“Pestiferous” impact

15/04/2006 Yuri SIMONYAN

Georgia has lost most part of its export, which was one of the main sources to fill the Georgian budget. Russia affected the weak economy of Georgia by closing the import of alcoholic drinks from Georgia. According to the official information from Russia there were pestiferous materials in the imported wine and brandy. But Moscow isn’t doing anything to contradict the announcements of Georgia saying that this is a political act. The Georgian authorities announced that they were going to organize a big wine festival in Russia and invite famous specialists and testers to try their wine. They were also going to organize such things in Ukraine and Kazakhstan. Later Saakashvili petitioned wine producers to look for new markets for them. But…

The head of the “Caucasus Democratic Institute” development foundation, Maya Nikoleishvili worries over the fact that this sanction was set unexpectedly. “This is a reply to the critical announcements of the Georgian officials which insulted the Russian officials. So what is surprising and unexpected here?”, she said on “202” oppositional TV channel. According to her, Moscow is already fed up with the Georgian baseless announcements and this is an adequate reaction to them. “This proves once more that the Georgian authorities don’t do what they’re supposed to. You can be in such bad relations with your neighbor only in case you want it much”, said Nikoleishvili. As for her opinion regarding the future developments, she thinks that the relations with Russia will not get better in the nearest future.

Anyway in this critical situation the authorities are trying to do something. The Government has made a decision to set privileges for wine producers and will not tax them during these three months. Minister of economical and structure reformation, Kakha Bendukidze tried to explain this embargo and said that the recent developments proved that the Georgian wine producers hadn’t looked for new markets for them before and hadn’t diversified their markets and got used to the Soviet traditions and imported wine only to Russia. “This embargo on our wine products proves once more that our products have very good quality. Russia has a bad habit: they refuse good things. Before they used to create limitations for flowers from Holland, American chicken, fish from Norway, even watches made in Switzerland and milk from Ukraine”, said Bendukidze jokingly.

As for wine producers, they are not joking. Almost 80% of their products used to be sold in the Russian market. Calculations show that they have a huge impact. “We are going to organize meetings with our clients from Russia and even start negotiating with administrative officials. We will do our best to check all the Russian laboratories and proceedings connected with our wine”, said head of the Georgian union of wine makers, Levan Koberidze.

In spite of what Georgians say regarding this, there are other explanations too. Some people say that Moscow wants to help Saakashvili, whose rating has fallen down much. The Georgian society is starting to keep an eye on him again. The positions of Saakashvili are positive: if he manages to get out of the crisis, he will benefit much, and if not, Georgians will start speaking about the enmity of Russia and how the Russians want to have an impact on the economical development of Georgia. It is said that after they take the embargo out some of the companies will not return to Russia again, the only ones to return there will be the ones that have intimate ties with the Governmental elite.