RA Ministry of Economy`s new export support program to reimburse  transportation expenses

ArmInfo.The Armenian authorities plan to assist exporters who utilize air and road  transport by providing partial reimbursement for transportation  expenses. The corresponding program, developed by the RA Ministry of  Economy and the Investment Council of Armenia (IC Armenia), is  available on the unified portal of legal acts e-draft.am.  As stated  in the explanatory note to the document, the government intends to  promote the export of processed goods, expand into new markets and  reduce the influence of transportation expenses on the pricing of  Armenian products.

The authors of the proposal highlight that in 2023, Armenia's exports  reached $8.4 billion, marking a 55.3% increase from the previous  year. The primary export markets are Russia, the UAE, EU countries  and Georgia. Despite this growth, Armenia encounters challenges in  realizing its full trade potential, particularly due to high  transportation costs and obstacles in accessing new markets.  The  following proposal is suggested: for air transportation, compensation  of up to 1,200 drams per 1 kg of goods exported by commercial air  transport should be provided. Additionally, compensation in the  amount of 60% of transportation costs will be offered for certain  groups of goods, up to 1,400 drams per kg. For road transportation,  the compensation amount will be up to 25,000 drams for each 1ton of  exported products.

Compensation will be provided by the end of 2027, with priority given  to exporters to third-country markets. This plan aims to contribute  to the diversification of exports.  , the authors of the document note.