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Whether Georgia will be Recognized the Cradle of Wine to be Known in December devaluation

Devaluation of the Kazakh Currency Had an Impact on Georgian Winemakers’ Revenues

After the Russian market, Belarus and Kazakhstan have also become  problematic for Georgian winemakers – economic problems and the devaluation of the national currencies in  these countries have  already had a negative impact on revenues of Georgian winemakers.

According to Tbilvino Director George Margvelashvili, 2015 was a bad year in terms of exports which fell by 20%, the most significant decrease was observed in the Ukraine, Russia and Belarus. The decline in demand is also registered in Kazakhstan.

“2014 was  very good, in particular, wine exports to Russia grew abruptly. A drop in exports to the CIS countries we are trying to compensate by the growth of exports to the Baltic countries, Poland and the United States. We found new partners in Germany and Australia. In addition, sales are growing in the local market. In the current period of 2015, sales on the Georgian market  have increased 15% compared to  the same period of 2014,” he notes.

Tbilvino Director predicts that  2016 will be better than 2015.

“Despite this, the wine industry is not able to master the entire grape harvest, which is available in Georgia. In 2016, the wineries will still have large stocks of products, and it will be again a challenge for the industry,” George Margvelashvili explains.

Berika company  also talks about a decrease in exports.

According to its Director Lasha Revazishvili, in 2015 the company’s sales abroad fell sharply. In particular, exports to Kazakhstan decreased by 50%, the company faces problems   in Russia and Ukraine.

“We are trying to compensate for losses in the CIS by  growing exports to China. We plan to double deliveries to this country. We have resumed negotiations with our partners in Russia and Ukraine and hope that the situation will improve with time,” he adds.