Government cautions business regarding the Russian market

16:33 26.11.2013
Georgia

Businessmen interviewed by "Commersant" agree with the statement made by the Minister of Economic Development about the risks on the Russian market. Giorgi Kvirikshvili says that the Georgian business shouldn’t rely on the Russian market: after initialing of the agreement with the European Union there are theoretically economic risks from Russia, government warns a business that Russia is not the market on which it cannot  rely 100%.

Wine Company "Schuchmann Wine Georgia" Director General explains  that the association agreement with the EU will promote the development of winemaking. According to Nutsa Abramishvili, relations with the Russian market gave companies some experience and in the Russian embargo period "Schuchmann Wines "  carried out diversification activities. In her words, each market should be treated with caution because there is a danger of potential risks. With regard to a possible pressure from Russia, “Schuchmann Wines” chief says risks are more long-term, because the association agreement takes a number of procedures and time.

According to "Tbilvino" Director,  Western Europe is marked by a greater stability, a certain  risk exists in the post-Soviet countries. Giorgi Margvelashvili notes that Ukraine, Russia, Belarus, Kazakhstan are the countries where Georgian wine is more famous, but for some periods crises is observed in these markets as well. The businessman thinks that every company should consider the risks and develop a strategy. He adds, "Tbilvino " is trying not to become excessively dependent on Russian market and if before the embargo 50% fell on  exports to Russia, today the figure is only 20 %.

 

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