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Minister Davitashvili: “Cost of Rkatsiteli exceeds 20 Eurocents in 2020, more than key wine types of Spain, Italy, Moldova and Bulgaria”
“Unfortunately, vintage and emotions of our farmers have been used as a political instrument during an election year.Georgia has fixed minimal price of 80 tetri per key industrial type of grape - Rkatsiteli. Fixing the price has served as an extraordinary step undertaken by the State for those companies, which process at least 1000 tons of grapes and would subsequently join in the subsidizing campaign. Our actions have boosted up private sector’s motivation, which would otherwise increase pressure on state companies. Such assistance has equipped farmers with guarantees for reimbursing their costs and production. As for Saperavi, prices per kg varied between 1,4 to 2 GEL, as set forth by the market mechanism.
Frankly speaking, in Spain and Italy, countries with a successful viticulture, price of core vine types varied around 10 – 15 eurocents. In case we calculate price of Rkatsiteli in cents – it has reached slightly over 20 cents, which is more than the European countries listed above. As for Bulgaria and Moldova, there have been cases of prices dropping down to 10 eurocents. Nevertheless, at some European countries, compensating mechanism had been enacted due to not harvesting grapes at all.
Thus, speculating on the Government of Georgia failing to exhaust its capacity during the harvest – is definitely an irresponsible statement.
The Government of Georgia has acted to a greater extent for ensuring guarantees for farmers – enabling them to accommodate their harvest amidst absence of tourism season as an aftermath of pandemic, decreased sales and increased harvest.
Wisely planned and implemented state support has resulted into accommodating needs of 25, 000 farmers; otherwise, 10, 000 of them would be left without physical means for realizing their harvest and up to 100, 000 tons of grapes would be wasted. The State had to purchase 95, 000 tons of grapes; as for the Lechkhumi region – the State was the only vendor; the latter region possesses an outstanding tourism potential and attraction, however, there is absence of large companies and only household wine cellars operate, which sell their production to tourism sector. The State purchased Tvishi, Tsolikauri, Ojaleshi and Usakhelauri, otherwise – local farmers would be left without an income. Ensuring social assistance had been foreseen by the Government’s Anti-Crisis Plan.
Standards of life in Racha has significantly improved. 2, 400 tons of Alexandrouli and Mujuretuli has been processed, unlike 400 tones back in 2013. In 2020, the State purchased up to 1000 tons of “Khvanchkara” at micro areas” – Minister Davitashvili stated.