Gov’t invests 46m GEL to bolster domestic production

- The new state subsidiary program will be coordinated by the ministries of Economy and Agriculture., 20 May 2014 - 00:46, Tbilisi,Georgia

The Georgian Government plans to stimulate domestic production and develop production-oriented industries through a new state program named Produce in Georgia.

Prime Minister Irakli Garibashvili, who initiated the program, presented his plan to Government members and business representatives on May 19. In his address, Garibashvili said Georgia had "great potential” to produce various products by its own and not be dependent on imports.

"Our idea and decision is to rebuild Georgian production in every region, district and village and bolster its revival. This will bring new jobs, additional income and welfare for people," Garibashvili stated.

The Government will invest 46 million GEL into the program. PM Garibashvili said the program would support any entrepreneur who decided to create a new venture. These people will be given depreciated buildings at a low price and will also be eligible to receive low interest rate loans. In addition, those living in the regions will enjoy additional privileges.

The Prime Minister said Georgia had the opportunity to have its locally-made products compete on a global scale.

"The program, Produce in Georgia, should become a Georgian Brand - Made in Georgia. These products will be released on grounds of international standards, meet all requirements and successfully compete with foreign products not only in Georgia but also abroad,” Garibashvili believed.

"Georgian products are going to enter the European market very soon and the label - Made in Georgia – could have an absolutely different meaning. Our goal is to revive production in Georgia and I believe we will achieve this," PM added.

The new state subsidiary program will begin on June 1 and will be jointly coordinated by the Ministries of Economy and Agriculture.

The total budget of the program is set at 46 million GEL. Of this, 30 million will be spent on agricultural production and processing while 16 million will be spend on developing industrial production of Georgian products.