Indexes
December 15, 2015 FPI | Food Prices Going Up Before the New Year
15
December
2015
Retail food prices, as measured by ISET-PI’s FPI, increased by 0.4% in early December compared to mid-November. Prices are also up 2.2% year-on-year (y-o-y, that is compared to December 2014). The largest increases were registered for eggplants (up 76%), cucumbers (52.1%), and greens (16.2%).
While most fruits and vegetables grow in price at this time of the year, tangerines continue to lose in value and are currently 57.5% cheaper than in November. Perhaps surprisingly, cheese, which is usually more expensive in winter, lost 8.5% in price (this may be caused by the pre-Christmas fast-related slump in demand); the price of garlic is also down by 7.7%.
Georgia is beginning to benefit from the arrival of Russia-sanctioned Turkish tomatoes?
Georgia saw moderate annual price increases (December-to-December) in four out of five food categories comprising the Retail FPI: (i) grocery, (ii) fruits and vegetables, (iii) milk products, (iv) meat, and (v) non-alcoholic drinks. While milk, meat, grocery products, and non-alcoholic beverages (including cola, tea, and coffee) gained 0.2%, 4.5%, 7.4%, and 9.6%, respectively, fruits and vegetables are down by a whopping 25%!
Such a big drop in fruit and vegetable prices requires a proper explanation. One possibility is that Georgian retailers are now better equipped to source fresh products from Georgian agricultural producers (particularly from recently-invested modern greenhouses). Another – yet to be tested – is that Georgia is beginning to benefit from the arrival of Russia-sanctioned Turkish tomatoes, cucumbers, and greens, as discussed in “Russo-Turkish Drama: a Christmas Gift for the Georgian Economy?”
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04
October
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28
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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
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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.
