ArmInfo. In the first half of 2016, import of wheat in Armenia decreased by 5.53% year over year (y-o-y) to 2.1 thousand tons versus 41% y-o-y growth in the 1st half of 2015, according to the Customs Service of Armenia. In monetary value, the supplies decreased from to $1.5 million year over year or 12.5%. In this light, import of wheat flour fell 55.1% y-o-y to 65.1 tons with a total cost of $14.5 thousand.
Flour producers in Armenia are Alex-Grig and Manana Grain. These companies are the wheat importers too. Armenia imports wheat mainly from Russia (84% of total with an 8.8% y-o-y growth). Import of wheat flour from Russia has almost halved y-o-y totaling 3.1 tons. Import of wheat flour from Belarus accounted for 94% of total for the first half of 2016.
Armenia increased export of wheat by 85.3% to 32.8 tons for $21.3 thousand. Export to Russia accounted for 73% of total and remaining was exported to U.S.
Import of grain (separate category in the report of the Customs Service- editor's note) in Armenia decreased 58% y-o-y (vs almost 2-fold growth a year ago) to 5.8 thousand tons, as import of grain from Russia has nearly halved.The Customs cost fell by 65% to $11.8 million.
For comparison, in 2015, import of wheat (both quality and quantity) fell by 20% to 3.7 thousand tons for $2.9 million. Export of wheat fell 56.9% to 91.5 tons amid 57.3% decline of the customs cost to $70.4 million. Import of wheat flour in Armenia fell 30.9% to 271.5 tons. The cost of the imported wheat flour fell 52.3% to $84.7 million. Import of grain fell 2.5% to 321,000 tons, amid 23.8% decline of the customs cost to $76.1 million.
Alex-Grig (owned by Armenian oligarch, parliamentarian Samvel Alexanyan) has a dominating position in the market of wheat and flour. Its share in the market exceeds 42%. Manana Grain is another big actor in the market - over 36%. The two companies supply nearly 80% of the local market. Manana Grain LLC is also one of the biggest grain importers (over 34% of the market).
