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Russia and Georgia: No place for competition

2012-11-26 19:22

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Not only Georgian now-banned wine and mineral water, but also citrus return to the Russian market very soon, Prime Minister of Georgia Bidzina Ivanishvili said the other day. In Russia this news was taken rather cool. As it turned out, there is no real competition between Georgian and Russian producers. "The ban on the import of Moldovan wine has played a major role in the development of Russian wineries, and the ban of Georgia's wine had no effect", said the expert Eugene Kritsky.

"Georgia was represented in the Russian market is very modestly", the head of Horticulture and Viticulture Department of Agriculture Ministry of Krasnodar region Eugene Kritsky said. Both wine and citrus are being shipped out in small amounts. "Kindzmarauli" and "Khvanchkara" are being produced Abkhazia and Abkhazia is accessable. So I see no big problem here".

According to Kritsky, lack of Georgian goods in the market has not become an incitement to strengthen the position of domestic producers. "The ban on the import of Moldovan wine has played a major role in the development of Russian wineries, and the ban on Georgia's goods had no impact", he said.

According to the Krasnodar officials, it's not even worth talking about the competition in the production of citrus fruits. "Russia is now full of imported citrus. They import millions of tons oranges. Moreover, for the Krasnodar Territory the citrus production has such small percentage that we even do not keep separate statistics in this area. This situation is similar to situation with the tea. Do you know, how much tea we produce? 0.1 percent of consumption in Russia. And this is despite the fact that the enterprises for the tea production are still working. I think the situation with citrus is even worse - the companies producing them virtually do not exist".

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