Tuesday, 25 September

Weakening Russian Economy Hits Armenian Brandy Exports Hard

The production of alcoholic beverages in Armenia decreased in 2015.

16.950 liters of brandy were produced in 2015; a drop of 9.4% from 2014.

5.930 liters of wine were produced in 2015; a drop of 4% from 2014.

Beer and vodka production also registered decreases of 12.8% and 1.6% respectively. 20.7 million liters of beer and 9.3 million liters of vodka were produced in 2015.

Increases were registered in the production of liquor, champagne and whiskey. 164,500 liters of liquor were produced; 658,100 liters of champagne, and 1.170 million liters of whiskey were produced in 2015.

In 2014, only 3,800 liters of liquor were produced in 2014. Whiskey production that year stood at 45,700 liters. A company linked to MP Samvel Aleksanyan produces whiskey in Armenia and is sold in the Yerevan City supermarket chain he owns.

As to how much Armenian wine and brandy has been exported in 2015, we cannot say. Customs figures only cover the first half of the year.

Avag Harutyunyan, President of the Armenian Winemakers Union, has stated that exports have drastically dropped despite the record grape harvest. Some say exports have dropped by half.

In the first half of 2015, 2,683 liters of wine were produced; 14.7% more than the same period in 2014. The production drop occurred later.

The vast majority of Armenian brandy is exported to Russia, so does a lot of Armenian wine. The negative fall-out of a weakening Russian economy on these exports is evident. Many Armenian producers finished the year even or with a loss.

They sell their product in devalued Russian rubles.

If Russian consumers start to veer away from Armenian brandy, the fall-out on exports will be greater still.

Home page

Leave a comment
Thank you for your comment. Your comment must be confirmed by the administration.

Latest news

All news