Thursday, November 5 2020 17:47
Alina Hovhannisyan

Alcohol industry in Armenia has not recovered from the first blow of  the coronavirus crisis

Alcohol industry in Armenia has not recovered from the first blow of  the coronavirus crisis

ArmInfo. For 9 months of 2020, the alcohol industry in Armenia did not manage to get out of the negative trend. According to the data of the Statistical  Committee of the Republic of Armenia, during the reporting period, a  downward trend was registered for absolutely all types of alcoholic  beverages produced in Armenia.

In particular, in January-September 2020, over 25 million liters of  brandy were produced, which is 12% lower than the year-ago indicator  (instead of 41.3% growth a year earlier over the same period). The  volume of wine produced in Armenia decreased by 22.9% (against growth  by 44%) to 6.6 million liters, including sparkling wine (champagne) -  by 17.9% (instead of growth by 16.9%) to 344.1 thousand liters.  The  production of vodka, liqueur and other alcoholic beverages also  decreased by 21.7% to 2.9 million liters, while a year earlier  production volumes showed an increase of 36.2%. During the reporting  period, beer production volumes also decreased by 10.3% (against  growth by 12.2%) to 19.4 mln liters.  The volumes of whiskey  production in Armenia, as in the previous year, also show a negative  trend, accelerating the rate of decline from 2% to 64.4%, providing a  volume of 209.4 thousand liters.  To recall, in the first half of  2020, Armenia exported 901.9 thousand liters of wine, with a decline  over the year by 30.6% (against growth by 16.5% last year), with a  decline in customs value by 24.7% to $ 3.2 million.

Traditionally, the main export market for Armenian wine is the  Russian Federation, which accounts for 69.8% of exports, instead of  72.3% in the first half of 2019, followed by the USA with a share of  8.9% (instead of 3.4% a year earlier) , Switzerland - 5.5% (instead  of 4%), France - 2.9% (instead of 1.8%), Italy - 2.3% (instead of  1.5%), Argentina - 1.4% (while Argentina did not figure a year  earlier), Belarus - 1.1% (instead of 0.8% a year earlier ), China -  1% (instead of 5% a year earlier), as well as Ukraine, Germany,  Poland, Israel, Czech Republic, Lithuania, Canada, Kazakhstan, the  Netherlands, Japan, Sweden, Taiwan, India, Australia, the United  Kingdom, etc.

Export of beer in the first half of 2020 decreased by 56.7% (instead  of 22.5% growth over the same period of 2019) to 396.8 thousand  liters, with a decrease in customs value by 57.5% to $ 316 thousand.  The main market for export supplies of Armenian beer is also the  Russian Federation, having reduced the share from 85.4% a year  earlier to 64.6% at the end of the reporting period, the USA (with a  share of 11.2% instead of 4% last year), France - 8.6% (instead of  2%), Poland 5,5% (instead of 3.9%), Argentina 2.7% (whereas a year  earlier Argentina did not figure), Georgia - 2.5% (instead of 1%),  Belgium - 2.2% (whereas a year earlier, the Belgian market accounted  for a negligible share), Ukraine - 2% (instead of 1.6%), Canada -  0.5% (instead of 0.2%).

In January-July, Armenia reduced the export of ethyl alcohol (with a  strength of up to 80 degrees), including alcohol-containing liqueur,  liqueur and other alcoholic beverages by 22.7% (while an increase of  4.5% was recorded a year earlier) to 9.9 million liters. At the same  time, the customs value amounted to $ 82.8 million, which is 14.1%  less than a year ago.  The lion's share of ethyl alcohol exports  falls on the Russian market with a share of 88.2% (instead of 90.4%  for the same period in 2019), the remaining volume was distributed  among a number of countries, including Belarus 3.5% (instead of 1,  8%), Ukraine - 4.2% (instead of 3%), Georgia - 0.7% (instead of  0.6%), Kazakhstan - 0.6% (instead of 0.4%), the USA - 0.4%, Germany -  0.3% (instead of 0.2%), France - 0.1% (instead of 5%), as well as  Moldova, Czech Republic, China, the Netherlands, Lithuania, Latvia,  Estonia, Israel, Lebanon, Canada, Romania, Poland, Bulgaria, Hungary,  United Kingdom, Mongolia, etc.

For some unknown reason, the RA Customs Service does not publish the  export figures for brandy separately.

POST A COMMENT
Input digits     


News
Double increase in turnover tax rate will stimulate transition to  common taxation system: Deputy MinisterDouble increase in turnover tax rate will stimulate transition to  common taxation system: Deputy Minister
Rocket Line - now for 60 months: Idram and IDBankRocket Line - now for 60 months: Idram and IDBank
Rising prices for services, going into shadows and closing businesses  - incomplete list of Rising prices for services, going into shadows and closing businesses  - incomplete list of "expectations" from revision of turnover tax  rate from SME Cooperation Association President
Liability for misrepresented information is proposed in ArmeniaLiability for misrepresented information is proposed in Armenia
Government proposes to make changes to car trade system within  Government proposes to make changes to car trade system within  "Trade-in" program
Armswissbank attracts us$ 10 million loan package from EBRD to support competitiveness and green transitionArmswissbank attracts us$ 10 million loan package from EBRD to support competitiveness and green transition
Armenian lawyers unwilling to pay taxes on universal basisArmenian lawyers unwilling to pay taxes on universal basis
EU Commissioner: EU will continue to contribute to economic  development of ArmeniaEU Commissioner: EU will continue to contribute to economic  development of Armenia
PM discusses opportunities for diversifying Armenian economy with WB,  IFC management PM discusses opportunities for diversifying Armenian economy with WB,  IFC management 
EBRD President considers programs implemented by Bank useful for  development of private sector in ArmeniaEBRD President considers programs implemented by Bank useful for  development of private sector in Armenia
EBRD lends up to US$ 10 million to Armeconombank for MSME on-lendingEBRD lends up to US$ 10 million to Armeconombank for MSME on-lending
Armenia benefits greatly from influx of capital and IT specialists -  EBRD chief economistArmenia benefits greatly from influx of capital and IT specialists -  EBRD chief economist
Finance Ministry, French Development Agency sign cooperation  agreement for 2024-2027Finance Ministry, French Development Agency sign cooperation  agreement for 2024-2027
Idram Junior and Koreez signed a memorandum of cooperationIdram Junior and Koreez signed a memorandum of cooperation
During the 33rd EBRD Business Forum, Ardshinbank hosted a panel discussion on economic and trade sanctions.During the 33rd EBRD Business Forum, Ardshinbank hosted a panel discussion on economic and trade sanctions.
Government to allocate additional AMD 3 billion to finance state  order for healthcareGovernment to allocate additional AMD 3 billion to finance state  order for healthcare
EBRD provides $10 million loan to ArmSwissBan to support  competitiveness and green transition of MSMEsEBRD provides $10 million loan to ArmSwissBan to support  competitiveness and green transition of MSMEs
Pankin: Armenia`s suspension of CSTO funding isn`t tragedyPankin: Armenia`s suspension of CSTO funding isn`t tragedy
Armenian government approves program for providing housing to  families from Artsakh; expenses estimated at  AMD 10-12 billion Armenian government approves program for providing housing to  families from Artsakh; expenses estimated at  AMD 10-12 billion 
EBRD Governors re-elect President Odile Renaud-Basso for second termEBRD Governors re-elect President Odile Renaud-Basso for second term
EBRD, USAID to develop transport infrastructure of Armenia,  Azerbaijan, Georgia EBRD, USAID to develop transport infrastructure of Armenia,  Azerbaijan, Georgia 
No specific dates for the entry into force of the law on compulsory  life insurance for tourists visiting Georgia - RA MFANo specific dates for the entry into force of the law on compulsory  life insurance for tourists visiting Georgia - RA MFA
Pashinyan: all those who have the necessary skills, abilities and  desire can make a profit in ArmeniaPashinyan: all those who have the necessary skills, abilities and  desire can make a profit in Armenia
Odile Renaud-Basso: Armenian economy continues to grow despite  numerous negative factorsOdile Renaud-Basso: Armenian economy continues to grow despite  numerous negative factors
Minister of Territorial Administration and Infrastructures refrains  from specifying North-South Road Corridor Investment Program`s  implementation costs and deadlines Minister of Territorial Administration and Infrastructures refrains  from specifying North-South Road Corridor Investment Program`s  implementation costs and deadlines 
EBRD improves Armenia`s GDP growth forecast for 2024 from previous  4.5% to updated 6.2%EBRD improves Armenia`s GDP growth forecast for 2024 from previous  4.5% to updated 6.2%
EBRD promises unprecedented investments in Armenian economyEBRD promises unprecedented investments in Armenian economy
FMO provided Ardshinbank with a guarantee for a credit portfolio of 20 million US dollarsFMO provided Ardshinbank with a guarantee for a credit portfolio of 20 million US dollars
Lending for construction of southern section of Sisian-Kajaran road  will be largest program ever implemented by EBRD in Armenia - Bank  President Lending for construction of southern section of Sisian-Kajaran road  will be largest program ever implemented by EBRD in Armenia - Bank  President 
French Development Agency, Armenian government to expand cooperation  areas and programs` scope French Development Agency, Armenian government to expand cooperation  areas and programs` scope 
The Power of One Dram Sums up the Two-Year Program with Teach for ArmeniaThe Power of One Dram Sums up the Two-Year Program with Teach for Armenia
Noubar Afeyan willing to use his potential to strengthen Armenia Noubar Afeyan willing to use his potential to strengthen Armenia 
Ministry of Economy of Armenia denies that growth in agricultural  exports is due to re-exportsMinistry of Economy of Armenia denies that growth in agricultural  exports is due to re-exports
Finance Minister: Armenia`s GDP generation growth potential increased  from 4-4.5% to 5.5-6%Finance Minister: Armenia`s GDP generation growth potential increased  from 4-4.5% to 5.5-6%
EBRD funds customs and logistics centre in SyunikEBRD funds customs and logistics centre in Syunik
Grigori Zakaryan: “Capital markets have a crucial for economic development.”Grigori Zakaryan: “Capital markets have a crucial for economic development.”
Ambassador of Kazakhstan: priorities for development of Eurasian integration proposed by Armenia will allow us to intensify mutually  beneficial cooperation within EAEUAmbassador of Kazakhstan: priorities for development of Eurasian integration proposed by Armenia will allow us to intensify mutually  beneficial cooperation within EAEU
EBRD and the European Union are joining forces with Acba bank to boost the availability of funding for Armenian MSMEsEBRD and the European Union are joining forces with Acba bank to boost the availability of funding for Armenian MSMEs
Thanos Arvanitis: The time has come for Armenia to accelerate reformsThanos Arvanitis: The time has come for Armenia to accelerate reforms
Armenia to host 33rd EBRD Business Forum with flagship sponsorship of ArdshinbankArmenia to host 33rd EBRD Business Forum with flagship sponsorship of Ardshinbank
EAEU economic operators will become more recognizable when carrying  out foreign economic activitiesEAEU economic operators will become more recognizable when carrying  out foreign economic activities
Martin Galstyan: If background is favorable, reduction in key rate  will result in lending rates decreaseMartin Galstyan: If background is favorable, reduction in key rate  will result in lending rates decrease
About 75% of Armenia`s exports are precious metals and stones, which  speaks of vulnerability of Armenia`s economyAbout 75% of Armenia`s exports are precious metals and stones, which  speaks of vulnerability of Armenia`s economy
92% tax revenues recorded in Armenia in 1st quarter of 2024 92% tax revenues recorded in Armenia in 1st quarter of 2024 
IDBank issues the 2nd tranche of dollar bonds of 2024IDBank issues the 2nd tranche of dollar bonds of 2024
Armenia to be next country to host ACE programArmenia to be next country to host ACE program
Armenia agrees to EBRD expansion Armenia agrees to EBRD expansion 
Alkis  Drakinos : It is necessary to first pick the low hanging fruit  to ensure developmentAlkis  Drakinos : It is necessary to first pick the low hanging fruit  to ensure development
CBA Governor: Overheating of prices in Armenian real estate market  may have ranged from 20-30%CBA Governor: Overheating of prices in Armenian real estate market  may have ranged from 20-30%
Government writes off 469 financial obligations of Artsakh citizens  on loans secured by goldGovernment writes off 469 financial obligations of Artsakh citizens  on loans secured by gold
Food products, services cause of 0.8% inflation in Jan-Apr 2024 Food products, services cause of 0.8% inflation in Jan-Apr 2024 
Armenia`s Deputy Premier receives IMF delegationArmenia`s Deputy Premier receives IMF delegation
Armenian Economy Minister travels to USA on week-long working visitArmenian Economy Minister travels to USA on week-long working visit
Armenia is trapped in Armenia is trapped in "Dutch disease" - economist
“By Your Side”: IDBank`s new support program for displaced Artsakh citizens“By Your Side”: IDBank`s new support program for displaced Artsakh citizens
Team Telecom Armenia develops Be Free packageTeam Telecom Armenia develops Be Free package
Armenia scares with its high prices: Economist sounds alarm due to  reduction in exports of servicesArmenia scares with its high prices: Economist sounds alarm due to  reduction in exports of services
Large crayfish farming complex to be built in Shirak: volume of  investments totals AMD 300 millionLarge crayfish farming complex to be built in Shirak: volume of  investments totals AMD 300 million
Eurowings launches Berlin-Yerevan-Berlin flightsEurowings launches Berlin-Yerevan-Berlin flights
Russia bans sugar exports; 28 thousand tons allowed to be exported to  ArmeniaRussia bans sugar exports; 28 thousand tons allowed to be exported to  Armenia
Read more


Exchange rates
17.05.2024
RUB4.26-0.01
USD387.60-0.49
EUR420.12-1.81
GBP490.31-1.36
CAD284.16-0.61
JPY24.87-0.22
CNY53.63-0.14
CHF426.22-3.84