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Starting a Family Farm in Armenia



The breakup of the Soviet Union forced Hayk to find a new source of income. Loans enabled him to plant crops, breed animals, hire six workers, and multiply his assets.

Loan client: Hayk Davidyan
Age: 46 (in January 2007)
Location: Syunik, Armenia
Family: Wife, Alvina, 43, two elderly parents, four sons, and one daughter (pictured below)
Work history: When Armenia was a part of the former Soviet Union, Hayk worked on a collective farm. Now he owns a three-acre farm and leases an additional seven acres.
Type of loan: Agricultural group loan
Use of loans:
• $250 in March 2003 for seeds, fruit trees, grape vines, and animal breeding
• $350 in May 2004 to lease more land for farming and to build a winter storage room for farm produce
Employees: four full-time and two seasonal workers
Assets before loans: 15 sheep, one pig, one cow
Assets after loans: 50 sheep, six pigs, several cows, fruit orchard, vineyard, storage room for farm produce
Living standards: The increased income from the farming is covering school expenses for the three school-age children. Hayk’s parents now are receiving the medicine they need.
Future plans: Expand the small family home, hire additional farm workers
Perspective on enterprise: "People need to work to earn their living. When they rely on someone's help for a long time, they become dependent or even lazy. They lose their dignity.
… These loans are the right thing for farmers like me. A farmer has to sell his crop in order to have some income, but before that he needs money to buy seeds, fertilizers, or fodder for the cattle."


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