Bal Tekstil, a leading carpet and rug manufacturer located in the Ontustik Special Economic Zone in South Kazakhstan, has signed a significant supply contract with IKEA, the global home furnishings giant. Operating since 2011, the company has steadily grown into one of the region’s flagship industrial enterprises.
Vertical Integration, Advanced Technology, and a Growing Export Footprint
- Bal Tekstil produces carpets using three types of threads:
- Jute for the transverse warp, sourced from Bangladesh
- Cotton–polyester blends for the longitudinal yarn, imported from India or China
- Polypropylene for the pile yarn, purchased from Russia
Founder and director Talgat Iskhakov highlighted that the global carpet industry overwhelmingly relies on synthetic fibers—about 95 percent of carpets worldwide—because they offer superior aesthetics, practicality, and affordability. With interior trends changing more frequently, synthetic carpets have become the preferred choice for contemporary consumers.
One of Bal Tekstil’s distinguishing strengths is its capability to produce both carpets and the necessary yarns, making it the only facility of its kind in Kazakhstan. The company has integrated advanced German yarn-making technology, enabling it to reduce production costs by 20 percent and strengthen its competitive position.
The company’s 20-person design department creates hundreds of classic, national, and modern patterns, while production covers more than a dozen carpet types. Carpet classification is based not on patterns but on density—specifically, the number of knots per square meter, thread thickness, and pile height.
Iskhakov, who has been active in carpet wholesale since 1994, began developing the concept for domestic manufacturing in the early 2000s. His vision materialized in 2011 through a partnership with Turkey’s Kartal Hali Tekstil, and production officially commenced in October 2013.
Bal Tekstil entered the export market in 2015 with an initial export rate of 12 percent. By early 2016, the figure had risen to 20 percent, coinciding with the start of its cooperation with IKEA. Becoming an approved IKEA supplier required the company to pass six rigorous inspections over 18 months, in accordance with IKEA’s IWAY code, which mandates transparency, legal compliance, safe working conditions, and environmental responsibility.
The first order—100,000 square meters of carpets—was shipped in April 2016, with deliveries bound for China, Russia, and the United States.
Kazakhstan’s government has played a vital role in supporting Bal Tekstil’s growth. The Ontustik Special Economic Zone offers extensive benefits:
- Fully developed infrastructure (roads, gas, sewage, water)
- Exemption from corporate, land, and property taxes
- Duty-free import of raw materials
- Six hectares of land provided rent-free for 10 years, after which it may be purchased at cadastral value
Moreover, Shymkent’s mild climate and low labor costs further enhance the company’s operational efficiency.
Today, Bal Tekstil stands as a key contributor to Kazakhstan’s industrial diversification, demonstrating how strategic investment, technology integration, and international partnerships can elevate local manufacturing to global standards.
