As part of the economic integration pledge that Ukraine, Georgia, and Moldova signed in June a free trade agreement effective September 1st has granted fruit and vegetable products from Georgia duty-free access to the European market. Currently 56% of Georgia’s agricultural exports are shipped to Russia, but the hopes are that the $8 million in savings on duties will sway Georgia’s agricultural industry to look more to Western markets. To take advantage of the opportunity however, Georgia will need to address multiple inefficiencies – (agriculture accounts for only 9.3% of the country’s $16.13 GDP), lack of infrastructure and storage, refrigeration, lack of proper packaging, and lack of distribution networks. The EU has offered €51 million ($68 million) to help re-direct Georgia’s agricultural exports, for food safety labs, and for consultations concerning EU food regulations. To read further:
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