Armenia's Intensive Horticulture Development Program
2021-2025 Government Support for Agricultural Modernization
Transform your agricultural operations with government-backed interest rate subsidies and cost reimbursements for orchard establishment, modern irrigation systems, hail protection, and innovative crop cultivation across Armenia.
Program Overview & Objectives
Armenia's comprehensive 2021-2025 initiative to revolutionize agriculture through modern technologies and sustainable practices
Primary Goals
- Promote modern, high-yield orchard establishment
- Increase competitive grape, fruit, and berry production
- Encourage non-traditional high-value crop cultivation
- Reduce climate and hail damage risks
- Promote efficient water resource usage
- Increase farmer incomes and export volumes
Program Scope
Two-Component Support System
Component 1: Interest Rate Subsidies
Partial subsidization of agricultural loan interest rates to make financing more accessible for farmers and agricultural businesses.
Component 2: Cost Reimbursement
Partial reimbursement of expenses for irrigation systems, water reservoirs, and hail protection network implementation.
Eligibility Criteria & Requirements
Who can participate and what requirements must be met
Eligible Participants
Individual Farmers
Physical persons engaged in agricultural activities
Legal Entities
Agricultural companies and organizations
Sole Entrepreneurs
Individual business operators in agriculture
Communities
Municipal entities (for specific water reservoir projects)
Area & Scale Requirements
Orchard Establishment
0.5 - 500 hectares per fruit type
Non-Traditional Crops
1.0 - 30 hectares cultivation area
Hail Protection Networks
0.5 - 100 ha (loans), 0.5 - 3 ha (grants)
Water Reservoirs
1,000 - 100,000 cubic meters
Minimum Plant Density Requirements
Grapes
2,500 plants per hectare
Apricots
800 plants per hectare
Stone Fruits
Varies by type (400-1,000/ha)
Berry Plantations
Up to 18,000 plants per hectare
Nuts
200-400 plants per hectare
Pomegranates
1,000 plants per hectare
Benefits & Financial Assistance
Comprehensive support packages for agricultural modernization
Interest Rate Subsidization Benefits
Government covers significant portions of your agricultural loan interest rates
Standard Rate
Subsidy coverage in Armenian Drams
For general agricultural projects
Enhanced Rate
For non-traditional crops
Special support for innovation
Premium Rate
For priority groups
Youth, border areas, cooperatives
Cost Reimbursement Programs
Direct financial support for infrastructure and technology investments
Irrigation & Water Systems
Hail Protection Networks
Maximum Subsidy Amounts by Crop Type
Stone Fruits
24.96M
AMD per hectare
Grapes
17.63M
AMD per hectare
Berry Plantations
18.29M
AMD per hectare
Nuts
8.62M
AMD per hectare
Asparagus
6.86M
AMD per hectare
Sweet Corn
2.13M
AMD per hectare
Step-by-Step Application Process
Your complete guide to applying for program benefits
Interest Rate Subsidy Application
Choose Financial Institution
Select from participating banks and credit organizations approved for the program.
Prepare Required Documents
Gather land titles, identity documents, technical plans, and cost estimates.
Submit Application
Apply to your chosen bank BEFORE starting any construction or planting work.
Creditworthiness Assessment
Bank evaluates your financial capacity and project viability.
Loan Approval & Implementation
Upon approval, receive funds in stages and begin your agricultural project.
Cost Reimbursement Application
Submit to Ministry
Apply directly to the Ministry of Economy BEFORE signing contractor agreements.
Technical Inspection
Ministry's technical center conducts on-site inspection and evaluation.
Approval & Contract
If approved, sign support contract with detailed terms and conditions.
Implement Project
Complete work according to approved plans with qualified contractors.
Documentation & Reimbursement
Submit completion documentation and receive reimbursement according to terms.
Important Application Requirements
- • Applications must be submitted BEFORE starting any project work
- • All contractors must be licensed legal entities or sole entrepreneurs
- • Projects over 10 hectares require audited financial statements
- • Orchard projects require 3-year agricultural consultant contracts
- • Email applications for grants to: [email protected]
Required Documents & Contracts
Complete documentation checklist for successful application
Core Documentation
Identity Documents
Valid passport or ID card for individuals; registration certificates for entities
Land Rights Documents
Property title or lease agreement with coordinate data and minimum duration requirements
Soil Analysis
Agrochemical soil test results (maximum 6 months old)
Quality Certificates
Planting material origin and quality certificates
Technical & Financial
Cost Estimates
Detailed project budget with itemized expenses
Construction Permits
Required for water reservoir or well construction projects
Water Usage Rights
Water usage permit when required for irrigation systems
Consultant Contract
3-year agricultural consultant agreement for orchard projects
Minimum Land Lease Duration Requirements
Orchard Establishment
Or ownership required
Hail Protection
Minimum lease period
Irrigation Systems
Minimum lease period
Asparagus
Long-term commitment
Credit Terms & Repayment
Flexible financing options with extended grace periods
Repayment Terms by Project Type
Loan Features & Benefits
No Prepayment Penalties
Pay off your loan early without additional fees
Monthly Principal Payments
Interest calculated on outstanding balance
No Hidden Fees
Banks cannot charge additional service fees
Staged Disbursement
Funds released in phases based on progress
Grace Period Advantage
Grace periods allow you to establish your orchard or system before beginning principal repayments. During this time, you only pay the unsubsidized portion of interest, giving your investment time to become productive and generate returns.
Success Stories & Examples
See how the program transforms agricultural businesses
Apricot Orchard Establishment
Modern Irrigation System
Asparagus Farm
Program Impact Statistics
Hectares Annually
Ha Irrigation Systems
Ha Hail Protection
AMD Annual Budget
Special Provisions & Enhanced Support
Additional benefits for priority groups and regions
Priority Group Benefits
Young Farmers
Enhanced 14% interest rate subsidy for farmers under 35
Border Communities
Maximum subsidy rates for socially supported border areas
Agricultural Cooperatives
Special support rates for cooperative farming initiatives
War Veterans
Enhanced subsidy rates for military service veterans
Regional Advantages
High Hail Risk Areas
75% cost reimbursement for hail protection networks in designated zones
Water-Stressed Regions
60% reimbursement for irrigation in high water demand areas
Export-Oriented Areas
Additional support for projects targeting international markets
Mountainous Regions
Special consideration for challenging terrain projects
High Hail Risk Communities
The following communities receive enhanced 75% reimbursement for hail protection networks:
Contact the Ministry to verify if your location qualifies for enhanced hail protection support.
Frequently Asked Questions
Get answers to common questions about the program
Can I apply for both interest rate subsidies and cost reimbursement for the same project?
No, you can only choose one support mechanism per project area. However, you can use different mechanisms for different types of work (e.g., loans for orchard establishment and grants for irrigation systems).
What happens if I want to sell my land before the commitment period ends?
Land cannot be sold for at least 5 years after orchard establishment without Ministry approval. If you violate this requirement, you must repay all subsidies and reimbursements received, plus applicable interest.
Do I need to use local contractors, or can I hire international companies?
Contractors must be legal entities or sole entrepreneurs registered in Armenia with qualified staff in the relevant field (agronomy, hydrotechnics, or construction as appropriate).
Is there a minimum project size to qualify for the program?
Yes, minimum areas vary by project type: 0.5 hectares for most orchard and irrigation projects, 1.0 hectares for non-traditional crops, and 1,000 cubic meters for water reservoirs.
Can I apply if I already have an existing orchard that needs modernization?
The program primarily supports new orchard establishment. However, you may qualify for irrigation system upgrades or hail protection installation in existing orchards that meet the program's intensive cultivation standards.
What monitoring and reporting requirements apply after project completion?
You must maintain detailed farming records for 3 years, comply with agricultural consultant recommendations for orchard projects, and allow periodic inspections by Ministry officials to ensure proper use of supported assets.
Are there restrictions on the types of crops I can grow?
For grapes, only technical wine varieties are eligible. Other fruits must meet minimum planting density requirements. Non-traditional crops include asparagus, leeks, arugula, specialty cabbages, and other high-value crops approved by the Ministry.
Contact Information & Resources
Get support and guidance for your application
Ministry of Economy
For cost reimbursement applications
Submit documents before starting work
Financial Institutions
For Interest Rate Subsidies
Apply to participating banks and credit organizations
Creditworthiness Assessment
Banks evaluate your financial capacity
Apply Before Starting Work
Pre-approval required for all projects
Ready to Transform Your Agricultural Operations?
Join hundreds of successful farmers who have modernized their operations through this program
This guide is based on official government documentation as of 2025. Program terms and conditions may be updated periodically.
For the most current information, please refer to the official sources: Ministry of Economy | Legal Framework