By a government decision, a number of companies will be exempted from import duties within the framework of investment programs implemented in priority sectors.
Mega Production LLC, the owner of Armenia's only oil refinery, plans to invest around 13.5 billion drams in the procurement of raw materials in the Ararat region. The company currently has 55 jobs with an average monthly salary of 560,000 drams, and by 2027 it plans to increase that number to 60 while maintaining the same salary level. The value of the goods presented is 13.5 billion drams, and the duty exemption benefit is estimated at 675 million drams.
Rydena LLC is a foreign-invested organization specializing in the development and production of prepregs (composite materials) for aerospace, automotive and other industrial sectors, and is the only startup in this field in Armenia. The company plans to invest 3 billion drams in raw material procurement, currently has 31 jobs with an average monthly salary of 1.1 million drams, and by 2027 aims to increase the number of jobs to 48 with a salary of 1.5 million drams. The benefit amount will be 245 million drams.
Eurotherm CJSC will use imported raw materials and equipment for the production of juices, canned goods and jams under the Noyan brand, planning an investment of 44 million drams in raw materials and equipment, as well as an additional 50 million drams for the construction of new warehouses. The company currently has 121 jobs with an average salary of 250,000 drams, and by 2027 the number of jobs will increase to 140 with a salary of 280,000 drams. The value of the benefit is 3.5 million drams.
AM Lux Textile LLC will invest 247.5 million drams in raw material procurement for clothing production and another 30 million drams in capital investment. The company currently has 37 jobs with an average monthly salary of 104,000 drams, and by 2027 it plans to increase the number of jobs to 40 with the same salary. The import duty exemption is estimated at 15.7 million drams.
It is noteworthy that among the companies receiving the benefit are both traditional industrial giants, such as the oil refinery, and high-tech startups. This suggests that the government is trying to simultaneously stimulate both existing strategic sectors and innovative directions that can provide greater long-term growth.
Also notable is the difference in job quality: while the average salary at Rydena is 1.5 million drams, in textile companies it does not even reach 110,000 drams. This disparity perhaps reflects the difference in value-creating sectors in the economy, but raises the question of whether maintaining and expanding low-wage jobs is sufficient from the perspective of economic efficiency.
