Russia, CIS remain traditional markets for Armenian brandy

Russia, CIS remain traditional markets for Armenian brandy

Nov 10 2004

YEREVAN, November 10 (Itar-Tass) – Counties of the Commonwealth of
Independent States (CIS) are still traditional markets for Armenian
brandy, although products of Yerevansky Konyachny Zavod (Yerevan
Brandy Plant) are supplied in minor quantities to Japan, the United
States and Europe, the plant’s director general Erve Karoff said.

According to him, about 70 percent of the plant’s products are sold
in Russia.

The plant’s second largest sales market is Ukraine, third – Armenia.

Brandy price rise in mid-2004 has not affected the sales volume, the
director said. He pointed out that the price growth has been
determined by the market situation.

According to Karoff, the plant’s sales volume will exceed four
million litres this year, which will be slightly above last year’s

He also said the main part of grape purchases for Armenian brandy is
made in Armenia. A small portion of grape has been purchased in
Nagorno-Karabakh this year.

Karoff said in 2005 Yerevan Brandy Plant will start a new line of
products. The plant will change the trade dress of its products –
bottles and labels.

The changes will be made for the sake of market promotion. The new
line of Armenian brandy Ararat will be presented in Russia, Ukraine
and Armenia next spring.

The plant general director said the changes are also made for the
sake of fighting counterfeit. According to him, the volumes of
counterfeit products has considerably dwindled since the plant was
purchased by Pernot Ricard French group in 1998.

Karoff recalled a number of illegal companies producing Armenian
brandy in Russia were eliminated through court.

The Yerevan Brandy Plant head said the strategy of the distillery is
aimed at market promotion of its premium brandy – Akhtamar and VSOP
Nairi. This year the plant has increased the sale of these very