Georgia should gradually reduce the amount of state funding allocated to grape harvest subsidies, according to Zuka Maisashvili, founder of winery “Gvinuka.” He said this year’s harvest model is more focused on grape quality, particularly sugar content, than previous subsidy schemes.
Maisashvili noted that the subsidy system, introduced around 2006–2007, also had a social purpose, but the sector has changed significantly over the past two decades. He believes the previous model gave farmers little incentive to produce quality grapes, with substantial funds spent on purchasing low-quality produce.
According to him, this year’s model is healthier because grape prices are differentiated based on quality. However, Maisashvili said the next step should be a gradual reduction in state subsidies and eventual exit from the subsidy system.
He also stressed that changing the subsidy model alone will not solve the sector’s problems. Georgia needs to reduce its surplus of Rkatsiteli by replacing part of the vineyards with more commercially viable grape varieties, such as Saperavi, or with other agricultural crops that have stronger domestic and export demand.
