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Official News

Thursday, 23 June 2011

Continued Steps to Improve Business Environment





A cabinet sitting was held today, chaired by Prime Minister Tigran Sargsyan.

The government decided to delay VAT payments for the goods imported by Ecotomato JSC to the amount of AMD 300mn and above until June 25, 2014. The company is implementing an investment program involving 30 new jobs to the amount of about AMD 2bn with the purpose of building a Dutch technology-based greenhouse complex in Goght village of Kotaik marz.

Prime Minister Tigran Sargsyan emphasized the importance of granting privileges to companies like this. “We have been calling attention on all those instances when the government granted privileges to investing entities in Armenia. Society has to make sure that the privileges are used in a targeted manner. This is the seventeenth such decision backing an investment program exceeding 300 million drams. As a result, we have now a set of projects to a total budget of AMD 61bn and some thousand new jobs. Upon completion of all the activities, we will have about 1700 new jobs. Thus, the legislative opportunity available to the government is paying off by way of investments into different fields of economy,” the Prime Minister said.

The meeting amended a previous decree on a 3-year long VAT holiday available to Golden Grape Armas Ltd for imports above AMD 300mn establishing the quantities and specifications for the goods so imported.

The company is going to develop viticulture, wine and brandy production, as well as agro-tourism infrastructures on a site of 180 hectares in Aragatsotni marz of Armenia. The government decided to extend the application of a temporary customs regime for Cigaron Ltd until Jan-Feb, 2012. The decision aims a better business environment, enhanced exports and job continuity.

The government authorized the NAS-affiliated Armbiotechnology Research Center SNCO to set up a limited liability company referred to as Bioarm Ltd with the Latvia-registered FNG Invest Ltd provided that the foreign company shall make USD 350,000 worth investments to procure necessary equipment, chemical reagents and other inputs. The newly established Bioarm Ltd will be responsible for import of raw materials, output processing and sales.

The meeting next amended a previous decree on approval of explanatory notes for customs value definition purposes. The amendment is aimed at streamlining customer-customs service relations by means of facilitated customs clearance procedures.

The cabinet invalidated a number of its previous decrees, including the following ones: on establishment of GILAN State-protected site at “Khosrov Forest” protected zone.
The document has been agreed upon with corresponding environmental NGOs in a bid to maintain the ecological balance on the territory of “Khosrov Forest” protected zone.

The next cabinet sitting will be an outgoing one to be held in Vaiots-Dzor marz on June 30, at 11:00, local time.
 

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