Tweet
WHO KNOWS HOW MUCH THEY EXTRACT
NAIRA HAYRUMYAN
http://www.lragir.am/engsrc/economy-lrahos18577.html
15/07/2010
The mining industry is becoming the "Achilles' heel' of the Armenian
economy. In past years, international experts insisted that the root
of evil of the economy is in the construction, and pointed out that
in this sector the transfers are accumulated, unhealthy "center of
gravity" moved there, which attracts corruption and shadow. Now the
construction sphere is replaced by the mining industry.
The head of the World Bank Armenia office Aristomene Varudakis, who
said farewell to Armenia, also stated about the fact that serious
shadow problems are present mostly in the mining industry sphere.
Yesterday, World Bank senior economist on Southern Caucasus issues
Pedro Rodriguez arrived in Armenia. Noteworthy, he spoke with the
premier Tigran Sargsyan about nothing else but the "improvement of
the Code of Mining and issues relating to the tax regime of Mines".
The situation in the mining industry is really covered with shadow.
Moreover, 90% of its production is for export, and the society does not
have information about the real scales of minerals, their excavation,
costs and other indicators on which to judge who gets the fabulous
benefits of the "people's bowels". That profits are huge is proven
also by the fact that the Zangezur cooper-molybdenum combine headed
the list of major taxpayers of Armenia for long years.
The economic crisis had a negative impact on the mining industry: in
2008 prices for ferrous metals sharply lowered. Though, as economists
affirm, these prices did not pass beyond the self-cost, but accustomed
to super-profits plants fired hundreds of people and got millions of
loans and grants.
The Armenian power allocated a state loan of 44 million to three
Armenian mining companies. Measures were allocated from the Russian
500 million loan.
Now the situation bettered. In January-April of the current year, the
scale of production grew by 28, 4 %, that is even the pre-crisis level
is surpassed. As a whole, the mining industry grew by 40%. According
to the government, a part of the loans is paid off. However, how those
making enormous profits are taxed, no one can trace. There is no law
on super-profits in Armenia either.
In 2003, the Armenian government enacted a new law about the
exploration and development of mineral deposits. It has been worked
out with the participation of specialists of the European Union.
However, apparently, this code is outdated or "gaps" have become too
large. Or maybe it was simply a redistribution of property.
From: A. Papazian
NAIRA HAYRUMYAN
http://www.lragir.am/engsrc/economy-lrahos18577.html
15/07/2010
The mining industry is becoming the "Achilles' heel' of the Armenian
economy. In past years, international experts insisted that the root
of evil of the economy is in the construction, and pointed out that
in this sector the transfers are accumulated, unhealthy "center of
gravity" moved there, which attracts corruption and shadow. Now the
construction sphere is replaced by the mining industry.
The head of the World Bank Armenia office Aristomene Varudakis, who
said farewell to Armenia, also stated about the fact that serious
shadow problems are present mostly in the mining industry sphere.
Yesterday, World Bank senior economist on Southern Caucasus issues
Pedro Rodriguez arrived in Armenia. Noteworthy, he spoke with the
premier Tigran Sargsyan about nothing else but the "improvement of
the Code of Mining and issues relating to the tax regime of Mines".
The situation in the mining industry is really covered with shadow.
Moreover, 90% of its production is for export, and the society does not
have information about the real scales of minerals, their excavation,
costs and other indicators on which to judge who gets the fabulous
benefits of the "people's bowels". That profits are huge is proven
also by the fact that the Zangezur cooper-molybdenum combine headed
the list of major taxpayers of Armenia for long years.
The economic crisis had a negative impact on the mining industry: in
2008 prices for ferrous metals sharply lowered. Though, as economists
affirm, these prices did not pass beyond the self-cost, but accustomed
to super-profits plants fired hundreds of people and got millions of
loans and grants.
The Armenian power allocated a state loan of 44 million to three
Armenian mining companies. Measures were allocated from the Russian
500 million loan.
Now the situation bettered. In January-April of the current year, the
scale of production grew by 28, 4 %, that is even the pre-crisis level
is surpassed. As a whole, the mining industry grew by 40%. According
to the government, a part of the loans is paid off. However, how those
making enormous profits are taxed, no one can trace. There is no law
on super-profits in Armenia either.
In 2003, the Armenian government enacted a new law about the
exploration and development of mineral deposits. It has been worked
out with the participation of specialists of the European Union.
However, apparently, this code is outdated or "gaps" have become too
large. Or maybe it was simply a redistribution of property.
From: A. Papazian