The impact of COVID-19 on the small and medium dairy farms and comparative analysis of customers' behavior in Armenia.

ABSTRACT

The restrictions caused by the pandemic of COVID-19 have affected almost all economic sectors of different countries, including agriculture. At the global level of quarantine and lockdowns, the whole humanity has been faced with various problems, food insecurity being one of them. The current research aims to study the effect of the restraints imposed in Armenia upon COVID-19, in 2020 on the activities of small and medium dairy farms and to compare the retrieved data with those of pre-pandemic period. The study period covered March-August, 2020, when the most severe restrictions were working in Armenia, while the indicators were compared with the data of 2019 for the same period. Meanwhile, the changes of the customer behavior from the prospect of milk and dairy product purchase throughout the restriction period have been disclosed and their incentives have been enhanced. The investigations testify that in Armenia the milk production and sale prices haven't undergone any significant changes within the restriction period, which is mainly accounted for internal market sale and short run of severe restrictions. Considerable change has been recorded in the customer behavior, particularly in the first month after declaring state of emergency. An increase in the purchase rate of milk and dairy product per one-time buy, as well as a decrease in the visit frequency to the shops and supermarkets have been recorded.