ArmInfo. The size of the state duty on cement imported to Armenia will be reduced from 22 thousand drams to 14 thousand drams per ton. The relevant government initiative was considered at a meeting of the parliamentary economic commission on May 22 in the second and final reading.
To recall, the National Assembly of Armenia at the plenary session on April 19 approved the draft draft law "On State Duty", which provided for an increase in the duty on imported cement. According to the draft law, the duty would have been 22 thousand drams per ton, which would equalize the possibilities of domestic producers with importers. Meanwhile, there was a heated debate on the absence of clinker-related provisions in the document, insisted on by the Prosperous Armenia faction, whose leader Gagik Tsarukyan, in fact, is the owner of Araratcement CJSC. The absence of clinker, according to the deputies from the faction will lead to a reduction in the majority of employees of the enterprise.
"When we started discussions, and the government presented its calculations to the parliament, they were based on the cost data for the last year. At that time, we calculated that the cost price of producing a ton of cement in Armenia costs 37 thousand drams. Then we received additional data, as from Producers and the State Revenue Committee, who say that the prime cost is 31 thousand drams. Having studied these data, the government calculated that the difference between the prime cost and the price in the market is 10%. It was decided to revise and reduce the size of the state duty, "Minister of Economic Development and Investments Tigran Khachatryan said at the meeting of the commission. He added that the new rates will be valid for a year - until April 2020. During this time, the government will conduct new studies, following the results which will come up with new legislative initiatives. Tigran Khachatryan stressed the need to ensure competitive conditions in the market so that a product representing a volume part of local production could be sold as well as imported.