Agriculture in Armenia records stable growth despite the COVID-19 outbreak
Agriculture is one of the main sectors of the Armenian economy and over the past few years, it has been the top strategic direction of the government of the RA with a special focus on the introduction of innovative solutions, expansion of the cultivated lands, and optimization of the irrigation systems.
Summing up the year 2020
On February 10, 2021, the Ministry of Economy of the RA reported to the Prime Minister of Armenia Nikol Pashinyan that the country recorded 1.4% GDP growth in agriculture in 2020. The GDP grew by 2.3% in crop production. The country also had 0.6% GDP growth in livestock.
Key points from the briefing of the Deputy Minister of Economy Arman Khojoyan:
- The government initiated many programs that support the development of the agricultural capacity of the country. Thanks to these state-supported programs, last year 228,000 hectares of arable land were cultivated, with some 155,000 plots of irrigated land.
- The Ministry also paid special attention to leasing programs. The country acquired 295 units of agricultural machinery in 2020.
- Progress in establishing intensive orchards was another important agricultural milestone the country achieved. The volume of intensive orchards increased 10-fold to 518.6 hectares in 2020 as compared to 53.2 hectares cultivated in 2019. The number of beneficiaries increased from 17 to 53.
- The government introduced the rural insurance program in 6 regions in 2020.
2021 is expected to be a game-changer in the agricultural sector of Armenia
The government has announced that they will continue reforms in the agricultural sector in 2021.
These are the strategic directions the government will follow:
- Short-term and long-term training programs will be conducted for farmers,
- The rural insurance program will be implemented nationwide this year,
- The Ministry will undertake actions aimed at improving the accuracy in the planning of water use and minimizing water losses,
- A program of state assistance to produce spring grains, legumes, and forage crops will be introduced soon.
Prime Minister Nikol Pashinyan announced that the state will further support the agricultural improvements in all strategic dimensions.
Interested in further exploring the agricultural sector of Armenia? At Kingsmen Properties, we are ready to address all your questions and guide you through your investment journey in Armenia. Check out our investment opportunities here or give us a call at (+374) 95 110 301. High return on investment guaranteed!