Kakhaber Koniashvili, Chairman of the Dairy Producers Association, says changes in the updated Agro Co-Financing Program point in the right direction, but the top priority must be strengthening the raw material base and introducing strict, continuous monitoring. He notes that many projects failed in past years because there was no proper oversight or preliminary analysis.
According to him, building new factories is meaningless without a stable supply of local raw materials. Georgia should focus on developing farms and feed production, as some factories have already been built but remain idle due to a lack of raw milk. Koniashvili emphasizes that farming needs expansion nationwide to ensure that processing enterprises can operate efficiently.
He welcomes the new financing model, under which project evaluation will first be done by the Ministry before being sent to banks. This, he says, provides banks with more confidence and makes loan approval easier. The increased maximum funding amount — up to 2 million GEL — is also a positive step for the sector.
Koniashvili stresses the need for a unified database of farmers and producers, arguing that the lack of information creates a major disconnect in the supply chain. He says a centralized database would greatly improve transparency and coordination. The Ministry will launch the new system on July 1, shifting project assessment from banks to the state, which will evaluate economic and sectoral viability before banks assess financial risks.
