Economics

Cooperation as a path to progress

President of Kazakhstan Tokayev proposed cooperation in technology and trade to BRICS

**Cooperation as a Path to Progress**

President of Kazakhstan Kassym-Jomart Tokayev addressed the BRICS+ summit and held a meeting with Prime Minister Narendra Modi during his visit to India on September 12–13. This trip marked Tokayev's first visit to the country in his capacity as head of state. He arrived in New Delhi with an interest in Indian technology and industry: on the eve of the visit, companies from the two countries concluded framework agreements worth $122 million.

As reported by Akorda, at the summit Kassym-Jomart Tokayev proposed uniting national artificial intelligence centers into a "BRICS+" partnership, opening access to laboratories, and creating multilingual solutions. In addition, he supported the promotion of the EAEU free trade agreement with India and suggested that the New Development Bank (NDB) consider financing projects in Kazakhstan.

The President of the Republic of Kazakhstan cited two indicators: in 2025, Kazakhstan's trade with BRICS members and partners amounted to about $72 billion, while transit through the country approached 40 million tons. He outlined 100 million tons per year as a long-term goal. He linked the development of transportation to railways, ports, and digital infrastructure.

The economic initiatives were accompanied by a warning about risks to transboundary infrastructure. Tokayev called on nuclear powers to engage in dialogue and supported the reform of the UN Security Council with fairer representation for Asia, Africa, and Latin America. He invited BRICS countries to join consultations on establishing an International Water Organization under the auspices of the UN.

For Kazakhstan, the link between security and trade is of particular importance. Being landlocked, the country depends on routes through neighboring states, and industrial enterprises require stable supplies of equipment and access to buyers. Therefore, the discussion of international infrastructure is of a highly practical nature for Astana: the profitability of producing and selling goods depends on its reliability.

Kazakhstan is not yet a member of the association, but on January 1, 2025, it received the status of a BRICS partner. This provides an opportunity to participate in the association's work and select suitable projects. Political scientist Yerkin Baidarov believes that "Astana is thus strengthening its international positions while maintaining the independence of its foreign policy."

The meeting with Narendra Modi was a separate part of the Kazakh leader's program. Baidarov associates prospects for closer political, economic, and cultural contacts with this visit.

At the same time, behind the diplomatic attention lies a relatively small volume of trade. According to the Ministry of Foreign Affairs of Kazakhstan, in 2025, trade turnover with India decreased by 5.9% to $923.3 million. For the period of 2005–2025, the gross inflow of direct Indian investment amounted to $562 million.

Indian business may be interested in Kazakh uranium, metals, and other minerals, as well as energy, petrochemicals, and agriculture. Kazakhstan, in turn, counts on Indian technologies, equipment, pharmaceuticals, and capital. The interests of the parties align, but convenient delivery routes are also necessary for trade growth.

Earlier, India and the Central Asian states indicated interest in using the Iranian port of Chabahar and simplifying transit. For Kazakhstan, this is one of the possible routes to the Indian market. Its attractiveness for companies will be determined by tariffs, transit times, and the reliability of settlements.

The most concrete industrial project was presented at a business forum in Chennai, India. Out of the total sum of framework agreements worth $122 million, $120 million is attributed to cooperation between the Kazakh military company JV BKM and the Indian tractor manufacturer International Tractors Limited. The companies provided for the supply and assembly of Sonalika/Solis tractors in Kazakhstan, gradual localization of production, and the development of sales and maintenance of equipment.

For local enterprises, it is important which specific operations will remain within the country. Assembling ready-made kits and manufacturing own parts require different investments and load suppliers differently. Special attention is required for training specialists, access to technical documentation, and the volume of orders.

For now, $122 million is the value of framework agreements, not investments already received. The published announcement does not specify a financing schedule or localization targets. The practical result will become clearer once the launch dates and production parameters are established.

The second agreement, as reported by the Ministry of Trade of Kazakhstan, was signed with Big Bang Boom Solutions. It concerns defense technologies, internal security, and dual-use solutions. Specific systems and production facilities were not named in the announcement.

"The fact that Kazakhstan and India are moving trade and economic cooperation to a new level—from the supply of goods to joint production and localization—means that other joint projects may follow the tractors. This is certainly a breakthrough in economic cooperation between our countries," believes Yerkin Baidarov.

On the sidelines of the summit, Kassym-Jomart Tokayev met with Russian President Vladimir Putin. According to the Russian president's press secretary, Dmitry Peskov, after the official reception, they continued their conversation at Putin's residence in India.

With the US President's Special Envoy for South and Central Asia, Sergio Gor, Tokayev discussed Kazakhstan's participation in the upcoming G20 summit in Miami. Gor conveyed Donald Trump's congratulations on the 35th anniversary of Kazakhstan's independence. With the Crown Prince of Abu Dhabi, Khaled bin Mohamed Al Nahyan, the President reviewed projects in energy, transport, logistics, IT, and agriculture.

The next stage of Tokayev's trip will be a state visit to South Korea on September 15–16. Talks in Seoul are scheduled for September 15, and the first "Central Asia – Republic of Korea" "5+1" format summit is planned for the 16th. The Indian leg showed what tasks Astana associates with this diplomatic route: finding partners ready to invest in production, share technology, and help expand sales markets.

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