Kazakhstan and China’s Snow Valley Agree to Build USD 100–200 Million Potato Processing Complex

The administration of Kazakhstan’s Pavlodar region has signed a memorandum of cooperation with China’s Snow Valley Agricultural Group Co. Ltd. to develop a large-scale potato processing project aimed at expanding agro-industrial capacity and boosting high value-added production in the region.

The agreement was signed by regional governor Asain Baikhanov alongside Chinese representatives Wang Dengshe and Zhang Fan. The project is expected to attract between USD 100 million and USD 200 million in investment and significantly strengthen Kazakhstan’s agricultural processing sector.

Large-scale agro-industrial complex planned in Pavlodar

Under the agreement, the partners plan to construct a modern agro-industrial complex with an annual processing capacity of 100,000 to 200,000 tonnes of potatoes. The facility will include production lines for French fries and other processed potato products, as well as infrastructure for storage, logistics, and distribution.

A key component of the project is the establishment of a research and breeding center focused on potato cultivation and seed production. Regional authorities say the initiative will help address the shortage of deep-processing capacity in agriculture, create new jobs, and build a fully integrated supply chain from farm to finished product.

Baikhanov said the regional administration is prepared to support high-tech, high value-added industrial projects, including infrastructure development and administrative assistance.

Technology-driven production and long-term cooperation

Founded in 2007 in Zhangjiakou, Snow Valley is a vertically integrated agricultural company covering the full potato production cycle, from breeding and cultivation to deep processing. The company processes more than 800,000 tonnes of raw materials annually and has a storage capacity of around 700,000 tonnes.

Snow Valley also operates advanced breeding programs, having developed over 80 potato varieties. Its production systems include modern technologies such as pulsed electric field (PEF) processing, which improves product quality and reduces oil consumption.

Company representatives Wang Dengshe and Zhang Fan confirmed the firm’s readiness to implement the project using advanced technologies and local resources, highlighting Pavlodar’s strong agricultural potential and expressing interest in long-term cooperation.

The initiative comes against the backdrop of Kazakhstan’s earlier temporary restrictions on potato exports outside the Eurasian Economic Union due to domestic price pressures. While current market conditions remain stable, authorities have previously indicated that such measures could be reinstated if necessary.