Sunday, October 14, 2012

After "Tbilvino", other wine companies speak about state intervention in wine business

10.10.2012. After "Tbilvino", other wine companies are talking about the government’s intervention in wine business.

Tbilvino's director general Zurab Margvelashvili announced that the state grew a farmer’s satisfaction at the expense of private companies and doubled the price for rkatsiteli for the company. The announcement was made by the company's director at a meeting of Bidzina Ivanishvili with businessmen.

According to “Askaneli Brothers” founder Jimmy Chkhaidze, the state artificially increased the price of grapes this year and participated in its regulation.

“If the state establishes the price of 3 GEL for grapes, we have to pay 3 GEL, so we’ll have a loss,"- Chkhaidze says.

In his words, the harvest subsidizing is not bad, but the state should not take part in regulation of prices for grapes, as this is clearly means interference with business.

"Alaverdi" company's director Zurab Gogashvili calls vintage subsidizing absurd.

He notes, though Alaverdi has its own vineyards and does not have to buy grapes, the state subsidizing is unjustified.

Shuchmann Wines' commercial director Levan Davitashvili partially agrees with this opinion. He notes the company owns its own vineyards, but he shares the assessment that the state increases a farmer’s satisfaction at the expense of private companies.


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