Shipments of rapeseed oil from Kazakhstan to China have come under threat after Chinese authorities began returning rail wagons carrying the product due to suspected GM content. As a result, some processing plants have already halted operations, while others are on the verge of shutdown, according to industry representatives.
Yadykar Ibragimov, head of the National Association of Oilseed Processors, said during a meeting on export development that the Chinese market is strategically important for Kazakh producers. He noted that China imports about 18 million tonnes of oil and fat products annually, far exceeding Kazakhstan’s production volumes. At the same time, Chinese importers periodically detect GMs in rapeseed oil shipments and return the cargo, although Kazakh laboratories do not confirm the presence of genetically modified components in the raw materials.
Following inspections, Chinese authorities placed three Kazakh oil processing plants on a blacklist. According to the association, five rapeseed processing facilities are currently at risk of closure, while two plants have already suspended operations. One of the affected facilities reportedly has Chinese investment.
The situation has been further complicated by delays in approving railway shipment plans for vegetable oil exports to China. Industry groups had previously coordinated monthly export schedules with transport operators, but the approval process has now been effectively suspended, creating risks for contract fulfillment and supply chain stability.
Experts note that the situation appears paradoxical, as China is one of the world’s largest importers of GM products, including supplies from Canada, Brazil, and Argentina. However, a bilateral agreement between China and Kazakhstan allows only non-GM products to be exported, making laboratory testing procedures and mutual recognition of certification critical for maintaining and expanding trade.