12.08.2022 (Обновлено: 19.08.2022 13:24)

Commission promotes cooperation in EAEU agricultural sector

The Eurasian Economic Commission pays a close heed to promoting industrial cooperation in the agricultural sector and innovative development of the industry to develop import substitution, to manufacture new competitive products and, in general, sustainable development of agriculture, as well as to strengthen food security in the Eurasian Economic Union.

The work in this direction resulted in concluding a Memorandum of Cooperation between the Government of the Republic of Armenia, the Eurasian Development Bank (EDB) and Yeremyan Pharm, CJSC (Armenia). The document’s purpose is to ensure food security and sustainable economic development of the Republic of Armenia in the agricultural sector. The EDB will assist the Government of Armenia by financing projects in the field of agriculture contributing to deeper processing of raw materials and increasing added value of output. As part of implementing the country strategy in Armenia, the EDB will finance an investment project in agriculture and food manufacturing being implemented by Yeremyan Projects Group of Companies and corresponding to the objectives of the "Cattle Breeding Development Program in the Republic of Armenia for 2019-2024".

"The systematic work on developing cooperation between the EAEU States’ enterprises carried out by the Eurasian Economic Commission’s Industrial and Agricultural Units gives practical effects. It is gratifying that the cooperative component is of particular concern in the joint project started, since besides the Armenian companies enterprises of Russia and Belarus are involved here as well. This means that seeds, livestock, agricultural machinery, and a wide range of technical and industrial equipment manufactured in the EAEU will be used in this process. This is a very important factor", stressed Artak Kamalyan, EEC Minister in charge of Industry and Agriculture. ”Ensuring the Union countries’ food security is our common strategic objective. It is important to develop interaction between the Member States on food security issues".

According to the EEC Minister, the Member States’ interaction on food security issues assumes particular importance now, including due to the volatile global economic environment and the threats of spreading COVID-19. The EAEU countries’ joint work on ensuring food security will have a positive impact on saturating the internal market with food products, material and technical resources for the agricultural sector manufactured in the Union, developing mutual trade, as well as improving efficient functioning of the Union’s common agricultural market.

"Nowadays, the program is more than relevant, given the challenges the world faces in terms of food security. Developing agriculture is one of our Government’s priorities. Modernizing the agricultural sector with innovation technologies will ensure the manufacture of high-quality agricultural products, which, in turn, will have not only economic, but also social significance for our country", noted Mher Grigoryan, Deputy Prime Minister of the Republic of Armenia.

Under the loan agreement the EDB will allocate 25 mln dollars for developing a fully integrated production, including for replacing low-income animals with breeding cattle, expanding agricultural areas for growing feed crops and modernizing assets to increase the production of meat and dairy products. The total project cost will amount to 31 mln dollars. It is planned to build a commercial dairy farm for 1,200 units of breeding cattle and a pig-breeding farm for 6,000 pigs.

For reference

Yeremyan Projects Group of Companies is one of the leaders in food service industry, restaurant business, service, vocational education, agriculture and food manufacturing in Armenia. Since 2019, the Company has been implementing a new business development strategy based on the "From Seeds to Table" concept to ensure a full-cycle process, establishing a breeding cattle farm in Vayots Dzor, a pig-breeding farm in the Tavush Region, a fodder mill in the Ararat Region, and the Artsakh kitchen factory in Yerevan.