World Bank: improving Georgia’s agriculture central to sustainable economic growth
The report summarises the main constraints and opportunities facing Georgia in efforts to boost the contribution of the agriculture sector to economic growth, as well as its contribution to diversification, job creation, poverty reduction, food security, and climate resilience and mitigation. Photo: Nino Alavidze/Agenda.ge
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A new report published by the World Bank on Tuesday said agriculture, water, and land in Georgia could be a source of “increased economic productivity,” including a transition from low agriculture returns to high-value crop production, if supported by targeted policies and complementary public and private investments.
The report Agriculture, Water, and Land Policies to Scale Up Sustainable Agri-food Systems in Georgia summarises the main constraints and opportunities facing Georgia in efforts to boost the contribution of the agriculture sector to economic growth, as well as its contribution to diversification, job creation, poverty reduction, food security, and climate resilience and mitigation.
In the past decade, the value of food production has increased sharply, with some export-oriented producers and agri-businesses successfully developing value chains, and showing that sustainable growth is feasible. Agricultural competitiveness is crucial for Georgia’s sustainable economic growth, which means that it needs to invest in improving production, processing, compliance with international market standards, and efficiency of supply chains," Sebastian Molineus, World Bank Regional Director for the South Caucasus, said.
The report emphasises that resolving agriculture sector constraints is a necessary but insufficient condition for improving the sector’s performance.
“The availability and efficient use of water resources in a reliable, timely, and flexible manner for farmers is critical for the sector’s growth, while improved land management and administration are necessary for secure land ownership, as well as a sustainable and productive management of resources.”
“Thus, simultaneous interventions will be required in addressing core sector constraints in Georgia’s water and land sectors, and the timing is even more urgent when factoring in increasing climate change variability and risks,” the document concludes.
Issues of cooperation in the water supply to irrigation systems in Georgia and the strengthening of the capacity of the country’s Land Management Agency were discussed at the meeting between Otar Shamugia, the Georgian Agriculture Minister, and World Bank mission representatives on Friday, the Ministry has announced.
A Georgian stand was opened at one of the largest international exhibitions in the Caucasus region - Caspian Agro 2022 - in Baku on Thursday, the Georgian Agriculture Ministry announced.
A total of 2,100 hectares of agricultural land will be cultivated free of charge in the country’s Black Sea region of Adjara this year, the local Government announced on Wednesday.
The Georgian Government will subsidise agricultural land owners with a state programme offering ₾300 ($97/€90) per hectare, Prime Minister Irakli Garibashvili announced on Monday.
A total of 188,000 individuals and legal entities have benefited from the state programme for the promotion of agricultural land owners, Georgia’s Rural Development Agency said on Friday.
Farmers involved in beekeeping and winemaking will receive 70 percent co-financing from the state to help them increase production of organic products in Georgia, with the Government approving a new Bioproduction Promotion Programme on Monday.
Georgian officials met World Bank Group representatives on Thursday to discuss current and future projects, as the sides are marking 30 years of partnership this year, the Ministry of Finance said.
Sameh Wahba, the regional director for sustainable development at the World Bank's Europe and Central Asia region, on Wednesday praised the bank’s completed and ongoing projects in Georgia and expressed readiness to further support new programmes.
Pawel Herczynski, the ambassador of the European Union to Georgia, on Tuesday said the EU welcomed Georgia’s success in modernising and developing rural areas of the country over the past 10 years.