Problems with exports to Russia could lead to lower prices for some goods in Armenia – Central Bank Governor
16.06.2026,
15:43
Restrictions on Armenian exports to Russia could lead to lower prices for certain goods on the Armenian domestic market, stated Martin Galstyan, Chairman of the Central Bank of Armenia.
YEREVAN, June 16. /ARKA/. Restrictions on Armenian exports to Russia could lead to lower prices for certain goods on the Armenian domestic market, stated Martin Galstyan, Chairman of the Central Bank of Armenia.
"Our analysis shows that for certain products, dependence on the Russian market remains high. In some cases, export volumes are comparable to domestic consumption, with a significant portion of supplies going to Russia," Galstyan noted at a press conference on Tuesday, commenting on the impact on the Armenian economy of abandoning the Russian market.
Galstyan noted that the Central Bank analyzed the sensitivity factor to understand the impact on Armenia of the ongoing restrictions and other current developments.
"There are many scenarios. For example, if the transition to a new market fails and exports remain exclusively oriented toward Russia, the price reduction could be around 0.6%," the regulator said.
Galstyan explained that if exports are reduced, some products will remain on the domestic market, which will lead to increased supply and put downward pressure on prices.
"In this case, some goods will remain in Armenia, and supply will increase, which could lead to a decrease in prices. A certain sensitivity is observed, in particular, for vegetables, carbonated and still mineral water, and alcoholic beverages," Galstyan noted.
He added that if Armenian exporters manage to reorient themselves to other markets, the impact of the restrictions will be significantly softer. According to the Central Bank's calculations, the potentially affected goods account for approximately 2% of Armenia's GDP in value terms.
Restrictions on the supply of Armenian products to Russia
Effective June 12, 2026, Russia has restricted the import of all quarantine products originating in and shipped from Armenia, as well as their transit through Russia to EAEU member states. The restrictions imposed by Rosselkhoznadzor specifically affect Jermuk mineral water, alcoholic beverages, vegetables, fruits, and herbs.
The agency cited the "systematic detection of quarantine organisms" in plant products and flowers from Armenia as the reason. It noted that the ban will remain in effect until a specific algorithm for ensuring the safety and traceability of shipped goods is developed.
"Our analysis shows that for certain products, dependence on the Russian market remains high. In some cases, export volumes are comparable to domestic consumption, with a significant portion of supplies going to Russia," Galstyan noted at a press conference on Tuesday, commenting on the impact on the Armenian economy of abandoning the Russian market.
Galstyan noted that the Central Bank analyzed the sensitivity factor to understand the impact on Armenia of the ongoing restrictions and other current developments.
"There are many scenarios. For example, if the transition to a new market fails and exports remain exclusively oriented toward Russia, the price reduction could be around 0.6%," the regulator said.
Galstyan explained that if exports are reduced, some products will remain on the domestic market, which will lead to increased supply and put downward pressure on prices.
"In this case, some goods will remain in Armenia, and supply will increase, which could lead to a decrease in prices. A certain sensitivity is observed, in particular, for vegetables, carbonated and still mineral water, and alcoholic beverages," Galstyan noted.
He added that if Armenian exporters manage to reorient themselves to other markets, the impact of the restrictions will be significantly softer. According to the Central Bank's calculations, the potentially affected goods account for approximately 2% of Armenia's GDP in value terms.
Restrictions on the supply of Armenian products to Russia
Effective June 12, 2026, Russia has restricted the import of all quarantine products originating in and shipped from Armenia, as well as their transit through Russia to EAEU member states. The restrictions imposed by Rosselkhoznadzor specifically affect Jermuk mineral water, alcoholic beverages, vegetables, fruits, and herbs.
The agency cited the "systematic detection of quarantine organisms" in plant products and flowers from Armenia as the reason. It noted that the ban will remain in effect until a specific algorithm for ensuring the safety and traceability of shipped goods is developed.
