major sectors of the economy : jewelry and diamond processing : manufacturing : information technology : natural resources : chemicals and pharmaceuticals : agriculture : food processing : tourism : construction and construction materials : energy : transport : telecommunications : water

Chemicals and Pharmaceuticals

There is also a well-developed chemical industry in Armenia, which until 1990 made and exported chemical products to countries within and beyond the Soviet Union. The main products are plastics, chemical fibers, caustic soda, paints, lacquers and other coatings, rubber and latex. One of the largest plants, Nairit, is slated for privatization. Nairit produces chloroprene rubbers, latex, synthetic acetic and technical formic acids, and caustic sodium. The IMF has recommended urgent action to speed up the restructuring/privatization of Nairit, as it is a major loss-maker, putting strain on the state budget. The Vanadzor Chemical plant specializes in the production of carbamide, melamine and synthetic crystals. In November 1998 Russia's Zakneftegazstroy-Prometei announced a plan to invest up to US$ 60 million in Armenia's chemicals industry, including restructuring of the Vanadzor plant. Zakneftegazstroy's contract includes plans to restore production of ammonia and carbamide.
There are also a number of successful companies producing pharmaceuticals and vitamins, an area which has attracted foreign investment. Armenian scientists have developed a drug known as Armenicum, which is thought to have positive medical effects on AIDS sufferers. An experimental clinic has been opened to provide the treatment.