Kazakhstan’s Prime Minister Olzhas Bektenov met with Zhang Qihai, Chairman of the Board of Directors of Xinjiang Lihua (Group), to discuss advancements on a significant investment project aimed at establishing a cotton-textile cluster development in the Turkestan region. This project, valued at over KZT 200 billion ($397 million), is being developed within the special economic zone (SEZ) TURAN.
The initiative seeks to create a complete cotton-textile cluster development that encompasses all stages from cotton cultivation to textile production, including yarn, fabric, and apparel. Over 50,000 hectares have been designated for cotton farming, with plans to build ten factories—four for cotton processing, two for modern drip irrigation systems, and four textile factories, which will include sewing and dyeing facilities. The project is expected to generate more than 4,000 jobs, with 3,000 being permanent positions.
A PVC pipe manufacturing plant has already been established to support the irrigation requirements of the cluster, while construction is ongoing for the textile factories and irrigation infrastructure, which includes a canal network and pumping stations.
Zhang Qihai emphasized Kazakhstan’s favorable investment environment and the region’s optimal conditions for cotton production, noting that the first finished textile products are anticipated to be available by October of this year.
Prime Minister Bektenov highlighted the strategic significance of this cotton-textile cluster development in promoting Kazakhstan’s goals of economic diversification and industrialization. The Turkestan Region, being the country’s exclusive cotton-producing area, is poised to become a central hub for the textile industry.
“The head of state has mandated a focus on diversifying the economy and attracting investments into the real sector. Establishing this cotton-textile cluster development will enhance value-added production, strengthen agricultural processing, and elevate Kazakhstan’s export potential. The government is committed to providing the necessary support to ensure its success,” Bektenov remarked.
Xinjiang Lihua is recognized as one of China’s largest players in the cotton industry, ranking 55th among the nation’s top 500 agricultural enterprises. The company specializes in comprehensive cotton processing, managing the entire production cycle from seed selection to textile manufacturing, further supporting the cotton-textile cluster development initiative.
