Some Georgian producers choose to export rather than sell locally because they face significant barriers when trying to enter major retail chains, Deputy Economy Minister Vakhtang Tsintsadze said on Imedi TV. According to him, despite the natural challenges of exporting, contractual terms and long delays in payment from retail networks often make the domestic market even more difficult. These delays must be factored into pricing, which ultimately affects consumer prices.
Tsintsadze added that retailers also require certain quality standards and production volumes, which he views as reasonable, but noted that local producers often cannot meet these requirements, leading to a mismatch between the two sides. This, he said, further complicates market access for small and medium manufacturers.
The issue, according to Tsintsadze, is complex and requires a multi-dimensional approach. He stated that the Ministry of Economy, along with the government’s food price coordination commission, continues to work on solutions.
Price reduction, he emphasized, cannot be achieved through one-off measures. Instead, it requires detailed analysis to balance business freedom with the social needs of the population, ensuring households are not burdened by rising food costs.
