Preference For Overseas Wine Over Local Seen In Armenia
08.11.2011,
04:05
Preference for overseas wine over local is seen in Armenia, Avag Harutyunyan, chairman of the Union of Armenia’s Winemakers, said Monday in Novosti International Press Center.
YEREVAN, November 7. /ARKA/. Preference for overseas wine over local is seen in Armenia, Avag Harutyunyan, chairman of the Union of Armenia’s Winemakers, said Monday in Novosti International Press Center.
“Chilean and Argentine wines are sold at more than 2,000 drams, but have room for becoming cheaper, while prices for Armenian wines in the lower segment range between 500 and 800 drams,” he said. “People will spare no money for buying high-quality Chilean and Argentinean wines, and our winemakers, fearing they might lose the market, will try to enhance their products’ quality.”
Harutyunyan thinks that consumers will prefer overseas wines also two or three years, and only high-quality wines will survive market competition.
“Winemakers can produce high-quality wines, but don’t do it because local consumers don’t demand,” he said adding that they instead send a good wine outside and sell it in other countries.
Armenians are increasingly shifting their preference from wine to vodka.
“We have lost our wine production tradition and transformed from a wine-consuming country into a vodka-consuming country,” Harutyunyan said. “Our per-capita wine consumption is equal to Russians’, but we consume 51 times as less wine as Russians and 50 times less than Europeans.”
At the same time, Harutyunyan pointed out a slight growth in wine consumption – per-capital consumption is now 1.4 liters against one liter five years ago. But this is too insignificant growth in absolute figures.
He also said that wine industry is in need of state regulation, as in many countries. He said preferential loans are needed for new vineyards – one-hectare area needs $20,000 investment.
Armenia has 20 small and medium wine-producing companies. Some 40,000 farmers engage in wine-growing, 90% of grapes are used for brandy production and only 10% for wine production. –0—
“Chilean and Argentine wines are sold at more than 2,000 drams, but have room for becoming cheaper, while prices for Armenian wines in the lower segment range between 500 and 800 drams,” he said. “People will spare no money for buying high-quality Chilean and Argentinean wines, and our winemakers, fearing they might lose the market, will try to enhance their products’ quality.”
Harutyunyan thinks that consumers will prefer overseas wines also two or three years, and only high-quality wines will survive market competition.
“Winemakers can produce high-quality wines, but don’t do it because local consumers don’t demand,” he said adding that they instead send a good wine outside and sell it in other countries.
Armenians are increasingly shifting their preference from wine to vodka.
“We have lost our wine production tradition and transformed from a wine-consuming country into a vodka-consuming country,” Harutyunyan said. “Our per-capita wine consumption is equal to Russians’, but we consume 51 times as less wine as Russians and 50 times less than Europeans.”
At the same time, Harutyunyan pointed out a slight growth in wine consumption – per-capital consumption is now 1.4 liters against one liter five years ago. But this is too insignificant growth in absolute figures.
He also said that wine industry is in need of state regulation, as in many countries. He said preferential loans are needed for new vineyards – one-hectare area needs $20,000 investment.
Armenia has 20 small and medium wine-producing companies. Some 40,000 farmers engage in wine-growing, 90% of grapes are used for brandy production and only 10% for wine production. –0—