Ministry of Agriculture Performance Report Submitted to Prime Minister

Prime Minister Hovik Abrahamyan chaired today a meeting to review the Ministry of Agriculture performance report for 2014, including compliance with the government’s 2014 action plan, priorities and assessed performance.

Minister of Agriculture Sergo Karapetyan advised that the share of agriculture in the GDP increased last year. Gross agricultural output rose by 7.2%, while the share of processing companies accounted for 38.4 percent in Armenia’s gross industrial product.

A 6.9 percent gross product rise was stated in the plant-breeding sector, 7.8 percent – in animal husbandry. Efficiency in the use of arable land was enhanced by 3.2 percent leading to additional 14.6 thousand hectares of cultivated land. Farmers benefited from agricultural loans with 14% interest rate, 4 percent of which was subsidized by the Government.

Note that the Prime Minister has ordered to mark up the subsidy by 2 percentage points to 6 percent.

State support programs have been implemented in the livestock-breeding and grain development sectors. Broader access is allowed in terms of agricultural inputs and human resources owing to improved infrastructure and equipment.

Specific measures have been taken to mitigate the impact of natural disasters, promote agricultural cooperatives, as well as to enhance plant protection and vaccination activities. Consultations have been held in rural communities, cooperation memoranda were signed with line associations and international cooperation was steeped up significantly.

The meeting next heard the reports submitted by Ministry of Agriculture-affiliated government agencies. Reports were delivered by Acting Head of State Water Management Committee Gagik Khachatryan, Head of State Food Security Service Armen Hayrapetyan, Director of Agricultural Project Implementation Unit State Agency Gagik Khachatryan and Hayantar SNCO Director Martun Matevosyan.

Stressing that agriculture is among his government’s priorities, Prime Minister Abrahamyan urged the Ministry to step up work in 2015 in order to ensure progress in this field. He suggested developing specific programs to enhance efficiency in State Food Safety Service activities and expand cooperation in the framework of EEU. Greenhouse facilities need developing based on land inventory, greater investment attractiveness and improved infrastructure. Illegal logging should be ruled out as a confidence-building measure. Farm consolidation efforts should be continued along with the ongoing preparations for the irrigation season.