Monday, September 9 2013

 Brandy sales of the Yerevan Brandy Company (YBC) may total 4.8 mln liters in FY 2013/2014 (1 July 2013 - 1 June 2014), up 14% than in the previous fiscal year, Ara Grigoryan, YBC Managing Director, told journalists on Monday. 

He said that in July-August 2013 the sales growth made up 11%. "If things go on well, we will ensure 14% sales growth next year", said Grigoryan. He pointed out that the three top countries in terms of sales are Russia, Ukraine, and Armenia. 85% of brandy is sold on these markets.  

Grigoryan said that the sales are growing on all markets and to further boost the demand for ArArAt brandies it is necessary to increase the purchase amount. In the calendar year 2012 the Yerevan Brandy Company announced procurement of 24 thsd tons of grapes but procured 25 thsd tons. In 2013 the company announced that the grapes procurement would grow to 35 thsd tons. Grigoryan, however, said that under the best case scenario of development, the YBC is going to procure 42 thsd tons of grapes in 2014. 

This year 1 kg of grapes costs 145 AMD for the YBC branches in Armavir and Aygavan and 135 AMD for the branch in Tavush region against last year's 140 and 130 AMD, respectively. Farmers can receive their money within 3 or 4 banking days. "We do our best to set a fair price from the viewpoint of business and social responsibility. It is the right price. After all, we are a business structure pursuing profits, but at the same time we perform our contractual commitments", he said. 

Given the processing enterprises' big demand for grapes, Grigoryan thinks that the republic has all prerequisites to develop brandy production. This year 7-year contracts have been signed with 900 farmers and the number of long-term contracts will be growing with every passing year, he said.  

To recall, the Yerevan Brandy Company is a member of Pernod Ricard Group (France) and it is the largest brandy producer and grapes procurer in Armenia.