Indexes
October 30, 2017 FPI | Inside 2017 Georgia Grape Harvest
30
October
2017
At the end of October, food prices maintained an upward trend; ISET’s Retail FPI gained 2.6% m/m (compared to the last week of September). On an annual basis (compared to October 2016), we recorded a significant 11.3% increase in food prices. According to data from the last two weeks of October, the biggest increase in price was recorded for tomatoes (99%), for which the price almost doubled due to seasonality. The other two products with the highest increases in prices were cucumbers (14.7%) and frozen chicken (10%). Although there is an overall increase in food prices, some food items became cheaper. The prices that moved down the most were cabbage (-12.1%), eggplant (-4.2%), and bananas (-2.9%).
A CLOSER LOOK AT THE WINE SECTOR
According to the Ministry of Agriculture (MoA), Georgian Rtveli for this year has successfully finished. As of today, 130 000 tons of grapes have been processed; that is 14% higher compared to the previous year (114,264 tons).
The revenues of Georgian grape growers are also higher and amounted to 150 million GEL. This indicator is 50% higher compared to the previous year (about 100.2 million GEL). It is noteworthy that this year the Government of Georgia (GoG) did not have to buy the excess grapes, as the private sector has managed to handle the processing and storage of all harvested grapes.
| 2016 | 2017 | Percentage Change | |
| Quantity of harvested grapes (ths tons) | 114,264 | 130,000 | 14%↑ |
| Revenue (million GEL) | 100.2 | 150 | 50%↑ |
Source:http://www.moa.gov.ge/
It appears that private sector efficiency is improving. As a result of government support to develop the country’s wine sector, 24 new enterprises got involved in wine production, while 48 enterprises expanded their activities. Taking into account several initiatives to gain international recognition, the future of Georgian viticulture seems to be promising.
Recent Publications
View All
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).
