Roadmap for Developing Cultural and Creative Industries in Georgia by კულტურისა და სპორტის სამინისტრო

CREATIVE GEORGIA: Roadmap for Developing Cultural and Creative Industries in Georgia 2016-2017

Foreword “Capitalizing US$ 2,250 b and nearly 30 million jobs worldwide, the cultural and creative industries are major drivers of the economies of developed as well as developing countries. […] in addition to its economic benefits cultural and creative industries generate nonmonetary value that contribute significantly people-centred, inclusive and sustainable development.” Irina Bokova, Director-General of UNESCO (2015)*

Cultural and creative industries (CCIs) rely first and foremost on the power of creativity. Creativity can be culture-based1, derived from different arts sectors, such as performing and visual arts, music, literature, etc. and reflect diverse up-to-date methodologies and the latest trends in new-technologies. Developing CCIs is important for many reasons. Creativity is a cornerstone for knowledge-based society and economy and contributes to different life areas and countries’ sustainable development in general. CCIs are critical in internationalising culture through increased exports of creative goods and services at international markets. They promote country’s image and generate wealth by encouraging cultural tourism. Strong creative industries generate diverse creative processes, form creative communities and develop smart and creative cities. Given the history of the Georgian multiculturalism, the culture-based creativity represents one of the crucial national assets and a unique source for developing creative industries. Since CCIs represent transversal dimension in relation to different areas, amongst them education and economy, they act as catalysts in 4-point Reform Plan of the Government of Georgia2. Besides, they represent one of the strategic directions of Culture Strategy 2025, adopted by the Government of Georgia on July 1, 2016.

Creative Georgia Roadmap was elaborated based on the recommendations received in the framework of the

series of sub-sectorial roundtable meetings with the representatives of CCI sector, held on September 7- 9, 2016 and under the guidance of the leading EU experts from the EU-EaP Culture and creativity programme. The aim of the Document is to set the vision, objectives and corresponding timeframe indicating specific activities to be implemented.

* Cultural Times: The first global map of cultural and creative industries, EY, 2015, pg. 5 1 Culture-based creativity: creativity that comes from artists, creative professionals and the cultural and creative industries. It is linked to the ability of people, notably artists and creative professionals, to think imaginatively or metaphorically, to challenge the conventional and to call on the symbolic and affective to communicate. (The Smart Guide to creative Spill-overs, KEA, 2015, pg. 17) 2 Four-point Governmental reform plan includes: reform of the tax administration, the startup funding mechanisms, governance reform, reform of the infrastructure and regional development and reform of the educational system; The official webpage of The Government of Georgia

3 I. Strategic Framework

“Creative industries represent an important source for job creation, economic growth and innovation, it is a competitive sphere of activity.” Culture Strategy 2025, Georgia The developed CCIs result in more competitive products and services, both within the cultural sector as well as in other sectors at national and international levels. The Government together with local municipalities, private sector and non-governmental organisations need to work together to create a favourable environment, where creative businesses have the chance to fully unleash their potential. Among others, following objectives are outlined: awareness raising initiatives for all stakeholders; mapping the current state of creative industries; creating and strengthening business development organisations, creative incubators and clustering platforms; developing sector-specific funding programmes and incentives; organising information campaigns about IPR and related rights and implement relevant law enforcement mechanisms; etc. The Roadmap is a working paper with recommendations for launching the process of developing creative industries in Georgia. In this document Cultural and Creative Industries (CCIs) is used as a term uniting the key subsectors associated with arts, culture and creativity.

“Cultural and creative industries - The industries producing and distributing goods or services which embody or convey cultural expression, irrespective of the commercial value they may have; also industries in which the product or service contains a substantial element of artistic or creative endeavour. Besides the traditional arts sectors, creative industries encompass the audiovisual sector, advertising, media and broadcasting and etc.” Culture Strategy 2025, Georgia Different countries have different approach of identifying specific sub-sectors constituting CCIs. Usually, the list of the subsectors reflects on the context associated to arts, culture and creativity from the viewpoint of specific nation and/or organisation (e.g. UNESCO, WIPO, etc.). Based on the most widely used classifications and definitions of CCIs in the European Union and its Member States3, as well as taking into account the local traditions and approach, CCIs have been classified in Georgia as follows:

E.g. the UK approach – Creative Industries, the French approach – Cultural Industries, KEA’s 2006 proposed system of subsectors, etc.; (The Economy of Culture, KEA, 2006, pp. 44 – 57) 3

Subsector

Covered areas:

Performing arts

Theatre, dance, ballet, opera performances and musicals, circus, etc.

Visual arts

Paintings, sculpture, drawings, prints, photography, etc.

Crafts

Textiles, ceramics, wood, metal, glass, graphic and leather crafts, etc.

Heritage

Tangible and intangible heritage, heritage sites, archaeological sites, museums, libraries, archives, etc.

Audio-visual sector

Film and video

Interactive Leisure Software

Computer and video games, educational materials, etc.

Literature and publishing

Books, journals, periodicals, etc.

Music

Both live and recorded music

Design and Fashion

Closing manufacture and other specialised design activities, such as industrial, interior design, etc.

Architecture

Construction activities, landscape architecture, engineering, etc.

Advertising

Marketing and PR materials

Media & Broadcasting

TV, radio, newspapers, etc.

5 II. Framework for developing Cultural and Creative Industries There are number of transversal dimensions to be considered within the process of developing creative industries countrywide. Those dimensions are summarized in the Framework for developing Cultural and Creative Industries within the Policy Handbook* elaborated by Working Group of EU Member State Experts on Cultural and Creative Industries. In addition to the original framework there are additional items: exports and internationalization, which was elaborated by the new mandate of the Working Group on Cultural and Creative Sectors. Framework for developing Cultural and Creative Industries (CCIs) Based on the Report of EU OMC Working Group on CCIs, 2012

Strategic alliances Institutional framework

Strategies Policies Measures

Creating preconditions

Awarenessraising Information services

Aim: favourable environment for developing CCls

Exports and internationalisation

Creative business incubation Access to finance

Strengthening CCls Aim: competitive and exporting creative enterprises

Mappings Studies

Networks and clusters

Capacity building Physical infrastructure

Innovation and prosuctivity

Education and lifelong learning

Social innovation and well-being

Tourism and branding

Regional development

Environmental sustainability

Spillover effects

Aim: bridging CCIs with rest of the society and economy

* Policy Handbook on How to Strategically use the EU support programmes, including Structural Funds, to foster the potential of culture for local, regional and national development and the spill-over effects on the wider society? European Union Open Method of Coordination, Expert Group on Cultural and Creative Industries, April 2012, EU

6 1. Creating preconditions

1.1. Successful policies and strategies for developing CCIs have been based on a clear understanding of the specific characteristics of the CCIs in the region: their strengths, weaknesses, key enablers and overall development trends. […] [T]he first step towards developing an appropriate strategy supporting CCIs has been in many countries and regions all over the world a mapping exercise. The aim of a CCI mapping is to acquire an overview of the sector, both in terms of volumes and location. […]. 1.2. CCIs are by nature inter-disciplinary, they combine culture on one hand, economy on the other and many other connected areas as education, innovation etc. Therefore it is crucial to get all different stakeholders from the government, business community and non-governmental sector together to create an integrated strategy for the CCIs. […] Strategic alliances can take many different forms: ad hoc working groups consisting of partners for economic, cultural, regional and other departments or ministries; a specific unit within government responsible for CCIs; permanent networks for different stakeholders; government arms-length organisations (public or semi-public bodies); non-governmental organisations carrying out the public tasks; cross-border networks for cities, regions or national governments. 1.3. Awareness-raising about the potential of CCIs in boosting socio-economic development is a continuous process […]. The target group for these activities is wide – starting from the policymakers, cultural operators, creative entrepreneurs, other industries as well as the general public. Awareness-raising initiatives serve many different aims, including encouraging cultural people to start their businesses, enhancing cooperation between creative entrepreneurs, educating both the entrepreneurs and the consumers, bridging CCIs with traditional industries, [promote crowdfunding] etc. To increase awareness, there are many activities that local or regional authority could […]: organising study visits; disseminating results of mappings and studies; organising conferences, seminars and workshops; collecting and disseminating good practices; creating web pages and issuing newsletters; developing communication channels and providing public relations support; developing web-based services for CCIs; etc. 1.4. After establishing preconditions and setting the organisational framework for a strategic development of CCIs, the next critical step is to develop the adequate political tools for the sector. On different level these tools might take different forms, including regional strategies, local development plans and national policy papers. […]. All in all there are two main options that are often used in complementary terms. Firstly, establishing a separate CCIs policy or strategy, and secondly, integrating CCIs into many other key policies and strategies.

7 2. Strengthening CCIs

2.1. Capacity building of the CCIs is vital because the operational environment in the sector is undergoing rapid and strong structural change. The change is due to brisk technological development, notably digitisation, as well as to the global development in the market. Digitisation has caused changes in the distribution channels, which in turn requires new competencies in business, particularly as concerns the supply and marketing of works, products and services. Cultural and creative entrepreneurs are often lacking business skills like marketing, project management, and digital skills. There is a need for strong professional education in all levels of education system. 2.2. In order to increase the capacity of CCIs to experiment, innovate and grow, there is a need to promote the development of an appropriate infrastructure at local, regional and national levels, contributing to the emergence of creative communities: CCIs need networking and collaborative spaces – whether physical or virtual, temporary or permanent […]; CCI businesses need multi-disciplinary environments where they can easily cluster with academia and other economic sectors in a dynamic way […]; Cities’ old industrial infrastructures could ideally be converted into such innovation and creativity clusters, thus providing leverage for local economic development, urban regeneration, territorial and regional attractiveness and rural development; […]. 2.3. There is no unique definition or criteria for cultural or creative incubators. They vary in size, location, working principles and selection of tenant companies. Some incubators concentrate more on cultural operators (working mainly as residencies), others purely focus on creative entrepreneurs or target a certain cluster of companies, such as games companies. 2.4. CCIs, in particular SMEs, encounter difficulties in accessing the funds they need to finance their activities, both in terms of credit and equity. […] [T]here is a crucial role to be played by public authorities – particularly regional authorities – in stimulating private investment and promoting public private partnerships for the benefit of their CCI SMEs, notably through guarantee mechanisms or venture capital funds. 2.5. Stronger clusters between enterprises increase the opportunities for companies to do business. Physical spaces, such as incubators create a single-location cluster, but a cluster or network can also be created within a region or a country. The key success factor is to have enough diversity in the network, so that interaction leads to exchange of knowledge and business. Functioning networks operate long term, but in the same time they are dynamic and flexible, strengthening local connections as well as providing a platform for exports. 2.6. Strengthening export opportunities helps creative enterprises to expend the scope of operations, what in turn, results in increased sales. Moreover, increased export of creative goods and services serves to promote country’s image and contributes its economic development.

8 3. Spill-over effects CCIs produce many different types of positive spill-overs on the economy and society as a whole: from inspiring and nurturing creative and innovative entrepreneurism to designing new public service transportation or new interactions between patients and health service staff, from promoting innovation in other sectors of the economy to promoting behavioural shifts or fuelling digital devices and networks, from promoting a more quality-oriented tourism in regions and cities to helping social regeneration of deprived areas and innovative forms of teaching, from design thinking in all types of settings to the use of culture and creativity as a management tool for improving working relationships in companies, etc.

III. Latest Achievement and Challenges (2016 – 2017) CCIs represent the priority for the Government of Georgia and one of the strategic directions within the Culture Strategy 2025. Therefore, from the beginning of 2016 onwards the Ministry of Culture and Monument Protection of Georgia initiated and supported a number of activities aimed at developing the sector. Since creative industries are interdisciplinary by nature and the development of the sector requires cross-cutting approach, the Ministry of Culture and Monument Protection of Georgia (hereafter referred as the MoC) initiated the establishment of the Inter-Governmental Commission for Developing Creative Industries in Georgia in March, 2016. Comprising the representatives of different state agencies, such as the MoC, the Ministry of Education and Science of Georgia, the Ministry of Economy and Sustainable Development of Georgia, the Ministry of Sport and Youth Affairs, the Tbilisi City Hall and Tbilisi City Assembly, Enterprise Georgia and the Georgia’s Innovation and Technology Agency, the aim of the Commission is to mobilise all available resources at relevant governmental agencies in order to implement (joint) projects. The MoC in partnership with the Ministry of Culture of Estonia contributed to the study visit of the Georgian Delegation composed of the members of the abovementioned Commission in April 2016. The delegates were given the opportunity to observe the components of Estonian creative ecosystem and the functioning of different organisations, such as creative incubators and

creative hubs. This experience shall result in forming joint initiatives in the forthcoming years. Georgia was the first EaP country to join Creative Europe Programme, the EU programme for the support of cultural and creative sectors. Since the signing of an Agreement in 2015, Georgia has 5 beneficiary projects: European Theatre Lab: Drama Goes Digital, CineDoc-Tbilisi International Documentary Film Festival 2016, European Film Clubs and Schools Licensing, The Short Lessons in Cinema and School of Film Agents. On May 20-21, 2016 the conference Women and Art for Economic Development was held in Tbilisi. The conference was organized by the Art International Women’s Association (AIWA), founded by famous Georgian women (film directors, actresses, artists, musicians, film producers, etc.). The event, along with promoting the national arts, highlighted the role of women in arts and economy. On September 29-30, 2016 the conference Turning Tbilisi into Creative Hub – Designing Cultural and Creative Ecosystem for City Development is organised by the non-governmental organisation Creative Georgia in partnership with Tbilisi City Assembly and Tbilisi City Hall, the EU-EaP Culture and Creativity Programme and the MoC. The conference, as an awareness-raising instrument, contributes to the stimulation of the favourable environment for developing creative industries in Tbilisi and to the city’s transformation into the creative hub of the EaP region.

9 At the end of the September 2016 the webpage – www. creativegeorgia.ge is going to be launched. The e-platform encompasses different functions. First, it provides the up-to-date information regarding the development process of creative industries at national level and about the major platforms for developing creative initiatives. Moreover, contemporary research materials, mapping results, success stories, etc. are going to be shared throughout the platform on a regular basis. The webpage also offers the platform Connect, through which creative people, representing different areas are given the opportunity to cluster. From April 2016 the MoC and EU-Eastern Partnership Culture and Creativity Programme contributes to organizing the international Forum Culture and Creativity for Innovation and Development: Roadmap for Creative Georgia in partnership with Tbilisi City Hall, Georgia’s Innovation and Technology Agency and Creative Europe Desk Georgia. The aim of the Forum is to raise the awareness about cultural and creative sectors and their social and economic contribution to sustainable development of countries and regions, to strengthen cooperation between different stakeholders, to introduce key cultural and creative developments and trends and share EU experience in developing cultural and creative sectors, to support local and national policy development initiatives, and to highlight good practices from Eastern Partnership countries. In addition, the Forum promotes regional cooperation: the Tbilisi Manifesto for Creative Industries Development in the Eastern Partnership Region shall be signed by the heads of EaP countries’ official delegations. The event is going to be held on December 8-9 2016 in Georgia’s Technology Park in Tbilisi. The provisional list of the guests include the Prime-Minister of Georgia, the ministers from 6 EaP countries, the representatives from the Directorate-General Education and Culture and the Directorate-General for Neighbourhood and Enlargement Negotiations, the experts and speakers from Europe and the representatives of culture and creative sector from Georgia. Throughout 2017 the MoC aims to implement different activities aimed at developing CCIs.

Open call for supporting the business projects of creative entrepreneurs, awareness raising campaigns and competence building and clustering programmes shall be announced. In addition to this, the MoC shall cooperate with the universities of higher education under the Ministry in order to develop incubation programmes. In the framework of special initiative (Creative Cup Georgia) the development of 3 creative projects are going to be supported in order to present them at the international competition (Creative Business Cup4), held on an annual basis in Copenhagen, Denmark. In the framework of the Inter-Governmental Commission for Developing Creative Industries different joint programmes and projects are going to be planned and implemented, e.g. the MoC, the Ministry of Education and Science of Georgia shall jointly contribute to transforming the institutions of professional education into the fablabs corresponding to international standards. In January 2017 UNESCO Culture for Development Indicators (CDIS), research results (carried out by the Stichting Caucasus Foundation) are going to be available, representing an useful database for developing creative industries at the national level. In 2017 Regional Database of Cultural Resources is going to be created. At the first phase, the system will provide the information about the infrastructure, funding and cultural programmes of different state organisations from cultural and creative sector from Tbilisi and the regions. In addition, EU-Eastern Partnership Culture and Creativity Programme shall contribute to large extent to the development of CCIs in Georgia and across the EaP region. First, in March 2017 the results of a joint creative industries research in all six Eastern Partnership countries, including Georgia is going to be be available. By April 2017 the outcomes of the research on developing performing arts sector in Georgia will be presented as well.

Creative Business Cup empowers entrepreneurs in the creative industries, connects them to investors and global markets and strengthens their innovative capabilities to the benefit of industry and society (For more information, please refer to the official webpage of the project - http://www.creativebusinesscup. com). 4

10 The other large-scale project is Creative Towns and Regions Initiative under which a methodology for mapping CCIs and relevant resources in small and medium sized towns and regions in all six EaP countries, including Georgia is going to be developed. A public call will be launched by the Programme to find the town / region from Georgia with creative industries visions and corresponding mapping will be conducted. This is going to be followed by developing a network of Creative Towns and Regions in EaP area. Results are going to be presented by December 2017. Crafts sector, representing one of the most dominant CCI sub-sectors in Georgia, is supported by the MoC on an annual basis, by giving national artisans the opportunity to exhibit their products at international markets, such as Tendance (Frankfurt), L’Artigiano in Fiera (Milan), but also at national level (e.g. Caucasus Tourism Fair - CTF 2016).

Fashion industry represents other key subsector in Georgia with huge international potential. With this in mind, both the MoC and Enterprise Georgia contribute to major fashion events in Tbilisi, such as Mercedes Benz Fashion Week and Tbilisi Fashion Week, where national designers have the chance to present their products to international buyers. The MoC actively supports the publication of materials and online platforms aimed at promoting the products of national artisans and creators, e.g. Souvenirs from Georgia is an interactive catalogue showcasing traditional crafts from Georgia, DesignTbilisi6- providing the information about the designers and architects, but also about the visual artists from Georgia, etc.

Along with the crafts industry, in partnership with the Georgian National Film Center and Enterprise Georgia (LEPL under the Ministry of Economy and Sustainable Development) the MoC actively supported different projects aimed at promoting Film in Georgia5 initiative in 2016.

Film in Georgia is the newly launched film industry incentive scheme offering 20% cash rebate of qualified expenses incurred in Georgia and aiming to support the film industry development in Georgia. Additional rebate of up to 5% is available on the condition that the production includes promotional elements of Georgia, in other words meets the so called “Cultural Test” (For more information, please visit the official webpage of the initiative.) 6 For more information, please visit the official webpage - www.designtbilisi.ge 5

11 IV. Process and Indicative Timeframe Activity

Timeframe

Organised by:

Comments:

Sub-sectorial roundtable meetings

September 7-9, 2016

The MoC, EU-EaP Culture and Creativity Programme

The meetings contributed to delivering the recommendations from the professionals representing different CCI sub-sectors. The recommendations served to define main issues within the sector and corresponding priorities highlighted within the Roadmap for Developing Creative industries in Georgia.

Presentation of the Roadmap for Developing Creative Industries in Georgia

September 26, 2016

The MoC

The Minister of Culture and Monument Protection of Georgia shall present the Document to the representatives of CCI and discuss relevant actions envisaged within the Document.

Conference - Turning Tbilisi into Creative Hub – Designing Cultural and Creative Ecosystem for City Development

Policy Seminar with the representatives of CCI sector

December 7, 2016

The MoC, EU-EaP Culture and Creativity Programme

Forum: Culture and Creativity for Innovation and Development: Roadmap for Creative Georgia

December 8-9, 2016

The MoC, EU-EaP Culture and Creativity Programme, Tbilisi City Hall, Georgia’s Innovation and Technology Agency, Creative Europe Desk Georgia.

September 29-30, NNLE Creative Georgia, 2016 Tbilisi City Hall and Tbilisi City Assembly, The MoC, EU-EaP Culture and Creativity Programme,

Objectives: - raise awareness of modern essence of design and use it as a tool for creation favourable pre-condition for developing creative and innovative ecosystem; - analyse the needs to upgrade education curricula in order to strengthening cross-disciplinary initiatives, utilise the design thinking processes in reinforcement of cultural and creative industries on the local and the regional levels; - etc. The meeting serves to document the recommendations from the representatives of CCI subsectors. The recommendations will be presented in the framework of the Forum on December 9, 2016.

Objectives: - raise awareness about cultural and creative sectors and their contribution to social, economic and sustainable development; - strengthen cooperation between different stakeholders; - introduce key trends and share the European Union’s experience; - support local and national policy development initiatives in Georgia; - etc.

12 The Manifesto highlights the importance of the regional cooperation between all 6 EaP countries in order to develop CCI sector. The Manifesto is planned to be adopted by the EaP Delegations in the framework of the Forum on December 9, 2016.

Presentation of the Tbilisi Manifesto for Creative Industries Development in the Eastern Partnership Region

December 9, 2016

EU-EaP Culture and Creativity Programme with the contribution of 6 EaP countries.

Cross-disciplinary business development workshop TeamLAB Georgia 2016

December 10, 2016

The MoC, EU-EaP Culture and Creativity Programme, Georgiaâ&#x20AC;&#x2122;s Innovation and Technology Agency

Post-forum roundtable meeting of the Commission for Developing Creative Industries in Georgia

January 2017

Inter-Governmental Commission for Developing Creative Industries in Georgia

Presentation of UNESCO Culture for Development Indicators (CDIS) research results

January 2017

The Stichting Caucasus Foundation

Open call for the creative entrepreneurial projects

2017

The MoC

The MoC shall support the development of creative business projects throughout the year.

Open call for supporting awareness raising and competence building projects and the projects aimed at developing clustering platforms

2017

The MoC

The MoC shall support different initiatives aimed at raising the awareness about CCIs and developing relevant skills amongst different actors throughout the year. The priority will be given to the projects contributing to the creation of different collaborative platforms.

The project will bring together up to 50 students from different study fields and universities. TeamLAB is a workshop where ideas meet teams. Teams comprising the students with different skills are created on spot. During the Workshop ideas are shared, validated and discussed in teams under the guidance of the mentors, who are contributing with their knowhow to get the best out of the idea. The goal is to network with different people from different fields and develop creative products / projects. The winning team will receive a personal development package from the EU-Eastern Partnership Culture and Creativity Programme. The meeting serves to identify the joint activities aimed at developing creative industries in Georgia in 2017.

UNESCO has developed a methodology to demonstrate cultureâ&#x20AC;&#x2122;s role as both a driver and enabler of development. The methodology examines seven key policy dimensions: Economy, Education, Governance, Social Participation, Gender Equality, Communication and Heritage.

13 12

Presentation of the research results of a joint creative industries research in all six Eastern Partnership countries

March 2017

EU-EaP Culture and Creativity Programme

Presentation of the research results on developing performing arts sector in Georgia

April 2017

EU-EaP Culture and Creativity Programme

Open call for supporting the development of creative projects and the participation in the framework of the Creative Business Cup

2017

The MoC, Startup Georgia

In the framework of the open call 3 creative projects will be selected and relevant support mechanisms will be provided.

Creation of Regional Database of Cultural Resources

2017

The MoC

The information about the infrastructure, funding and cultural programmes of different state organisations from cultural and creative sector from Tbilisi and the municipalities are going to be available to the public.

Developing art incubators at educational institutions

April 2017

The MoC

Within the educational institutions under the MoC the development of incubation programmes will be supported.

Developing fablabs at the institutions of professional education

Creative Towns and Regions Initiative

2017

December 2017

The MoC, the Ministry of Education and Science of Georgia

At present, highly equipped institutions of professional education operate under the Ministry of Education and Science of Georgia. The initiative aims to extend the scope of the operations of these institutions with the functions of fablabs corresponding to international standards.

A public call will be launched by the ProEU-EaP Culture and Creativ- gramme to find the town / region with creity Programme ative industries visions and corresponding mapping in the selected small or medium sized town / region from Georgia will be conducted.

The Ministry of Culture and Monument Protection of Georgia Address: Georgia, Tbilisi, 0105, Sanapiro Street 4 Tel: +995 32 2 987 430 Web: www.culture.gov.ge FB: facebook.com/culturegovge E-mail: mc@culture.gov.ge