Food producers in Kazakhstan say that additional payments to retail chains have a significant impact on profitability and pricing, reports Kursiv , citing representatives of industry associations.

According to Andrey Kukushkin, Secretary of the Alliance of Sectoral Unions of the Food Industry, retail chains require suppliers to pay retro-bonuses and various service fees in addition to the standard retail markup of 15–20%. Industry estimates suggest that the total amount of such payments may reach up to 40% of the producer’s selling price.

Retro-bonuses are payments returned to retailers after an agreed volume of goods has been sold. Although formally regulated through separate contracts, the high concentration of sales in large retail chains — accounting for around 70% of turnover — significantly limits producers’ negotiating power.

Industry associations note that more than 40 types of bonuses and service fees may be applied in practice, including payments for product promotion, placement in advertising booklets, shelf space, logistics and other services. As a result, producers in some product categories effectively receive only 60–80% of the initial selling price.

Market participants see the development of neighbourhood stores and the HoReCa segment (restaurants, cafés, fuel stations) as alternative distribution channels where retro-bonus requirements are less common.

Producers also express concern over government plans to expand the list of socially important food products from 19 to 31 items. According to Andrey Kozhevnikov, head of the Dairy Union of Kazakhstan, tighter price regulation could reduce margins for small and medium-sized enterprises with a limited product range.

He noted that Kazakhstan covers about 90–95% of domestic demand for milk, 82% for butter and around 60% for cheese. Industry representatives also point to differences in the level of state support across Eurasian Economic Union countries, which affects competitive conditions.

Market stakeholders emphasize the need to strike a balance between inflation control measures, support for domestic producers and the sustainable development of modern food retail.