Mining industry in Armenia is growing steadily, while manufacturing  industry is in decline

ArmInfo.Industrial production in Armenia in January-October 2020 slowed down the y-o-y growth rate from 8.8% to 0.5%, amounting to 1.627 trillion drams ($  3.3 billion). A significant slowdown in the growth of industrial  production is due to the continuing decline in the manufacturing  industry. According to the Statistical Committee of the Republic of  Armenia, only in October 2020, industrial production increased its  volumes by 3.2%, ensuring the volume of 194.7 billion drams ($ 396.1  million).

In January-October 2020 aggainst the same period of 2019, the mining  industry and the development of open pit mines slowed down the growth  rates from last year's 20.5% to the current 14.9%, providing a volume  of 327 billion drams. In October, a 13.8% decline was recorded to  35.3 billion drams. The volume of the manufacturing industry in  January-October showed a decline of 2.9% per annum (against an  increase of 8% a year earlier), amounting to 1.1 trillion drams, of  which 137.8 billion drams fell in October with a monthly growth of  9.2%.

Moreover, in the manufacturing industry, the decline in volumes in  January-October 2020 was recorded in the production of textiles (by  33.4%), cigarettes (by 20%), printing (by 18.7%), beverages (by  13.3%), jewelry (by 9.6%), computers, electrical and optical  equipment (by 8.9%), machinery and equipment (by 7.4%), rubber  products (by 5.9%) and food products (by 1.2%).

At the same time, growth was recorded in the production of finished  metal products (by 30.5%), pharmaceutical production (by 26.9%),  electrical equipment (by 20.5%), the chemical industry (by 19.9%),  furniture (by 16. 6%), base metals (12.4%), other non-metallic  mineral products (10%), and clothing (6%).

In the manufacturing industry, the leaders in terms of production are  food (382.4 billion drams), beverages (126.3 billion), cigarettes  (121.7 billion drams), and base metals (165.5 billion). According to  statistics, the supply of electricity, gas, steam and conditioned air  in January-October 2020 against the same period of 2019 slightly  increased - by 0.4% (against a decline of 0.3% a year earlier),  amounting to 208.6 billion drams. And only in October the growth was  recorded by 0.1% - up to 19.8 billion drams. Moreover, generation,  transmission and distribution of electricity in January-October  increased by 0.2% per annum (with a decline in October by 2.6%),  while gas production, distribution of gaseous fuel through gas supply  systems increased by 1.4% (with an increase of 20.8% in October).

Revenues from water supply, waste treatment and processing, and the  production of secondary raw materials decreased in January-October by  15.3% per annum (against 2.9% decline a year earlier), amounting to  17.9 billion drams, and in October alone, they decreased by 4. 4% -  up to 1.8 billion drams.  Moreover, the decline in this segment was  mainly due to the collection, processing and disposal of waste, the  receipt of secondary raw materials, in particular, a y-o-y decline of  64.3% was recorded.  

The average settlement rate of AMD to the US dollar was AMD 491.74/$1 in October 2020, and AMD 484.96 / $ 1 in January-October, against  AMD 476.30/$1 and AMD 481/$1 in October 2019 in January- October 2019.