Month: February 2015

WHAT WERE THE AUTHORITIES OF NKR AFRAID OF?

Igor Muradyan, Political Analyst
Comments – 04 February 2015, 14:10

On January 31, during an attempt to visit Karabakh, 160 participants
of the car march of the Founding Parliament, including women and
children, ran across a well-organized resistance, including the police
and veterans of war.

Something unprecedented happened, and one may think that the
government of Karabakh was expecting a commando rather than a peaceful
demonstration.

The “defenders” of Karabakh had a high level of organization. It
should be noted that the behavior of the Police representatives was
not unanimous. Some of them were trying to demonstrate artificial
cruelty and absolute loyalty to the government. Others could not hide
their reluctance to participate in what was going on and were even
sympathizing with the demonstrators.

In any case, this performance was intended to demonstrate power,
and the addressees were the people of Karabakh.

But what were the authorities of Karabakh afraid of? A revolution?

Apparently, there was a likelihood of an anti-Russian action in
Karabakh which would be probable, and it worried the government
of Karabakh.

Already anti-Russian actions have taken place in Yerevan and Gyumri
for different reasons, but in Karabakh it would sound especially
louder. Apparently, ahead of the prepared manipulation of the Karabakh
issue by Russia it was necessary to demonstrate that Russia has and
will have no problems in Karabakh.

POSTPONED: PARLIAMENT VOTES TO DELAY CONTROVERSIAL SALES TAX LAW PROVISION

NEWS | 04.02.15 | 13:49

The Armenian Parliament on Tuesday voted 75 to 1, with 40 abstentions
to postpone until July 1 the enforcement of a controversial sales
tax law that caused protests among traders.

For several days last week mostly small business owners staged protests
in front of the government building in Yerevan demanding that the
law that envisages a reduction of the sales tax for them from 3.5 to
1 percent but also implies a crippling amount of paperwork be scrapped.

After the January 30 protest, Prime Minister Hovik Abrahamyan
announced that the enforcement of the key provision of the law that
stipulates stricter rules for small business owners in documenting
their transactions with larger companies would be postponed and
additional mechanisms to ensure that businesses are not affected by
the law would be worked out.

The ruling Republican Party of Armenia, which controls a majority of
seats in the legislature, and the opposition Armenian Revolutionary
Federation said before the vote that their factions would support
the decision to delay the application of the law. The other factions,
including the Prosperous Armenia Party, the Armenian National Congress,
Heritage and Orinats Yerkir, said they would abstain.

COMPETITIVE EDGE: ARMENIAN ENTREPRENEURS SAY LIGHT INDUSTRY HAS POTENTIAL FOR 60,000 JOBS

Economy | 04.02.15 | 12:33

By Gayane Lazarian
ArmeniaNow reporter

Representatives of Armenia’s light industry say that enterprises in
the sector currently provide 6,000 jobs, but if the tax burden is
decreased that number might rise to 60,000.

Entrepreneurs say that a year ago they signed a memorandum with the
government which was based on the strategy of sector development,
especially boosting exports.

“Unfortunately, even after a year nothing has changed. Coming against
the Armenian version of bureaucratic hustle, sometimes we do not know
how to make people carry out the functions they are paid for,” says
Hovsep Poghosyan, the Co-Chair of the Light Industry Employers’ Union.

In order to boost the field, the government has conducted a special
study; as a result during the next 10 years an opportunity of
creating 15,000 jobs will be provided. During the Soviet years as
many as 120,000 people were employed in Armenia’s light industry,
within 20 years that number decreased 20 times.

“We have a potential of up till 60,000 jobs. But if we create that many
well-paid jobs, we will fall under a tax burden of 26 percent. In this
case we turn to the state to subsidize the expenses, so that we have
circulation means to develop the production and boost the exports,
as well as some tax privileges must be granted,” Poghosyan explained.

According to statistics, in Armenia annually $280 million-worth
clothes are sold and only eight percent of these clothes is produced
locally. In this case representatives of the light industry sector
see the salvation in export only.

For 20 years knitwear producing company Tosp has been exporting 60-70
percent of its product. The head of the company, Suren Bekirski,
said that Armenia’s 1.5-2 million market, only 2 percent of which are
potential buyers, does not allow enterprises to record volume growth.

“We have always had 60-70 percent export, 35-40 percent sales in the
local market; that is the most ideal version. If I realize 70 percent
export and withstand the external market players who do not have the
objective problems of our market, they have a clearer competitive
field, I return stronger from there to the local market. But if
I’m deprived of this or that opportunity, for instance, of export
opportunity for different reasons, I start suffering in the internal
market, the cost price rises because the volume decreases but my main
expenses remain the same, I start having problems with the workforce,
I cannot fully utilize them, and they leave as a result,” Bekirski
explained.

Producers barely withstand competition next to companies from Turkey,
Vietnam, Korea, China, Bangladesh.

“They have long been in the market and they do not have our problems.

However, we say, hey, we have a loan for 15 percent, a general tax
portfolio of almost 20 percent, how can I compete with them,” the
entrepreneur said.

Addressing 140-million-strong Eurasian Economic Union (Russia, Belarus,
Kazakhstan, Armenia) market, they say that all those doors that were
never closed for them, opened de jure, and even taking two percent
of that market will be profitable.

FIRST CARREFOUR TO OPEN IN YEREVAN, MOST PROBABLY, IN EARLY MARCH – AMBASSADOR

YEREVAN, February 4. /ARKA/. The first Carrefour hypermarket in
Armenia will open in Yerevan, most probably, in the beginning of March,
French ambassador to Armenia jean-Francois Charpentier told a press
conference on Wednesday.

Preparations for the opening will be completed soon, he said.

Charpentier also said the management of the hypermarket will rather
prefer working with local producers. Specific products, certain brands
of wines and cheese in particular, will be also available in the shop,
he said.

The preliminary agreement between Yerevan Mall trade center and
Carrefour was signed in Yerevan on May 13, in the presence of the
presidents Serzh Sargsyan and Francois Hollande.

Carrefour SA is a French retail trade company and operator of
Carrefour, the world’s second biggest chain of hypermarket after
Wal-Mart.

The hypermarket will be opened in the territory of Yerevan Mall that
occupies premises of 66,000 square meters, of which 10,000 square
meters are built up in accordance with Carrefour standards. -0–

HOLLANDE TO BE IN ARMENIA ON APRIL 24 – AMBASSADOR

YEREVAN, February 4. /ARKA/. France president Francois Hollande
will come to Armenia on april 24 to commemorate the 1915 genocide of
Armenians, French ambassador to Armenia Jean-Francois Charpentier said,
as cited by Novosti-Armenia.

Asked to comment on Turkish president’s decision to celebrate the
victory at Gallipoli on that day, the ambassador said he is not
commenting on other countries’ celebration decisions.

“Every country makes its own decision who to send and where. Francois
Hollande will come to Armenia. It is not clear yet who will go to
Turkey”, Charpentier said.

Earlier, the Turkish press reported that president Erdogan invited
his Armenian colleague to Turkey to celebrate the anniversary of
the victory in the Battle of Gallipoli on April 23-24. Sargsyan
said in his response the president pursues a sole aim of diverting
the attention of the global community from the Armenian genocide
centennial commemoration.

There are currently no diplomatic relations established between Turkey
and Armenia: official Ankara closed the border in 1993. The uneasy
relationship between the countries is caused particularly by Ankara’s
support to Azerbaijan on Karabakh problem and Turkey’s overreaction
to international recognition of the 1915 Armenian genocide in Ottoman
Empire.

The Armenian Genocide was the first genocide of the twentieth century.

According to Armenian and many other historians, up to 1.5 million
Armenians were killed starting in 1915 in a systematic campaign by
the government of Turkey. Turkey has been denying it for decades.

The Armenian genocide was recognized by tens of countries. The first
was Uruguay that did so in 1965. Other nations are Russia, France,
Italy, Germany, Holland, Belgium, Poland, Lithuania, Slovakia, Sweden,
Switzerland, Greece, Cyprus, Lebanon, Canada, Venezuela, Argentina,
42 U.S. states. It was recognized also by the Vatican, the European
Parliament, the World Council of Churches and other international
organizations. -0–

From: Baghdasarian

ARMENIAN PARLIAMENT AMENDS TURNOVER TAX LAW AT FIRST READING

YEREVAN, February 4. /ARKA/. Armenia’s National Assembly passed
Wednesday the government-proposed amendments to the turnover tax law
at the first reading.

The law on turnover tax was revised last year lowering the turnover
tax for vendors with annual sales of up to 58 million drams ($125,000)
from 3.5 percent to 1 percent, but small business owners were to
provide tax authorities with documentary evidence of their wholesale
purchase deals with larger firms or face heavy fines.

The government argued the change was meant to crack down on tax
evasion by big business, but vendors say they cannot comply with this
requirement because their suppliers usually refuse to provide them
with receipts and invoices.

The revised law was to come into force in 2014 October but after a
series of demonstrations staged by vendors in September and October
the government was forced to postpone its enforcement until February 1.

After fresh protests this year Prime Minister Hovik Abrahamyan met
with protesters and reportedly agreed to postpone the enforcement of
the law until July 1.

Nongovernment parliament factions Prosperous Armenia, Heritage, Orinats
Yerkir and Armenian National Congress said they would abstain from
voting, since they are disagreed to the postponement until July 1,
but would not vote against it since this is still better than current
rules. Armen Rustamyan, head of Armenian Revolutionary Federation/
Dashnaktsutiun faction, said that its MPs will vote in favor of the
bill, since they are against the current rules.

The bill was passed by 75 votes for, one against it and 40
abstained. —0—–

ARMENIAN LAWMAKER REQUESTS PACE TO APOLOGIZE FOR THE CALL TO PUT PRESSURE ON FREE PRESS

YEREVAN, February 4. /ARKA/. Member of the Armenian parliament and the
head of “Constitutional Law Union” party Hayk Babukhanyan has made a
statement on PACE resolution urging the Armenian authorities to put
pressure on free press and a politician, Novosti-Armenia reported.

On January 28, the PACE passed a resolution (N584) with a vote of 22
deputies in favor, calling on the Armenian authorities to put pressure
on free press and a politician.

In particular, the resolution requests to prosecute local “Iravunk”
newspaper and the leader of “Constitutional Law Union” party for
having protected Arshakyan sisters who dared to express their negative
opinion about Conchita Wurst and have been aggressively criticized
by the gay lobby.

Babukhanyan said PACE’s call jeopardizes the key democracy principles,
the freedom of speech and press.

“I expect them to apologize and leave Iravunk newspaper alone”,
the lawmaker said on the air on Sputnik-Armenia radio channel.

Babukhanyan said the opinion in the newspaper had nothing to do with
sexual minorities in general, but was about Conchita Wurst herself
and her stage image.

It is gender fascism not to allow people expressing their views about
a person who is a minority, he said.

The politician also said in his letter it is regrettable that amid the
current global tense, certain forces try to undertake police functions,
instead of using PACE as a platform to keep the dialogue ongoing.

According to the lawmaker, it is not acceptable to turn PACE into a
punishment tool for prosecuting politicians, reporters and mass media,
whose opinion is unfavored by those who claim a monopoly on truth.

Babukhanyan proposed to concert efforts to stop wars and conflicts,
restore freedom, democracy and cooperation on the continent.

The newspaper said in his article that there should be no pressure
placed on people for expressing their views, as it is against democracy
principles, the politician said. Radicals have attacked the newspaper
this time, he said.

The Armenian lawmaker referred to the European statements about
freedom of speech in connection with Charlie Hebdo shooting case,
and said it was acknowledged that no radical minority has the right
to dictate the rules of game.

It is the same with Armenia: no radical minority has the right to
impose its rules of game, and the PACE resolution N584 conflicts with
this principle, the member of the parliament said. -0–

ARMENIAN CIVILIAN WOUNDED IN AZERI SNIPER FIRE

15:37, 04 Feb 2015
Siranush Ghazanchyan

Levon Andreasyan, an eighty-five-year-old resident of Movses village
in Tavush marz, was wounded as a result of sniper fire from the
Azerbaijani side, Spokesman for the Armenian Ministry of Defense
Artsrun Hovhannisyan said in a Facebook post.

Andreasyan was taken to Berd Hospital. No further details about his
health condition are provided.

ARMENIA STANDS READY TO COOPERATE WITH THE AZERBAIJANI SIDE UNDER THE AEGIS OF THE ICRC

15:50, 04 Feb 2015
Siranush Ghazanchyan

First Deputy Minister David Tonoyan received Head of the Delegation of
the International Committee of the Red Cross to Armenia Sarah Epprecht.

During the meeting the parties discussed possible ways of
implementation of agreements to exchange data on missing persons.

The First Deputy Minister of Defense underlined that the Armenian
side has been successfully cooperating with the ICRC since 1992 and
intends to carry on this collaboration.

The Head of the ICRC delegation to Armenia noted, on her part, that one
of the priorities of the ICRC as an impartial, neutral, and independent
organization is to find out the fate of approximately 4,500 people
who went missing in the wake of the Nagorno-Karabakh conflict.

Davit Tonoyan noted that within the scope of its authority, the
Ministry of Defense of the Republic of Armenia stands ready to
cooperate with the Azerbaijani side under the aegis of the ICRC
in the exchange of data of missing people which will be a step in
implementation of norms of international humanitarian law.

MASS MEDIA: AMERICAN BENEFACTOR JON HUNTSMAN SCRAPS HIS PROGRAMS IN ARMENIA

by Ashot Safaryan

Wednesday, February 4, 13:18

American businessman and benefactor Jon Huntsman is scrapping his
programs in Armenia. Huntsman made that decision in 2014. The reason
is the legal action initiated against the Civilitas Foundation in
Armenia. To recall, the legal action involved Hunstman’s name.

Hraparak (Square) newspaper says that Huntsman’s image in the United
States has considerably suffered following the legal action against
the Civilitas Foundation and now the benefactor has lost confidence
in Armenian partners.

“Though Huntsman has no financial problems and though he expressed an
intention to a implement a number of projects in Armenia in the field
of education and healthcare, nevertheless, the benefactor decided to
give up the idea. The projects implied investments worth millions of
dollars”, says the newspaper.

To remind, a criminal case was instituted against ex-Foreign Minister
of Armenia Vartan Oskanian, who founded the Civilitas Foundation in
2012. He was charged with misappropriation of the funds allocated
by Huntsman for charity. Oskanian’s supporters claimed that the case
was politically charged and was connected with Oskanian’s criticism
against the incumbent authorities