USAID Agricultural Trade Diversification Program
Georgia
Overview
The USAID Agricultural Trade Diversification Program is a five-year program that aims to increase Georgian agricultural exports to high-value markets, reduce Georgia’s dependence on Russia for exports, and improve the climate efficiency of the agricultural sector. The Program will achieve this by cultivating resilient, export-oriented market systems through an approach designed to strengthen linkages between a diverse range of agricultural sector stakeholders, and by stimulating private sector investment to overcome barriers to growth and promote the adoption of innovative, climate-smart technologies.
Expected Impact
- $170 million in new agricultural exports
- $70 million in private investment in the export-oriented agricultural sector
- 3,000 agribusinesses with improved environmental practices
- 370 export-oriented agricultural firms receiving improved services
- 8,000 jobs created, including 1,600 high-value, off-farm jobs
Objectives
- Strengthening business linkages to help Georgian agricultural products reach diverse, high-value export markets.
- Stimulate investment to strengthen market systems, promote the adoption of climate-smart agricultural technologies, and address barriers to growth.
Approach
Program activities will focus on achieving the two complementary objectives by addressing both demand- and supply-side constraints to trade diversification through a market systems development approach.
- By working to connect agribusinesses, nongovernmental organizations, and other relevant actors, the Program will develop a network of stakeholders capable of diversifying export portfolios and meeting international market standards.
- To improve the competitiveness of Georgian agribusinesses, the Program will provide technical assistance and capacity building and leverage private sector investment in export-oriented agricultural firms. With this support, market actors will add value to their exports and reach more lucrative export markets, thereby building an agricultural economy that is both internationally competitive and resilient.
- The Program will also promote private sector investment in innovative, climate-smart technologies and practices, allowing agribusinesses to adopt practices that improve both productivity and resilience.
- The Program aims to address underlying market system constraints and reorient Georgia’s agricultural exports away from traditional markets through:
- Co-investment grants
- Technical assistance
- Partner capacity building
- Access to debt and equity financing
- Supply chain management and logistics
- Policy and regulatory improvements