Central Asian governments kick-start greenhouse industry

In winter, Russia pays a fair price for safely grown veggies, and according to local governments, an economy based on greenhouses is preferable over an economy built on non-renewable resources. These circumstances result in a Central Asian market that's quite interesting for greenhouse suppliers. Dutch greenhouse builder KUBO sees the market grow and mature.

Low to medium to high
Horticulture in Central Asian countries like Kazakhstan, Uzbekistan, Kyrgyzstan, Azerbaijan and Turkmenistan is on the rise. Henk van Tuyl, export manager at greenhouse builder KUBO, explains why. "The Russian market is an important market for fresh produce and these countries are very near. The export season starts in September and lasts until May. The prices rise due to scarcity on the Russian market and fresh veggies are more than welcome. If you can supply Russia with year-round fresh produce, your position on the market is excellent."

Another important pusher for the horticultural industry are the local authorities. Countries prefer investing in veggies over oil. "In Kazakhstan for example, the government helps realize projects with KazAgroFinance. Leasing constructions make it easier for investors. Investors are an important client for greenhouse builders here." Other governments created similar circumstances.

Maturing market
Horticulture is not only growing, but the market is also maturing. "At first, low- or medium-tech greenhouses were built," says Henk. "Of course there is nothing wrong with that. But investors noticed they can make more out of their investment with a glass greenhouse. That's how the market started developing." Growing standards in the various countries are still versatile and even between regions, the standards are different. "But by now, the first investors are willing to take the next step in horticulture: semi-closed growing," Henk says. "They want to take growing veggies to the next level, and we can help them realize this." Recently, the company built their first Ultra Clima greenhouse in Kazakhstan.

Chances
Henk is optimistic on the developments in these markets. "If one starts, others will follow suit," Henk hopes. "We know there's a lot of interest in the industry. New projects are closely watched by other growers and investors."

And not only by them either. KUBO also keeps a close eye on the projects they play a role in. "It's important to guide your clients well. We want our greenhouses to bring out the maximum for growers and investors. We know this is possible and we want to help them achieve it."

KUBO Greenhouse Projects B.V.
Henk van Tuyl
[email protected]
www.kubo.nl