Armenia is looking for an alternative to Russian wheat

Armenian Economy Minister Gevorg Papoyan announced the search for new wheat suppliers. At a joint meeting of the Standing Committees of the National Assembly on November 5, when discussing the draft state budget for 2025, the minister said that he was negotiating with several countries to diversify wheat imports.

“We are considering alternative sources of imports. This is a normal, logical process, not directed against any country. If we imported 99% of wheat, for example, from Romania, I would negotiate with Russia on imports,” Business media quoted Papoyan as saying.

According to the minister, wheat cultivation in Armenia is economically unprofitable. From one hectare, farmers receive products worth about $ 1,031, at a cost of $ 1,082.

“In order for production to be profitable, it is necessary to subsidize about $ 206 per hectare,” the minister said.

Papoyan also noted that world wheat prices have dropped significantly, which makes domestic production even less attractive from an economic point of view.

In 2023, Armenia produced 130 thousand tons of wheat, while importing 450 thousand tons, mainly from Russia.

Despite the economic inexpediency, the Minister stated the importance of stimulating wheat cultivation even with negative profitability on uncultivated lands to ensure the country’s food security.

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Tags: prices, Production, wheat, imports, Armenia, cultivation, suppliers