Armenia is already on the path to becoming an exporter of high-tech products, and this is no longer a vision for the future—it is happening right now. This was stated by Minister of High-Tech Industry Mkhitar Hayrapetyan in an interview with NEWS.am Tech.

According to the minister, just a few years ago it would have been difficult to imagine that Armenian companies could not only supply products to the country’s own armed forces but also enter international markets. Today, he said, that has become a reality.

On June 3–4, the Karen Demirchyan Sports and Concert Complex in Yerevan hosted RISE Powered by Silicon Mountains, the first exhibition of its kind in Armenia dedicated to locally developed defense, engineering, scientific, and high-tech products on such a scale. The organizers describe RISE as a platform for showcasing Armenian products, fostering cooperation between companies, and strengthening ties between science, research, innovation, and manufacturing. The event is supported by Armenia’s Ministry of High-Tech Industry, which effectively doubled the project’s organizational budget.

Two Reasons

The minister outlined two main reasons why the government decided to support the forum and increase its organizational budget.

The first was the completion of the initial cycle of long-term state support programs for the defense industry. Under these programs, the government placed orders worth approximately 172 billion drams, providing direct financing to the defense-industrial sector.

According to Hayrapetyan, the first phase has been completed and its results have been assessed positively, making it possible to move forward with a new stage of long-term agreements. The government has already approved an additional allocation of 190 billion drams under new programs.

“This is a good opportunity to show the public what those 172 billion drams, financed through taxpayers’ money, have been transformed into,” the minister said.

The second reason is exports.

According to Hayrapetyan, in May three Armenian companies exported defense products to two different countries. He described this as an unprecedented development for Armenia’s defense industry.

Export activity, he noted, had always been one of the key conditions for holding such an exhibition.

“Back in 2024, we decided that the day we secured our first international contracts and our first exports, we would open up and showcase our products not only to Armenian citizens but also to international partners.”

From Government Orders to an Export-Oriented Industry

The minister stressed that the government now views the defense industry not simply as a sector fulfilling individual orders, but as a strategic direction for economic development.

According to him, there is a significant difference between companies producing goods to meet specific needs and a state pursuing the goal of turning an industry into a major segment of the economy and a source of exports.

Such an approach requires changes in procedures, policies, and mechanisms of cooperation between the state and the private sector.

Hayrapetyan acknowledged that the industry’s development has brought constant new challenges. However, he argued that overcoming those challenges is precisely what enabled Armenian companies to reach a level where they can offer competitive products to international markets.

“If these problems had not been addressed, then even with the successes we have achieved today, the industry would not have been able to offer competitive products to international markets,” the minister emphasized.

Reforms Already Implemented

According to Hayrapetyan, over the past year and a half to two years the government has introduced a number of reforms aimed at making the sector more attractive to companies and developers.

One example is the reform of research and development support programs. The minister noted that many companies had previously avoided participating in state programs because of complicated procedures and additional administrative burdens.

After analyzing these issues, the government revised its approach and introduced a Technology Readiness Level (TRL) framework for evaluating projects.

According to the minister, this has increased the attractiveness of the programs and expanded participation.

Another major area of reform has been intellectual property.

Hayrapetyan noted that scientists, engineers, and research teams previously did not always have sufficient opportunities to protect the intellectual property they created. Following the reforms, the government granted developers greater freedom in managing and retaining ownership of their intellectual assets.

“We came to the conclusion that the state needed to rethink its approach and provide scientists with greater freedom,” the minister explained.

From 9 Billion to 70 Billion Drams

Speaking about the effectiveness of government policy, Hayrapetyan argued that it should be measured through concrete indicators.

One of the most significant examples, he said, is the growth of the industry’s turnover. While it stood at around 9 billion drams in 2018–2019, it has now reached approximately 70 billion drams annually.

According to the minister, this reflects the real changes that have taken place in recent years and demonstrates the scale of the industry’s development.

At the same time, he emphasized that these achievements are not solely the result of the work of the Ministry of High-Tech Industry or specialized agencies. They are also the product of coordinated efforts by multiple government institutions, as well as the daily work of companies, scientists, and engineers.

It is the outcome of those efforts, Hayrapetyan noted, that is being presented on such a scale for the first time at the RISE forum.

More details are available in the full video interview.