YEREVAN. – The Shanxi-Nairit Armenian-Chinese venture manufactures chloroprene rubber, but at a loss.

The Deputy Minister of Energy and Natural Resources of Armenia, Iosif Isayan, who is also the Armenian co-chairman of this venture, noted about the aforesaid at Tuesday’s talk in Parliament.

The Armenian side has a 40-percent share in the capital of this plant.

The enterprise operates since 2010, and its activity peak was reached in 2014, when it manufactured 20,000 tons of rubber.

Nonetheless, the plant is running at a loss since its establishment. The reasons are the same as in the Nairit chemical plant in Armenia’s capital city of Yerevan: the difference between the cost price and the selling price of the product.

“The plant can work productively if it works at the 30,000-ton design capacity,” noted Isayan. “At that time, can pay off [its] debts, and the state—receive dividends.”

The total debt of Nairit chemical rubber plant—which no longer operates since April 2010—had amounted to 102 billion drams (approx. $215,184,825). The employees’ current salary debt totals 5 billion 310 million drams (approx. US$11,087,500).

The workers have assembled outside the Government Building and the Office of the President numerous times, and demanded a solution to their salary-related problems.

According to the Nairit employees, they were promised the payment of their outstanding salaries solely if they waive the requirement to also be paid the penalties and fines for the delay in the payment of their wage arrears.

The salaries will be paid by the state, and on the account of the profits of state-run energy companies.