Wine companies should be more ambitious to grab a greater market share in new target export markets, - according to Galt & Taggart.
According to the report, despite some success, Georgia still accounts for less than 1% of total wine imports in new target markets (excluding Poland, where Georgia holds 3%).
The report reads that one of the main obstacles behind low exports are high costs associated with marketing and product shelving and companies’ fear of investment failure. Notably, new state subsidy program aims to address the former with co-financing marketing expenses to new markets.
“Our expectations on exports are positive, supported by growing investments in vineyards, government support for the sector, healthy demand from export markets and free trade agreements with EU and China. We also anticipate the average export price to increase, along with gradual transition towards new export markets in the medium term. Considering this, we expect wine exports to almost double in next 5 years to US$ 350mn in 2025”,- Galt & Taggart notes.
