The purpose of the article is to assess current state of the agricultural market of the Republic of Armenia and identify existing problems that impede the sector’s development, specifically regarding conditions for the sale of agricultural products, structural changes in the value chain, as well as peasant farms’ development. Research methods. The study is based on the study, analysis and generalization of open publications, works of local and foreign scientists. Research was based on popular scientific and economic methods, scientific works of foreign scientists on issues of agricultural market, agricultural marketing, problems related to food security. In the research process were used the following scientific methods: dialectical, abstract and logical, system analysis. Research results. The article discusses the essence of the introduction of advanced technologies in the agricultural sector, analyses and presents proposals for the institutional prerequisites of the social and economic advantages of the private sector, considers the problems of selling vegetables and fruits by small points on sales and their cooperation with farms. Proposals on organization of purchases, collection of vegetables and fruits, introduction of storage, as well as refrigerating stores for storage and further sale in own food counter were presented, and examples of organization of sale of vegetables and fruits, concurringly through guest houses, hostels, were highlighted. Elements of scientific novelty. There were presented proposals on the creation of storage and refrigeration facilities for the reception and sale of fruits and vegetables in their own points on sales, proposals on legislative changes to limit the sale of vegetables and fruits by hypermarkets for a certain period of time of the day (especially during the day), which would lead to the promotion of sales by local food stalls and markets, as well as legislative changes in the tax code of the Republic of Armenia aimed at the reduction of an interest rate of value added tax in the sale of vegetables and fruits, which contribute to the improvement of the economic efficiency of the sector. Practical significance. The submitted offers on legislative changes and organizing of points on sale of vegetables and fruit will lead to the development of small business, agritourism and will increase cost efficiency of farms that will contribute to the reduction of prices in sales chains. Refs.: 12