Russian market opens for Georgian fruits and vegetables
29 May, 2014
Russian market opens for Georgian fruits and vegetables
In spite of diverse political vectors of Georgia and Russia, the latter continues to lift its ban on Georgian agriculture products step-by-step. After an eight year gap, the export of Georgian tomato, cucumber, cabbage, eggplant, cherry and sweet cherry, also peach, plums, apricot, persimmon, kiwi and berries is restored to Russia as of 26 May. Fresh potatoes are also welcomed, but only if they are washed and packed properly, the Russian federal veterinary and phitosanitary surveillance Rosselkhoznadzor reported on 22
May.
Russia banned Georgian wine and mineral waters as well as agriculture products in 2006 under alleged sanitary reasons. The ban was only officially declared lifted in the summer of 2011 prior Russia’s entrance at the World Trade Organization. By this the Kremlin tried to woo Georgia because the latter was intent to veto Russia’s WTO enrollment. Actually, Georgian wines re-appeared on shelves of trade outlets in Russia only during June-July of 2013 after protracted bureaucratic and technical procedures related to the import to Russia. Later in the year Georgian farmers were allowed to export grapes and citrus to Russia. And now the list of admitted fruits got enhanced.
However, next to this fruit-admitting policy Moscow readily presses on the “stick” keys. The Kremlin warns Tbilisi to think twice before signing the upcoming Association Agreement with the EU scheduled to be inked on 27 June. On May, Alexander Lukashevich, a Spokesman of the Russian Foreign Ministry, said the Georgian authorities have to understand the results of the questioned endorsement affair. He pointed out that Russia is already a number three top trade partner for Georgia and Georgia should not lose this opportunity.
The Georgian government appreciated the return of Georgian agriculture product back to the Russian market although they acknowledge the risks related with this enticing but tricky market. According to Giorgi Kvirikashvili, Minister of Economy and Sustainable Development of Georgia, the return of Georgian agriculture products to the Russian market is very important and will significantly ease the life of ordinary citizens. He is hopeful that the coherent policy and constructive attitude may solve problems beside the trade with Russia.
“We think that by a coherent policy, a Euro-integration oriented policy and normal constructive attitude, and by the development of trade and tourism with Russia, perhaps in a long-term perspective, we will regulate other problems too,” he stated on 26 May. The Georgian authorities believe Georgia has learnt a lesson from the trade embargo in 2006 when Russia was the major export market that halved Georgian export that year and heavily affected the wine and mineral water sectors which depended on Russia by almost 90% and 50% respectively. However, Georgian wine and mineral companies managed to hit new markets and diversify the export countries. Paata Zakareishvili, State Minister for Reconciliation and Civic Equality of Georgia, admitted that the return of Georgian products to the Russian market should not be a subject of political bargain. But if things go in this direction Georgia is able to diversify its trade.
Georgian analysts believe the Russian market is really important to Georgian agricultural products, but it is unreasonable to depend on any market by more than one-third of the total trade while Georgian wines already depend on it with around 70%. Russia’s share in the total Georgian export quickly reached 7% as the ban was lifted by the end of 2013, PMCG reports. Soso Archvadze, an economic analyst believes nobody should say no to such a lucrative market as the Russian market, but the 70% reliance of the wine industry is already pretty risky.
“Georgia must keep its focus on the internal market to supplant the import [that fluctuates around 80%] plus undertake efforts to diversify its export markets as much as possible,” Archvadze said.



Print
Other Stories
Georgia Acquires Up to 400,000 COVID-19 Tests and 50 Ventilators With World Bank Support
With the World Bank's $80 million Emergency COVID-19 Response project financial support and mediation, the government of Georgia was able to procure 147 000 Rapid COVID-19 Antibody and Antigen Test Kits and 250 000 PCR Test, that will triple Georgia's testing capacity to 3000 samples per day by mid-July, - reports World Bank.
Georgian business associations establish Georgian Tourism Industry Alliance
Business associations representing various sector of the hospitality industry in Georgia agreed to establish Georgian Tourism Industry Alliance (GTIA).
IMF approves $200 million for Georgia
The Executive Board of the International Monetary Fund has approved US$200 million financing to Georgia to address the effects of the COVID19 pandemic.
Georgia will be one of the first to open tourist corridors, Economy minister vows
Georgia’s Minister of Economy and Sustainable Development Natia Turnava pledged that Georgia would be one of the first countries to open safe tourist corridors with other countries.
Georgia’s GDP may contract 4%, the worst in the region amid pandemic
International Monetary Fund forecasts a 4% contraction of Georgia’s economy, which very much depends on tourism and money transfers.
Georgian retailers fight for survival as coronavirus pandemic continues
Pandemic has affected everyone worldwide, but one of the most vulnerable are retailers, those who depend on consumers and their spending.
Georgia remains the fifth in terms of budget transparency
According to the 2019 Open Budget Survey (OBS), conducted by the International Budget Partnership (IBP), Georgia got 81 points out of 100 in state budget transparency, the Transparency International Georgia said on Wednesday.
Georgia to receive €1.16 million for agriculture development
Within the GRETA project, the EU, Sweden and Austria launched the Local Development Initiative (LDI), to create great economic opportunities in the organic agriculture sector for farmers, farmer groups, cooperatives, processing units as well as other actors along various organic value chains.
Products rotten amid nationwide lockdown in Georgia
Food chain security is becoming more and more important as lockdown stays in place and farmers cannot transport their products from one place to another.
Georgian government to spend GEL 3.5 billion within crisis management plan
Georgian government has introduced a crisis management plan that consists of different stages. GEL 3.5 billion will be spent to cushion economy but this amount does not cover the post-crisis recovery period.
Georgia to receive €183 million from EU to fight Coronavirus
Due to the economic crisis caused by the pandemic of the coronavirus disease COVID-19, the EU has proposed a new package of macro-financial assistance.
Air traffic to be halted until May 22, GCAA says
Air traffic in Georgia will stay halted until May 22, 2020, Georgian Civil Aviation Agency says in a statement.
Georgian PM discusses support packages from ADB, EBRD
Prime Minister of Georgia Giorgi Gakharia held a video conference with the presidents of the EBRD and ADB regarding the possible assistance and financial resources to be allocated to Georgia due to the challenges associated with the global pandemic.
EBRD to provide €1 billion to Georgia, other countries
The EBRD and Georgia are stepping up cooperation as the country's economy faces the challenge of the coronavirus outbreak – says an official statement published on ebrd.com.
Government closes ski resorts in Georgia over COVID-19
The season at the ski resorts of Georgia closes ahead of schedule, the Prime Minister’s spokesman, Irakli Chikovani, said at a briefing.
Georgia will export armored vehicle Didgori Warrior
A new Georgian armored vehicle Didgori, equipped with a 120mm mobile mortar module, will be exported under the agreement signed between the Military Scientific-Technical Center Delta and one of the countries of the Middle East, the Ministry of Defence said.
Korter: Reliable housing property data in Georgia
It's not a simple job to find fresh homes. But when you use the estate choice service Korter, everything becomes distinct.
Rent a car in Tbilisi – Parent.ge
Are you thinking of booking the best vehicles for your next trip at a very reasonable price? If yes, then this is one of the best decisions you can ever make for yourself.
Pleasant Sunday for the whole family – Renewed Sunday’s brunch at The Biltmore Tbilisi Hotel
Summer, the season of endless fun and vacations, has ended and Tbilisi has become a usually crowded city.
GEL devalues, officials show optimism though
Devaluation of the national currency has sent shockwaves among citizens in Georgia. Officials think that the trend will return to its normal frame, though.
ProCredit Bank’s 20 years of challenges and successes in Georgia and what it means to be a responsible bank
“The bank’s 20-year long presence in Georgia was marked by many challenges and success stories.
Comments on alarming GEL devaluation
The National Bank of Georgia set a new exchange rate, according to which, dollar price became GEL 2.9507 on Tuesday.
Euronews and Silknet sign an MOU to launch “Euronews Georgia”
Euronews and Silknet, Georgia’s leading telecommunications company, are announcing the signing of an MOU in view of launching Euronews Georgia, a news channel and digital platform aimed at a Georgian-speaking audience.
Green Diamond starts to hand over flats to owners as second stage of construction finishes
Second stage of construction of Green Diamond living apartments by MAQRO Construction has finished and process of hand over of flats to owners has started.
Georgian wine tasting in the US came off excellently
Georgian wine tasting in the main cities of the US, New York, Chicago, and Boston went off excellently.
PHOTO OF THE DAY
GEL Exchange Rate
Convertor
05.08.2020
06.08.2020
USD
1
USD
3.0729
3.0739
EUR
1
EUR
3.6190
3.6398
GBP
1
GBP
4.0086
4.0336
RUB
100
RUB
4.1656
4.2064
Other Stories
Recently Toyota rolled out Global Campaign under this slogan that reflects the Olympic and Paralympic Spirit of Encouragement,
A couple from Switzerland combines Swiss tradition and technology with Georgian products. Their cheese is made in the Georgian mountains and sold in local stores and hotels.
It has been more than five years since the residents of Lilo village, near Tbilisi, cannot open their windows.
63 000 GEL was received by the Georgian Agro Export Group which is just a small part of the European Neighbourhood Programme for Agricultural and Rural development.
Georgian entrepreneur Guka Tavberidze, who runs his own business in the UK and does it quite well, has been invited by BBC
The grand opening of 7-star The Biltmore Hotel Tbilisi took place in Georgia’s capital on July 31.
DUSHETI, Georgia – The Georgian government and the World Bank will allocate USD 5.6 million (12 million GEL) to fund
A new Georgian clothing brand named Person has emerged in Georgian market.
Georgia is in the midst of an economic maelstrom, Euronews reports.
Situation at Georgia’s mineral water market is interesting: over the last year, the volume of export has grown by 56 percent. According to “GeoStat”, over $114 million worth of mineral water was sold
GEL Exchange
USD
1
USD
3.0739
EUR
1
EUR
3.6398
GBP
1
GBP
4.0336
RUB
100
RUB
4.2064
August 2020
Mon Tue Wed Thu Fri Sat Sun
1 2
3 4 5 6 7 8 9
10 11 12 13 14 15 16
17 18 19 20 21 22 23
24 25 26 27 28 29 30
31