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GEORGIAN WINES WILL OUST ARMENIAN ONES FROM RUSSIA MARKET FOLLOWING EMBARGO SUSPENSION
ARMINFO
Wednesday, April 17, 13:23
Return of Georgian wines to the Russian market following embargo
suspension may cut growth of export of Armenian wines to Russia, Avag
Haroutiunyan, Head of the Union of Armenian Winemakers, told ArmInfo.
A threefold growth of export of Armenian wines to Russia was planned
for the coming five years. Wine export from Armenia grew 60% in 2012 to
1.185 million liters versus 744,000 liters in 2011, with nearly 75% of
sales being in Russia. A few years ago, export totaled 500,000 liters,
Haroutiunyan said. Before the embargo on Georgian wines in Russia,
50-55 million bottles of Georgian wine were sold in that country
annually, despite the fact that the production capacity of Georgian
wineries is some 15-20 million bottles. This shows that counterfeit
production was manufactured either in Georgia or in Russia. Georgian
wineries have raised significant investments in modernization over
the last years and have greatly improved the quality of wines.
"Now, they will offer the best products in the Russia market. Georgian
wines are now of higher quality than the Armenian ones, but the prices
will be similar. Armenia will have to raise additional investments in
modernization of wineries to sustain competition," Haroutiunyan said.
He added that it will take a couple of years until Georgian wines will
again become popular in Russia and take their niche in the market. The
embargo on the Georgian wine may be suspended in May or June 2013.
Haroutiunyan said that the Russian market capacity is some 1.2 billion
bottles a year.
Earlier, Executive Director of the Yerevan Brandy Company, Head of
the Association of Armenian Brandy Producers Ara Grigoryan told media
that return of the Georgian alcohol drinks to the Russian market may
create problems for the Armenian wines but never for the Armenian
brandy, which is more popular in Russia and Armenian brandy sales
are incomparable with the Georgian ones.
ARMINFO
Wednesday, April 17, 13:23
Return of Georgian wines to the Russian market following embargo
suspension may cut growth of export of Armenian wines to Russia, Avag
Haroutiunyan, Head of the Union of Armenian Winemakers, told ArmInfo.
A threefold growth of export of Armenian wines to Russia was planned
for the coming five years. Wine export from Armenia grew 60% in 2012 to
1.185 million liters versus 744,000 liters in 2011, with nearly 75% of
sales being in Russia. A few years ago, export totaled 500,000 liters,
Haroutiunyan said. Before the embargo on Georgian wines in Russia,
50-55 million bottles of Georgian wine were sold in that country
annually, despite the fact that the production capacity of Georgian
wineries is some 15-20 million bottles. This shows that counterfeit
production was manufactured either in Georgia or in Russia. Georgian
wineries have raised significant investments in modernization over
the last years and have greatly improved the quality of wines.
"Now, they will offer the best products in the Russia market. Georgian
wines are now of higher quality than the Armenian ones, but the prices
will be similar. Armenia will have to raise additional investments in
modernization of wineries to sustain competition," Haroutiunyan said.
He added that it will take a couple of years until Georgian wines will
again become popular in Russia and take their niche in the market. The
embargo on the Georgian wine may be suspended in May or June 2013.
Haroutiunyan said that the Russian market capacity is some 1.2 billion
bottles a year.
Earlier, Executive Director of the Yerevan Brandy Company, Head of
the Association of Armenian Brandy Producers Ara Grigoryan told media
that return of the Georgian alcohol drinks to the Russian market may
create problems for the Armenian wines but never for the Armenian
brandy, which is more popular in Russia and Armenian brandy sales
are incomparable with the Georgian ones.