Prices of Armenian wines and brandies younger than 10 years will not rise
18.11.2011,
20:49
Proposed changes to the Armenian Law on Excise Stamps will not affect the prices of Armenian wines and brandies not older than 10 years, Deputy Minister of Finance Suren Karayan said during a parliament Q&A session on Thursday.
YEREVAN, November 18./ARKA/. Proposed changes to the Armenian Law on Excise Stamps will not affect the prices of Armenian wines and brandies not older than 10 years, Deputy Minister of Finance Suren Karayan said during a parliament Q&A session on Thursday.
He said the changes propose to equalize the excise tax applied to imported and locally produced alcoholic beverages. He said the changes set also ad valorem rate, which means that taxes on expensive alcohol will rise, cutting their consumption.
According to him, the changes do not apply to excise taxes on wines, as wine is a traditional drink directly related to viticulture. Karayan said the changes are expected to boost export of wines and brandies.
"We equalize imported and locally produced alcoholic drinks to meet the demand of our foreign partners, and also eliminate discrimination against Armenian alcoholic beverages outside the country,» he said.
The deputy minister said that proposed changes are expected to generate over 5 billion drams in additional revenue in 2012.
Armenia has now about 20 small and medium-sized wineries and about 40,000 farmers are engaged in viticulture. Some 90% of the grapes is used for production of brandy. Chilean and Argentine wines are sold in Armenia at 3,000 drams, while the cheapest Armenian winces are worth from 500 to 800 drams. The most expensive wine in Armenia is 10,000 drams.
According to statistics, from January to September Armenia produced about 9.4 million liters of brandy, which was 17% more than in the same time span in 2010, and wine production increased by 9% to 4.1 million liters.
The parliament is considering now a package of government-designed changes to a string of laws which are supposed to help collect 101 billion drams in additional revenue next year. -0-
He said the changes propose to equalize the excise tax applied to imported and locally produced alcoholic beverages. He said the changes set also ad valorem rate, which means that taxes on expensive alcohol will rise, cutting their consumption.
According to him, the changes do not apply to excise taxes on wines, as wine is a traditional drink directly related to viticulture. Karayan said the changes are expected to boost export of wines and brandies.
"We equalize imported and locally produced alcoholic drinks to meet the demand of our foreign partners, and also eliminate discrimination against Armenian alcoholic beverages outside the country,» he said.
The deputy minister said that proposed changes are expected to generate over 5 billion drams in additional revenue in 2012.
Armenia has now about 20 small and medium-sized wineries and about 40,000 farmers are engaged in viticulture. Some 90% of the grapes is used for production of brandy. Chilean and Argentine wines are sold in Armenia at 3,000 drams, while the cheapest Armenian winces are worth from 500 to 800 drams. The most expensive wine in Armenia is 10,000 drams.
According to statistics, from January to September Armenia produced about 9.4 million liters of brandy, which was 17% more than in the same time span in 2010, and wine production increased by 9% to 4.1 million liters.
The parliament is considering now a package of government-designed changes to a string of laws which are supposed to help collect 101 billion drams in additional revenue next year. -0-
