The key economic sector of the town is mining. Kajaran is home to the Zangezur Copper and Molybdenum Combine, operating since 1951. The plant initially used subsurface mining method; in 1959 it shifted to open-pit mining and used it in the central section of Kajaran molybdenum mine to extract ore and produce copper and molybdenum concentrates. The plant currently produces 10 million tons of concentrate annually. The copper concentrate is transported to Alaverdi metallurgical plant and Armenian Molybdenum Production company in Yerevan for further processing. Final treatment of molybdenum takes place at Yerevan Clear Iron Plant. The Copper-Molybdenum Plant employs 3800 people.