Agriculture of Armenia

A crop of cotton in Armenia in 1930.

Agriculture in Armenia for 20 years in deep restructuring, due to a transition from a farming collective in an agriculture characterized by small farms .

TheArmeniahas 2.1 million hectares of agricultural land covering 72% of the area of the country.  Most of these lands are pastures of mountain while arable land covers 480,000 hectares (452,900 hectares of arable land, 27,300 hectares of orchards and vineyards ), or 16% of the area of the country. In 2006, 46% of the workforce was employed in the agriculture (against 26% in 1991) which contributed to 21% of GDP.  In 1991,Armeniaimported about 65% of its food.

In 1990, theArmenian Soviet Socialist Republicbecame the first Soviet republic to adopt a law of privatization of land, and therefore it has implemented this reform more quickly than other former Soviet republics. However, the speed and the disruption of consolidation have led to land disputes and discontent of some farmers receiving land. The main issues were the allocation of water rights and distribution of basic materials and equipment. n addition, company’s agribusiness such as the present in food processing and in greenhouse crops often remained in the hands of the State, which has reduced the extent of privatization.

Privatization has quickly eliminated the collective agriculture and state farms , which had dominated during the Soviet period. In 1992, privatization had reached 63% of cultivated fields, 80% of orchards, vineyards and 91% for distribution mainly of family farms.  In 2006, these family farms accounted for 98% of agricultural production.

The privatization program has resulted in a rapid increase in 15% of the gross agricultural output between 1990 and 1991. Agricultural growth has continued, and in 2006 agricultural production was greater than 75% over 1990. The growth of agriculture is unique among the former Soviet republics. In 1993, the government put an end to restrictions on transfers of private land, thereby substantially increasing the average size of plots private, which was previously limited.  At the end of 1993, 300,000 small farms of 1 to 5 hectares were in use.

Agriculture is mainly practiced in the valleys while the mountains and rugged terrain ofArmeniaare usually vested in the grazing of livestock. With irrigation, figs, and pomegranates, and apricots, and olives are also grown in the subtropical valley of the river Araxes and in the valleys north ofYerevan, where the most fertile farmland in the country.Armeniaalso produces peaches, and nuts, and quince, and its cognac enjoys a good reputation.

The irrigation is necessary for most crops, and construction of canals and irrigation systems were among the first major projects of theSovietRepublicin the 1920s.  In the 1960s, arable land had been increased by 20% compared to the pre-Soviet. Most farms had electricity since the early 1960s, and the machines were common at that time. In the Soviet era, women made up the majority of the agricultural labor force, because a significant number of young men had migrated to urban centers throughout the various campaigns of industrialization. In 1989, farms were operating with about 13,400 tractors and 1,900 combine harvesters. Unlike other countries in the CIS,Armeniahas not declined too much of its agricultural engine during privatization, and in 2006 there were 14,600 tractors and 1,700 combine harvesters.

The main agricultural products are cereals such as wheat or barley, and potatoes, the vegetables, the fruits and grapes for table and wine. In 2006, Armenia has produced 212 500 tones of cereals, 539,500 tons of potatoes, 915,000 tons of vegetables, 286,000 tons of fruit, 201,400 tons of grapes.  These figures except those for cereals are rising significantly from 1989, when Armenia was producing 200 000 tones of cereals, 266,000 tons of potatoes, 485,000 tons of vegetables, 170,000 tons of fruit, and 119 000 tones of grapes. Livestock production in 2006 reached 66 800 tons of meat (slaughter weight), 620 000 tones of milk, and 464 million eggs. The numbers of livestock production in 1989 were 105 000 tons of meat, 491,000 tons of milk and 561,000 tons of eggs.