Resolution of the Governemnt of the Republic of Kazakhstan № 1017 of 2 August 2012 On Approval of the Rules of Partial Reimbursement of Costs to Entities of Industial and Innovative Activity On Promotion of DomesticProcessed Goods and Services to External Markets, the List of Domestic Processed Goods and Services Subject to Partial Reimbursement of External Markets Promotion Costs, and the Repeal of Some Resolutions of the Governemnt of the Republic of Kazakhstan

In accordance with subparagraphs 12) and 17) of Article 4 of the Law of the Republic of Kazakhstan «On State Support of Industrial and Innovative Activity» of 9 January 2012 the Government of the Republic of Kazakhstan HAS DECIDED: 1. To approve the attached: 1) Rules of Partial Reimbursement of Costs to Entities of Industrial and Innovative Activity On Promotion of DomesticProcessed Goods and Services to External Markets; 2) List of Domestic Processed Goods and Services Subject to Partial Reimbursement of External Markets Promotion Costs. 2. To repeal: 1) Resolution of the Government of the Republic of Kazakhstan № 1265 «On Some Issues of State Support for Domestic Products Entering External Markets by Reimbursement of Exporters Costs» of 29 November 2010 (CAPG of the Republic of Kazakhstan, 2011, № 3-4, Article 40), except for paragraph 4; 2) Resolution of the Government of the Republic of Kazakhstan № 679 of 20 June 2011 «On Approval of the Rules of Reimbursement of Exporters Costs on Promotion of Domestic Processed Goods into External Markets, the List of Domestic Processed Goods Subject to Partial Reimbursement of Costs to Exporters for Promotion of Goods to External Markets and Making Amendments to Resolution of the Government of the Republic of Kazakhstan № 1265 of 29 November 2010 «On Some Issues of State Support for Domestic Products Entering External Markets by Reimbursement of Exporters Costs» (CAPG of the Republic of Kazakhstan, 2011, № 42, Article 551). 3. This Resolution shall come into force from the date of its first publication.

Prime Minister Of the Republic of Kazakhstan К. Massimov

Approved by Resolution of the Government of the Republic of Kazakhstan № 1017 of 2 August 2012

Rules of Partial Reimbursement of Costs to Entities of Industrial and Innovative Activity On Promotion of DomesticProcessed Goods and Services to External Markets

1. General Provisions

1. These Rules of Partial Reimbursement of Costs to Entities of Industrial and Innovative Activity On Promotion of Domestic Processed Goods and Services to External Markets (hereinafter - the Rules) have been developed in accordance with the Law of the Republic of Kazakhstan «On State Support of Industrial and Innovative Activity» of 9 January 2012 and define the procedure of reimbursement to Entities Performing Industrial and Innovative Activity of costs on promotion of domestic processed goods, services to external markets. 2. Partial reimbursement of costs shall be provided for entities performing industrial and innovative activity that promote domestic processed goods and services to external markets (hereinafter - Entities Performing Industrial and Innovative Activity) envisaged in the List of Domestic Processed Goods and Services Subject to Partial Reimbursement of Costs to Exporters on Promotion to External Markets , approved by the Government of the Republic of Kazakhstan (hereinafter – the List). 3. Part of costs incurred by Entities Performing Industrial and Innovative Activity on promotion of domestic processed goods and services to external markets shall be reimbursed within the limits of amounts envisaged for these purposes by Republican budget for the current financial year. 4. Partial reimbursement of costs shall be provided on the basis of decision of Authorized Body for State Support of Industrial and Innovative Activity (hereinafter – the Authorized Body), issued subject to positive recommendation of the Interdepartmental Commission on Partial Reimbursement of Costs to Entities Performing Industrial and Innovative Activity (hereinafter – the Commission) consisting of representatives of interested state bodies, deputies of the Parliament of the Republic of Kazakhstan, the Chamber of Commerce of the Republic of Kazakhstan and the non-sectorial associations of legal entities (business associations). 5. Regulation and content of the Commission shall be approved by the Authorized Body.

2. Procedure of Partial Reimbursement of Costs to Entities of Industrial and Innovative Activity on Promotoion of Domestic Processed Goods and Services into External Markets

6. Partial reimbursement of costs to Entities Performing Industrial and Innovative Activity shall be conducted as per the following expense items: 1) costs associated with the promotion (branding) and advertising of certain products and services in foreign markets: advertising of domestic products: reimbursable cost items - cost of an advertising campaign and promotion abroad through the media (print, television, radio, Internet), as well as advertising in public places (banners, production and broadcasting of audio and video commercial); participation in foreign exhibitions: expense items subject to reimbursement - costs: of registration fee; of rental of exhibition space; of manufacturing (rent) of exhibition stands; of production of advertising and distributing materials; of economy class air tickets for two employees of the Entity Performing Industrial and Innovative Activity that participates in an exhibition; of accommodation of two employees of the Entity Performing Industrial and Innovative Activity that participates in an exhibition in the amounts not exceeding the limits indicated in Annex 1 to these Rules for a period of not more than five days; of development and publication of the catalog: expense items subject to reimbursement – costs associated with development, translation into foreign languages and publication of specialized catalogs for distribution; establishment, maintenance of representative office, warehouse, show room, a shop abroad: expense items subject to reimbursement: costs associated with registration of a representative office; cost of renting a space / facilities and utilities costs; 2) costs of procedures relating to registration of trademarks and certification of products abroad: expense items subject to reimbursement: costs associated with registration of a product and trademark abroad; costs associated with certification of a product abroad; costs associated with certification of a product for export purposes provided it is required by the export contract requirements and/or current legislation of the Republic of Kazakhstan and/or importing country including conformity certification and phytosanitary certification; 3) cost of services of training of staff involved in the management of export, including in the production of export-oriented products abroad as well as invitation of foreign expert consultants to the establishments of Entities Performing Industrial and Innovative Activity: expense items subject to reimbursement: cost of training of staff abroad (internship, seminars, courses); costs of training by expert consultants invited to the establishments of Entities Performing Industrial and Innovative Activity to organize export; costs of services of foreign experts invited by an Entity Performing Industrial and Innovative Activity for production and promotion of export-oriented products; 4) Involvement of the franchise: expense items subject to reimbursement - purchase of franchise; 5) cost of services of creation and launch of the web site of Entity Performing Industrial and Innovative Activity: expense items subject to reimbursement - cost of the development, registration, launch and maintenance of the web site; 6) costs for the marketing research: expense items subject to reimbursement: costs of market research of a specific country for a specific product with reference to the country of export; costs associated with development of the export strategy of an Entity Performing Industrial and Innovative Activity