Fresh grapes market in Georgia

Earlier Report Observations

From 2018 to 2020, Georgia's fresh grape market volume grew from 260.9 thousand tonnes to 317.7 thousand tonnes. This expansion was supported by state subsidies for the grape sector, which lowered production costs. In 2018, a technical regulation defining permitted winemaking processes and materials was adopted, promoting standardization. In 2019, substantial investments in winemaking research and innovation helped improve viticultural practices.

In 2021, market volume dropped to 273.0 thousand tonnes, largely due to the contraction of the Russian market for Georgian wine, which reduced demand for grapes. Winemaking subsidy programs continued alongside efforts to diversify export markets. In 2022, an increase in viticulture development subsidies to about GEL 150 million contributed to a recovery to 288.6 thousand tonnes. In 2023, although subsidy policies remained, their volume was cut, coinciding with a further decline in the market to 223.7 thousand tonnes. Concurrently, Georgian wine exports grew to new markets like China and other Asian countries, creating potential demand for grapes.

Market structure also evolved, with close ties between major winemaking companies and the ruling party noted in 2023, influencing subsidy allocation. By 2024, around 600 companies were active in the sector, indicating player expansion. That year, the government tightened grape quality control by introducing new sugar content categories (minimum 17%) and shifted subsidy distribution to a centralized system via the Harvest Management Company. New regulations were also approved, mandating state approval for new commercial vineyards starting from 2026.

Production fresh grapes in Georgia

In kind, 2017-2020, K t

Top producers of fresh grapes, 2017-2020

World map of production of fresh grapes, 2017-2020

Georgia's fresh grape production has grown for the third consecutive year. In 2020, the country produced 316.9 thousand tons of fresh grapes, representing a 7.9% increase from the previous year. Over the period from 2017 to 2020, production rose by 75.3%, with an average annual growth rate of 20.6%.

Annual dynamics of production in Georgia in kind, 2017-2020, K t

In value, 2017-2020, M $ US

Georgia's fresh grape production value has increased for the third year in a row. In 2020, the output of fresh grapes was valued at 247.6 million US dollars, marking a 3.9% rise compared to the previous year. Between 2017 and 2020, production value grew by 54.2%, equivalent to an annualized rate of 15.5%.

Annual dynamics of production in Georgia in value, 2017-2020, M $ US

Exports fresh grapes from Georgia

Exports in kind, t

The data shows irregular changes, indicating a volatile market environment. Exports reached their lowest point in 2019 at 98 tons, then peaked in 2018 at 1 126 tons—a difference of 11.5 times. In 2020, Georgia exported 462 tons of fresh grapes, up by 373.2% from the previous year. The largest decline occurred in 2019, falling by 91.3%, while the largest increase was in 2018, rising by 920.4%.

Annual dynamics of product's exports from Georgia in kind, 2017-2020, t

From 2017 to 2020, Russia was the primary buyer of fresh grapes from Georgia, accounting for 89.6% of total exports in volume, with a diverse group of other countries making up the remainder.

Structure of product's exports in kind by countries, 2017-2020

World map of product's exports from Georgia in kind, 2017-2020

Exports in value, K $ US

Volatility characterized the market behavior during these years. Export values varied 10.3 times, from a low of 79 thousand US dollars in 2019 to a high of 817 thousand US dollars in 2018. In 2020, Georgia's cross-border shipments of fresh grapes totaled 361 thousand US dollars, showing a dramatic increase of 355.9% compared to the previous year. The largest decline was in 2019, dropping by 90.3%, while the largest increase was in 2018, rising by 733.9%.

Annual dynamics of product's exports from Georgia in value, 2017-2020, K $ US

From 2017 to 2020, the export structure in value terms was heavily concentrated on Russia, which accounted for 85.7% of total flows, with other partners contributing the remaining volume.

Structure of product's exports in value by countries, 2017-2020

World map of product's exports from Georgia in value, 2017-2020

Imports fresh grapes to Georgia

Imports in kind, t

The market displayed volatility over the observed period. Imports hit their lowest point in 2017, then peaked in 2018 at 2 087 tons—a 1.8-fold gap. In 2020, Georgia imported 1 238 tons of fresh grapes, showing a reduction of 29.3% compared to 2019. The largest increase was recorded in 2018, rising by 79.2%.

Annual dynamics of product's imports to Georgia in kind, 2017-2020, t

Throughout 2017 to 2020, two countries—Armenia and Turkey—accounted for most of Georgia's fresh grape imports in volume, while other markets were individually less significant.

Structure of product's imports in kind by countries, 2017-2020

World map of product's imports to Georgia in kind, 2017-2020

Imports in value, K $ US

Georgia's fresh grape imports have declined for the second consecutive year. In 2020, the country imported approximately 1 059 thousand US dollars of fresh grapes, indicating a contraction of 34.9% compared to the previous year. Between 2017 and 2020, imports decreased by 11.4%, equating to an annualized rate of 4.0%. The maximum value was recorded in 2018 at 1 756 thousand US dollars, with the largest increase that year at 46.9%.

Annual dynamics of product's imports to Georgia in value, 2017-2020, K $ US

Throughout 2017 to 2020, Armenia and Turkey remained the main sources for Georgia's fresh grape imports in value terms, jointly accounting for 92.7% of total flows; other partners each held significantly smaller shares.

Structure of product's imports in value by countries, 2017-2020

World map of product's imports to Georgia in value, 2017-2020