ABOUT RECOVERY AND OPMENT TEA-GROWING IN MEGRELI REGION

By. Ketino Kokaia

Economic growth in Megrelia is far lower than that of other regions in Georgia, which is caused by instability in the country, break-up of economic ties, wrong economic reforms, etc.

One of its reasons was that the state abandoned regulation of a complicated reform process and sacrificed its own functions to the “self-regulation” of economic life, which, certainly, caused the development of social capitalism and economic decline in the region as well as in the whole country, etc. The core of economic stability passes through the restoration of entrepreneurial and agricultural branches. Therefore, it is important to decide upon a correct economic policy on the transition stage of reforms, which is related to a number of organizational economic and social moments.
Proceeding from the current investment policy, institutional and structural reforms in the tea-growing branch will have a great significance for averting the crisis and stagnation in the agriculture of Megreli region as well as for improving tea-growing branch and social-economic climate in Georgia, and stabilizing political situation. Development of tea-growing branch is important for economic recovery of Megreli region. The following measures are necessary for the recovery and normal development of this branch:
– First of all, creation of high-tech enterprises and increase of production concentration level in the branch by means of raw materials producers and tea-processing factories;
– Given the recent contracts and commercial offers, 5-6 thousand tons of ready-made tea production might be sold in Megreli region yearly. Tea production requires 20-25 thousand tons of raw materials, which is quite possible nowadays.
– A change in the realization of ready-made tea production is necessary. I mean sale of packed tea. We lose at least 40-45 tetris off each kilogram due to the small ratio of realized products in the region. At the same time, it is important to significantly expand the production of disposable packages. Nowadays, the only firms to produce disposable packages are “Martin-Bauer_Tbilisi_ and joint Georgian-Chinese enterprise “Classic” in Batumi.
– Special shops should be opened in some cities (Tbilisi, Kutaisi, Rustavi, etc.) in which Georgian tea will be sold on the basis of contractual relation. Organized private distribution network will make it possible to sell 2.2-2.5 thousand tons of ready-made packed tea. This will put an end to the current situation in Georgia where foreign tea, but not Georgian one is sold, which is due to the fact that there are small quantities of local tea in the market, not to mention the activity of some private producers.
– The following measures should be taken in order to increase the competitiveness of Georgian tea:
– To improve the quality of raw materials; to observe the rule of harvesting; to improve technological process, etc. Today, foreign partners have serious complaints on the quality of Georgian tea, which was caused by a failure to take agricultural measures in due time, as well as by a rough breach of raw materials processing technology. These resulted in the lowering of quality.
– In the nearest future it is important to launch factories dealing with a;; branches of tea growing, i.e. to provide 10-15 thousand workplaces at the expense of the subcomplex of tea-growing products. Budget revenues will increase by 3-5 million GEL at the expense of VAT, property levy and customs dues.
– Implementation of reforms with possibly less losses requires a correct use of resources, especially of labour resources. Development of labour-intensive branches is of special importance for Georgia as well as for Megrelia where cheap labour force is considered one of the main economic resources.
– From this point of view, no other branch can be comparable with a tea-growing one that will play a great role in the economic recovery of this region. All this will change situation, increase life-standard and ease the current social tension in the region, which will promote the stable development of the region.