The Georgia government has introduced another progressive policy for the country’s agriculture sector. Under this new policy people living in highland settlements will be able to purchase small-scale agricultural machinery with state co-financing.
The decision to increase farmers’ access to small-scale agricultural machinery in highland settlements was taken at the session of the Government of Georgia. The Rural Development Agency will implement a special program called “Program of Agricultural Equipment Co-financing in Highland Settlements”. The budgetary amount for the program is 5 million GEL.
It is worth noting that the people living in the highland settlements own small agricultural land but there is a high demand for hand tractors (monoblocks). The new state program was created to meet these people’s demands. Under the new program financial aid can be received by an individual with permanent resident status in a highland settlement who owns agricultural land.
Small machinery with a capacity of (7 cubic meters) purchased by people living in highland titles will be financed within the program’s framework.Farmers will be able to benefit from this scheme in 2024 and the submission of the applications will start in April this year.
It should also be added that due to state programs in the agrarian field the number of gardens are increasing every year which has increased the demand for harvesting equipment. At the same time the state’s goal is to provide more farmers and agribusiness people with modern harvesting equipment to maintain high-quality agriculture production as well.
Similarly implementing international practices of using modern machinery in agricultural activities will make harvesting more operative and efficient. This year the total budget of the co-financing program for harvesting agricultural machinery has been increased. Last year 7 million GEL was allocated and this year it is 10 million GEL.
On the other hand considering the high interest in the program the state co-financing percentage has been determined at 30% of the cost but not more than 150,000 GEL. Under the new program terms the central government can also provide co-financing assistance for purchasing grape harvesting equipment.
Notably the state prioritizes promoting the development of modern-standard agro-industries. Therefore several programs are being implemented to increase farmers’ access to different farming facilities and new agricultural machinery.
According to recent data from 2013 to now 7500 units worth more than 440 million GEL such as agricultural machinery and implements of different powers have been purchased across the country. The amount of co-financing of the Agency for Rural Development also exceeds 122 million GEL.
