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Armenia's wine exports expected to increase by up to 60% - Avag Harutyunyan
21:43 * 22.08.14
In an interview with Tert.am, Chairman of the Armenian Association of
Winemakers Avag Harutyunyan said that Armenia's wine exports are
expected to increase by 40 to 60 per cent because Armenia produces
high-quality wines.
Although the quality of Armenian wines is not so high as that of
European wines, it is much higher than that of wines produced in the
other Customs Union member-states.
"Armenian wines are not inferior to Georgian wines or to wines
produced in any other post-Soviet state," Mr Harutyunyan said.
The Armenian Diaspora continues consuming Armenian wines. Armenia's
government has made progress as well, because the premier is well
aware of the situation in Armenia's wine industry.
"We export about 22-23 million liters of cognac and only 2 million
liters of wines. Russia's share in Armenia's exports is 75%."
With respect to Russia's sanctions, Mr Harutyunyan said that sanctions
do not apply to wines, and Armenia's exports are growing.
"Armenian wines had always been in demand in Russia, but Armenia had
no major exporters. Armenians had always been cognac-makers, without
paying due attention to wine-making. It is four or five years since
the policy has changed and wine output has increased. Our wine exports
to Russia are very small and do not depend on any political processes.
They depend on our work. By the end of this year, we expect a 40 to 60
percent increase in our wine exports."
The exports of Armenian cognac go on increasing, and the demand
exceeds supplies.
"The quality of Armenian wines is high and continues improving. We
have serious productions, the market has transformed and very rich
actors and new technologies have entered the market. Armenian wines
are not inferior to Georgian wines or to wines produced in any other
post-Soviet state," Mr Harutyunyan said.
As to the profitability of wine-making in Armenia, he said:
"Yes, it is profitable business for big enterprises, but not for small
ones. Large economic entities have lower production costs. Farmers'
profits are low because their farms are small."
With respect to the government policy, Mr Harutyunyan said:
"Individual wine-makers are as a rule poorer than cognac producers.
They cannot make large-scale investments. Producers can only use 70%
of their potential, and the government only 20 or 30 percent. But the
government has made progress because the new premier is well aware of
the wine industry's problems. Another question is that the government
has not sufficient funds now, but it is doing its best. About five
days ago he invited a meeting with wine and cognac producers. That is,
the government is not only showing a favorable attitude, but is also
providing practical support."
As regards the competitiveness of Armenian wines in Europe, he said:
"They are not inferior to European wines worth within EURO 3. The task of
competitiveness has not been set, otherwise we would be competitive.
The problem is the Armenian Diaspora. They consume what you supply to
them. Producers are not much interested in quality. They ensure the
minimum required quality for the wines to cross the border. European
consumers are not our market. Armenians living in Europe or in the
United States are our clients. Regrettably, a similar situation is in
Russia - we hope for Armenian consumers."
Speaking of measures to develop wine and cognac production in Armenia,
Mr Harutyunyan said:
"We have not enough high-quality grapes. We need to enlarge vineyards.
We have only 17,000 hectares, with only 2,000 hectares for wine."
http://www.tert.am/en/news/2014/08/22/Avag-harutyunian/
21:43 * 22.08.14
In an interview with Tert.am, Chairman of the Armenian Association of
Winemakers Avag Harutyunyan said that Armenia's wine exports are
expected to increase by 40 to 60 per cent because Armenia produces
high-quality wines.
Although the quality of Armenian wines is not so high as that of
European wines, it is much higher than that of wines produced in the
other Customs Union member-states.
"Armenian wines are not inferior to Georgian wines or to wines
produced in any other post-Soviet state," Mr Harutyunyan said.
The Armenian Diaspora continues consuming Armenian wines. Armenia's
government has made progress as well, because the premier is well
aware of the situation in Armenia's wine industry.
"We export about 22-23 million liters of cognac and only 2 million
liters of wines. Russia's share in Armenia's exports is 75%."
With respect to Russia's sanctions, Mr Harutyunyan said that sanctions
do not apply to wines, and Armenia's exports are growing.
"Armenian wines had always been in demand in Russia, but Armenia had
no major exporters. Armenians had always been cognac-makers, without
paying due attention to wine-making. It is four or five years since
the policy has changed and wine output has increased. Our wine exports
to Russia are very small and do not depend on any political processes.
They depend on our work. By the end of this year, we expect a 40 to 60
percent increase in our wine exports."
The exports of Armenian cognac go on increasing, and the demand
exceeds supplies.
"The quality of Armenian wines is high and continues improving. We
have serious productions, the market has transformed and very rich
actors and new technologies have entered the market. Armenian wines
are not inferior to Georgian wines or to wines produced in any other
post-Soviet state," Mr Harutyunyan said.
As to the profitability of wine-making in Armenia, he said:
"Yes, it is profitable business for big enterprises, but not for small
ones. Large economic entities have lower production costs. Farmers'
profits are low because their farms are small."
With respect to the government policy, Mr Harutyunyan said:
"Individual wine-makers are as a rule poorer than cognac producers.
They cannot make large-scale investments. Producers can only use 70%
of their potential, and the government only 20 or 30 percent. But the
government has made progress because the new premier is well aware of
the wine industry's problems. Another question is that the government
has not sufficient funds now, but it is doing its best. About five
days ago he invited a meeting with wine and cognac producers. That is,
the government is not only showing a favorable attitude, but is also
providing practical support."
As regards the competitiveness of Armenian wines in Europe, he said:
"They are not inferior to European wines worth within EURO 3. The task of
competitiveness has not been set, otherwise we would be competitive.
The problem is the Armenian Diaspora. They consume what you supply to
them. Producers are not much interested in quality. They ensure the
minimum required quality for the wines to cross the border. European
consumers are not our market. Armenians living in Europe or in the
United States are our clients. Regrettably, a similar situation is in
Russia - we hope for Armenian consumers."
Speaking of measures to develop wine and cognac production in Armenia,
Mr Harutyunyan said:
"We have not enough high-quality grapes. We need to enlarge vineyards.
We have only 17,000 hectares, with only 2,000 hectares for wine."
http://www.tert.am/en/news/2014/08/22/Avag-harutyunian/