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Farmers in the Almaty region of Kazakhstan are grappling with a crisis as they struggle to sell their substantial onion harvest. Despite high production costs, they are finding it nearly impossible to offload their produce, even at prices as low as 30 tenge per kilogram. This predicament is largely attributed to inefficient logistics and a complex network of intermediaries.

Persistent Challenges Plague Onion Producers

This issue is not new for the farmers, who face similar difficulties year after year. While they are open to cultivating other crops, the soil in their region is uniquely suited for onions. The cost of producing a kilogram of onions hovers around 7000 tenge, yet the current market demand has plummeted, making sales unfeasible. Some farmers are resorting to selling their produce roadside out of desperation.

"Onions are being sold from warehouses for 30 tenge per kilogram. This is a 'symbolic price' because in Almaty and other regions of Kazakhstan, onions sell for over 100 tenge. However, due to logistical difficulties and numerous intermediaries, it's impossible to get the produce to the market. There's a lot of quality onion in warehouses, but it's not selling," shared local resident Duman.

Duman added that farmers are prepared to engage in long-term contracts and cultivate the required volumes if a stable market could be secured.

Rising Water Costs Exacerbate Financial Strain

The farmers' woes are compounded by increasing operational costs, particularly for water. The price of water has risen significantly due to the electricity costs associated with running pumping stations. As energy prices climb, so do the tariffs for water, directly impacting the cost of production.

Adding to their burden, some pumping stations have reportedly been privatized. Farmers are now compelled to purchase water from these new owners at inflated prices, further driving up the cost of their produce. "The main problems now are selling the produce and expensive water. Due to a lack of funds and ineffective pesticides, we cannot fully cultivate the land," lamented one farmer.

Scarcity of Effective Crop Protection

Compounding the difficulties, farmers report a severe lack of effective crop protection products. While cheaper alternatives offer no tangible results, imported, high-quality options are either prohibitively expensive or entirely unavailable in Kazakhstan.

One farmer, who owns 200 hectares of land, explained that he cannot utilize his entire plot due to financial constraints. This situation risks the government reclaiming unused land. The core issue remains a critical shortage of funding. Farmers are forced to take out loans for planting, but banks often refuse to accept land as collateral, requiring personal property like homes instead.

Geopolitical Factors Add to the Pressure

Agricultural experts suggest that imposing export restrictions to stabilize domestic prices can inadvertently add further pressure on the agricultural sector. They believe that the current geopolitical climate is also significantly influencing the industry.

"Getting a loan is easy, but repaying it is difficult. Half of the village residents are now in debt. Due to a lack of money, a portion of the land remains fallow. We believe state support is insufficient. Until the war in Russia ends and the situation stabilizes, our situation will remain difficult," expressed the farmers.

Local Administration's Response

The Qonayev city administration reported that in 2025, 450 hectares were dedicated to onion cultivation in Shengeldі, yielding a total of 16,000 tons.

"Approximately 10% of the harvest (1,600 tons) is planned for sale through retail chains. 'Altai Firma' LLP will sell 1,200 tons at the 'Altyn Orda' market. In the autumn, onions were sold at 45-70 tenge per kilogram, but since this price barely covered production costs, farmers opted to store the produce in warehouses. Seven warehouses with a total capacity of 27,400 tons are operational in the district. Currently, about 3,970 tons of onions are stored in these warehouses," the statement read.

Market demand has already been met, leading to slow sales. In response, the administration is working to increase the number of free trading spots at the 'Altyn Orda' market and assist in selling the remaining goods. Efforts are also underway to find buyers from Russia, Mongolia, and Tajikistan. Farmers have also been granted permission to sell their produce at agricultural fairs.