Local companies seek to industrialize cheese production in Georgia

FROM THE REDACTION

Samtskhe-Javakheti region – On June 21, 2007 the Georgian President Mikheil Saakashvili officiated the opening of two modern, medium-size cheese processing plants in Ninotsminda District, which were established with the support of the USAID/AgVANTAGE project in partnership with the local companies Cooperative Orlavka and Spasovka Ltd.

After the opening the President observed the dairy plant and the process of milk processing. Afterwards he stated “This is not only cheese but a combination of stability, roads and energy supply. […] I will take care that during my presidency the unique potential of the region’s agriculture is exploited to its full extent.”
Minister of Agriculture Petre Tsiskarishvili, Governor of the Samtskhe-Javakheti region Giorgi Kachidze, and other high officials also attended the opening ceremony.
During the Soviet era, livestock, dairy, and potato production were the agricultural backbone of the Samtskhe-Javakheti province. After the break-up of the Soviet Union, these industries collapsed. Today, most milk is produced by small farmers, who transform approximately 70 percent of their milk into cheese which is sold either locally or in Tbilisi or Armenia. However, the quality of the raw milk produced at these farms is extremely low due to poor sanitary, milking and storage practices. Raw milk does not undergo pasteurization or treatment, measures critical to the production of safe dairy products.
In an effort to support the development of the dairy sector in the region, which offers locals the greatest opportunity for income and employment, AgVANTAGE teamed up with two processors located in Ninotsminda District, the Cooperative Orlavka and Spasovka Ltd., and helped them acquire two modern medium-size cheese processing plants. Each plant will be capable of processing up to 5 tons of raw milk per day. Together, they will produce 1,000 kg of cheese per day, resulting in annual sales of GEL 850,000. These plants will provide a stable source of income for more than 400 smallholder farmers in the region and direct employment for 40 individuals.
“By establishing these plants we will make first the attempt to industrialize cheese production in Georgia. Buying cheese in Georgia today is like a lottery – you never know whether you will win or not. From now on people will have a chance to buy high quality locally produced industrially processed cheese,” said Nika Grdzelidze, deputy general director of AgVANTAGE project.
The primary objectives of these activities are to create precedence for industrial cheese production and to have these companies become top suppliers of safe, high quality cheese products on the market. AgVANTAGE also seeks to enable these companies to command higher prices and diversify their product range to include a number of hard types of European cheese. The proposed technology will enable Spasovka Ltd. and Cooperative Orlovka to produce a competitive product and replace the large quantities of imported hard cheese from Russia, Ukraine and the EU.
“This modern cheese plant enables us to start producing European types of cheese. This does not mean that we are competing with local farmers who produce local varieties of cheese. On the contrary, it will allow us to greatly weaken the position of imported cheeses on the local market,” director of Spasovka Ltd. Lekso Mikeladze said.
As part of a comprehensive assistance package designed to demonstrate how to develop a complete dairy product production chain, AgVANTAGE is assisting with the rehabilitation of six dairy farms in six villages in Akhalkalaki and Ninotsminda Districts. These farms will be able to utilize modern dairy equipment, including manure transporters, milking machines and chilling tanks, which allow farmers to supply the high quality raw milk needed to produce quality dairy products.