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Foreign Aid
April 21st, 2020, https://cbw.ge/economy/gela-khanishvili-we-can-increase-wheat-production-in-georgia-to-400000-tons
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The Deputy Minister of Agriculture believes that Georgia has the capability to increase wheat production to 400,000 tons. The Deputy Minister also believes that the production of barley, corn, livestock and poultry products can also be increased. To this end, the Ministry of Agriculture is working to attracting USD 200 million in investments into Georgia’s agricultural sector. The Ministry is notably discussing this with the European Bank for Reconstruction and Development (EBRD), the Asian Development Bank (ADB) and the World Bank.
7) State increases funding under micro grant program
April 27th, 2020, https://kalo.ge/news/view?id=8388
Within the framework of the state’s micro grant program, funding assistance for those living in rural areas who desire to run a small business will increase to GEL 30,000. This program has proven successful in the past, and increasing the assistance amount as well as the total portfolio size is expected to help those living in rural areas be able to meet local demand as well as increase the standard of living in rural areas.
8) Fees for use of irrigation water to be waived in 2020
April 27th, 2020, https://kalo.ge/news/view?id=8387
Farmers and entrepreneurs involved in agricultural activities will be fully exempted from paying for irrigation water used in 2020. This decision was taken by the government of Georgia as part of the measures to mitigate the impact of the COVID-19 pandemic on the various economic sectors of Georgia.
Foreign Aid
9) EBRD, Georgia discuss cooperative efforts to support Georgia’s economy
April 6th, 2020, https://www.ebrd.com/news/2020/ebrd-and-georgia-step-up-cooperation-during-crisis.html
The European Bank for Reconstruction and Development (EBRD) and the government of Georgia are stepping up cooperation as the country faces economic challenges amid the COVID-19 pandemic. Separately, the two sides have already taken actions to help amid the pandemic, with EBRD making a total of EUR 1 billion in emergency funds available to clients across 38 economies (including in Georgia) and the government approving a stimulus package to support the economy. More recently, the sides have discussed possible avenues of cooperation and are currently exploring how to best work together to mitigate negative impacts on Georgia’s economy as a result of the COVID-19 pandemic.
10) EBRD, EU support Georgia’s food industry during COVID-19 pandemic
April 7th, 2020, https://www.ebrd.com/news/2020/supporting-the-georgian-food-industry-at-times-of-covid19.html
The European Bank for Reconstruction and Development (EBRD) and the European Union (EU), via its EU4Business initiative, are supporting Georgia’s food industry during the COVID-19 pandemic. One successful example of this assistance is the poultry farm Chirina, which received assistance in procuring 14 new turnkey broiler farmhouses. The new broiler farmhouses, which were part of the company’s plan prior to the COVID-19 pandemic, were installed more quickly than originally anticipated in order to boost the company’s output by 50%, thereby helping ensure food security in the country. In fact, the
move has proven to be important as the company reports that more than 16,000 people visit their shops daily.
Chirina is a large employer in Georgia, with over 450 people currently working for the company.
11) FMO approves GEL 30 million loan for Credo Bank
April 20th, 2020, https://www.fmo.nl/news-detail/6442e7b1-6e58-43f
Dutch development bank FMO has reached an agreement with Credo Bank on a 5-year, GEL 30 million loan to support agricultural businesses and young entrepreneurs during the COVID-19 pandemic. Specifically, loan funds will target micro-, small- and medium-sized businesses, with a particular focus given to those engaged in agricultural production or run by young entrepreneurs. Both sides hope that this agreement will empower local businesses and support job creation during and after the pandemic period.
12) USD 16 million program to support Georgia’s dairy sector
April 21st, 2020, https://cbw.ge/economy/16-million-dairy-farming-program-started-in-georgia
A program to support Georgia’s dairy sector has been launched thanks to a USD 16 million International Fund for Agricultural Development (IFAD) loan. The target groups of the program are vulnerable (1-5 employees) and progressive (6-20 employees) dairy companies from the Imereti, Samegrelo-Zemo Svaneti and Samtskhe-Javakheti regions. The program envisages co-financing to support the expansion, modernization and re-equipment of dairy farms. In particular, co-financing is available for primary milk production, the establishment of milk collection points, the establishment of dairy processing plants, the primary production of animal feed, veterinary care and artificial insemination.
13) EUR 1.16 million to support organic agriculture in Georgia
April 28th, 2020, https://agenda.ge/en/news/2020/1328
The European Union (EU), Sweden and Austria have allocated EUR 1.16 million to the Local Development Initiative (LDI) to support the organic agricultural sector of Georgia. Farmers, cooperatives, processing units as well as other actors along various organic value chains can apply for assistance of between GEL 5,000 and GEL 15,000 provided that they also invest at least 10% of the total proposed budget.
LDI specifically focuses on the municipalities of Mestia, Lentekhi, Tsageri, Oni, Ambrolauri, Sachkhere, Chiatura and Tkibuli.
14) Grant competition in Shida Kartli and Racha-Lechkhumi
April 28th, 2020, http://www.fao.org/georgia/news/detail-events/en/c/1273214/
The Ministry of Agriculture, in cooperation with the Food and Agriculture Organization of the United Nations (FAO) and the Austrian Development Cooperation (ADC), are offering small grant investments to farmers and cooperatives in Ateni, Plevi (Shida Kartli), Tvishi and Sori (Racha-Lechkhumi) under the Rural and Agricultural Development Project. The grants are expected to facilitate the development and expansion of activities of different social groups as well as improve the quality of life these areas.
Grants can be used for both funding production as well as for investments in agricultural infrastructure. The maximum amount of each grant is equivalent to USD 10,000, with grant funds covering no more than 75% of the total cost of investment.
