fintax logo

+374 94 000 446

Chinese Commercial and Industrial Bank considers investment opportunities in Armenia`s wine industry

Viewed 89

27.10.2018
post single img

Chinese Commercial and  Industrial Bank (ICBC) is considering the possibilities of investing in the wine industry of Armenia. This became known in the result of the meeting of the Acting Minister of Agriculture Gegham Gevorgian with the delegation of the Bank, led by the chairman of the ICBC branch of  Jiangsu Province, Yan Chihang.

According to the press service of the Ministry of Agriculture, during the meeting, the parties discussed the prospects for cooperation in the field of winemaking. In particular, the Chinese representative noted that ICBC allocated a special investment fund for the "One  Belt, One Way" initiative countries, and in this regard, the Chinese side is also set to invest in the agricultural sector of Armenia.  Recalling that within the framework of the bilateral memorandum signed with Armenia on the eve, it is envisaged to export 1 million bottles of Armenian wine to the Chinese market in the near future,  Jan Chihan suggested considering the possibility of expanding the volume of export supplies.

In turn, the. The head of the department noted that he believed that he could actually implement a mutually beneficial program in this area. At the same time, he expressed readiness to assist in the implementation of any initiative that aims to promote and implement  Armenian products in the Chinese market.

According to the report, the parties also discussed a number of issues relating to the organization of the production of fertilizers in Armenia, the export of Armenian fruits and vegetables, canned and dried fruits, and also considered the possibility of creating joint ventures.

Note that ICBC - Chinese commercial bank, which is included in the  "Big Four" of the largest banks in China. Bank founded in the 1984 year,  in 2005, transformed into a limited liability company. At the end of  October 2006, the bank conducted an initial public offering of shares and raised a record $ 22 billion (the largest IPO in world history),  placing 48.4 billion shares (18% of the total). Of these, 12% on the  Hong Kong Stock Exchange and 6% on the Shanghai. In 2018, the bank  for the sixth consecutive year tops the ranking of the largest public  companies Global 2000, published annually by FORBES, with revenue of  $ 165.3 billion (18th in the world), net profit of $ 43.7 billion  (3rd place), assets of $ 4,210, 9 billion (1st place) and a  capitalization of $ 311 billion (14th place).

According to the RA Statistics Committee, the foreign trade turnover between Armenia and China in January-August this year. amounted to $  480.6 million with an increase of 38.4% per annum. In particular,  exports increased by 19.9% to $ 74.6 million, imports - 42.5% to $  406 million During the reporting period, wine production in Armenia amounted to 4.9 mln. l., which is less than a year ago by 2.3%.  According to the latest data of the RA Customs Service, in 2017  Armenia exported 2.8 million liters of wine, with an annual growth of  50.5%, with growth customs value by 81% to $ 10.78 million. During the reporting period, exports Armenian wine to China amounted to only  26.5 thousand liters of wine, increasing year volumes 3.3 times. The customs value was $ 118.7 thousand, what more shows a year ago by 5.8  times.

Services

Recent views