Establishment of a full-cycle agricultural complex in Northern Kazakhstan

A group of entrepreneurs planned to create a full-cycle agricultural holding in the northern regions of Kazakhstan with a focus on growing and selling grain crops. To assess the investment attractiveness of the project and prepare for attracting financing, the client turned to Stratton Business Consult to develop a comprehensive business plan.

As part of the project, our consultants conducted a comprehensive analysis of the target market and the production industry, not only for grains, but also for promising legumes and oilseeds, including the specifics of agricultural technologies, logistics, storage, and processing. Special attention was paid to the economics of the various stages of the value chain and opportunities to increase business margins.

The project resulted in:

• The formation of an optimal product mix.

The identification of the most profitable grain crops and sales channels, for which priority concentration of resources is recommended.

• The development of a multi-level financial model for a full-cycle agricultural complex.

The financial model takes into account all stages of the value chain: grain cultivation → storage and processing at elevators → processing into flour → trade in grain and products with higher added value.

• A tool for scenario analysis of business efficiency was created.

The dynamic model allows calculating key project performance indicators (payback period, NPV, IRR, PI) for various scenarios combining stages of the value chain and combinations of products sold.

The business plan became the basis for making investment decisions, selecting the optimal configuration of the agricultural holding, and preparing the project for negotiations with potential investors and financial institutions.