SHARE OF SEASONED BRANDY INCREASES IN PRODUCTION OF YBC
YEREVAN, JULY 28, NOYAN TAPAN. Yerevan Brandy Company (YBC) increases
the share of seasoned brandy in its production. Journalists were
informed about it at the July 24 press conference dedicated to the
results of the financial year from July 2005 to July 2006. As YBC
Spokesperson Zara Nazarian said, in this period the amount of
"super-premium" brandy having seasoning of 15-20 years increased by
180 thousand litres or more than by 35 percent.
In Z.Nazarian’s words, in the previous financial year the amounts of
grape purchase increased by 25% and made 23 thousand tons. Next year
the company plans to increase the purchase amounts up to 30 thousand
tons.
As YBC Financial Director Igor Arakelian said, in the period under
review the plant made investments amounting to 2 bln drams (about 4.75
mln USD) that were mainly directed to production purposes. 350 mln
drams was invested into YBC’s Armavir branch and 260 mln drams in
Aygavan. These funds were spent on increasing the possibilities of
acception and reprocession of grapes. In particular, today it became
possible to distil up to 80 thousand litres of wine materials daily in
Armavir.
As YBC management assured, today the brandy spirit reserves of brandy
company are enough for producing brandy for 10 years. At present the
company has 15 mln absolute litres of spirit and after autumn
purchases the stores of spirit will make 16 mln absolute litres.
In I.Arakelian’s words, despite of financial losses of the company
caused by depreciation of US dollar against RA dram, in the year under
review the realization grew by 5%. The total commodity circulation
made 19 bln drams, which is more by 9% in comparison with the previous
year. YBC net profit grew by 8%. A 11% growth of realization and 14%
growth of profit is expected next year.
It was mentioned that YBC’s market number one remains Russia. 2.5 mln
out of 3.5 mln litres of produced brandy was sold in Russia last
year. The company had some difficulties in connection with importing
new excises in early 2006 in Russia. As YBC General Executive Director
Erve Karoff said, the sale amounts in Russia have been limited and if
it goes on like this, YBC will try to find another markets.
It was mentioned that last year the amounts of brandy realization
increased by 160% in Baltic countries, by 22% in the Ukraine, by 80%
in Germany and Israel. A contract has been signed lately on supplying
brandy to the U.S. and 5 boxes of brandy have been already delivered
there. The company is also going to sell its production in Asian
countries, in particular, in China.