Thursday, June 18 2026 12:04
Alina Hovhannisyan

Expert names conditions for transforming logistics into pillar of  Armenian economy

 Expert names conditions for transforming logistics into pillar of  Armenian economy

ArmInfo.  In the coming years, it is important for Armenia to advance infrastructure projects, stimulate the digitalization of processes at the borders and within the country, and restructure its approach to personnel training. This was stated by Sergey Mkrtchyan, Director of the Armenian  Representative Office of the international logistics platform ATI.SU,  during the Logistics Development in Armenia conference held in  Yerevan.

"Without this, new routes and agreements will remain on paper, and  logistics will not be able to become a sustainable support for  exports and the domestic market," he emphasized.

Mkrtchyan emphasized that for a landlocked country, access to foreign  markets is always a pressing issue.  Armenia, however, relies on  transit through neighboring states, and several initiatives could  currently change the route configuration.

In this regard, the head of the Platform noted that Armenian  companies have the opportunity to connect to international supply  chains. In particular, he pointed to the Middle Corridor project, a  network of railways, ports, and multimodal routes connecting China  and Central Asia with Europe via the Caspian Sea, the South Caucasus,  and Turkey, bypassing Russia. Citing EU estimates, Mkrtchyan noted  that cargo flows along this route have increased severalfold since  2022 and could increase exponentially by 2030.

He also cited the development of ties with Iran as a separate area.  According to Mkrtchyan, this is the only land artery that allows  Armenia to access Iranian ports southward and further to the markets  of the Persian Gulf and India. "Last year, Armenia and Iran agreed to  build a new bridge at the Norduz border crossing, reconstruct the  existing bridge, and modernize border terminals," he noted.

At the same time, as the ATI.SU director continued, a new cargo  clearance infrastructure is being developed within the country. With  the support of the EBRD and the EU, a customs and logistics center is  being created, which should replace several disparate sites, reduce  the time required for procedures, and implement the "single window"  principle. "This is a prerequisite for the development of external  corridors:  new routes are of little use if cargo is delayed due to  internal infrastructure," Mkrtchyan emphasized.

Touching on logistics and the labor market, he noted that the  logistics industry in many countries is facing a labor shortage, and  the Armenian economy is in a similar situation.

"Authorities have been noting a general labor shortage for several  years now: the number of vacancies in construction, manufacturing,  IT, and transportation is growing, while the labor supply is not  keeping pace with economic recovery and growth," said the head of  ATI.SU.

In terms of process digitalization, he noted, Armenia's logistics  sector is already at a comparatively high level. He noted that  digital solutions have become the norm: electronic waybills, online  customs services, digital product labeling, and real-time data  exchange systems.

Mkrtchyan noted that the EAEU plans to conduct a pilot project in  2026 to introduce electronic waybills for international road  transport. "By the end of 2026, the Union countries plan to  transition to the full-scale use of the EAEU integrated information  system." There are also challenges to simplify transit, implement  digital cargo accounting tools, and harmonize procedures," he said.

The head of the Platform noted that digital initiatives in Armenia  are also linked to the regulation of foreign trade operations.  Specifically, mandatory digital labeling has been introduced for  several categories of goods during export and import: beverages,  certain agricultural products, petroleum products, medicines,  cosmetics, and others.

Summing up, Mkrtchyan emphasized that without stable transport links  with Georgia, Iran, Azerbaijan, Turkey, and further afield with  Europe and Central Asia, logistics remains a local service.

"Digitalization makes it possible to make these links operational.  The compatibility of systems and the pace of implementation of  digital solutions directly impact competitiveness. Automation,  electronic document management, and management systems reduce the  workload on people, freeing them from routine operations. This helps  alleviate the labor shortage," he emphasized. It should be noted that  during the conference, which was attended by business representatives  and experts, issues related to the development of regional  communications, labor shortages, and the digitalization of processes  were discussed. Particular attention was paid to steps that will  enable Armenia's logistics sector to reach a new level.

According to the RA Statistics Committee, freight transportation  volumes in Armenia in the first quarter of 2026 decreased by 1.6%  compared to the same period in 2025 (versus a 0.7% increase a year  ago), reaching 3,408,500 tons. This decline was driven by a 10.7%  decline in the dominant road freight transport mode, which reached  2,185,900 tons.

At the same time, rail freight transportation increased by 34.8% to  470,300 tons, while air freight grew by 27.4% to 12,100 tons. The  main pipeline delivered 740.2 thousand tons of natural gas, with an  annual increase of 13%.