Turkmenistan opens 50,000-ton milk processing plant in Mary

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BAKU, Azerbaijan, October 27. Turkmenistan has opened a new milk processing plant in its Mary region, designed to process 50,000 tons of milk annually.

This was reflected in a press release published yesterday by the press service of the Turkmen government.

According to the publication, the plant was built on the territory of the Täze Oba farming association. An individual entrepreneur, Guwançmyrat Orazow, was allocated 3.5 hectares of land for the project.

“The domestic business entity “Täze Aý Önümleri” served as the general contractor for the construction and installation work, while a Turkish company supplied high-quality specialized steel structures and materials,” the report added.

The facility is equipped with production lines designed to expand the range of dairy products, including fermented milk products, improve processing efficiency and extend product shelf life while preserving nutritional properties.

The plant also includes specialized production workshops and laboratory facilities to monitor product quality at each stage of processing. Its launch is expected to increase domestic supplies of locally produced dairy products and create jobs in the region, the publication noted.

Meanwhile, private businesses play an increasing role in Turkmenistan’s agricultural sector, particularly in horticulture, livestock farming and food processing. According to the World Bank’s December 2024 economic report, private farmers produce most of the country’s fruits and vegetables, while cotton and grain production remain under state control. The country is seeking to expand private-sector participation in agriculture through preferential lending, access to land and investment in production infrastructure.

Under rules approved in 2026, agricultural producers can obtain loans at an annual interest rate of 1%, with repayment periods of up to 10 years. Eligible borrowers include private entrepreneurs, farms, agricultural joint-stock companies and land users. The financing covers agricultural machinery, water-saving and irrigation equipment, livestock and poultry farming, and projects involving the production and processing of agricultural goods. Borrowers are generally required to contribute at least 15% of a project's cost from their own funds.

Private farms and agricultural companies also receive land for cultivation through the Special Land Fund, a mechanism intended to broaden the involvement of non-state producers and improve the use of land and water resources. The government has identified food security and the modernisation of agriculture and food processing as policy priorities, while private businesses are active in areas including greenhouse farming, livestock, poultry and food production.

However, the sector continues to face structural challenges: the World Bank identifies water scarcity and deteriorating soil quality among the constraints on its development.