Kazakhstan Country Commercial Guide
Learn about the market conditions, opportunities, regulations, and business conditions in kazakhstan, prepared by at U.S. Embassies worldwide by Commerce Department, State Department and other U.S. agencies’ professionals
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Selling Factors and Techniques
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Transportation costs, product pricing, trade and project financing, and customer service are all crucial considerations for U.S. companies entering the Kazakh market. Major cities such as Almaty, Astana, Shymkent, Kyzylorda, and Atyrau should be prioritized as initial markets for consumer products, as they are well-connected within Kazakhstan’s transportation network and generally have higher purchasing power.
U.S. products enjoy a strong reputation in Kazakhstan, though competition continues to grow. For success, U.S. companies must ensure reliable customer support and a consistent supply of products to their distributors. Kazakhstan’s vast geography necessitates distribution networks that cover significant distances, making transportation costs and delivery times from the United States a notable factor in pricing and competitiveness for U.S.-produced products.

Trade Promotion and Advertising

The advertising industry in Kazakhstan is regulated by the Law on Advertising, which prohibits advertising alcoholic products, baby formula, tobacco, medical treatments, and drugs. Advertising must be presented in Kazakh language and is commonly expected in Kazakh and Russian languages.

Numerous local and international advertising agencies operate in Kazakhstan, including globally recognized public relations firms such as McCann Erickson and Ogilvy. The primary advertising channels for consumer goods are television, outdoor advertising, social media, and general-interest publications.

The online advertising market is expanding rapidly as internet access and smartphone use grow. Increasingly, advertisers are focusing on digital platforms like YouTube, Instagram, and other social media sites, which offer advanced tools, analytics, and engagement capabilities. As a result, advertising budgets are shifting away from traditional media toward digital channels.

Kazakhstan’s advertising industry is also benefitting from high-speed internet penetration, which remains an area with untapped potential for growth. QR-code technology is widely used for domestic money transfers and payments, and major brands are increasingly utilizing QR codes to communicate directly with consumers.

Pricing

Key pricing components to consider when entering the Kazakh market include transportation costs, import duties and associated fees (such as customs duties, certification payments), the standard 16 percent VAT, and the typically high profit margins expected by importers and distributors, who tend to charge higher markups than in other markets.

Another factor impacting the price and competitiveness of imported products is the value-added tax (VAT), which must be applied on top of all customs duties and excise taxes during customs clearance. Due to the complexities involved in Kazakhstan’s customs procedures, U.S. firms are advised to use licensed customs brokers for smoother market entry.

U.S. companies face strong competition from Russian, Chinese, Southeast Asian, and European producers. Kazakh consumers are highly sensitive to both price and product quality, but they are generally willing to pay premiums for unique or higher-quality products. Higher-than-average prices should be supported by strong branding, effective marketing, warranties, or other distinctive features.

Sales Service/Customer Support

Strong customer support and service add considerable value in Kazakhstan. In a market where customer service practices are still developing, providing after-sales support—either directly or through a well-trained local representative—can give your company a competitive advantage. U.S. companies should be prepared to invest in customer service training for local staff, as Kazakh companies working with foreign partners are increasingly attentive to after-sales service and support. Distributors in Kazakhstan expect equipment and technologies to come with some form of guarantee.

U.S. companies entering the market are advised to establish agreements with certified maintenance centers in advance, which is especially important when selling vehicles, construction equipment, electronics, medical devices, and other heavy equipment. Given the significant time difference between Kazakhstan and the United States, companies may want to consider using 24-hour help lines or existing support centers when establishing local centers is not feasible. In sectors such as healthcare and agriculture, the timely and efficient delivery of spare parts and components is critical for maintaining business commitments and protecting brand reputation.

Local Professional Services

There are several Western firms providing legal, accounting and consultancy services in Kazakhstan. The Commercial Section of the U.S. Mission in Kazakhstan maintains a list of local and international service providers supporting the international business community. Contact office.almaty@trade.gov for more information. 

Principal Business Associations

There are three principal business associations operating in Kazakhstan and the United States that work to facilitate business and investment between the two markets. They include:
•    The American Chamber of Commerce (AmCham) in Kazakhstan 
•    U.S.-Kazakhstan Business Council (USKZBC)
•    Business Council for International Understanding (BCIU). 
 

These organizations engage the Government of Kazakhstan to advocate for improvements in the business and investment climate and most major U.S. companies operating in the market maintain membership in at least one or more organizations. 

In March 2012, the Government of Kazakhstan, working with AmCham Kazakhstan, formed the Prime Minister’s Council to Improve the Investment Climate. Chaired by the Prime Minister, the Council is now the centerpiece of AmCham policy engagement on commercial issues. Meetings of the Council bring together government ministers, ambassadors from the U.S., U.K., EU and Canada and representatives from the private sector for frank discussions on rotating topics of interest to the government and the investment community. 

Major local business associations include: 
•    National Chamber of Entrepreneurs - Atameken
Limitations on Selling U.S. Products and Services
See “Prohibited and Restricted Imports” under the chapter on Customs, Regulations and Standards. 

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