Abstract
Viticulture in Georgia has a centuries-old tradition and plays a significant role in the country's socio-economic life. The Kakheti region is particularly notable, as a large part of its population is engaged in viticulture, making their income heavily dependent on it .
Over the years, many farmers in Georgia have accumulated extensive experience in viticulture, but due to certain challenges, they have been unable to establish themselves as entrepreneurs. Therefore, specific measures need to be taken in this direction.
The policy of grape subsidy contributes to economic stability in the short term, but in the long term, it requires a more balanced approach. In my opinion, if subsidies are used correctly, they will help strengthen farmers and the wine industry, but it is essential that they be timely adjusted to prevent the artificial disruption of market mechanisms. Additionally, I believe it is crucial that subsidies become more targeted, focusing not only on quantitative production but also on quality. Furthermore, for long-term sustainability, alternative economic mechanisms could be implemented, such as:
• Promoting innovation
• Improving insurance systems
• Supporting the production of organic wines
• Developing wine and grape storage facilities
The economic effects of grape subsidies in Georgia are multifaceted. It is important that the subsidy policy be flexible, adapted to market demands, and implemented thoughtfully to ensure its long-term positive impact on the country's economy. It is essential that subsidies target not only the quantity of grape production but also its quality and innovation.