Not a single kilogram of grapes, be they damaged, hail-affected, or intact, will remain unsold – the state will pay 0.9 GEL, including for hail-damaged grapes, Georgian Prime Minister Irakli Garibashvili stated at today’s Government meeting.
The Prime Minister spoke about the improved indicators in said field over the past 10 years and pointed out that, if 10 years ago, only 40 wine companies operated in the country, presently there are 2,500. Also, if 10 years ago, the area of vineyards made up a total of 25,000 hectares, this number has doubled in the course of a decade.
“We gathered a few weeks ago and stated that we would keep subsidies. We also said that the state would pay 0.9 GEL for damaged grapes. You know that a major hailstorm occurred in Kakheti a few days ago. Vineyards were damaged by hail, while people had grapes ready to sell. But, unfortunately, a hailstorm broke out. Nonetheless, I would like to state unequivocally, and comfort our dear citizens, that not a single kilogram of grapes, be they damaged, hail-affected, or intact, will remain unsold- the state will pay 0.9 GEL, including for hail-damaged grapes. This is what I wanted to say unequivocally.
“Also, I would like remind our society a few concrete results, and I would like to remind our critics, among others, where we were 10 years ago, what was happening in this sector, what the situation was like. Back then there were 40 wine companies in the country. But, friends, today we have 2,500. I will also tell you that the total area of vineyards constituted 25,000 hectares. But, over the past 10 years, the area of vineyards has doubled. In all, vineyards stretching 50,000 hectares have been built in the country.
“Last year, Kakheti received 270 million GEL in revenues, meaning just the vineyard-keepers and those engaged in this field. For comparison, what was happening in 2012? At the time, the revenue made up 35-40 million GEL at best. In all, over a decade, Kakheti-based vineyard-keepers and farmers have received more than 2 billion GEL in revenues. This of course makes a tremendous difference. For comparison, while our vineyard-keepers have received 2 billion in Kakheti, under the previous authorities the total revenues probably made up no more than 200 million GEL, which goes to show that the difference compared to what is happening under our rule is tenfold. And this is no coincidence. This is our properly planned and prudent policy, subsidy, and numerous programs that continue working to this day.
“I also would like to remind our society and urge our vineyard-keepers: engagement in the Agro Insurance Program is a must. If I am not mistaken, last year we had 50% co-financing, but we have increased it to 70%. In other words, our co-financing is 70% from the state. Of course, this is something that absolutely has to be done.
“Also, allow me to introduce you to another statistic. Last year, 103 million liters of wine was sold, a record-breaking amount. From this, hundreds of millions of USD in revenues is flowing into the country, and our citizens are given an opportunity for further development, for accumulating greater wealth, and so on. Also for comparison, I would like to point out that, 10 years ago, about 20-30 million tons would be sold a year. This is reality. We will keep and further strengthen this policy and provide our vineyard-keepers, farmers with further assistance. This is what I wanted to tell our vineyard-keepers, that they have nothing to worry about-the state will pay 0.9 GEL even for hail-affected and damaged grapes. Therefore, everything will be just fine,” the Prime Minister stated.
