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IdentifierCreatedClassificationOrigin
04YEREVAN2135 2004-09-28 10:42:00 UNCLASSIFIED Embassy Yerevan
Cable title:  

(IMI) BRIEF OVERVIEW OF ARMENIA'S FRUIT JUICE

Tags:   KTDB BBSR BEXP BTIO AM 
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					  UNCLAS SECTION 01 OF 03 YEREVAN 002135 

SIPDIS

COMMERCE FOR 4201/ITA/IEP/OEERIS/BISNIS/EHOUSE
EMBASSIES - PLEASE PASS FCS

E.O. 12958: N/A
TAGS: KTDB BBSR BEXP BTIO AM
SUBJECT: (IMI) BRIEF OVERVIEW OF ARMENIA'S FRUIT JUICE
SECTOR


-------
SUMMARY
-------



1. This cable provides a brief overview of Armenia's
juice industry for those interested in trade and
investment opportunities in Armenia. It also includes
a list of key contacts in this sector. For more
information contact the BISNIS representative or the
Economic and Commercial Officer at the U.S. Embassy,
Yerevan. End Summary.



--------------------------


NATURAL FRUIT JUICE


--------------------------





2. Juice processing is a growing sector of Armenia's
food processing and packaging industry. This market
offers opportunities for U.S. business interested in
direct investment, exporters of juice concentrates, and
manufacturers of juice processing and packaging
equipment. Juice producers are looking for new
technologies to expand their shares of the local market
and to increase exports.



3. Armenia produces high quality fruits and
vegetables, which grow mostly in the fertile and well-
watered Ararat valley between Mount Ararat and Mount
Aragats. Over the past five years the fruit juice
industry has expanded rapidly, and domestic production
has almost entirely replaced imports. In 2003 packaged
natural juice production increased by 70 percent on the
previous year. Several fruit juice producers have
renovated old facilities, installed new processing and
packaging lines, and used both locally produced and
imported concentrates to produce higher quality drinks.
The Armenian natural fruit juice market is divided
between several privately owned domestic producers,
including Euroterm, SIS Natural, Tamara Fruit, Yerevan
Beer, Zovq, and a few fruit juice importers.



--------------------------


LOCAL PRODUCERS


--------------------------





4. Euroterm JSC: Established in 1998, Euroterm is now
the largest local producer of natural fruit juices in
Armenia. The company has invested more than USD 5
million to install a Tetra Pak fruit juice processing
and packaging line imported from Sweden. Currently the
company produces 3 million liters of juice annually in
1L or 0.25L packages. In 2003, the company produced
1,400 tons of juices out which 850 tons were exported
to Russia, USA, Belarus, Lebanon, France, and Japan.
Euroterm imports packaging materials, mostly from
Sweden, and fruit concentrates, mainly exotic fruit
purees. Euroterm seeks a foreign partner that could
increase Euroterm's working capital to expand the
purchases of raw materials. The company employs 120
specialists and 300 seasonal employees.

Contact: Vahe Ghazaryan, General Manager
15a Amiryan street
Yerevan-10
Tel: (374-1) 53-84-45
Fax: (374-1) 53-75-71
E-mail: euroterm@arminco.com
www.noyan.am



5. SIS Natural JSC: Established in 2000, SIS Natural
produces 30 types of fruit, berry, vegetable, and
citrus juices packed in 1L and 0.25L glass bottles.
Some of the juices are made using cold pressing
technology. The company also produces rose hip nectar,
pomegranate and sea-buckthorn juices that have become
popular in the local and export markets. SIS Natural
seeks foreign partners to help expand its production
and provide access to foreign markets.

Contact: Armen Hakobyan, President
2 Mamikonyants Street
Yerevan-14
Armenia
Tel: (374-1) 23-33-36
Fax: (374-1) 23-55-33
E-mail: armsis@arminco.com



6. Tamara JSC: Tamara is a private food processing
company established in 1988 that boasts the local
markets most popular ice cream. In 2001 the company
purchased the Carbi cannery in Aragatsotn province of
Armenia and started the production of natural fruit
juices marketed in 1L and 0.33L glass bottles. The
company's products are exported to Russia and the
United States.

Contact: Boris Hovhannisyan, Chairman
1 Nairyan Street
Town of Abovian
Kotayk province
Armenia
Tel: (374-1) 28-16-24
Fax: (374-22) 36-606
E-mail: info@tamara.am
www.tamara.am



7. Yerevan Beer JSC: One of Armenia's largest beer
producers, Yerevan Beer also produces natural fruit
juices in 1L, 0.5L, and 0.25L packages.

Contact: Hakob Hakobyan, Managing Director
8 Admiral Isakov Ave.
Yerevan-82
Armenia
Tel: (374-1) 52-21-41
Fax: (374-1) 58-37-54
E-mail: kilex@arminco.com



8. Zovq JSC: The former state-owned plant was
privatized by the SIL Group in 1997. The Armenian -
UAE joint venture produces natural fruit juices packed
in 1.5L, 1L, and 0.25L plastic and glass bottles.

Contact: Tigran Movsisyan, Managing Director
99 Artashisyan Street
Yerevan-86
Armenia
Tel: (374-1) 46-21-30
Fax: (374-1) 46-28-00
E-mail: info@sil.am
www.sil.am



--------------------------


IMPORTED FRUIT JUICES


--------------------------





9. The imported fruit juices market has been declining
as domestic production replaces much of the market.
These are the major imports:

BRAND/PRODUCER AVERAGE RETAIL
PRICE FOR 1L PACK

Queen's/Litex
(Bulgaria) USD 1.15

Chiquita
Italy/USA USD 1.20

Pfanner, Rauch
(Austria) USD 1.90

Santal/Parmalat
(Italy) USD 2.20



--------------------------


KEY CONTACTS


--------------------------



U.S. Department of Agriculture's Marketing Assistance
Project
74 Teryan street, Yerevan, Armenia
Tel: (374-1) 52-55-62
Fax: (374-1) 58-79-28
E-mail: map@usda.am
Web site: www.usda.am

Armenian Development Agency
Contact: Vahagn Movsisyan, Executive Director
17 Charents street
Yerevan-25
Tel: (374-1) 57-01-70
Fax: (374-1) 54-22-72
E-mail: info@ada.am

GODFREY