LAUNCH OF SUGAR PLANT IN ARMENIA IN MAY 2010 WILL PROVIDE THE CONSUMPTION OF SUGAR IN THE COUNTRY -MINISTRY OF AGRICULTURE

ARKA
Dec 7, 2009

YEREVAN, December 7. /ARKA/. "New sugar plant in Akhuryan will launch
in May 2010 and provide the whole consumption of sugar in Armenia",
said Gerasim Alaverdyan, Minister of Agriculture of Armenia in the
frames of the visit of the President of Armenia Serzh Sargsyan to
the plant.

"It is very important plant which will cover the consumption of sugar
of Armenia. Currently it makes 90 thousand tons annually and will work
on the basis of foreign and local raw material", said the Minister.

For full functioning of the plant it is envisaged to allocate 5000
ha of land for sugar beet. He mentioned that the plant will have
1000 employees.

Edik Sargsyan, Director of the plant said that production of the plant
will also be exported to Georgia, North regions of Iran and Russia. If
the plant works in full capacity, it will produce 220 thousand tons
of white sugar of European quality annually.

The raw material for the plant will be imported from South America,
mainly from Brazil, as well as produced locally which will allow
to provide 20 thousand local employees with work. In May the first
production will be produced and its price will be lower than imported
sugar but he could not mention the exact price. Construction of the
plant in Akhuryan was started in 2006. Owner of the plant is Samvel
Aleksanyan, Armenian entrepreneur, Deputy of National Assembly of
Armenia who has monopolistic positions in the market of sugar import
in Armenia. Investments for the construction of the plant will make
$90-92 million.

For finalization of the scheme of local sugar beet additional $8-10
million is needed.