Agriculture today (ABSTRACT)

Sofo Gogoladze

It’s two months since the Ministry of agriculture has had a new leadership and it intends to make reforms of the total system.

Agrarian reform implies the following:
– The Ministry of agriculture has its own departments in all regions. The departments have come out of the ministry and have been in factual subordination to the Gamgeoba and only in symbolic subordination to the ministry. Since March 1 the departments will again become part of the ministry, which is essential for the efficient functioning of the system.
As for agricultural land management, we know that land is divided into agricultural and non-agricultural one. This used to be supervised by the land management department. Then, last year the department was divided after the establishment of national agency of public register that is engaged in the delegation of property. Agricultural and non-agricultural land plots were delegated to the Ministry of environmental protection. We mean that all rented lands should become a property under the law on “Agricultural Lands Privatization”. This measure is essential for the development of land market and growth of interest toward lands.
Rented lands should become privatized, as land is a real estate. Yet banks do not consider lands as a guarantee for loan liquidity. Thus, subordination of agricultural plots to the system of the agriculture ministry was necessary for the ministry to have a clear picture of the situation in agricultural lands. As for wine growing, this branch requires certain stimulus. Falsification is the main problem of winemaking. Falsification has lately become very systematic entailing the decrease of Georgian wine value. Through the help of German program and the ministry of agriculture, a good wine quality test laboratory was set up. It issues certificates and helps to fight falsification. Georgian brand must be created in order to have one trade mark. Quality certificates will promote export of Georgian wines on the world market. A lot of donor organizations are engaged in agricultural projects.
There are the World Bank projects for irrigation. We want to make activities of donor organizations more transparent and publicly available. As for phito- and vet-sanitation, 774000 laris have been allocated from the budget to help farmers protect cultivated plants from pests. Some companies carry out fertilization of fields by means of aviation, which is quite expensive.
These measures should be of interest to farms, but nowadays farmers are not in a very good position so the state undertakes measures to provide assistance to them.
As for phitosanitaria, it is noteworthy that product sterilization law is being developed. The law provides for stricter control over imported products. We can say that commodity research is developed in Georgia. Production is examined in special laboratories. Laboratory control should become stricter.
As for drinking water business, it is very profitable. This business is very important for Georgia from the viewpoint of budget replenishment. Even domestic market brings much profit to water-pouring companies. Management of the companies is also good.
For instance, Nabeglavi factory was built and company was established through the help of Switzerland government. Nabeglavi water is exported to Switzerland, Germany and post-soviet countries, and it is much popular there.
Agriculture is the sector that requires cautious approach. Through the help of donor countries, we have a plan to establish preparatory enterprises. When outlets for agricultural products will become strong enough to assort, store and create image of goods, a businessman interested in purchasing will try to buy desirable production from receiving points of the given regions. This will make it possible for peasants to sell their products at normal terms, which will enable them to have subsistence means and sufficient funds to continue their work.