BEGINNING OR END OF THE GREAT ROAD

Keti Mikeladze

The kind and level of the environment results from the long and complex “chemical” way passed by us. Nowadays, chemistry is not popular in Georgia. Events going on in the chemical industry are of interest only to the narrow circle of specialists and people working in the industry.

Popularity of chemical industry in Georgia has been stipulated by the work of its sub-branches. Despite the small territory, we excel neighbouring republics at the number of chemical branches. According to the data of Economic, Industry and Trade Ministry, complex of chemical industry includes 21 enterprises, 12 joint stock companies, 5 limited liability companies and 4 state ones. Let us enumerate the existing branches (with the indication of present-day situation): inorganic chemistry: ammonia, chemical fertilizers, cyanide were produced in Azot and Lithophyllum was produced in Kutaisi lithophile factory (for varnish dye-stuff). Today, alumstone and varnish dye-stuff are not produced.
Executive director of lithophile factory Robert Baramidze says that despite the current total falsification and the use of factory brands, great attention is attached to the quality and protection of the production from falsification (by means of differential signs).
Mountainous chemistry: tiff, gumbrin (used in food production and oil-processing) are not, in fact, produced; bentonitic clay is produced in village Askana in small quantities, ceyssatite (is not produced). Polymeric chemistry: caprolactam (production of Azot), polyamide, man-made fibre (was produced in Chimbochko).
Electrictrochemistry: it functions on the basis of producing dioxide of electrolised marganese. Emo ltd produces oxide of marganese, monohydrad of marganese sulphate (used in agriculture).
Household chemical goods: cleanser, production of shampoo. The only soap-producing factory working with the profile has not functioned for 7 years due to high taxes and increased smuggling. Tetroni (soap powder) and Iberia (perfumery) have, in fact, been closed.
Oil chemistry: rubber production. Electroapparat works on the repair of underground railway. It also produces rosettes and plastic goods for household use. The company sends the goods to local markets, Russia and Middle Asia. Plastic ltd makes high-pressure polyethylene (ordered mostly by Coca-Cola).
Chemistry-Pharmaceutics: production of medical equipment. Nowadays, up to ten firms function regularly in the republic. The ratio of local pharmaceutical production is 5% as compared with imported one (95%). In general, pharmaceutical industry employs more workers than Azot.
There are no amounts in the budget. Private individuals or potential investors do not yet assign any sums for promoting work of chemical institutes and chemists. What is the way out? Some chemists saw the way out in changing profession, others sill hope that the state will appropriate funds for the industry, which is hardly probable. Meanwhile, time passes and more diversified chemical production comes to the market. Given the chemists’ calculation, funds are not appropriated rather due to smuggling and high taxes.
Let us consider some more or less sucessfully functioning enterprises: 1) Azot, azot fertilisers, production of cyanides; 2)Oone of circles of marganes chemical prossessing (on the base of Emo); 3) Production of medical polymers.
As far as we know, Azot owes great amount of debts to the state and Itera. The conclusion is banal: debts were accumulated due to the difficult situation in the country. Certainly, it would be too unendurable for Rustavi society if more than 3 thousand unemployed would be added to the 5 thousand unemployed metallurgists. During the economic panic period employees of Azot would not start investigating the reasons of debts, they would rather wonder whether Azot would function or not and whether the factory would have necessary funds. However, the cause of debts was not only the difficult situation in the country, but rather the expensive natural gas.
The equipment of Azot was not sold as metal waste. In 2002, 90% of its shares were purchased by an international company Itera. Before that business-plans have been changed several times with the recommendations of some ministries. Itera should make 22 millions’ investment and reconstruction of the enterprise in three years; it intends to pay out more than 90 million Laris’ debts of the enterprise. The goals of Itera reveal that the function of strategic enterprise is justified. MME interviews Temur Gajiev, head of international relations of Itera:
“I can not understand why the wish of Gasprom to create a joint enterprise Gruzros Gasprom was not satisfied. Shevarnadze supported the idea, too. It would be profitable to the Georgian population a well as to the enterprise. Russian interests were, certainly, involved, too: gas was also to be supplied to Turkey. Georgia would receive its transit share from it. Why was not the plan realised? In general, there were so many interests in our energy sector that it would be difficult to draw any conclusions. Itera purchases gas in Turkmenistan for 45 dollars. The price reaches 60 dollars in the Georgian border and 145 dollars in the country. The prices are not so high in neigbouring Armenia. Itera imports gas from afar by transiting Kazakhstan. This serves to increase gas prices. Yet, what was the agiotage about? It is a state company. There used to be co-operation between Gasprom and Itera. They used to supply gas to Armenia and it has not so far caused any damage. Why did the issue become problematic in Georgia?
The pride of Georgian industry ? production of marganese compound ? has recently faced a difficult situation. Zestaphoni marganese workshop was stopped and Rustavi pemanganate potassium-producing factory was robbed, too. Only the above-mentioned Emo managed to escape the crisis: six years ago company Georgia Engineering headed the business. The firm was founded by collaborators of Technical University under the leadership of Tamaz Agladze.
Restructuring and rehabilitation of Marganese industry in Georgia.
Georgia Engineering has necessary scientific and technical potential for technical re-equipment of marganese electrochemical production and export production. Hundreds of people were employed in the company, some of them doctors and candidates of science.
Since 2001 after technical re-equipment there began the production of three competitive marganese-containing products in the world market: monhydrad of marganese sulphate, dioxide of natural marganese and oxide of marganese. The three projects have widely been applied in agriculture. Despite the efforts of the company, the Ministry of Agriculture takes no interest in the effective production. Besides, there are many problems such as inefficient tax code, corruption in the customs, irregular energy supply, etc.
Of chemical industry, biotechnology and electric technology function very actively nowadays. The most active work is done on the creation of anti-Aids and anti-cancel vaccines.
Interesting work is done in the polymer research centre of Technical University that created an effective medicine for non-cicatrizing wounds through co-operation with JSC Biofarm.