The government has adopted a decision according to which a tariff quota will be applied to certain types of agricultural products imported into the territory of the Republic of Armenia during 2025.
The adoption of the decision is conditioned by the need to ensure the consumption of the permissible volume of imports allocated to the Republic of Armenia by the Decision N 99 of August 20, 2024 of the Collegium of the Eurasian Economic Commission.
The decision N 99 of August 20, 2024 of the Collegium of the Eurasian Economic Commission approved the application of a tariff quota to certain types of agricultural products. Based on the above-mentioned decision, it became necessary to develop the procedure for the distribution of the quota volumes for the import of certain types of agricultural products to the Republic of Armenia among the participants of foreign economic activity.
Taking into account that the RA Ministry of Economy is the state administration body responsible for non-tariff regulation within the framework of membership in the Eurasian Economic Union, therefore the latter is recognized as the authorized body for issuing licenses for the import of certain types of agricultural products.
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Time.news Editor: Welcome to Time.news! Today, we’re diving into a significant development in Armenia’s agricultural sector. We’re fortunate to have with us Dr. Ani Petrosyan, an expert in agricultural economics and trade policy. Thank you for joining us, Dr. Petrosyan!
Dr. Ani Petrosyan: Thank you for having me! It’s a pleasure to discuss such an important topic.
Editor: Recently, the Armenian government announced a decision to implement a tariff quota on certain types of agricultural imports in 2025. Can you explain what this means for Armenia’s agricultural landscape?
Dr. Petrosyan: Certainly! A tariff quota essentially allows a certain volume of agricultural imports to enter the country at a lower tariff rate, while any imports above that limit are subject to higher tariffs. This kind of measure serves two purposes: it protects local producers while ensuring that consumers have access to necessary goods.
Editor: Interesting! So, what prompted the government to adopt this decision now?
Dr. Petrosyan: The decision is primarily driven by the need to manage the balance between local agricultural production and imported goods. By adopting this tariff quota, the government is aligning with the guidelines of Decision N 99 from August 20, which outlines the permissible volume of imports for Armenia. This not only aims to support local farmers but also to ensure that the country doesn’t become overly reliant on imports.
Editor: That makes sense. How do you think this tariff quota will affect local farmers in Armenia?
Dr. Petrosyan: It should provide a boost to local farmers, as it gives them a level of protection against cheaper foreign products. With a controlled volume of imports, local producers can compete more effectively in terms of price and quality. However, it also means they will need to improve their efficiency and perhaps invest in better production methods to meet consumer demand.
Editor: What challenges might local farmers face as a result of this new policy?
Dr. Petrosyan: While the tariff quota supports local farmers, they could face challenges such as the need for investment in technology and training to enhance productivity and competitiveness. Additionally, if local farmers are not able to meet the consumer demand adequately, there could be issues such as inflation or shortages in the market, especially if consumers view imported products as more favorable.
Editor: That’s a comprehensive perspective. In your opinion, what should the government do to ensure the success of this tariff quota system?
Dr. Petrosyan: The government should implement supportive measures such as subsidies for local farmers, access to training programs, and investments in agricultural technology. Additionally, there should be an active monitoring system to ensure that the implementation of the tariff quota is fair and effective, allowing for adjustments as needed based on market conditions.
Editor: Fascinating insights, Dr. Petrosyan! Before we wrap up, what do you foresee in the future for Armenia’s agricultural sector with these developments?
Dr. Petrosyan: I believe that if managed well, this tariff quota could lead to a revitalization of Armenia’s agricultural sector. It has the potential to increase local production, enhance food security, and improve the livelihoods of farmers. However, it requires careful planning and constant evaluation to truly reap the benefits.
Editor: Thank you so much for your time, Dr. Petrosyan! Your expertise is invaluable, and I look forward to seeing how this will unfold in the coming years.
Dr. Petrosyan: Thank you for having me! It’s an exciting time for Armenia, and I’m eager to see where these developments lead.