Fufeng Group to invest up to $350 mln in corn processing project in Kazakhstan

ASTANA. Nov 1 (Interfax) - China's Fufeng Group will invest $300 million-$350 million in a corn processing project in Kazakhstan, the Kazakh government's press service said.

Kazakh Prime Minister Olzhas Bektenov and Fufeng Group CEO Xuechun Li announced the project at a meeting.

"The proposal involves creating a vertically integrated industrial park in Kazakhstan dedicated to corn processing. This facility will feature production plants for starch syrup, amino acids, a coal-fired power station and a wastewater treatment facility, with an expected investment of $300 to $350 million and the creation of approximately 1,000 jobs," the press service said.

The project aims to produce value-added products like starch, monosodium glutamate and xanthan gum, prices for which are 10-15 times higher than for raw materials.

Xuechun Li said Fufeng Group was ready to be involved in crop growing, providing quality fertilizers and sharing the latest agronomic expertise. He also expressed interest in collaborating within the coal-to-chemical sector.

Following the meeting between the prime minister and the head of Fufeng Group, the agriculture, industry and construction ministries were asked to start drafting an investment agreement with the company.

It was reported in September that Fufeng Group planned to build an industrial park in the Kostanay region in northern Kazakhstan for deep processing of corn. The capacity of the future complex will be 500,000 tonnes per year, and the bulk of the products will be exported.

Fufeng Group is a leading global producer of bio-fermentation products and food additives, specializing in a diverse array of products, including flavor enhancers, sweeteners, seasonings, amino acids, animal feed, fertilizers and pharmaceuticals, producing over 50 essential goods, such as monosodium glutamate, xanthan gum, glucose and fructose.