ARMENIAN AGRICULTURE MINISTRY FOCUSES ON GRAPE GROWING

ARKA
March 19, 2008

YEREVAN, March 19. /ARKA/. Armenian Ministry of Agriculture is planning
to have 300,000 tons of annual grape harvest in five years with
26,000-28,000 hectares of vineyards, Armenian Minister of Agriculture
Davit Lokyan said presenting the draft law "On Grape-Made Alcoholic
Beverages" in the Parliament.

The Minister said they are also planning to ensure an increasing use
of Armenian grapes. "We must cut the import of foreign brandy spirits
and cultivation of phylloxera-proof grapes," Lokyan said.

The Minister also said the draft law suggests defining the specific
grades to be grown and processed in certain parts of the country,
as well as defining the vineyards allowed growing hybrids.

"Only those cognacs totally made of Armenian raw and grapes can be
called Armenian. Otherwise, the product will be called brandy rather
than cognac," Lokyan said.

220,000 tones of grapes were harvested in Armenia in 2007 against
200,000 in 2006.