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Journal number 4 ∘ Gurami Iosebashvili
The Economic Effects of Grape Subsidies in kakheti region

Expanded Summary 

   Grape subsidy policy in Georgia, especially in the Kṛṭiṭi region, It represents one of the state\\'s largest-scale agricultural interventions, aimed at This is aimed at stabilization of the wine and liquor sector. This program is targeted at both large and small businesses to reduce prices. Negative impact of rain and poor realization of crop to be ensured.

   From an economic point of view, production, as well as expanding export capabilities. Despite positive results, subsidy has risks, because it creates Dependence on the state, which affects the development of the sector. Therefore, economic impacts require a full-scale assessment as short-term Benefits, long-term sustainability analysis.

   Finally, the wheat subsidy program represents a mechanism that has significantly Helped by people living in the area. However, its effectiveness depends on additional political steps: quality control, The collaboration of technological innovations and market diversification. In the right balance, subsidies represent an important tool that Must ensure sustainable economic progress of the sector.

   Proper research and assessment of subsidies in the Kakheti region is even more complex, since viticulture is not only an economic, but also a cultural and historical phenomenon that is part of the country’s image. Therefore, proper planning of subsidy policy should be based not only on short-term financial assistance, but also on a strategic vision that includes the rehabilitation of vineyards, optimization of water resources, increasing resilience to climate change, diversification of the wine market and development of export strategies. Properly planned subsidies in the Kakheti region can be a powerful tool for social protection of farmers, market stabilization and sector development, while in case of improper use, they can become a source of low productivity, stifling innovations and an excessive burden on the state budget. That is why it is necessary for Georgia to review and shape the subsidy model so that it encourages product quality, technological development and long-term competitiveness.

Keywords: Subsidy, Realization, diversification, export, production.