ArmInfo. An interdepartmental commission will be set up in Armenia to study the problems of milk purchases. Minister of Agriculture of the Republic of Armenia Artur Khachatryan stated this at a meeting with the largest milk producers and farmers of the republic.
According to the press service of the Ministry of Agriculture, the Minister proposed to include one representative from each of the parties in the future commission. Artur Khachatryan also informed that a livestock development strategy, aimed at increasing the profitability of farms engaged in animal husbandry is being developed. He presented the ongoing and promising programs that are designed to assist milk producers. In particular, the matter concerns subsidizing interest rates on loans provided to agriculture, state assistance in leasing equipment, building irrigation systems in pastures and improving the condition of pastures, as well as a program of livestock registry. During the discussions, the parties presented their approaches to the current situation on the milk market, raising the efficiency of animal husbandry and other issues. To recall, on June 14 dozens of farmers gathered outside the Armenian government building, protesting against low procurement prices for milk. If in the winter period prices stood at a level of 180 - 230 drams per liter, today they reached 150-140 drams. In the meantime, as they told ArmInfo correspondent, in order to "not sink" and somehow "stay afloat", the purchase price for milk today should not be less than 160 drams. Otherwise, they threatened with the delivery of milk to Yerevan with cisterns and free distribution to its residents as a charity gesture.
According to Martun Poghosyan, a resident of Geghashen village, Kotayk region of Armenia, in the winter, up to the end of February, the enterprises bought milk at a price of 200-230 AMD. As early as May, the price dropped to the level of 150-160 drams per liter and today it has fallen to the critical for the villagers 110 drams. Meanwhile, according to him, in the same period of 2017, the purchase price was 160-180 AMD. "Only one or two enterprises buy milk at a price of 140 drams. But if the cost price of milk for us, villagers, taking into account all expenses, is about 120-130 drams, then we should sell it at least 140-160 AMD, so as not to be in big minus, "he said. Meanwhile, as the head of the procurement department of the Ashtarak-Kat company, which occupies almost the third of the dairy market, Hayk Sargsyan stated in a conversation with ArmInfo, , the same situation is observed year after year-in the winter months the cost of milk rises and then gradually decreases. But even with this in mind, in the winter of this year the enterprise bought milk at a price of 180-190 AMD per liter, and not 200, as farmers say. As explained by Sargsyan, other companies could have bought at this price, but those that work with small farms. Already in May 2018 "Ashtarak-kat" company bought milk from the manufacturer for 170 AMD, today's price is 150 drams, the day after tomorrow will reach 140 drams. But there is no need to talk about price increases. As the representative of the company assured, already today there is an overabundance of milk, and the company stores it, making cheeses and processing it into milk powder.
Another large dairy company, LLC Marianna, whose experts ArmInfo correspondent contacted for comments, today buys milk for 140 drams, last year, in the same period the price was lower - 130 drams per liter. At this stage, as the employee of the company's accounting department Advine Aristakesyan stated, although there is a surplus of milk on the market, the company continues to buy milk from farmers so that they can cover their expenses and financial obligations. The Producer understands that May-June months are the most critical for the farmer. Further, as she noted, the prices are gradually adjusted upwards. Nevertheless, the Ministry of Agriculture of Armenia ArmInfo assured that in order to resolve the current situation within the next two to three days the issue will be submitted for discussion to the departmental collegium, where all interested parties will be invited - farmers, procurers and manufacturing enterprises.
According to the expert estimates, Armenia's self-sufficiency in milk is 93%, and the average milk consumption is 257.7 kg per person per year. Small farms dominate the structure of production.
