Challenges for the Wine and Spirits Sector During the Pandemic and the Russian-Ukraine War

Georgia is the homeland of wine, with a winemaking history spanning over 8,000 years and encompassing more than 510 grape varieties. In recent years, Georgian wines have gained significant recognition on the international stage, which is why one of Georgia's main obligations is to maintain its ancient winemaking tradition, technique, and showcase the diversity of its indigenous grape varieties worldwide. Georgian wine festivals, such as the "Tbilisi Annual Wine Festival," attract numerous visitors from around the world who wish to study and learn about Georgia's viticultural wealth. In Georgia, alcoholic beverage production is one of the fastest-growing and most profitable sectors, which is progressing quite well, as indicated by the growing popularity of Georgian wine and spirits in international markets. The development of the wine and alcoholic beverages sector is one of the executive government's priorities, as strengthening and advancing this field should lead to the diversification of Georgia's economy and reduce dependence on the tourism sector. The more diversified a state's economy is, the less impact material uncertainties have on the country's financial stability. The wine and alcoholic beverages sector is a significant driving force for economic growth, and the state implements the following measures for its development as a priority sector:

1. Organization of local and international wine product tastings, exhibitions, competitions, and tours;
2. Preparation and publication of articles about Georgian winemaking in specialized international journals;
3. Implementation of viticulture cadaster;
4. Recording of vineyard areas;
5. Conducting laboratory research to prevent counterfeit and low-quality products in local and export markets, etc.

A large share of revenue for companies operating in the wine and alcoholic beverages sector comes from international markets; accordingly, to maintain competitiveness, continuous development and maintenance of product quality is crucial to reduce dependence on the Russian market.