Government extends terms of granting subsidized loans for procurement of grapes

YEREVAN, September 2. /ARKA/. The Armenian government made a decision today to extend the term of granting subsidized loans for procurement of grapes.

According to Economy Minister Vahan Kerobyan, the term was extended from the current 12 months to 36 months, while the grace period from 3 months to 12 months.

"These changes will enable buyers of grapes, on the one hand, to buy more, and on the other hand, to pay farmers for grapes in due time, and also, by maximizing procurement volumes, to be able to export more in the future," he explained.

Kerobyan stressed that as of today the agricultural output has exceeded the indicators of 2019, reaching about 145 thousand tons, and in general the agricultural year is going to be quite good.

"We hope to break the record by the end of the year and exceed the threshold of 200 thousand tons," he said.

The minister said that the buyers' plans suggest that there will be no major problems with purchases this year.

"It is planned to purchase 180 thousand tons of grapes. This is enough to purchase the entire harvest, not counting the part that must be consumed locally or exported," he said.

In 2020, Armenian companies purchased 235 thousand tons of grapes, of which, according to the ministry's estimates, 215 thousand tons were used for the production of cognac alcohol (on average, about 19.0 million liters of cognac spirit are produced).

In 2019, 163 thousand tons of grapes were purchased, of which 145 thousand tons were used for the production of cognac spirit and about 13.0 million liters of cognac were produced. –0—