Digital Product Passports to Bring Greater Transparency to the Market

Russia's digital passports now track 24 million products for safety

Modern trade in Kazakhstan is evolving beyond simple buying and selling, transforming into a high-tech infrastructure that connects production, logistics, and consumers. And data—comparable, reliable, and accessible to all market participants—plays a pivotal role in this shift.

Until recently, however, market development was hindered by what might be called a "digital Babylon." The use of five different reference systems across government platforms—the ENS TRU, KZ TIN, TN VED, OKED, and KPVED codes—created a paradox: the same product could be labeled and recorded differently in customs declarations, statistical reports, and public procurement systems. This fragmentation led to errors, duplication, and made end-to-end product traceability nearly impossible.

The solution came in the form of the National Product Catalog (NPC). According to Asset Nusupov, Vice Minister of Trade and Integration, this is not just another regulatory measure but the foundation of a new market architecture.

"The NPC consolidates data in a single system, ensuring uniformity and accuracy. This significantly simplifies business operations and enhances market transparency. Implementing the NPC is particularly crucial for vast commodity ecosystems where goods circulate rapidly, and their origins and specifications are often unclear," the vice minister explained during a briefing at the SCC.

This catalog affects everyone: manufacturers, entrepreneurs, retail chains, and, ultimately, all consumers. In essence, each product now has its own digital passport, with the NPC serving as a unified digital database.

The scale of the project is impressive: the system has already registered nearly 24 million products, over 11 million of which are classified under the General Classifier of Goods, Works, and Services. The database grows by roughly 100,000 new entries daily, with around 41,000 trading entities registered in the system.

The ministry is particularly focused on balancing state oversight with business convenience to ensure digitization does not become an obstacle. The NPC is being rolled out in stages.

The digital product passport is being gradually integrated into operations without disrupting business activities. Even if a permanent NTIN (National Trade Identification Number) has not yet been assigned, companies can continue to operate normally—issuing documents, participating in public procurement, and conducting trade. Additionally, registration has been simplified, the list of mandatory data reduced, and—at this initial stage—no digital signature is required.

A memorandum has been signed with the Ministry of Finance and the Atameken National Chamber of Entrepreneurs, setting a deadline of March 1 of this year for importers and domestic producers, and April 1 for retail chains. These deadlines have already passed. Small and medium-sized businesses, including neighborhood stores, have until July 1 to comply. We believe the digital solutions being implemented will give everyone enough time to prepare by that date. We also plan to launch the National Commodity Traceability System (NKT) for full industrial operation this year, said Aset Nusupova.

The speaker emphasized that there is no administrative liability at this stage, as the agency is currently using this period to conduct outreach and engage in dialogue with businesses. These efforts are essential to ensure that every entrepreneur clearly understands what steps to take at each stage. According to Aset Nusupova, constructive dialogue is the key to the system's successful operation.

Since the beginning of the year, meetings have been held with representatives from various sectors, including industry, construction, agribusiness, extractive industries, retail chains, and importers.

However, despite the ongoing information campaign, businesses still have many questions. The dialogue has already led to concessions for sensitive sectors, such as food services, energy resources, handmade goods, printing, housing, and products not subject to registration. Registration rules have also been simplified for the transition period.

The agency is not resting on its achievements but continues to improve the system through technical modifications and integration with other institutions. Meanwhile, the catalog is becoming increasingly useful for ordinary Kazakhstani citizens. The digital passport now displays certificates of conformity, allowing any consumer to check the quality and safety of a product in real time.

The speaker also briefly highlighted improvements for users. A Telegram bot has been launched in test mode to answer the most frequently asked questions. Bulk uploads of applications have been introduced, significantly saving time. The homepage has been updated for easier navigation and faster access to key functions. Working with units of measurement has been simplified, and an autofill feature has been added.

"We've added the ability to upload multiple HS codes at once via Excel and OpenAPI, which is especially convenient for foreign trade participants. The system is now also available in English, covering not just product cards but creating a more user-friendly experience. The NKT is already functioning as a working tool, and the numbers reflect the scale of the work," the deputy minister concluded.

Nauryzhan Moldabai, director of the master data management department at the Center for Financial Services (CFS), noted the active involvement of businesses in developing the NKT. He explained that the system is currently in pilot operation, which means some aspects may not yet fully meet user expectations.

Most integrations with government systems have already been completed. We also continue to receive data from industry representatives who upload their information to the National Track and Trace System [NKT]. Through moderation and processing, we verify, clean, and enter all data into the catalog. After that, this information is shared via integration services with other sources that also utilize it, the speaker added.

Thus, the implementation of the NKT is a step toward building a fair ecosystem where AI technologies and unified data standards foster economic transparency, eliminating shadow schemes and simplifying the journey of goods from manufacturer to store shelf.