Unlocking the export potential of Georgian agriculture
Georgia has excellent potential for the production and export of agricultural goods. While the limited land area with the present, highly fragmented ownership pattern limits Georgia’s ability to compete in the markets for agricultural bulk products, its diverse climatic conditions enable the country to be competitive in different markets for high-value niche products.
To unlock this potential, it is necessary to overcome present constraints. Low land productivity limits the amount of goods available for export whilst poor organisation of export chains leads to inadequate preparation of export consignments both in terms of the product itself and its documentation. In order to develop its exports of agricultural and food products, Georgian producers should gradually target markets with more demanding standards instead of immediately attempting to serve high-end markets such as the EU. Agricultural clusters or Productive Alliances in individual value chains can help overcoming the present constraints and should serve as a focal point for government assistance.