Indexes
December 2020 | Agri Review
28
December
2020
The COVID-19 pandemic raised concerns about the food security of many countries, in particular import-dependent developing countries like Georgia. Trade restrictions imposed by Georgia’s trade partners tightened the supply of some cereals and vegetables, signaling the risk of an increase in food prices. While there is no formal evidence of food insecurity due to the pandemic, given that Georgia is a net importer of wheat the state-subsidized wheat imports, and, according to Georgia’s Wheat and Flour Producers’ Association, Georgia and the USA agreed on imports of 30,000 tons of American wheat to Georgia. 14,000 tons have already been imported, while the rest is planned to be imported by the end of the year. While diversification of import markets is highly desirable, 30,000 tons represents a rather small share from Georgia’s total imports of wheat.
Over the last 6 years, Georgia has imported on average 500,000 thousand tons of wheat annually and spends on average 100 mln. USD. Most wheat is imported from Russia and the import market is rather concentrated. In 2019, Russia’s share constituted 87% of the total wheat imports. While, overall, Russia’s share ranges from 80% to 100%, there is clearly a declining trend which might be a sign of market diversification.
Georgia’s second-largest trade partner is Kazakhstan, with 56 thousand tons comprising 11% of total imports in 2019. Kazakhstan is followed by the USA (1.02%), the Islamic Republic of Iran (0.05%), and Turkey (0.01%). The list of suppliers in 2019 also included Greece, Austria, Germany, and France but with very limited shares of total imports.
Recent Publications
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June 2024 | Agri Review
28
June
2024
In June 2024, the National Statistics Office of Georgia issued its annual publication on the agricultural sector – Agriculture of Georgia 2023. The publication estimates that agriculture, forestry, and fishing comprised 6.9% of the GDP in 2023, which is slightly lower than in previous years, but in line with general trends over the last few years (agricultural GDP being 7-8% of GDP on average).
March 2024 | Agri Review
01
April
2024
In June 2023, responding to appeals from the Georgian Flour Producers Association, the Georgian government imposed a temporary import duty on wheat flour imported from Russia. This advocacy by the Association began after Russia implemented a “floating tariff” on wheat in 2021, making wheat imports more expensive compared to wheat flour.
December 2023 | Agri Review
29
December
2023
Citrus production in Georgia is currently experiencing a declining trend, despite the implementation of a tangerine state subsidy program. Under the program, farmers receive 30 instead of 15 tetri for 1 kg of non-standard (low-quality) tangerines.
September 2023 | Agri Review
29
September
2023
Rtveli 2023 commenced this August. Similar to previous years, the Government of Georgia (GoG) is subsidizing the grape harvest again to support farmers who have suffered from worsening climate conditions. Based on information from MEPA representatives, the subsidy's primary aim is to guarantee that even producers with lower-quality grapes can still sell their products.
June 2023 | Agri Review
30
June
2023
In June 2023, the National Statistics Office of Georgia issued its annual publication on the agricultural sector – Agriculture of Georgia 2022. The publication estimates that agriculture, forestry, and fishing comprised 7.5% of the GDP (constant prices) in 2022, which is lower than the 8% share in 2021, but in line with general trends over the last few years (agricultural GDP being 7-8% of GDP on average).
