The Ministry of Economy Reports Armenia Will Not Face Grain Issues

Amid the temporary ban on grain exports from Russia, Armenia will not face a deficit of grain crops. The country has sufficient volumes of grain. This information was provided by the Ministry of Economy of the Republic of Armenia in response to a written inquiry from Sputnik Armenia.

Earlier, the Ministry of Agriculture of Russia approved a proposal to temporarily ban the export of grain crops to EAEU countries until August 31, 2022. This ban will apply to wheat and meslin (a mixture of wheat and barley, usually in equal proportions), barley, oats, and corn.

The ministry noted that this issue is under the constant attention of the Armenian government, particularly the Ministry of Economy, and discussions are regularly held with representatives of major importing companies to provide operational solutions to existing problems.

“According to our assessments, the temporary ban on grain crops imposed by Russia will not have a significant impact on the Armenian market,” the Ministry of Economy stated.

They also pointed out that the problems faced by Armenian importers are mainly linked to the closure of the Lars checkpoint (due to weather conditions) and the resulting accumulation of freight vehicles. Naturally, these delays affect the timelines for grain imports.

Additionally, the issues are attributable to the sharp devaluation of the Russian currency. Suppliers are cautious regarding pricing, which may limit the selection of available goods.

“Considering the volumes imported since the beginning of this year and the existing reserves, there is currently no deficit in grain crops in the republic, and none is expected in the near future,” the ministry noted.

According to official statistics, the annual demand for wheat stands at 450,000 tons. This is primarily imported from Russia (99%), with the remainder coming from Ukraine, Belarus, and Kazakhstan.

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