FOOD CONTRACT CORPORATION

Company Description

GENERALINFORMATION History State grain reserves in Kazakhstan have been held since 1920, when the People's Commissariat for Food (Commissariat) was established at the Congress of Soviets of the Kazakh ASSR. Subsequently Commissariat was repeatedly reformed and renamed. It has been called the Office of the Committee for the Kazakh ASSR reserves, Ministry of Kazakhstans cereal products, Ministry of reserves. The tasks and functions of the agency changed except for its main function - to ensure the food security of the country. The new History of state purchases of grain began in 1995. In order to purchase grain into the state resFOOD CONTRACT CORPORATIONces and develop new credit and payment mechanisms in the agricultural sector the State Food Contract Corporation was established by the Decree of the Cabinet of Ministers of the Republic of Kazakhstan dated March 21, 1995, No. 309. In accordance with the Decree of the Government of the Republic of Kazakhstan dated February 24, 1997, No. 260, in order to improve the system of procurement of grain and products of its processing into the state resources, the State Food Contract Corporation was reorganized into the Food Contract Corporation Joint-Stock Company with one hundred percent state share in its authorized capital. By the Decree of the Government of the Republic of Kazakhstan dated December 23, 2006 No. 1247, On measures to implement the Decree of the President of the Republic of Kazakhstan dated December 11, 2006 No. 220, the ownership and use of shareholdings of the Food Contract Corporation were transferred to the Holding KazAgro JSC. On July 5, 2007 Food Contract Corporation Joint - Stock Company was assigned the status of the National Company.  Mission andStrategy Mission of the Corporation State operator on the grain market.Vision ofthe Corporation Corporation will manage the state reserves of grain on behalf of the state; Corporation will promote the development of the grain industry on behalf of the state;   Corporation will meet the highest standards of administrative management in accordance with international best practices of corporate governance.   Strategic directions of activity Strategic direction 1. Participation in ensuring the food security of the country.   Aim 1. Managing the state reserves of grain on behalf of the state.   Tasks: Formation of state reserves of grain; Refreshing the state reserves of food grain; Storage of the state reserves of grain; Transportation of the state reserves of food grain; Sales of the state grain reserves.   Strategic direction 2. Development of the export of the Kazakhstani grain.   Aim 1. Increasing exports of grain.   Tasks: Stabilization of the exports of grain of the Corporation; Participation in expanding the infrastructure for storage and exports of grain.   Strategic direction 3. Improving the corporate governance and effectiveness of management of the assets of the Corporation.   Aim 1. Improving the effectiveness of management of the assets of the Corporation.   Tasks: Improving the effectiveness of using of equity and assets; Enhancing the role of risk management in the activity of the Corporation; Improving the system of monitoring of the investment projects; Introduction and development of innovative tools for automating the business processes of the Corporation.   Aim 2. Improving the effectiveness of the system of corporate management of the Corporation.   Tasks: Ensuring transparency of management of the Corporation; Improvement of the quality control system of the Corporation in accordance with ISO and ST RK; Human capital development and formation of the competitive remuneration system in the Corporation.   Aim 3. The systematic work on prevention of the prerequisites of corruption offenses.   Task: Implementation of the action plan on combatting corruption in the Corporation.