Georgia is rich in agricultural tradition which is an integral part of its history, mentality and cultural heritage. Agriculture played an important role in formation of the Georgian statehood and contributed much to its economic development.
Georgia has favorable climatic and natural conditions conducive to development of agriculture. 43.4% of the whole territory of Georgia is designated as agricultural land which also includes pastures and meadows. 43 % of the area is covered with forest.
Georgia has a wide variety of ecological and climatic zones favorable for the growth of different crops. Those crops include cereals, early and late vegetables, melons and gourds, potato, technical crops, grapes, subtropical crops, fruit variety etc. Georgia is one of the oldest wine producing regions of the world. The fertile valleys of the South Caucasus, which Georgia straddles, are believed by many archaeologists to be the source of the world’s first cultivated grapevines and Neolithic wine production, over 8,000 years ago.
From the climatic zones perspective Georgian biosphere is diverse. There are 12 different zones and 49 types of soils in Georgia. Many endemic species create a perfect source for the development of plant growing and cattle breeding. The country is rich in amelioration and potable water resources.
Georgia is characterized by altitudinal zonality. Only 39 % of arable land is located on elevation of 500 meters above the sea level, 29% – 500 -1000 meters above the sea level, 21% – 1000- 1500 meters and 11% is located over 1500 meters above the sea level.
Agriculture still accounts for about 52% of the country’s labor force while 98% of farm workers are considered self-employed. The current situation in agricultural sector significantly affects poverty indicators.
WHY TO INVEST IN AGRICULTURE
MARKET SIZE
• Rapidly growing local and regional demand
• Strong preference of consumers toward Georgian products
• DCFTA (Deep and Comprehensive Free Trade Agreement) with EU
• FTA with Turkey and CIS countries
ADVANTAGES
• Ecological clean environment
• 22 microclimates varying from cool and dry to warm and humid
• Longer than normal harvesting season and a wide range of growing conditions
• Large quantity of renewable water
• Pure, rich and pesticide-free soil
• Cheap labor and low utility costs
SUPPORT FROM THE GOVERNMENT
• Financial support
• Technical support
• Infrastructural support
INVESTMENT OPPORTUNITIES
HIGH-TECH GREENHOUSE FARMING
• High seasonality of local production
• Up to 100% increase of prices during off seasons for vegetables, lasting 6-7 month
• Available suitable areas and ready projects for energy-efficient farming
WINE AND SPIRITS
• 8 000 years of continuous wine making tradition
• 525 indigenous grape varieties
• Experience and knowledge in wine, brandy and vodka production
• In 2015 export of wine and spirits was USD 97 and 65 million respectively
DAIRY PRODUCTS
• High and growing demand on milk and other dairy products
• Georgian producers can only supply around 85% of local demand
• Import of dairy products reached 42 million USD in 2015
• Delicious taste of Georgian dairy product
• Aquaculture developing opportunities on a black sea shore
• Aquaculture developing opportunities in numerous inland lakes and reservoirs
• Import of fish in 2015 was 34 million USD
FRESH AND MINERAL WATERS
• High quality and a good taste
• Already established brands, popular in CIS and other countries
• In 2015 export reached 81 million USD
• Opportunities to obtain license of springs from the Government
LIVESTOCK AND POULTRY FARMING
• Demand on meat consumption has an increasing trend
• High percentage of consumed meat is an imported product
• Import of fresh and frozen meat reached 98 million USD in 2015
• Capacity to build modern farms
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