Food production is one of the key sectors of Armenia’s economy. Companies operating in this field have traditionally played an important role in the structure of domestic industry and have provided a significant share of Armenian exports. At different periods, the sector has experienced both growth and decline, but overall it has retained its strategic importance and continues to be one of the pillars of the Armenian economy.
The current state of the industry, its export potential, and the challenges faced by Armenian producers were discussed on the Economix program by David Hakobyan, head of the export department at SIS Natural.
The Global Market and the Limits of Local ProductionAccording to him, the production of natural juices in Armenia remains a rather complex area. Hakobyan noted that 50% of global consumption is concentrated in just two flavors: apple and orange juice. About 30% of the total global share belongs to orange juice, which, for obvious reasons, cannot be produced in Armenia using local raw materials.
He explained that Armenia has always been associated with apricot, peach, rosehip, and pomegranate juices, with pomegranate being the strongest and most recognizable. These flavors, he said, were traditionally the starting point for Armenian producers when entering both domestic and international markets, helping consumers understand what natural juice is and what its real taste should be like.
Juice, Nectar, or Drink: What Is the Difference?At the same time, Hakobyan pointed out an important problem: consumers often do not clearly understand the difference between juice, nectar, and drink. For most buyers, everything is simply “juice,” while in reality the distinctions are fundamental.
He clarified that drinks are products in which the fruit content does not exceed 10%. Nectars, according to standards, contain up to 50% juice. Only a product with 100% fruit content can legally be called juice.
When speaking about 100% juice, he emphasized that this means all the sweetness comes exclusively from the fruit itself. There is no added sugar, no sweeteners, no colorants, no flavorings, and no preservatives.
Demand for Exotic Flavors and Persistent StereotypesOver time, Hakobyan noted, consumers themselves began to dictate demand for new flavors such as orange, mango, and others. At this point, producers face another persistent stereotype. Buyers often wonder how orange juice can be made in Armenia if oranges do not grow there. This leads to assumptions about “powdered juice” or fully artificial products, while in reality producers use concentrates.
He explained that consumers frequently confuse the concept of concentrate with that of a preservative. Preservatives are chemical additives used to extend shelf life, whereas a concentrate is simply the same fruit from which only water has been removed using a special technology.
In practice, this means that water is evaporated from the fruit. For example, an orange becomes several times more concentrated without changing its natural properties. Later, water is added back to the product, returning it to its original state. That is why, according to international standards, such a product is considered natural and can be labeled as 100% juice.
Why Not All Juices Can Be 100%Hakobyan also clarified that not all fruits can exist in the form of 100% juice. For example, pure cherry juice is almost never produced because it is too concentrated and unsuitable for direct consumption. Therefore, the market usually offers blends where cherry is combined with apple, pomegranate, or other fruits.
He paid special attention to the issue of trust in labeling. There is a widespread belief that something can be added to a product without being indicated on the packaging. However, he explained that for companies working in export markets this is practically impossible. SIS Natural’s Yan juices are exported to around 35 countries and are regularly inspected in different jurisdictions.
He described how inspections are carried out on a random basis. For example, in Canada, representatives of government authorities come to the warehouse of the company’s partner, take samples, and conduct laboratory tests to check the composition, labeling accuracy, and the real characteristics of the product. Such inspections, he noted, are standard practice in international markets, and Yan juices successfully pass all of them.
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