Armenia’s Top 10 Exports

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Located in western Asia, the Republic of Armenia shipped US$2 billion worth of goods around the globe in 2017. That dollar amount reflects a 39.1% increase since 2013 and a 12.9% uptick from 2016 to 2017.

Based on estimates from the Central Intelligence Agency’s World Factbook, Armenia’s exported goods plus services represent 37.3% of total Armenian economic output or Gross Domestic Product. Please note that the overall value of exported goods and services includes a sizable share of re-exports. The analysis below focuses on exported products only.

From a continental perspective, roughly two-thirds (66.3%) of Armenian exports by value were delivered to European countries while 30.1% were sold to fellow Asian importers. Armenia shipped another 3.2% worth of goods to North America compared to a mere 0.1% sent to Africa.

Given Armenia’s population of 3.1 million people, its total $2 billion in 2017 exports translates to $670 for every resident in the Western Asian country.

Armenia’s unemployment rate was 17.6% as of March 2018 according to Trading Economics.

Armenia’s Top 10 Exports

Top 10

The following export product groups represent the highest dollar value in Armenian global shipments during 2017 at the 2-digit Harmonized Tariff System (HTS) code level. Also shown is the percentage share each export category represents in terms of overall exports from Armenia.

Drilling down to 4-digit HTS codes, Armenia’s most valuable exported goods are copper ores and concentrates ($586.8 million), cigars and cigarettes ($242.3 million), liquors and liqueurs ($207.5 million), gold ($147 million) then aluminum foil ($100.9 million).

  1. Ores, slag, ash: US$615.1 million (30.1% of total exports)
  2. Tobacco, manufactured substitutes: $242.4 million (11.9%)
  3. Beverages, spirits, vinegar: $238.3 million (11.7%)
  4. Gems, precious metals: $210.2 million (10.3%)
  5. Aluminum: $106.2 million (5.2%)
  6. Iron, steel: $87.2 million (4.3%)
  7. Copper: $78.7 million (3.9%)
  8. Mineral fuels including oil: $71.8 million (3.5%)
  9. Clothing, accessories (not knit or crochet): $43.1 million (2.1%)
  10. Furniture, bedding, lighting, signs, prefab buildings: $39 million (1.9%)

Armenia’s top 10 exports accounted for 84.9% of the overall value of its global shipments.

Furniture, bedding, lighting, signs and prefab buildings is the fastest-growing among Armenia’s top 10 export categories, up by 1,902% from 2016 to 2017.

In second place for improving export sales was ores, slag and ash via a 48.9% increase, thanks mainly to higher international sales of copper and zinc ores or concentrates.

Beverages, spirits and vinegar posted the third-fastest gain in value up by 35.8%.

The two declining top categories were unknit and non-crocheted clothing and accessories (down -42.4%) as well as gems and precious metals (down -38.8%).

Advantages

The following types of Armenian product shipments represent positive net exports or a trade balance surplus. Investopedia defines net exports as the value of a country’s total exports minus the value of its total imports.

In a nutshell, net exports represent the amount by which foreign spending on a home country’s goods or services exceeds or lags the home country’s spending on foreign goods or services.

  1. Ores, slag, ash: US$613.9 million (Up by 48.8% since 2016)
  2. Beverages, spirits, vinegar: $172.1 million (Up by 50.2%)
  3. Tobacco, manufactured substitutes: $162.4 million (Up by 39.1%)
  4. Copper: $74.8 million (Up by 18.1%)
  5. Fish: $14.8 million (Up by 81.4%)
  6. Aluminum: $11.6 million (Up by 28.3%)
  7. Vegetables: $8.6 million (Down by -43.3%)
  8. Vegetable/fruit/nut preparations: $6.8 million (Up by 35.7%)
  9. Live trees, plants, cut flowers: $6.7 million (Up by 138.6%)
  10. Iron, steel: $4.2 million (Down by -50%)

Armenia has highly positive net exports in the international trade of copper trailed by smaller amounts of black ink for zinc, molybdenum and precious metals ores or concentrates. In turn, these cashflows indicate Armenia’s strong competitive advantages under the ores, slag and ash product category.

Opportunities

Overall Armenia incurred a -$2 billion trade deficit for 2017, up 44.3% from -$1.4 billion one year earlier in 2016.

Below are exports from Armenia that result in negative net exports or product trade balance deficits. These negative net exports reveal product categories where foreign spending on home country Armenia’s goods trail Armenian importer spending on foreign products.

  1. Mineral fuels including oil: -US$556.4 million (Up by 10% since 2016)
  2. Machinery including computers: -$360.4 million (Up by 49.9%)
  3. Electrical machinery, equipment: -$243.3 million (Up by 16.3%)
  4. Pharmaceuticals: -$166.5 million (Up by 73.8%)
  5. Vehicles: -$147 million (Up by 60.1%)
  6. Plastics, plastic articles: -$108 million (Up by 33.4%)
  7. Articles of iron or steel: -$80.9 million (Up by 30.8%)
  8. Cereals: -$80.2 million (Up by 8.6%)
  9. Paper, paper items: -$71.8 million (Up by 20.4%)
  10. Sugar, sugar confectionery: -$66 million (Up by 99.2%)

Armenia has highly negative net exports and therefore deep international trade deficits for petroleum gases and refined oils under the mineral fuels including oil category.

Companies

Armenian Export Companies

Not one Armenian corporation ranks among Forbes Global 2000.

Wikipedia lists export-related companies from Armenia. Selected examples are shown below:

  • Ararat Cement (construction materials)
  • Avshar Wine Factory (winery)
  • Jermuk Mineral Water Factory (mineral water)
  • Kotayk Brewery (alcoholic beverages)
  • Multi Group Stone (stone works)
  • Ucom (telecommunications)
  • Yerevan Brandy Company (alcoholic beverages)
  • Yerevan Computer Research and Development Institute (technology)
  • Yerevan Confectionery and Macaroni Factory (food)
  • Zangezur Copper and Molybdenum (metals)


 
Armenia’s capital city is Yerevan.

See also Georgia’s Top Trading Partners, Turkey’s Top Trading Partners and Top Asian Countries

Research Sources:
Forbes 2016 Global 2000 rankings, The World’s Biggest Public Companies. Accessed on August 22, 2018

International Monetary Fund, World Economic Outlook Database (GDP based on Purchasing Power Parity). Accessed on August 22, 2018

Investopedia, Net Exports Definition. Accessed on August 22, 2018

The World Factbook, Country Profiles, Central Intelligence Agency. Accessed on August 22, 2018

Trade Map, International Trade Centre. Accessed on August 22, 2018

Wikipedia, Armenia. Accessed on August 22, 2018

Wikipedia, List of Companies of Armenia. Accessed on August 22, 2018