The director of the egg-producing company Dila, Gia Lobzhanidze, stated that a significant “breakthrough” in reducing egg prices could be achieved by exempting poultry and egg producers from VAT. He made the remarks during the first session of the parliamentary commission on price regulation, emphasizing that this measure could help restore fairness in the sector.
Lobzhanidze noted that Dila has been operating in the market for 20 years, with 90% of its sales going to major retail chains and only 5–7% to agricultural cooperatives. He stressed that small price reductions, such as 2 tetri per egg, do not constitute a meaningful change for consumers.
According to him, the most effective resource for lowering prices is addressing VAT, which he described as a historical injustice. He noted that while other types of eggs, such as duck eggs, have been considered for VAT exemption, chicken eggs have not, and this could be the key step to achieving a meaningful price reduction.
Commenting on his position, Shota Berekashvili added that the 86% price markup from import to retail does not currently include VAT. This underscores the potential impact that VAT exemptions for producers could have on final consumer prices.
