Amiran Mamuchadze, Director of Black Sea Group, spoke about the challenges in the Georgian infrastructure sector on BMGTV. According to him, currently, high inflation is one of the main problems for the sector.
Mamuchadze also talked about the participation of international companies in state tenders and the price set by them. As he notes, Chinese state-owned companies often set an inadequately low price in tenders, while they also receive state subsidies.
According to Amiran Mamuchadze, the market will already notice that Georgian companies will face financial difficulties in a few years.
"You know there is a great competition and many Chinese companies are on the market. Local companies will suffer losses and it will become clear after many years. We work and develop on the basis of profit, but a foreign company comes and sets such an inadequate price at the expense of the Chinese state, we cannot catch up and compete with the subsidized company. If it continues like this, I want to state unequivocally that sustainable companies in the construction sector will no longer exist," said Amiran Mamuchadze.
Amiram Mamuchadze finds a solution if the state trusts the local business and signs a contract with them. According to him, in this case, Georgian companies will gain experience that will help them in the future to implement both local and international projects.
"I think it would be good to have one pilot project and announce confidence to Georgian ones. With the bank's support, a mega-project can be implemented, which will give us the opportunity for 100% of the money to remain in the state", said Amiran Mamuchadze.
