Eu Armenia Free Trade Agreement

The European Union (EU) and Armenia recently signed a Free Trade Agreement (FTA) that aims to boost economic ties and promote sustainable development. The EU-Armenia FTA was signed on June 24, 2021, and it is expected to enter into force on September 1, 2022.

The EU-Armenia FTA will eliminate tariffs on many goods traded between the two parties. This will make it easier for Armenian businesses to export goods to the EU market and for European companies to access the Armenian market. The FTA covers a wide range of products, including industrial goods, processed agricultural products, and fisheries products.

In addition to reducing trade barriers, the EU-Armenia FTA includes provisions on intellectual property rights, government procurement, and competition policy. The agreement also addresses non-tariff barriers to trade, such as technical regulations and sanitary and phytosanitary measures.

The EU-Armenia FTA has the potential to bring significant benefits to both parties. For Armenia, the FTA will provide new opportunities to diversify its economy and increase exports to the EU, which is Armenia`s largest trading partner. The FTA will also help to attract foreign investment and increase the competitiveness of Armenian businesses.

For the EU, the FTA will provide access to a new market of over 3 million consumers. The agreement will also help to strengthen political and economic ties between the EU and Armenia, which is an important partner for the EU in the Eastern Partnership program.

The EU-Armenia FTA is part of the EU`s broader trade policy, which aims to promote free and fair trade with partners around the world. The EU has signed similar agreements with other countries, including Japan, Canada, and Mexico.

While the EU-Armenia FTA is expected to bring significant benefits to both parties, there are also some concerns that need to be addressed. For example, some Armenian businesses may find it difficult to compete with EU companies that have higher productivity and lower production costs. There are also concerns about the potential impact of the FTA on Armenia`s small-scale farmers, who may struggle to compete with larger European producers.

Overall, the EU-Armenia FTA represents an important step forward in the economic relationship between the EU and Armenia. While there are challenges that need to be addressed, the agreement has the potential to bring significant economic benefits to both parties and strengthen political and economic ties between the EU and its Eastern Partnership partners.