Armenia is one of the oldest wine-producing regions of the world. In particular, the oldest known winery was found in Armenia's Areni region, which to this day is still known of its wine production and endemic grapes. 

Since ancient days Armenia has been famous for its wine-making traditions which are still kept in practice to this day. The ancient winery found in the Areni cave dates back to 4000 BC, and is the oldest one in the world found to this date, with the grape seeds found shown by genetic analyses to be those of the already domesticated Vitis vinifera. The written recorded history of Armenian wine can trace its roots back to 401–400 BC, when the Greek armies led by Xenophon passed through Armenian lands and were reportedly treated with wine and beer. These beverages were prepared and stored in "karases" (clay pots). Archaeological excavations carried out by academic Pyatrovski in the 19th and 20th centuries have confirmed that in the 9th century BC, what is modern-day Yerevan was a wine-making centre. Archaeologists have also found wine storehouses with 480 karases in the Teishebaini fortress located in Yerevan. Each karas can reportedly hold up to 37,000 daL of wine. Excavation works in both the Karmir Blur and Erebuni sites uncovered a total of 10 wine storehouses holding 200 karases. These excavations proved Armenia's ancient wine-making culture.

As part of the Soviet Union, wine production increased nine times between 1940 and 1985, while brandy production increased seventeen times, and from 1960 to 1986, the production of sparkling wines increased 10 times. In the 1980s Armenia annually processed an average of about 210 thousand tons of grapes from which it received 14–15 million decalitres of wine. Two million were used in producing brandy; the remaining part was used for wine making. During the 1980s Armenia provided 25% of brandy made in the entire Soviet Union. Three quarters of released production was exported mainly to Russia. Many people today still utilise the same methods used three millenniums ago, processing grapes and receive wine in special premises. Nowadays most factories in Armenia use oak barrels to store wine, however many villages and smaller producers still use the traditional karases. Karases are traditionally made out of Armenian oak, thus giving the karases a pinkish color and giving wines a natural taste of vanilla, chocolate and dried fruits. Wines from local Armenian grades of grapes adjoining to the surface of the barrels from the Armenian oak, give rise to unique a bouquet. This unique combination is very difficult to the point of being almost impossible to reproduce in any other country of the world.