euro) 
Gasoline(except aviation spirit): physical volume  31/1 tonne 
Wholesale trade of gasoline (exc ept aviation spirit) by producers  physical volume 4,500/1tonne  
Retail trade of gasoline (except aviation spirit) by producers, use for own 
industrial needs  physical volume 5,000/1tonne  271000270-
271000360** 
Retail trade of gasoline and diesel o il by legal and natural persons (except 
aviation spirit)) use for own industrial needs physical volume 5,00/1tonne  
Diesel oil physical volume  - 
Wholesale trade of diesel oil (e xcept aviation spirit) by producer s  physical volume 540/1 tonne  
Retail trade of diesel oil (except aviation spirit) by producers, use for own 
industrial needs  physical volume 600/1 tonne  271000610, 
271000650, 
271000690** 
Retail trade of diesel oil (except aviation spirit) by legal and natural persons,  use 
for own industrial needs physical volume 60/1 tonne  
Cars Custom value or volume of 
the engine - 10%, but not less than 0.5/cubic 
cm. (only for cars with the 
volume of the engine more than  
3,000 cubic cm.) 
Game table  130-740 MCI - Gambling business (except lottery)             
game-playing machine with 
money prize  5-25 MCI - 
Totalizing cash register  80-200 MCI -  
cash register  20-100 MCI - 8703 
Lottery organization and conducting  Declared  - 10% gain 
deducting the amount not 
including excise tax  of 
prize fund   10% - 
* Euro is calculated in Tenge according to th e exchange rate of the National Bank on the date established by the custom legisla tion for paying the customs duties. 
** Nomenclature of goods is defined as foreign trade invoice code as well as a title of goods.    
  WT/ACC/SPEC/KAZ/9
 Page 157ANNEX 9 
(a) List of goods subject to import and export licensing  
 
HS Number Goods Ministries responsible 
for administration of 
licence Ministries subject to coordination upon 
issuing licences Type of 
licence Justification 
010119900, 010290900, 10391900, 
010392900, 010410800, 010420900, 
01060090 (only wild animals) 
070951, 070952000, 071080610, 
071080690 Wild animals,  
wild growing plants 
(besides those falling under the 
Convention on trade of 
endangered wild life and fauna) Ministry of  Industry 
and Trade of the RK The Licence issuing on  the basis of  
permission of the Government of the RK Export This measure applies for the 
purposes of environment 
protection of the RK. 
871000000, 8802 (except 880211100, 880212100, 
880220100, 880230100,880240100), 
8803 (except 880310100, 880320100, 
880330100, 880390910), 880400000, 
(only for military purposes) 8805 
(except 880520100), 890600100, 
930100000, 30200, only to fighting 
guns), 9306 (except 930610000, 
930629400, 930630910-930630980, 
930690900, 901310000 (only for 
military purposes) 901320000 (only 
for military purposes) 901380 (only 
for military purposes), 9014 (only for 
military purposes), 8525 (only for 
military purposes), 8526 (only for 
military purposes) Army equipment and military 
devices, specially completed 
Articles for it's production, works 
and services in the field of 
military-technical cooperation.   
 Ministry of  Industry 
and Trade of the RK The Licence issuing on the basis of  
permission of the Government of the RK Export/ 
Import This measure is used for the 
reason of the national 
security interests protection 
in regards to trade of guns, 
ammunition, military 
materials, which directly or 
indirectly used for the 
purpose of supplying the 
military forces. 
2844 (except  oxide- protoxide of natural uranium, unity of uranium by 
enrichment till 
20% under uranium isotope 235 and 
sources of radiation ionizing, which 
not contain divisible element), 2845, 
380110000 only pure nuclear 
graphite), 8401, 711041000 Nuclear materials, technology,  
equipment and settlements, 
special non nuclear materials, 
sources of active radiation, 
including radioactive waste 
products.          
 Ministry of Industry 
and Trade of the RK The Licence issuing on the basis of 
permission of the Government of the RK Export/ 
Import This measure applies for the 
purposes of protection of the 
state security interests in 
regards to splitting materials 
or materials they are 
produced from, and also for 
the purposes of life and 
health protection of the 
Kazakh population. 
9022 X-ray equipment, devices and 
equipments with use of 
radioactive substances and 
isotopes. Ministry of Industry 
and Trade of the RK Ministry of   Health of the RK. Import This measure applies for the 
purposes of life and health 
protection of the Kazakh 
population.  
 WT/ACC/SPEC/KAZ/9 
Page 158 HS Number Goods Ministries responsible 
for administration of 
licence Ministries subject to coordination upon 
issuing licences Type of 
licence Justification 
040700900, 0507, 050800000, 0604, 
051000,  071230000, 080221000, 
08022200, 0810, 0812, 121220000, 
1301, 1302 (except 130219300), 
9601                           Elephant bone, antlers, hoofs, 
maral's antlers, corals and 
analogous materials (besides 
those falling under the 
Convention on trade of 
endangered wild life and fauna) Ministry of Industry 
and Trade of the RK Ministry of Agriculture, 
Ministry of Environment protection of 
the RK Export This measure applies for the 
purposes of environment 
protection of the RK. 
020610100, 020622100, 020629100, 
020630100, 020641100, 020680100, 
020690100 (only from wild animals), 
0507 (only  medicine raw materials), 
051000,1211, 121220000,1302 
(except 130219300), 3001,3002 
(except ready done medicine 
materials) Medicine raw materials of 
vegetable and animal origin  
  Ministry of Industry 
and Trade of the RK Ministry of Agriculture, 
Ministry of Environment protection of 
the RК Export This measure applies for the 
purposes of environment 
protection of the RK. 
According to list confirmed by the Government of the RK Poison  
                                     
                       Ministry of Industry 
and Trade of the RK Ministry of  Health of the RK,  
Ministry of the Environment protection 
of the RK Export/ 
Import This measure applies for the 
purposes of life and health 
protection of the Kazakh 
population. 
280470001 Yellow Phosphorus  ("white") 
   Ministry of Industry 
and Trade of the RK Ministry of Environment protection of 
the RK                   Export This measure applies for 
monitoring of exports of 
such products since they are 
extremely dangerous to 
human life and health.  
According to list confirmed by the 
Government of the RK Some types of raw materials, 
articles, equipm ent, technology 
and scientific-technical 
information, which can be used in 
creation of army equipment and 
devices.                                    Ministry of Industry 
and Trade of the RK Ministry of Education of the RK – 
Academy of Science, Committee of 
National Security  Export This measure is used for the 
reason of the national 
security interests protection 
in regards to trade of guns, 
ammunition, military 
materials, which directly or 
indirectly used for the purpose of supplying the 
military forces. 
According to list confirmed by the 
Government of the RK Materials, equipment and 
technology, which have peaceful  
meaning, but can be used in 
creation of missile, nuclear and 
other types of  weapon of mass 
destruction Ministry of Industry 
and Trade of the Rk Ministry of Education, Academy of 
Science, Committee on National Security Export This measure applies for the 
purposes of the national 
security interests protection 
as of possible use of these 
products in military time or 
in other extraordinary 
circumstances in the 
international relations.   
  WT/ACC/SPEC/KAZ/9
 Page 159HS Number Goods Ministries responsible 
for administration of 
licence Ministries subject to coordination upon 
issuing licences Type of 
licence Justification 
8471 (only  figure typed techniques) 
847330 (only for figure typed 
techniques) 
854390900 (only for figure typed 
techniques) Code means (including code 
techniques, components for code 
techniques and programme 
packets for code), normative- 
technical documentation to code 
means (including constructive and 
exploitational)   Ministry of Industry 
and Trade of the RK Committee on National Security Export/ 
Import This measure applies for the 
purposes of the international 
and national safety. 
360100000 (except for the gunpowder) 360200000, 360300, 
3604 Gunpowder, explosive 
substances, means of explosion 
and  pyrotechnics  Ministry of  Industry 
and Trade of the RK Ministry of Internal Affairs Export/ 
Import This measure is used for the 
reason of the national 
security interests protection 
in regards to trade of guns, 
ammunition, military 
materials, which directly or 
indirectly used for the 
purpose of supplying the 
military forces. 
According to list confirmed by the 
Government of the RK Official and civil gun         
                                      Ministry of Industry 
and Trade of the RK Ministry of Internal Affairs Export/ 
Import This measure is used for the 
reason of the national 
security interests protection in regards to trade of guns, 
ammunition, military 
materials, which directly or 
indirectly used for the 
purpose of supplying the 
military forces. 
According to list confirmed by the 
Government of the RK Means of protection from fighting 
poison gas, its parts and 
accessories.         
                       Ministry of Industry 
and Trade of the RK Ministry of Defense of the RK Export/ 
Import This measure is used for the 
reason of the national 
security interests protection 
in regards to trade of guns, 
ammunition, military 
materials, which directly or 
indirectly used for the 
purpose of supplying the 
military forces.  
 WT/ACC/SPEC/KAZ/9 
Page 160 HS Number Goods Ministries responsible 
for administration of 
licence Ministries subject to coordination upon 
issuing licences Type of 
licence Justification 
  Normative- technical 
documentation to products of 
military purpose (including 
constructive and exploitational)   Ministry of Industry 
and Trade of the RK Ministry of Defense of the RK, 
Committee on National Security Export/ 
Import This measure applies for the 
purposes of protection of the 
national security interests in 
regards to trade of guns, 
ammunition, military 
materials, which directly or 
indirectly conducted for the 
purposes of provision of the military forces. 
261100000, 2613-2615, 280450,     
280490000, 280521000, 280530100, 
280540100, 2825 (except five-oxide, 
for  vanadium production), 
282619000, 284170000284190900, 
2846, 740500000  750220000, 
760120100, 8101, 8103, and mineral 
810411000, 8105, 810600, 8108 
resources (except titanium sponge), 
8109, 8112, 811300                                Rare Metals, rare ground                 
raw materials, alloy, 
combinations and Articles    
  Ministry of Industry 
and Trade of the RK Committee on atomic energetic of the 
Ministry of Atomic Energy and Mineral 
Resources of the RK Export  This measure is used for the 
reason of the national 
security interests protection 
in regards to trade of guns, 
ammunition, military 
materials, which directly or 
indirectly used for the 
purpose of supplying the 
military forces. 
830170000, 847130000,        
847141900, 847149900, 847150900, 
847330100, 851750, 851780900, 
8525, 852610900, 852691, 8527, 
854389900, 901910900, 9006, 
902219000, 902229000 
(only special technical devices, 
devices of information defence and 
other techniques of double 
application) Special technical devices intended 
for special operative- 
investigation activity, sources of 
information defence, other 
techniques of double application 
(including its components, 
application programme packets), 
normative-technical 
documentation to special 
technical means (including 
constructive and exploitational)  Ministry of Industry 
and Trade of the RK Committee on National Security Expor t This measure applies for the 
purposes of the international 
and national safety. 
2612,2805,2841,2844 (only oxide- 
protoxide of natural uranium, unity of 
uranium by enrichment till 20% 
under uranium isotope 235 and 
sources of radiation ionising. Not 
contain divisible elements), 
380110000 (except pure –nuclear 
graphite), 711011000, 711220000, 
711290000, 711510000, 740500000, 
750220000, 760120, 760200900, 
760820, 9022 Nuclear materials, technologies, 
equipment and settlements, 
special non nuclear materials, 
sources of radioactive radiation, 
apparatus, based on application of 
X-ray, alpha-, beta- or gamma- 
radiation. 
 Ministry of Industry 
and Trade of the RK Committee on atomic energy of the 
Ministry of Energy and mineral resources 
of the RK. 
 Export/ 
Import This measure applies for the 
purposes of protection of the 
state security interests in 
regards to splitting materials 
or materials they are 
produced from, and also for 
the purposes of life and 
health protection of the 
Kazakh population.  
  WT/ACC/SPEC/KAZ/9
 Page 161HS Number Goods Ministries responsible 
for administration of 
licence Ministries subject to coordination upon 
issuing licences Type of 
licence Justification 
3808 (only preparations for plant 
protection) Chemical sources of plants 
protection Ministry of Industry 
and Trade of the RK Ministry of Agriculture, 
Ministry of  Environment protection of 
the RK Import This measure applies for the 
purposes of environment 
protection of the RK 
261800000-2620, 3915 Industrial waste materials  
 Ministry of Industry 
and Trade of the RK Ministry of Environment protection of 
the RK Import This measure applies for the 
purposes of environment 
protection of the RK 
121190800           Opium raw materials (medicinal  
herbs) 
 Ministry of Industry 
and Trade of the RK Ministry of  Health of the RK Import This measure is used for 
monitoring the import 
inflows since these products 
are rare found plants. 
210690200            Components of alcohol, half-
finished products, except of 
products made on the base 
fragrant substances, used in 
beverages production. 
2203 00 Beer made from malt 
2204, 2205, 2206 Wine  
2207 Ethyl alcohol               
2208 Ethyl alcohol non-denaturative 
with alcohol concentration 
less than 80%, alcohol nastoyka, 
liqueur and other alcohol drinks Tax Committee of the 
Ministry of Finance of 
the RK  
  Import  This measure applies for the 
purposes of life and health 
protection of the RK. 
830170000, 847130000, 847141900, 847149900, 847150900, 847330100, 
851750, 851780900, 851810, 
851840,  851850900, 852032,  
852033, 852090900, 8521, 8525, 
8526, 8527 854389900, 900219000, 
900580000, 9013, 901910900, 9006, 
902219000, 902229000, (only special 
technical devices, devices of 
information defence and other 
techniques of double application) Special technical devices intended 
for special operative- 
investigation activity, sources of 
information defence, other 
techniques of double application 
(including its components, 
application programme packets), 
normative-technical 
documentation to special 
technical means (including 
constructive and expluatational) Ministry of Industry 
and Trade of the RK Committee on National Security Import This measure applied for the 
purposes of international and 
national safety.  
 WT/ACC/SPEC/KAZ/9 
Page 162 HS Number Goods Ministries responsible 
for administration of 
licence Ministries subject to coordination upon 
issuing licences Type of 
licence Justification 
271000210,  271000250, 271000390,  
271000410, 271000450 White-spirit, other weak 
distillates, other medium 
distillates for specific processes of  
processing for chemical 
conversion in processes Ministry of Industry 
and Trade of the RK Ministry of Energy and Mineral 
resources of the RK Import Licensing of these products 
was introduced to import 
quota which applied toward 
these products till 
31 December 2002. The 
Republic of Kazakhstan 
therefore is considering 
discontinue application of import licensing toward 
them.  
 
Source:  Government Resolution No. 1037 of 30 June 1997  
  WT/ACC/SPEC/KAZ/9
 Page 163 
(b) Export and import licensing rules  
 
Licensing procedures 
Export and import of goods excludi ng import of ethyl spirit and 
alcoholic beverages Import of ethyl spirit and alcoholic beverages Compliance with the WTO Agreement on import 
licensing procedures (hereinafter –Agreement) 
The acting Rule was approved by the Resolution of the Government of 
the Republic of Kazakhstan (hereinafter-the RK) No. 1037 dated 
30 June 1997 and came into force 30 days after its publication.    The acting Rule was approved by the Resolution of the 
Government of the RK No. 1031 dated 27 June 1997 and came 
into force 30 days after its publication.       The Rules are transparent and widely available and 
was published prior to coming into force, which is in 
compliance with the provisions of the Article 1.4 of the 
Agreement.  
The present Rule covers all legal and natural persons of the Republic of Kazakhstan including fo reign citizens independently of  
organization's legal status and registratio n place (hereinafter – the applicant).  The Rule is non-discriminatory and fair, which is in 
compliance with the Article 1.3 of the Agreement. 
Licenses are issued by the Ministry  of industry and trade according to 
the procedures established by th e legislation of the Republic of 
Kazakhstan (hereinafter – the Licensor).      Licenses are issued by the Ministry of Finance according to the 
procedures established by the legislation of the Republic of 
Kazakhstan (hereinafter – the Licensor).      Export and import licenses are issued by the state body 
upon preliminary ag reement with the authorized 
ministries and agencies, usually no more than three 
agencies, excluding licenses for import of ethyl spirit 
and alcoholic beverages  which are issued by the 
Ministry of Finance. Such provision is in compliance 
with the Article 1.6 of the Agreement.  
Licenses are issued on equal basis and terms to all persons complying with the requirem ents established for such type of a lice nce. It is 
prohibited to provide a preferential licensi ng right to the state enterprises except for such activities referred by the legal acts as natural 
monopolies. Foreign legal and natural persons and persons without citizensh ip receive licenses on the same terms and according to the 
same procedures as legal persons  and natural persons of Kazakhstan if it is not otherwise stipulated by the legal acts of the R K. It is 
prohibited to issue licenses in order to lim it competition or to provide preferences to some groups of entrepreneurs depending on their 
property, agency interests or location. I ssue of licenses should not a ssist monopoly  strengthening or  limit freedom  of entrepr eneurship.   Licensing procedure of goods export and import is not 
considered as trade limitation and is applied on equal terms to everyone, thus it is in compliance with the 
basic principles of the GATT. 
Introduction of licensing procedures or thei r termination can be done for the matters of the state security , implementation of state 
monopoly, provision of law and order, protection of en vironment, property, life and health of citizen. Basic objectives of goods export and import licensing 
in the Republic of Kazakhstan comply with the 
provisions of the Article XXI of GATT. 
The following documents were necessary to obtain a licence:  (i) an 
application; (ii) a copy of the purchase/sale agreement between 
traders, along with an original copy for verification; (iii) a copy of a 
contract between exporter/manufactur er or importer/consumer if the 
application was filed by a middleman; (iv) a certificate of state 
registration; (v) confirmation for the payment of the licence fee; 
(vi) an activity licence issued by the relevant authorized body on 
certain types of activities; (vii) a permission from th e government or 
the relevant authorized body for certain goods listed in Annex 2-5 
of Government Resolution No. 1037; and (viii) a list of submitted 
documents The following documents were necessary to obtain a licence:  (i) an 
application; (ii) a copy of a contract (agreement) on sales-purchase 
with participants of international trade deal; (iii) a copy of 
certificate of state registration;  (iv) a document confirming the 
payment of licence fee; (v) a li cence for production of alcohol 
products in case of importing ethyl spirit; (vi) licence for storage and sale of alcohol products in case of importing alcohol products 
(except for beer).       It is necessary to presen t relevant documents when 
getting a licence for export and import of goods for the 
licensing regime's proper functioning. This provision 
corresponds to the provision of the Article 1.5 of the 
Agreement.    
A licence is given to the applic ant for a period of one calendar year to conduct export and import operations - by individual t ransactions. 
The licence holder has the right to rej ect a licence notifying the issuing body. 
 
Licenses are issued for one type of good (work, service) independent of range  of goods included in the contract. Period of licence validity is reasonable, which is in 
compliance with Article 3.5 of the Agreement.     
 WT/ACC/SPEC/KAZ/9 
Page 164 Licensing procedures 
Export and import of goods excludi ng import of ethyl spirit and 
alcoholic beverages Import of ethyl spirit and alcoholic beverages Compliance with the WTO Agreement on import 
licensing procedures (hereinafter –Agreement) 
Licenses are issued no later than within a month, for entities of small business - no later than within ten days since the date  of submission 
of an application along with all necessary documents.    Generally, review of the licence application and 
approval of it by the relevant agencies of the RK does 
not take more than one month.  
A licence is not issued if: 
 
 1. conduction of certain types of activities by the indica ted category of ent ities is prohibited by the legal acts; 
 2. the required documents are not submitted. If the applicant e liminates the indicated drawbacks the application is considered  on the 
general basis; 
 3. a licence tax for the right to conduct certain types of activities is not paid; 
 4. the applicant does not meet esta blished qualification requirements; or 
 5. there is a court decree prohibiting conduction of certain types of activities. Procedure of rejection of  licence issuing does not 
contradict provisions of the Articles 1.7 and 1.8 of the 
Agreement. 
If a licence is not issued precisely on the established terms or  if rejection appears as unjustified the applicant has the righ t to appeal to the 
court in one month period. 
 
If the court discloses the facts of unjustified rejection or un timely issue of a licen ce it pronounces the judgment binding the  licensing body 
to issue a licence in ten days period since the date  when the court judgment comes into force.    If the application is not approved the applicant has the 
right to appeal to the court which complies with the 
provision of the Article 3.5 of the Agreement.    WT/ACC/SPEC/KAZ/9 
 Page 165 
 
 
 (c) Calculation methodology for import/export licensi ng fees and for registration of legal persons  
1.  General Provisions 
 Rates of fees for licensing of goods exporta tion and importation and for registration of legal 
persons are calculated in accordance with GATT Article VIII. The fee rates shall be fixed and 
their amounts shall equal to the amount of act ual costs incurred by the governmental bodies 
during registering the legal person and issuing th e license. The fee rates shall be quoted in the 
national currency. 
 
2.  Main Costs to be Included into Rates Calculation 
- utilities cost; 
- communication services cost; - transport services cost; 
- electric power cost; 
- heating cost; - maintenance, servicing and repair of build ings, premises, equipment and other capital 
assets; 
- rent of offices; - other services and works; 
- national business trips; 
- purchase of other goods; and - other current costs (data traffic, seasons, and international standards). 
 
3.  Fee Rates Calculation Algorithm 
All actually incurred (or due) expenses under para graph 2 herein shall be calculated per one 
state employee. The amount of these expenses sha ll be the basis for the fee rates calculation. 
Depending on the inflation the fee rates may be adjusted. 
 
4.  Conclusion 
 Governmental bodies use the methodology to calculate the fee rates for the licensing of goods 
exportation and importation as well as for the state registration of legal persons within their 
authority. 
 
Source: Annex to Ordinance No. 50 of the Ministry of Economy and Budget Planning of 8 April 2005, 
approved by Ordinance No. 18 Ministry of Economy and Budget Planning of 8 February 2005.  
 WT/ACC/SPEC/KAZ/9 
Page 166 ANNEX 10 
Comparative analysis of provisions of the WTO Agreement on Rules of Origin and the Customs Code of Kazakhstan  
 
Article 2 (h) of the Agreement on Rules of 
Origin Annex II, paragraph 3 (d) of  to the Agreement on 
Rules of Origin Customs Code Provisions 
Upon the request of an exporter, importer 
or any person with a justifiable cause, 
assessments of the origin they would 
accord to a good, are issued as soon as 
possible but no later than 150 days2 after 
the request for such an assessment provided that all necessary documents 
have been submitted. Requests for such 
assessments shall be accepted before trade of concerned good begins and may be 
accepted at any later point of time.  Such 
assessments shall remain valid for three years provided that the facts and 
conditions, including the rules of origin, 
under which they have been made, remain comparable.  Provided that the parties 
concerned are informed  in advance, such 
assessments will no longer be valid when a decision contrary to the assessment is 
made in a review as referred to in 
subparagraph (j). Such assessments shall be made publicly available subject to the 
provisions of subparagraph (k). Upon request of an exporter, importer or any person 
with a justifiable cause, assessments of the 
preferential origin they would accord to a good are 
issued as soon as possible but no later than 150 days 
after a request for such an assessment provided that 
all necessary elements have been submitted.  Requests for such assessments shall be accepted 
before trade in the good concerned begins and may 
be accepted at any later point in time.  Such assessments shall remain valid for three years 
provided that the facts and conditions, including the 
preferential rules of origin, under which they have been made remain comparab le.  Provided that the 
parties concerned are info rmed in advance, such 
assessments will no longer be valid when a decision contrary to the assessment is made in a review as 
referred to in subparagraph (f). Such assessments 
shall be made publicly available subject to the provisions of subparagraph (g). 
 Article 47. Preliminary assessment: 
 
1.  Upon request of an applicant the customs authorities (except for 
customs stations) shall make a preliminary assessment of a 
particular good as to the goods classification in accordance with the 
Foreign Economic Activity Product Nomenclature (FEA PN). 
2.  Subject to the provisions of this Code, the customs bodies specified 
in paragraph 1 of this article have the right to make a preliminary 
decision on the application of the methodology to determine the country of origin and the customs value of the good concerned.  
The authorized customs body shall define the form and procedure 
on making such a preliminary assessment. 
3.  Subject to Article 299 of this Code the fee shall be charged for such 
preliminary assessment.  
 Article 48. Application for a preliminary assessment 
 
1.  The applicant shall submit an application in writing to the customs 
body specified in article 47 of this Code. 
2.  The application shall contain information on the good necessary for 
the preliminary assessment.  The application shall have enclosed description of the goods, pictures , drawings, commercial, technical 
and other documents necessary to make a preliminary assessment.  
If possible, the applicant shall also  enclose samples or specimen of 
the goods to be assessed. 
3.  The customs body considers the application and issues a 
preliminary assessment within ten working days since the date 
when the application was registered, provided that no additional 
data or examination was required. 
4.  If the data submitted by the applicant is insufficient for the 
                                                      
2 In respect of requests made during the firs t year from the date of entry into force of the WTO Agreement,  Members shall only b e required to issue these assessments as 
soon as possible.  
  WT/ACC/SPEC/KAZ/9
 Page 167Article 2 (h) of the Agreement on Rules of 
Origin Annex II, paragraph 3 (d) of  to the Agreement on 
Rules of Origin Customs Code Provisions 
preliminary assessment, the customs body shall notify the applicant 
on the need in additional information and sets the deadline for its submission. If the applicant fails to submit the data in time, the 
application for preliminary assessment shall be dismissed. The 
general term for submission of add itional data shall not exceed one 
month since the day when the applicant was notified in writing. 
5.  If the application was dismissed, the customs body shall send 
reasoned refuse to the applican t within seven working days.  
Dismissal of an application does not prohibit the applicant from 
submission of another application for preliminary assessment, 
provided that the applicant eliminates the mistakes, which had caused dismissal of the previous application. 
6.  A preliminary assessment or a di smissal of such may be appealed 
in the court in accordan ce with the procedure de fined in this Code. 
 
Article 49. Preliminary assessment expiration term 
 A preliminary assessment shall expire in three years since the date it was 
made by the customs authority. 
 
A change in the preliminary assessment does not prolong its validity 
period.  
Article 51. Transparency of  preliminary assessments 
 Preliminary assessment made by the customs authorities (except for 
confidential information) may be published or made available to any 
person upon a request in writing. 
  
 WT/ACC/SPEC/KAZ/9 
Page 168 ANNEX 11 
(a) List of goods, the export of which is subject to non-tariff measures  
 
Code of foreign trade 
invoice Description of goods Non tariff 
measure A normative act which 
introduces non tariff 
measures Justification Notes 
2710 19 410 0 - 
2710 19 490 0  2710 19 510 0 - 
2710 19 690 0 Diesel  
  Black oil (mazut) Seasonal bans 
for export of black and diesel 
are used during 
the period of agricultural operations in  
autumn and 
spring  The Resolution of the 
Government of the RK No.  438 dated 
20 April 2004  " Оn export 
of diesel oil" At present export of black oil is not prohibited. During seasonal agricultural operations demand of 
agricultural producers for combustive-lubricating materials increases 7-8 times and there is a 
situation when demand is greater than supply, 
which results in price increases.    Thus, application of seasonal bans for export of 
black oil and diesel oil is a necessary measure 
applied in order to prevent sharp seasonal price increases for combustive-lubricating materials in 
the internal market and to satisfy the internal 
market with the oil products for on-time execution of farm works.   The applied measure has a regulated feature and 
can not be considered as a temporary measure aimed to prevent or smoot h a critical deficit of 
food or other goods in the Republic as it is 
stipulated in paragraph 2 of the Article XI of the GATT.  
At present the issue of ju stifiability of applying 
export duties on a constant  basis and imposing a 
ban on combustive-lubricating materials export 
only during the emergencies is being considered 
according to paragraph 2 of the Article XI of the GATT. 
7602 00 110 0  
 
  
 
  
7602 00 900 0 
7604 10 100 0 7605  
 
7503 00 Turnings, cuttings and waste 
of  milling, filings and wastes 
of trimming; wastes of 
coloured, covered or  fastened sheets and foil of not more 
than 0,2 mm thickness 
(without the base)   
Aluminium scrap  
Unalloyed Aluminium rods  Aluminium wire  
 
Nickel  wastes and scrap  Prohibition of 
export of some 
types of 
aluminium and nickel products   The Resolution of the 
Government of the RK 
No.  1243 dated 
5 December 1998 " Оn 
introduction of  restrictions 
on import and export of 
some goods" This measure is taken due to increase of export 
from the territory of the RK , in order to protect the 
Kazakh market of non ferrous metals and to satisfy 
the needs of the local enterprises. Pursuant to the Article XI of the GATT WTO 
member countries should not prohibit export of 
goods.   
 Therefore, at the present stage it is viewed to be 
reasonable to cancel the ban on export of some 
aluminium and nickel products. 
From 4401 10 000 0 From 4403 10 - 4403 20, 440391 000 0 - 4403 99  
4404 
  
 
  
 
  
4406 
 Fuel wood  in logs and billets  
Unprocessed timber, dressed or undressed, roughly squared or non squared, 
 Barrel wood; chopped logs; 
wood poling and  pales, pointed but not sawed along; 
trimmed wood but not turned, 
not bent or sawn by other means, used for production of  
canes, umbrellas, handles or 
similar manufactures; cracked wood and similar wood   
Wooden sleepers for railways 
or tramways  Ban of export of 
timber, lumber and some  types of wood  The Resolution of the 
Government of the Republic of Kazakhstan No. 785 dated 
16 July 2002 "Some issues 
of forest utilization" Due to great demand for wood in the neighbouring 
countries and increase of prices for wood on the black market there were increased cases of illegal 
felling, deliberate burning of pine woods in order 
to get access to removal and storing and further 
export abroad.  Wood especially round timber was taken as square 
timber or other types of wood in large volumes and 
this led to continued thef t of wood at the local 
level. Above mentioned violations threatened the 
country's forest resources. It is crucial to mention 
that Kazakhstan's territory is poor in forest. According to the state register of forest resources 
forest covered territory is accounted for 4.6%, 
including high forest plantations accounted for Ban on exports of wood in this regard is considered 
to be measure aimed to prevent a critical deficit of goods in the republic as stipulated by paragraph 2 of the Article XI of th e GATT, since the cut down 
of wood had led to decrease of wood supply in the 
republic as well as to significant loss of protection and water saving characteristics of forestry and 
worsening of their sanitary conditions. The applied 
measure is of systematic character.    
  WT/ACC/SPEC/KAZ/9
 Page 169Code of foreign trade 
invoice Description of goods Non tariff 
measure A normative act which 
introduces non tariff 
measures Justification Notes 
4407 10 
 
 
  
 
 4407 91 
 
  
 
  
4407 99 
   
 
  
4408 90 
  
 
  
4418 40 000 0 softwood sawed or split  
along, dressed or cracked, 
trimmed or not trimmed, 
polished or unpolished, connected or unconnected to a 
pin, of more than 6 mm 
thickness  Oak wood sawed or split  
along, dressed or cracked, 
trimmed or not trimmed, polished or unpolished, 
connected or unconnected to a 
pin, of more than 6 mm  (Quercus s рр.) 
Other types of wood sawed or 
split  along, dressed or cracked, trimmed or not trimmed, polished or 
unpolished, connected or 
unconnected to a pin, of more than 6 mm   
Other types of wood split 
along, cut into parts or cracked, dressed or undressed, 
polished or unpolished, 
connected or unconnected to a pin, of not more than 6 mm   
Concreting casing  about 1.2%, which means that the country's own 
forest resources are limited. Therefore, the applied 
restrictions are necessary measures in order to 
reduce negative processes happening in the forest territories and to improve the situation with 
protection, maintenance and reproduction of 
forests.   
 
  
 WT/ACC/SPEC/KAZ/9 
Page 170 (b) List of goods, exported under licence in accordance with international obligations of  the Republic of Kazakhstan  
 
HS Number Goods Ministries responsible 
for administration of 
licence State bodies of the Republic of Kazakhstan, 
which coordinate the decision about issuing of 
licence Justification 
7208 10 000, 7211 14 100, 
7208 25 000, 7208 38 900,               7208 39 900, 7211 19 200, 
7208 26 000, 7208 27 000,               
7219 11 000, 7219 12 100,  7219 12 900, 7219 13 100, 
7219 13 900, 7219 14 100, 
7219 14 900, 7208 36 000,               7208 37 900, 7225 20 200, 
7225 30 000 Sheet of rolled metal 
1 Roll   
7208 37 100, 7208 38 100, 
7208 39 100 SA 1а Rolls, 
intended for secondary rolling 
process 
7208 40 100, 7208 51 100,               7208 51 300, 7208 51 500,               7208 51 910, 7208 51 990,               7208 52 100, 7208 52 910,               
7208 52 990, 7208 53 100,               
7211 13 000 SA 2 thin sheet steel               
  
7208 40 900,  7208 53 900, 7208 54 100,  7208 54 900, 7208 90 100,  7209 15 000, 
7209 16 100,  7209 16 900,              
7209 17 100,  7209 17 900,              7209 18 100,  7209 18 910               
7209 18 990,  7209 25 000,              
7209 26 100, 7209 26 900,               7209 27 100, 7209 27 900,               
7209 28 100, 7209 28 900,   
7209 90 100, 7210 11 100,  7210 12 110, 7210 12 190, 
7210 20 100, 7210 30 100, 
7210 41 100, 7210 49 100, 7210 50 100, 7210 61 100, 7210 69 100, 7210 70 310, 
7210 70 390, 7210 90 310, 
7210 90 330, 7210 90 380, 7211 14 900, 7211 19 900, 
7211 23 100, 7219 32 900, 
7219 33 100, 7219 33 900, 7219 34 100, 7219 35 100, 
7219 35 900, 7225 40 800   SA 3 Other sheet rolled metal 
  Ministry of Industry and 
Trade of the RK - This measure is used to fu lfil Kazakhstan's obligations, under 
the Agreement between Kazakhs tan and the European Coal 
and Steel Community on trade of certain steel products dated 
15 December 1999.  
  WT/ACC/SPEC/KAZ/9
 Page 171HS Number Goods Ministries responsible 
for administration of 
licence State bodies of the Republic of Kazakhstan, 
which coordinate the decision about issuing of 
licence Justification 
7219 34 900, 7219 23 000, 
7219 24 000, 7219 31 000, 
7219 32 100, 7212 60 910, 
7219 21 100, 7219 21 900, 7219 22 100, 7219 22 900, 
7212 50 310, 7212 50 510, 
7212 60 110, 7212 20 110, 7212 30 110, 7212 40 100, 
7212 40 910, 7211 23 510, 
7211 29 200, 7211 90 110, 7212 10 100, 7212 10 910,  
7211 23 990, 7211 29 500,  
7211 29 900, 7211 90 900 Plane rolled metal  made from 
carbonaceous steel in rolls no 
more than 500 mm. wide        
  
7211 23 910, 7225 19 100, 7225 19 900, 7226 19 100, 7226 19 300, 7226 19 900, Plane rolled metal  made from 
electro-technical steel with non oriented core                                  
7226 11 900 Plane rolled metal  made from 
siliceous  electro-technical steel with oriented core Ministry of Industry and 
Trade of the RK - This measure is used to fulfil Kazakhstan's obligations, under 
the Agreement between Kazakhstan and the European Coal 
and Steel Union on trade of certain steel  products dated 15 
December 1999. 
7208 10 000, 7208 25 000, 7208 26 000, 7208 27 000, 7208 36 
000, 7208 37 900, 
7208 38 900, 7208 39 900, 7211 14 100,  7211 19 200, 7219 11 
000, 7219 12 100, 
7219 12 900, 7219 13 100, 7219 13 900, 7219 14 100, 7219 14 
900, 7225 20 200, 
7225 30 000 SA  Sheet rolled metal 
SA 1 Rolls 
 Ministry of Industry and 
Trade of the RK - This measure is used to fu lfil Kazakhstan's obligations, under 
the Agreement between Kazakhs tan and the European Coal 
and Steel Union on trade of certain steel products dated 
15 December 1999. 
7208 37 100, 7208 38 100, 7208 39 100 SA  1а Rolls, intended for 
secondary rolling process  
7208 40 100, 7208 51 100 7208 51 300, 7208 51 500 
7208 51 910, 7208 51 990 
7208 52 100, 7208 52 910 7208 52 990, 7208 53 100 
7211 13 000 SA 2 Thin sheet steel         
 
7208 40 900, 7208 53 900 7208 54 100, 7208 54 900 
7208 90 100, 7209 15 000 
7209 16 100, 7209 16 900 7209 17 100, 7209 17 900 
7209 18 100, 7209 18 910 
7209 18 990, 7209 25 000 7209 26 100, 7209 26 900 SA 3 Other sheet roll        
 Ministry of Industry and 
Trade of the RK - This measure is used to fu lfil Kazakhstan's obligations, under 
the Agreement between Kazakhs tan and the European Coal 
and Steel Union on trade of certain steel products dated 
15 December 1999.  
 WT/ACC/SPEC/KAZ/9 
Page 172 HS Number Goods Ministries responsible 
for administration of 
licence State bodies of the Republic of Kazakhstan, 
which coordinate the decision about issuing of 
licence Justification 
7209 27 100, 7209 27 900 
7209 28 100, 7209 28 900 
7209 90 100, 7210 11 100 
7210 12 110, 7210 12 190 7210 20 100, 7210 30 100 
7210 41 100, 7210 49 100 
7210 50 100, 7210 61 100 7210 69 100, 7210 70 310 
7210 70 390, 7210 90 310 
7210 90 330, 7210 90 380                7211 19 900, 7211 23 100 
7211 23 510, 7211 29 200 
7211 90 110, 7212 10 100 7212 10 910, 7211 14 900 
7212 20 110, 7212 30 110 
7212 40 100, 7212 40 910 7212 50 310, 7212 50 510 7212 60 110, 7212 60 910 
7219 21 100, 7219 21 900 
7219 22 100, 7219 22 900 7219 23 000, 7219 24 000 
7219 31 000, 7219 32 100 
7219 32 900, 7219 33 100 7219 33 900, 7219 34 100 
7219 34 900, 7219 35 100 
7219 35 900, 7225 40 800    
Source: Government Resolution No. 1037 of 30 June 1997 
  
  WT/ACC/SPEC/KAZ/9
 Page 173ANNEX 12 
(a) Decreasing coefficients on railway ta riffs for transportation of goods – 2002  
Type of cargo Sulphuric acid Iron ore products  Coal Coal and black oil Complex ore Secondary material 
resources Metal roll 
The title of subsidy 
program or special target 
subsidy: Establishing of 
decreasing coefficients 
of railway tariffs on transportation of 
sulphurous acid by rail   Establishing of 
decreasing coefficients 
of railway tariffs on transportation of iron ore 
products by rail    Establishing of 
decreasing coefficients 
of railway tariffs on transportation of coal by 
rail  Establishing of 
decreasing coefficients 
of railway tariffs on transportation of coal 
and black oil by rail   Establishing of 
decreasing coefficients 
of railway tariffs on transportation of 
complex ore by rail   Establishing of 
decreasing coefficients 
of railway tariffs on transportation secondary 
material resources by 
rail   Establishing of 
decreasing coefficients 
of railway tariffs on transportation of  metal 
roll by rail    
Subsidy (per unit): decreasing co efficients on railway tariffs  
Amount of Subsidy 
(thousand tonnes)  401.37 4,066.1 29,353.95 coal - 15000, black oil - 
396 320  13.04 730.69 593.86 
Amount of Subsidy 
(million tenge) 119.79 310.57 2,038.87   2.24 133.42 520.04 
The title of subsidy 
program or special target 
subsidy: In order to increase 
transportation 
volumes, support local producers, stimulate 
increase of production 
volumes the tariffs on export transportation 
of sulphuric acid in 
tanks of  producers in all communications* are reduced  by 25%.  In order to increase 
transportation volumes, 
support local producers, stimulate increase of 
production volumes the 
tariffs on export transportation of iron ore 
products in tanks of  
producers in all communications* are reduced  by 25%.  In order to increase coal 
transportation volume, 
to prevent possible increase of prices of 
heating and electric 
power consumption and subsequent  rise of 
prices of sector products  In order to implement 
the Agreement between 
the Government of RK and the Kyrgyz Republic 
on use of fuel-energy 
and water resources of Naryn-Syrdarya 
reservoirs in 2003 the 
tariffs on transportation of coal and black oil provided as 
compensation for 
electric power from the Kyrgyz Republic during 
vegetation period 
according to the Government Resolution 
No.799 of 17 July 2002 In order to increase 
volumes of complex ore 
transportation  In order to increase 
volumes of secondary 
material resources transportation  In order to increase 
metal-roll transportation 
by rail and volumes of metal roll trans shipment 
in Aktau port  
Legal basis The Regulation of establishing and cancellation of decreasing coefficients  on tariffs for transportation by rail to  be regulated by the State (approved by Order of the Agency No. 24-OD of 
30 December 1999**, registered No. 1024 in the Ministry of Jus tice on 6 January 2000, in accordance with Law No. 156-XIII "Conc erning Transport in the Republic of Kazakhstan" of 
21 September 1994, Law No. 272 "On Natural M onopolies", and the Law "On Development of Competition and Limitation of Monopoly A ctivities"). 
Payment terms Advance payment, no 
indebtedness for transportation services, 
increase of 
transportation volumes in comparison with the 
previous year  Advance payment, no 
indebtedness for transportation services, 
increase of 
transportation volumes in comparison with the 
previous year  Advance payment, no 
indebtedness for transportation services, 
increase of 
transportation volumes in comparison with the 
previous year  In the form of 
compensation of the electric power from the 
Kyrgyz Republic 
delivered in the vegetation period  Advance payment, no 
indebtedness for transportation services 
and fulfilment of 
transportation volumes not less than the level of 
2001   Advance payment, no 
indebtedness for transportation services 
and fulfilment of 
transportation volumes not less than the level of 
2001   Advance payment, no 
indebtedness for transportation services 
and fulfilment of 
transportation volumes not less than the level of 
2001    
 WT/ACC/SPEC/KAZ/9 
Page 174 Type of cargo Sulphuric acid Iron ore products  Coal Coal and black oil Complex ore Secondary material 
resources Metal roll 
Validity of subsidy Since 22 February 
2002 till 1 January 2003  Since 15 August 2002 
till 31 December 2002  Since 8 May 2002 till 
1 October 2002  Since 22 July 2003 till 
1 January 2003  Since 29 March 2002 till 
1 January 2003  Since 29 March 2002 till 
1 January 2003  Since 14 February 2002 
till 1 January 2003   
Statistical data allowing to evaluate subsidy effect 
on trade  - - - - - - - 
*  "Producers in all communications" (i.e. consignors in all des tinations) implies that the decreasing coefficient for goods tr ansportation applies to all consignors transporti ng this type of goods to any destination – 
national, export destination,  or export destination. 
**  Invalidated by Order of the Chairman  of the Agency No. 337-OD of 5 August 2004. 
  
  WT/ACC/SPEC/KAZ/9
 Page 175(b) Decreasing coefficients on railway ta riffs for transportation of goods – 2003  
Cargo Sulphuric acid Iron ore products Coal Coal and black oil Crude oil 
The title of subsidy 
program or special 
target subsidy: Establishing of decreasing 
coefficients to railway tariffs for 
transportation of sulphurous acid by rail  Establishing of decreasing 
coefficients to railway tariffs for 
transportation of iron ore products by rail  Establishing of decreasing 
coefficients to railway tariffs for 
transportation of coal by rail   Establishing of decreasing 
coefficients to railway tariffs for 
transportation of coal and black oil by rail  Establishing of decreasing 
coefficients to railway tariffs for 
transportation of crude oil by rail   
Subsidy (subsidy per unit): decreasing coefficients of railway 
tariffs    decreasing coefficients of railway 
tariffs    decreasing coefficients of railway 
tariffs    decreasing coefficients of railway 
tariffs    decreasing coefficients of railway 
tariffs    
Amount of Subsidy, thousand tonnes  568.61 10,257.17 20,840.14 coal - 252,.7 36.3 
Amount of Subsidy, mln 
tenge 164.26 399.13 900.28   5,7.68 
Objectives and asks of 
subsidy  In order to increase transportation 
volumes, support local producers, stimulate increase of production 
volumes the tariffs on export 
transportation of sulphuric acid in tanks of producers in all 
communications* are reduced  by 
25%.  In order to increase transportation 
volumes, support local producers, stimulate increase of production 
volumes the tariffs on export 
transportation of iron ore products in tanks of producers in all 
communications* are reduced  by 
15%.  In order to increase coal 
transportation volume, to prevent possible increase of prices of 
heating and electric power 
consumption and subsequent  rise of prices of sector products  In order to implement the 
Agreement between the Government of RK and the Kyrgyz 
Republic on use of fuel-energy and 
water resources of Naryn-Syrdarya reservoirs in 2003 the tariffs on 
transportation of coal and black oil 
provided as compensation for electric power from the Kyrgyz 
Republic during vegetation period 
according to the Resolution of the Government of RK No.799 dated 
17 July 2002     The Regulation on establishing and 
cancellation of decreasing coefficients of tariffs on railway 
transportation regulated by the 
state No.24-OD (approved by the Order of the Agency dated 
30 December 1999, registered 
No. 102 in the Ministry of justice on 6 January 2000  
Legal basis The Regulation on establishing and cancellation of decreasing coefficients  on tariffs for railway transportation to  be regulated by the State (approved by the Order of the Agency No. 24-OD of 
30 December 1999**, registered No.1024 in the Ministry of Justice on 6 January 2000 
Payment terms Advance pa yment, no indebtedness 
for transportation services, increase 
of transportation volumes in comparison with the previous year  Advance payment, no indebtedness 
for transportation services, increase 
of transportation volumes in comparison with the previous year  Advance payment, no indebtedness 
for transportation services, increase 
of transportation volumes in comparison with the previous year  In the form of compensation of the 
electric power from the Kyrgyz 
Republic delivered in the vegetation period  Advance payment, no indebtedness 
for transportation services and 
fulfilment of transportation volumes not less than the level of 
2001   
Validity of subsidy since 21 January 2003 till 
31 December 2003  since 24 January 2003 till 
31 December 2003 since April 1 till 1 October 2003  since 17 August 2003 till 
31 December 2003 Since 29 March 2002 till 
1 January 2003 
Statistical data allowing to evaluate subsidy 
effect on trade  - - - - - 
*  "Producers in all communications" (i.e. consignors in all des tinations) implies that the decreasing coefficient for goods tr ansportation applies to all consignors transporti ng this type of goods to any destination – 
national, export destination,  or export destination. 
**  Invalidated by Order of the Chairman  of the Agency No. 337-OD of 5 August 2004. 
 
 
   
 WT/ACC/SPEC/KAZ/9 
Page 176 ANNEX 13 
Electric power delivery by KEGOC  
Services "AES Ekibastus" LLP "E kibastuzskaya station" OJSC " Каzenergoresurs" LLP 
The title of subsidy 
program or special 
target subsidy: Electric power delivery by "KEGOC" OJSC, "AES 
Ekibastuz" LLP networks Electric power delivery by "KEGOC" OJSC, "Ekibastuzskaya 
station" OJSC Electric power delivery by "KEGOC" OJSC,  
"Каzenergoresurs" LLP 
Subsidy (subsidy per 
unit): 90% discount  According to the Orders: 84%, 88%, 84%. According to the Orders: 80%,65%, 65% 
Amount of Subsidy, 
mln. Kwatt/hour 575.4 3,482.2 932.8 
Amount of Subsidy, mln 
tenge 229.1 1,753.9 438.6 
Objectives of subsidy  In order to re gulate arbitrage investigation with AES 
corporation and to execute the Memorandum of 
understanding between the government of the Republic of Kazakhstan and AES Corporati on "On Regulation of Dispute 
with AES Corporation"  Increase of electric power consumption in comparison to the 
period of the previous year  Increase of electric power consumption in comparison to the 
period of the previous year  
Legal basis  Joint order of the Agen cy of the Republic of Kazakhstan on 
Natural Monopoly Regulation, Competition Protection And 
Assisting Small Business (dated 15 March 2000, No. 27-OD) and the Ministry of Energy and Mineral Resources (dated 
15 March 2000, No.101) The order of the Agency of the Republic of Kazakhstan on 
Natural Monopoly Regulation, Competition Protection And 
Assisting Small Business No. 263–OD dated 29 December 2002, the order of the Agency No.166-OD 
dated 30 June 2003, the order of the Agency No.186 dated 
27 July 2003 . The order of the Agency of the Republic of Kazakhstan on 
Natural Monopoly Regulation, Competition Protection And 
Assisting Small Business No. 89-OD dated 26 March 2003, the Order of the Agency No.166-OD dated 13 August 2003, 
the Order of the Agency No.235-OD dated 
16 September 2003  
Payment terms 100% current payment 100% current payment 100% current payment 
Validity of subsidy  Since 7 April 2000 till 7 April 2015 According to the Orders: since 1 January 2003 till 
30 June 2003, since 1 July 2003 till 31 July 2003, since 
31 July till 31 December 2003  According to the Orders:  since 1 April 2003 till 
30 September 2003, since 13 August 2003 till 
30 September 2003, since 16 September 2003 till 
31 December 2003. 
Statistic data allowing to evaluate effect of subsidy on trade  - - - 
 
  WT/ACC/SPEC/KAZ/9 
 Page 177 
 
 
 ANNEX 14 
List of State standards harmonize d with international standards  
 
1. ST RK 1.2-2002 National standardization system of the Republic of Kazakhstan. 
Procedure on development of the state standards. 
2. ST RK 1.28-2002 National standardization sy stem of the Republic of Kazakhstan. 
Standardization of services. 
3. ST RK 3.7-2002 National certification sy stem of the Republic of Kazakhstan. 
Procedure on certification of touris t-excursion services and tourist 
accommodation services. 
4. ST RK 3.26-2002 National certification syst em of the Republic of Kazakhstan. 
Procedure on certification of speci al hoisting equipment and cranes. 
5. ST RK 3.28-2002 Procedure on certification of vegetable oils and fat-and-oil products. 
6. ST RK 4.6-2002 Oil products. General provisions. 
7. ST RK 7.3-2002 National certification system of the Republic of Kazakhstan. General 
requirements to test la boratories (centres).  
8. ST RK 7.8-2002 Procedur e on accreditation of certificat ion bodies, testing and 
calibrating laboratories (centres). 
9. ST RK GOST R 12.4.026-
2002 Signalling colours, safety signs, and signalling marking. General 
technical specifications and application procedure. 
10. ST RK 34.003-2002 Information technology. Nomenclature of quality parameters of 
information system databases. 
11. ST RK 34.004-2002 Information technology. Methods to determine base values of 
software quality. 
12. ST RK 34.010-2002 Information technology. Software certification. Procedure on 
examination of software documentation.  
13. ST RK 34.012-2002 Information technology. Software tools certification. Typical methods 
to evaluate the quality of software documentation. 
14. ST RK 34.016-2002 Information technology. Remote control technical software tools. 
General technical specifications.  
15. ST RK ISO/IEC 66-2002 General specifications for the bodies evaluating and 
certifying/registering ecological control systems. 
16. ST RK 452-2002 Mineral, natural, potable and table, therapeutic waters. General 
technical specifications (GTS). 
17. ST RK 1010-2002 Food products. Information for consumers. General specifications. 
18. ST RK 1042-2001 Administrative-regulatory documentation. Specifications on drawing 
documents.  
19. ST RK 1050-2002  
(ISO 752-1981) Zinc bars. Technical specifications.  
20. ST RK 1052-2002 Environment protection. Atmosphere. Determining parameters of 
lead, zinc, copper and th eir compounds emission.  
21. ST RK 1055-2002 Kazakh coal  for carbonization. Genera l technical specifications. 
22. ST RK 1056-2002 Kazakh coal for powdere d-coal combustion. General technical 
specifications. 
23. ST RK 1060-2002 Lactoserum based drinks with filler. General technical specifications. 
24. ST RK 1062-2002 Butter. General technical specifications. 
25. ST RK 1063-2002 Cheese. General technical specifications. 
26. ST RK 1076-2002  Perfume and cosmetic products. Information for consumer. General 
specifications. 
27. ST RK 1093-2002 Kazakh coal for lime prod uction. General technical specifications. 
28. ST RK 1094-2002 Kazakh coal for cement pr oduction. General technical specifications. 
29. ST RK 1097-2002 Water. Gas chromatography method for detection of carbon in 
organic compounds.  
30. ST RK 1109-2002 Ampul for mining and construction. General technical specifications.  
31. ST RK 1110-2002 Bolt shaft. General technical specifications. WT/ACC/SPEC/KAZ/9 
Page 178  
 
 32. ST RK 1147-2002 Standoff ceramic insulators for voltage over 1,000 V for outdoor 
work. Types, main parameters and sizes. 
33. ST RK 1148-2002 Standoff ceramic insulators for voltage over 1,000 V for indoor work. 
Types, main parameters and sizes.  
34. ST RK 1157-2002 Professional higher education. Education quality management 
systems. 
35. ST RK 1158-2002 Professional higher education. Material-technical base for educational 
institutions.  
36. ST RK 1166-2002 Fire equipment. Classification. Terms and definitions.  
37. ST RK 1167-2002 Fire-prevention automated mechanisms. Classification. Terms and 
definitions. 
38. ST RK ISO/IEC TO  
15504-1-2002 Information technology. Evaluation of software development. Part 1. 
General provisions and introduction. 
39. ST RK 19011-2002 Audit of quality management and/or environment protection systems. 
40. ST RK 1.32-2003 GSS RK. Technical specifications on food products. General 
specifications on development and design. 
41. ST RK 1.41 – 2003 Statistical and conventional digital codes used as notation 
conventions in development of standards and regulatory documents 
on standardizing. 
42. ST RK 3.11-2003 National certification syst em of the Republic of Kazakhstan. 
Structure and procedure on keeping the National System Register. 
43. ST RK 3.31-2003 Gas certification procedure. 
44. ST RK 3.35-2003 National certification syst em of the Republic of Kazakhstan. 
Qualification requirements to the certification body executive. 
45. ST RK 3.362003 National certification system of the Republic of Kazakhstan. Mineral 
fertilizers application equipm ent certification procedure. 
46. ST RK 4.5- 2003 Product development and mass production system. Foreign 
companies documentation products. 
47. ST RK 7.6-2003 Specifications and procedure on accreditation to obtain the right for 
metrology certification of measuring methods. 
48. ST RK 7.10-2003 Specifications and procedure on accreditation to obtain the right for 
independent expert evaluation in metrology. 
49. ST RK 7.9 - 2003 GSS RK. Standard time for operations on preparation and 
accreditation of organizations on certif ication of products, processes, 
work, services and test laboratories (centres). 
50. ST RK 1174-2002 Fire-prevention equipment. Main types. Allocation and maintenance. 
51. ST RK 1176-2002 State number plates with light reflective surface for certain types of 
vehicles and trailers. Technical specifications. 
52. ST RK 1178-2003 Protection of information system of the National Standards Fund 
from unauthorized access. Gene ral technical specifications. 
53. ST RK 1183-2003 Car gasoline. General technical specifications. 
54. ST RK 1184-2003 Quality of internal information. Terms and definitions.  
55. ST RK 1185-2003 Safety certificate for products, substances and materials. 
Composition, development and application procedure. 
56. ST RK 1186-2003 Textiles. Coating and carpet products made by mechanical 
manufacture method. Information for consumer. General 
specifications.  
57. ST RK 1187-2003 Fire alarms. Classificati on. General technical specifications. Test 
methods.  
58. ST RK 1188-2003 Thermal fire alarms. Fi re safety technical specifications. Test 
methods. 
59. ST RK 1189-2003 Fire reporting facilities and evacuation managers. Classification. 
General technical specifications. Test methods. 
60. ST RK 1196-2003 Product quality parame ters system. Erosion-preventive seeding-
machines. Nomenclature of quantitative indices of quality.  
61. ST RK 1212-2003 Bitumen and bitumen based cementing agents. Terms and definitions.  WT/ACC/SPEC/KAZ/9 
 Page 179 
 
 
 62. ST RK 1228  -2003 Bitumen and bitumen based cementing agents. Solubility 
determination method. 
63. ST RK 1211-2003 Bitumen and bitumen based cementing agents. Dynamic viscosity 
determination method. 
64. ST RK 1210-2003 Bitumen and bitumen based cementing agents. Kinematic viscosity 
determination method. 
65. ST RK 1227-2003 Bitumen and bitumen based cementing agents. Determining the 
softening point by ball and ring method. 
66. ST RK 1221-2003 Mineral powder for road concrete mix. Test methods. 
67. ST RK 1224-2003 
 Bitumen and bitumen based cementing agents. Methods to determine 
the heat and air aging treatment resistance. 
68. ST RK 1229-2003 Bitumen and bitumen based cementing agents. Brittle temperature 
determination Fraas method.  
69. ST RK 1226-2003 Bitumen and bitumen based cementing agents. Penetration depth 
determination method. 
70. ST RK 1219-2003 Moto r roads and airfields. Surface imperfections measuring methods. 
71. ST RK 1230-2003 Oil bitumen. Paraffin content determination methods. 
72. ST RK 1218-2003 Organic astringents based materials for road and airfield construction. 
Test methods. 
73. ST RK 1217-2003 Construction sand. Test methods. 
74. ST RK1213 -2003 Constructio n macadam and gravel from dense rock and industrial 
wastes. Physical and mechanical test methods. 
75. ST RK 1214-2003 Constructio n macadam and gravel from dense rock and industrial 
wastes. Chemical analysis methods. 
76. ST RK 1124-2003 Traffic control technical facilities. Road marking. Technical 
specifications. 
77. ST RK 1220-2003 Resin for bridge framework carriages. General technical 
specifications. Test methods. 
78. ST RK GOST R 51760-2003 Package. General technical specifications. 
79. ST RK GOST R 50779.11-
2003 Statistical methods. Statistical quality management. Terms and 
definitions. 
80. ST RK GOST R 51089-2003 Fire-p revention receive rs and control devices . General technical 
specifications. Test methods. 
81. ST RK GOST R 51210-2003 Po table water. Boron content determination method. 
82. ST RK GOST R 51211-2 003 Potable water. Surface-active materials detection methods. 
83. ST RK GOST R 51574-2003 White salt. Technical specifications. 
84. ST RK GOST R 51578-2003 Liquid perfume products. General technical specifications. 
85. ST RK GOST R 51579-2003 Cosmetic products. General technical specifications 
86. ST RK GOST R 51691-2003 Paintwork materials. Enamels. General technical specifications. 
87. ST RK GOST R 51692-2003 Paint oil. General technical specifications. 
 WT/ACC/SPEC/KAZ/9 
Page 180  
 
 List of standards harmonized in accordance with the Schedule for Harmonization of National 
Standards with International Standards in 2004  
 1. ST RK Gas and oil industry. Drilling and pr oduction equipment. Wellhead and production 
tree.  
2. ST RK Gas and oil industry. Pump rods (short pump rods, subsurface pump plungers, 
couplings and reducing taper elbow s). Technical specifications. 
3. ST RK Gas and oil industry. Pumping units. Technical specifications. 
4. ST RK Rotary pumps for oil, petr ochemical and gas industries.  
5. ST RK Gas and oil industry. Drilling and pr oduction equipment. Equipment for through 
drilling.  
6. ST RK Oil and gas industry. Tubular heat exchangers. 
7. ST RK Steel shutoff valves, ball-valves, and stop valves with DN 100 and less diameter for 
oil and gas industry. 
8. ST RK Gas and oil industry. Casing centralizer s. Part 1. Spring casing centralizers.  
9. ST RK Gas and oil industry. Well cementing equipment. Part 3. Operational tests of 
cementing floating equipment. 
10. ST RK Gas and oil industry. Plate-type heat exchanger. 
11. ST RK Oil, chemical and gas industry. Centrifugal-flow compressors. 
12. ST RK Oil and gas industry. Positive displaceme nt rotary compressors. Part 1. Industrial 
compressors (without oil)  
13. ST RK Gas and oil industry. Flexible coup lings for transmission of general-purpose 
mechanical energy. 
14. ST RK Gas and oil industry. Piston gas packed compressors.  
15. ST RK Gas and oil industry. Seamless pipes from corrosion-resistant alloys for safety 
clutches, pipelines and end caps. Technical specifications on supply.  
16. ST RK Gas and oil industry. Drilling and pr oduction equipment. Control, technical 
maintenance, repair and upgrade of hoisting equipment. 
17. ST RK Oil and gas industry. Drilling and pr oduction equipment. Hoisting equipment. 
18. ST RK Gas and oil industry. Collection and exchange of data on equipment safety and 
maintenance.  
19. ST RK Gas and oil industry. Formulas for and co mputation of parameters  of casing pipes, oil-
well tubing, drill pipes and pipelines pipes.  
20. ST RK Gas and oil industry. Downhole equipment. Packers and bridge plugs.  
21. ST RK Downhole equipment for oil and gas industry. Subsurface pump systems with 
chambers for mechanized production. Part 1. Pumps.  
22. ST RK Oil and gas industry. Piston compressors. 
23. ST RK Gas and oil industry. Pipelines for gas transportation. Pipeline valves.  
24. ST RK Gas and oil industry. Well drilling e quipment. Landing nipple mandrel and landing 
nipple. 
25. ST RK Gas and oil industry. Bends made with induction heating method,  fittings and flange 
for pipeline pumping-over systems. Part 1. Bends made with induction heating method.  
26. ST RK Gas and oil industry. Downhole equipment. Downhole safety valves.  
27. ST RK Oil industry. Terminology. Part 1.  Raw materials and finished products. 
28. ST RK Oil industry. Terminology. Part 2. Test specifications and methods.  
29. ST RK Oil industry. Terminology. Part 3. Deposit exploration and production.  
30. ST RK Oil industry. Terminology. Part 4. Oil processing.  
31. ST RK Oil industry. Terminology. Part 5. Transportation, storage, distribution.  
32. ST RK Oil industry. Terminology. Part 6. Measuring system.  
33. ST RK Oil industry. Terminology. Part 7. Miscellaneous terms.  
34. ST RK Oil industry. Terminology. Part  99. General provisions and index.  
35. ST RK Natural gas. Dictionary. 
36. ST RK Gas and oil industry. Contents and draft of technical specifications.   WT/ACC/SPEC/KAZ/9 
 Page 181 
 
 
 37. ST RK Gas and oil industry. Content defi nition and development of the functional 
specifications document.  
38. ST RK Crude oil and liquid oil products. Laborat ory density test. Areometer based method. 
39. ST RK Measuring systems for oil products. Ca libration. Temperature modifications for 
calibration of measuring vessels for tests. 
40. ST RK Oil and gas industry. Field tests of drillin g agents. Part 1. Water based drilling agents. 
41. ST RK Gas and oil industry. Field tests of dr illing agents. Part 2. Carbon based drilling 
agents. 
42. ST RK Gas and oil industry. Drilling agents. Laboratory tests.  
43. ST RK Oil and gas industry. Materials for drilling agents. Technical specifications and tests.  
44. ST RK Oil and gas industry. Lifetime operationa l costs computation. Part 1. Methodology.  
45. ST RK Gas and oil industry. Lifetime opera tional costs. Part 2. Guidelines to the 
methodology and computation methods.  
46. ST RK Oil and gas industry. Lifetime operational costs. Part 3. Introduction guidelines.  
47. ST RK Oil parameters tables. Part 2. Tables based on standard temperatures 20 ° C.  
48. ST RK Crude oil. Water content determination.  Karl Fischer potentiometric titration method. 
49. ST RK Crude oil. Water content determ ination. Coulometric titration method. 
50. ST RK Crude oil and liquid and solid oil products . Density and relative de nsity determination. 
Method using a capillary densimeter with a plug and a graded bicapillary densimeter. 
51. ST RK Natural gas. Sulfides content det ection. Part 1. General introduction.  
52. ST RK Natural gas. Water content de tection. Part 2. Test methods.  
53. ST RK Natural gas. Water content detecti on. Part 3. Coulometric measurements.  
54. ST RK Natural gas. Constriction coefficient computation. Part 3. Physical characteristics 
based computation.  
55. ST RK Natural gas. Quality designation.  
56. ST RK Natural gas. Composition analysis with  standard precision by gas chromatography 
method. Part 6. Hydrogen, helium, oxygen, nitrogen, carbonic acid gas, and hydrocarbons 
(C1-C8) content analysis with  three capillary columns.  
57. ST RK Natural gas. Extended analysis. Gas chromatography method.  
58. ST RK Natural gas. Calorific power, density, relative density and Wobbe index computation 
for the blend.  
59. ST RK Natural combustible gas. Component analysis chromatography method.  
60. ST RK Natural gas. Organic sulphurous compounds  used as aromatizers. Specifications and 
test methods.  
61. ST RK Gas analysis. Detection of sulphurous co mpounds content in natural gas. Part 2. 
Method of gas chromatography analysis with application of odorant sulphurous compounds 
electrochemical detector.  
62. ST RK Natural gas. Water content determination at high pressure.  
63. ST RK Natural gas. Constriction coefficient com putation. Part 1. Introduction and guidelines.  
64. ST RK Natural gas. Constriction coefficient co mputation. Part 2. Molar percentage based 
computation.  
65. ST RK Technical propane and butane. Gas chromatography analysis method.  
66. ST RK Natural gas. Composition analysis with  standard precision by gas chromatography 
method. Part 4. Nitrogen, carbonic acid gas and hydrocarbons (C1-C5 and C6+) content 
analysis for a laboratory and real time m easuring system with two capillary columns. 
67. ST RK Natural gas. Composition analysis with  standard precision by gas chromatography 
method. Part 5. Nitrogen, carbonic acid gas and hydrocarbons (C1-C5 and C6+) content 
analysis for the laboratory application and real  time application of the process with three 
capillary columns.  
68. ST RK Natural gas. Physical properties co mputation methods. Condensability coefficient 
computation.  
69. ST RK Domestic gas. Ordor intensity detection methods.  WT/ACC/SPEC/KAZ/9 
Page 182  
 
 70. ST RK Crude oil. Water content dete rmination. Distillation method.  
71. ST RK Natural gas. Composition analysis with  standard precision by gas chromatography 
method. Part 1. Special analysis guidelines.  
72. ST RK Natural gas. Composition analysis with  standard precision by gas chromatography 
method. Part 2. Measuring system specifications and statistical data analysis.  
73. ST RK Natural gas. Composition analysis with  standard precision by gas chromatography 
method. Part 3. Hydrogen, helium, oxygen, nitrogen, carbonic acid gas, and hydrocarbons (up to C8) content analysis wi th two packed columns.  
74. ST RK Natural gas. Organic sulphurous compounds  used as ordorants. Specifications and test 
methods.  
75. ST RK Natural gas. Water content analys is. Part 3. Coulometric measurements. 
76. ST RK Liquid petroleum gas. Vapor dens ity and pressure computation method.  
77. ST RK Oil products. Water content analysis. Ca rl Fisher coulometric titration method.  
78. ST RK Oil products. Sulfur content analysis. X-ray fluorescent spectrometry with wavelength 
variance.  
79. ST RK Crude oil. Water and precipitation content analysis. Centrifugal method.  
80. ST RK Oil products. Vanadium and nickel c ontent analysis. X-ray fluorescent spectrometry 
with wavelength variance.  
81. ST RK Oil products. Determination of lead content in gasoline. Method with application of 
iodine chloride.  
82. ST RK Oil and liquid oil products. Temper ature measurement. Manual methods.  
83. ST RK Oil products. Sulfur content analysis. En ergy dispersion X-ray fluorescence method.  
84. ST RK Light cooled hydrocarbon liquids. Samp le monitoring of natural liquefied gas. 
Continuous monitoring method.  
85. ST RK Oil products. Aviation and distillate fu el. Specific electric conductance test.   
86. ST RK Oil products. Saponification number test. Pa rt 1. Method of titration with a chemical 
indicator.  
87. ST RK Oil products. Saponification number test. Part 2. Potentiometric titration method.  
88. ST RK Liquid hydrocarbons. Volumetric me asurement with turbine flowmeters.  
89. ST RK Oil and liquid oil products. Calibration of vessel by measurement of the liquid. 
Increment method with volumetric flowmeters.  
90. ST RK Crude oil and oil residue. Residue content analysis. Extraction method.  
91. ST RK Oil and liquid oil products. Calibration of  horizontal cylinder reservoirs. Part 2.  
Method of internal measurement with electrooptic distance meters.  
92. ST RK Gas and oil industry. Casing pipes and tubing maintenance and operation.  
93. ST RK Gas and oil industry. Casing pipes, tubing, and pipelines cutting, calibration and 
manufacturing inspection. Technical specifications. 
94. ST RK Gas and oil industry. Systems of  gas transportation by pipelines. 
95. ST RK Gas and oil industry. Evaluation and testi ng of threaded joints of casing pipes, tubing, 
and pipelines.  
96. ST RK Gas and oil industry. Evaluation and t esting methods for threaded joints of casing 
pipes and pipelines.  
97. ST RK Gas and oil industry. Systems of gas tran sportation by pipelines. Pipelines welding.  
98. ST RK Gas and oil industry. Drilling and pr oduction equipment. Computation of drilling 
pipes and maximal lifetime.  
99. ST RK Gas and oil industry. Pipelines systems fro m glass-reinforced plastic (GRP). Part 4. 
Assembly, laying, and operation.  
100. ST RK Gas and oil industry. Pipelines systems.  
101. ST RK Gas and oil industry. Pipelines systems fro m glass-reinforced plastic (GRP). Part 1. 
Dictionary, symbols, application and materials.  
102. ST RK Gas and oil industry. Pipelines systems fro m glass-reinforced plastic (GRP). Part 2. 
Qualification evaluation and production.   WT/ACC/SPEC/KAZ/9 
 Page 183 
 
 
 103. ST RK Gas and oil industry. Pipelines systems fro m glass-reinforced plastic (GRP). Part 3. 
System design.  
104. ST RK Gas and oil industry. Installations for offshore production. Guidelines on choice of 
tools and methods to identify hazards and evaluate risks.  
105. ST RK Crude oil. Transportation accounting. Guidelines on inspection of cargo.  
106. ST RK Natural gas. Carl Fisher method of wa ter content analysis. Part 1 Introduction.  
107. ST RK Natural gas. Carl Fisher method of wa ter content analysis. Part 2. Testing.  
108. ST RK Natural combustible gas. Sampling methods. 
109. ST RK Agglomerated fuel from coal of K azakhstan. General technical specifications. 
110. ST RK Solid mineral fuel. Qua lity based acceptance rules.  
111. ST RK Solid mineral fuel. Test of specific efficient activity of natural radionuclids.  
112. ST RK Electrical safety of industrial and soci al-domestic electrical installations. General 
technical specifications. 
113. ST RK Electrical safety of industrial and soci al-domestic electrical installations. Control 
methods.  
114. ST RK Re-equipment of vehicles. General specifications phase 1.  
115. ST RK Railway transport forwarding services. General requirements. 
116. ST RK Vehicles. Structure safety requirements.  
117. ST RK Technical facilities for traffic control and organization. Operation rules.  
118. ST RK Porcelain rod insulators for the overhead  contact system of the railway lines system. 
General technical specifications. 
119. ST RK Polymer rod insulators for the overhead contact system of the railway lines system. 
General technical specifications. 
120. (State standard) GOST Car service center services. Car glass toning. General specifications 
phase 1. 
121. (State standard) GOST Car service center services. Maintenance shop services. Types of 
services, service procedure and quality requirements. Phase 1. 
122. ST RK Emission of hazardous substances and exhaust smoke opacity of main-line and 
shunting diesel locomotives. Norms and methods of determination.  
123. ST RK Vehicles. Safety requirements to the technical condition and inspection methods.  
124. ST RK Motor roads. Wheel and surface traction coefficient test methods.  
125. ST RK Mineral powder for road c oncrete mix. Test methods.  
126. ST RK Construction macadam and gravel fro m dense rock. Technical specifications. 
127. ST RK Bitumen road emulsions. Technical specifications. 
128. ST RK Polymer-bitumen astringent for road construction. Technical specifications. 
129. ST RK Metal safety fence. Technical specifications. 
130. ST RK Raw material for production of constr uction sand, macadam and gravel. Technical 
specifications and test methods.  
131. ST RK Paintwork materials. Enamels. General technical specifications.  
132. ST RK Paint oil. General technical specifications. 
133. ST RK Gas and oil industry. Cement and materi als to cement the well. Part 1. Technical 
specifications. 
134. ST RK Technical regulations on geological e xploration and protecti on of the subsurface. 
General specifications. 
135. ST RK Annual schedule of mining operations. Requirements to the content, design, 
coordination and approval.  
136. ST RK Soils. Laboratory tests. General provisions.  
137. ST RK Soils. Laboratory methods for the grain (grain-size) analysis.  
138. ST RK Annual production plan for complex co nsumption of mineral raw material in 
processing. General specifications. 
139. ST RK Radiation evaluation of deposits of raw materials for production of construction 
materials. WT/ACC/SPEC/KAZ/9 
Page 184  
 
 140. ST RK Development of requirements to the desi gn, organization and implementation of local 
monitoring of subsurface to the procedure on representation and use of this data.  
141. GOST Lead-antimony alloys. Technical specifications  
142. GOST Zinc. Spectral analysis method.  
143. ST RK Fitment and corking. General provisions on safety, marking and acceptance rules.  
144. ST RK White salt. Technical specifications  
145. ST RK Iodized white salt. Iodine and sodium  thiosulfate content determination methods. 
146. ST RK Statistical methods. Procedures on sampling testing by alternative attributes. Part 1. 
AQL (acceptable quality level) based plans on sampling testing of consecutive consignments. 
147. ST RK Quality management system. Evaluation of quality management system efficiency 
with help of expert score.  
148. ST RK Statistical methods. Processes capacity indices. Main computation methods.  
149. ST RK 695-98 Soils. Motor roads surface so ils' density and humidity test methods. 
150. ST RK 781-93 Cindery astringents for road construction. Technical specifications. 
151. ST RK 973-94 Stone materials and soils treated with non-organic astringents for road and 
airfield construction. Technical specifications. 
152. Revised standard ST RK 17.1.4.01-95 Environment protection. Hydrosphere. Method of 
determining the acute toxic ity of water on daphnia.  
153. Revised standard ST RK 17.1.4.02-96 Environment protection. Hydrosphere. Method of 
determining the acute toxicity of water on ceriodaphnias.  
154. Revised standard ST RK 17.1.4.03-96 Environment protection. Hydrosphere. Method of 
determining the acute toxicity of water on algae. 
155. Revised standard ST RK 17.1.4.04-97 Environment protection. Hydrosphere. Method of 
determining the acute toxicity of water on infusoria. 
156. Revised standard ST RK 1082-2002 Mining load-haul-dump machines. General technical 
specifications. 
157. Revised standard ST RK 1123-2002 Mechanical vehicles and trailers.  
158. Revised standard ST RK 962-93 Technical re gulation on tire production. Development, 
coordination and approval procedure.  
159. Revised standard ST RK 1086-2003 Technical di agnosis of vehicles a nd trailers. General 
technical specifications. 
160. Revised standard ST RK 3.18-2000 Machine bu ilding industry products certification. General 
provisions.  
161. Revised standard ST RK 3.26-2002 GSS RK . Special hoisting equipment certification 
procedure.  
  WT/ACC/SPEC/KAZ/9 
 Page 185 
 
 
 ANNEX 15 
List of goods subject to State veterinary control  
 
FEA PN 
Code Description 
0101     Live horses, donkeys, mules, and hinnies 
0102 Livestock  
0103 Live pigs  
0104 Live sheep and goats 
0105 Live poultry, i.e. саllus dоmеstiсus (chicken), duck, turkey, and guinea fowl 
0106 Other live animals 
0201 Fresh or refrigerated meat of cattle 
0202 Frozen meat of cattle 
0203 Fresh, refrigerated or frozen pork 
0204 Fresh, refrigerated or frozen mutton or goat's flesh 
0205 Fresh, refrigerated or frozen flesh of horse, donkey, mule or hinny 
0206    Fresh, refrigerated or frozen food by-products from cattle, pig, sheep, goat, horse, donkey, 
mule or hinny 
0207 Fresh, refrigerated or frozen meat and food by-products from poultry (line 0105) 
0208 Other fresh, refrigerated or frozen meat and meat by-products 
0209 Fresh, refrigerated, corned or pickled, dried or smoked lard separated from lean meat, poultry 
fat (not melted into grease or not extracted by any other means) 
0210 Corned or pickled, dried or smoked meat and food meat by-products; meat-meal 
0301 Live fish 
0302 Fresh or refrigerated fish except for filleted fish and other fish meat in line 0304 
0303 Frozen fish except for filleted fish and other fish meat in line 0304 
0304 Fresh, refrigerated or frozen filleted fish  and other fish meat (including minced fish) 
 
0305 Dried, salty or pickled fish; hot or cold smoked fish; fish flour, powder and granules for food 
0306 Live, fresh, refrigerated, frozen, dried, corned or pickled shellfish; undivided shellfish steamed 
or boiled; flour, powder and granules from shellfish 
0307 Mollusk (clam), other invertebrate animal different from the shellf ish and mollusk; flour, 
powder and pills from other invertebrate animals for food 
0401 Not condensed milk and cream without sugar or other edulcorators 
0407 Eggs in shell: fresh, canned or boiled 
0408 Eggs without shell and egg yolk: fresh, dried, steamed or boiled, moulded, refrigerated or 
canned by any other method 
0409   Natural honey 
0410 Other food products from animals, not specified in other lines 
0504 Animal bowels, bladder and stomach (except for fish): whole or in pieces 
0505 Skins and other parts of birds with feathers or fluff; feathers and parts of feathers …; and fluff, 
…: for storage but not for further processing; powder and waste from feathers and their parts 
0506 Bones and horns: unprocessed, defatted, after primary treatment (without moulding/shaping), 
treated with acid or de-g elatinized; powder and waste from such products 
0507 Ivory, turtle shell, whalebone…; horns, hoof, nails, claws, beaks: unprocessed or after primary 
treatment (without moulding/shaping); powder and waste from such products 
0509 Natural sponge of animal origin 
0510 Ambergris, castoreum, civet and musk; bile and dry bile; glands and other animal products 
used in pharmaceutics: fresh, refrigerated and frozen 
0511 animal products not specified in other lines, inedible perished (dead) animals of category 01 or 
03 
1501 Pig fat (including lard) and poultry fat, except for fat in line 0209 or 1503 
1502 Fat of cattle, sheep or goat, except for fat in line 1503 
1504 Fat, oil and their fractions from fish or sea mammal: refined or not refined, but with unchanged 
chemical composition WT/ACC/SPEC/KAZ/9 
Page 186  
 
 FEA PN 
Code Description 
1505 Wool grease and fat from it (including lanolin) 
1516 Animal or vegetable fat, oil and their fractions: refined and not refined, but unprocessed 
1518 Animal or vegetable fat, oil and their fractions: inedible boiled, oxidized, dehydrated, 
sulfonated or bodied by heating in vacuum or rare gas, except for goods in line 1516  
3002 Human blood; animal blood, immune serum (antiserum) and other blood fractions…; vaccine, 
toxin, germ cultures (except for yeast) and similar products 
3003 Medicine (except for line 3002, 3005 or 3006) made of two or more components, not packed 
3004 Medicine (except for lines 3002, 3005 or 3006) made of mixed or unmixed products…; packed 
for retail sale 
3005 cotton wool, gauze, bandage and similar products: packed for retail sale, designated for 
medical application in surgery, dentistry or veterinary 
3006 Pharmaceutical products men tioned in notes on this group 
3101 Animal or vegetable fertilizers: mixed or  unmixed, chemically processed or unprocessed 
3203 Vegetable or animal dye-stuffs (including extracts, except for animal coal) of known or 
unknown chemical composition an d chemicals made from them 
3802 Activated charcoal; activated natural mineral products; animal coal, including waste animal 
coal 
4101 Skins of cattle or horse family an imals (untanned) with or without wool 
4102 Sheep or lamb skin…: with or without wool, except for the ones excluded in note 1 to this 
group 
4103 Other unprocessed skins and fells (rawstock )…, with or without wool, except for the ones 
excluded in note 1 (b) or 1 (c) to this group 
4104 Skin of cattle or horse family animals without wool, except for leather in line 4108 or 4109 
4105 Sheep or lamb skin leather without wool, except for commercial leather in line 4108 or 4109 
4106 Goat skin leather without wool, except for commercial leather in line 4108 or 4109 
4107 Other animals skin leather without wool, except for commercial leather in line 4108 or 4109 
4109 Enamelled leather and laminated en amelled leather; metallized leather 
4110 Leather cuttings and other waste from natural or artificial leather unsuitable for production of 
leather items, leather dust, powder and flour  
4111 Artificial leather based on natural leather or leather fibre:  in plates or bands, in rolls or not in 
rolls 
4201 Harness leather items and harness for any animal (including trace s, bridles, knee-cap, 
horsecloth and similar goods) made from any material 
4206   Items made from animal bowels (except for catgut from natural silk), bladders or sinew 
4301 Fur rawstock (including heads, tails, … suitable for production of fur items), except for 
rawstock and commercial skins in lines 4101, 4102 or 4103 
4302   Tanned fur skins or leather, …packed or unpacked (without other materials added) except for 
the ones specified in the line 
5101 Uncombed and not carded wool 
5102 Thin or crude uncombed and not carded wool 
5104 Restored sheep wool and thin or crude restored animal wool 
5105 Sheep wool and thin or crude combed or carded animal wool (including combed wool in 
pieces) 
9018 Equipment and devices to be used in medicine, surgery, dentistry or veterinary, including 
planar nuclear imaging system, other electrical medical equipment and de vices for research on 
eye 
9601     Processed ivory, bone, turtle shell, antle r, coral, nacre and other animal materials for carving 
and items from these materials (including … by molding) 
  
  WT/ACC/SPEC/KAZ/9
 Page 187ANNEX 16 
Decreasing coefficients to existing tariffs for tran sit railway transportation of goods in Kazakhstan  
 
Nomenclature Code Forwarder Freight type HS UTSFTN3 Destination Decreasing 
Coefficient Expiration Date by protocol 
For all forwarders  wood, timber 4403-4420  All destinations - Iran 0.7 1 January 2004 – 
31 December 2004 
For all forwarders sugar beet  044009 Maimak-Lugovaya (from Kyrgyzstan to 
Kyrgyzstan) US$ 
2.19/ton 1 January 2004 – 
31 December 2004 
Aktau - Oasis 0.36 For all forwarders alumina 281820 151060 
Aksaraiskaya - Oasis (from Azerbaijan) 0.65 1 January 2004 – 
31 December 2004 
Nikeltau-Aktau (to third countries except for Afghanistan) 0.56 
For all forwarders metal-roll chapter 72-73  
Nikeltau-Oasis, Nikeltau-Saryagash (to third 
countries except for Afghanistan) 0.7 1 January 2004 – 
31 December 2004 
 
 
__________  
 
 
   
                                                     
 
3 Unified Tariffs/Statistics Freight  Transportation Nomenclature.