Producers of chicken meat against the government policy

access_time2018-02-21 14:00:20

The Georgian poultry industry says that the government's policy is aimed at strangling the fully developed sector of the economy such as the chicken meat production.


"Despite the high level of imports, Georgia citizens  prefer to buy local chicken, but despite this, the business sees serious problems associated with the introduced in 2011, the norm under which tax benefits not extend the industry and it has to pay VAT.


In addition, in 2017 another tax for sanitary inspection of products was set - 5 tetri per chicken. This change has caused a storm of indignation among local producers, since there is no such precedent in any country in the world. Because of the new norm, some companies had to increase prices for products, some were forced to stop production.


According to Director of the company Chirina Revaz Vashakidze, because of the VAT, producers cannot reduce the prices for products, despite the consumption of chicken in Georgia is less than in any European country.


 "On average, Europe consumes 28-32 kg of  chicken meat  per year, while in Georgia - only 12 kg. This difference is primarily associated with high prices for products. We could reduce them, but tax norms do not allow us to do this, "he explains.


The development of local production was announced  by the government as one of the priorities, however, the poultry farmers are talking about  a paradoxical situation: the authorities try to stimulate local business through dubious and completely ineffective state programs, but at the same time hinder the development of a successful industry that works by itself without requiring assistance  from the government.


 The tax policy kills poultry farming, it should be reconsidered,  representatives of the poultry industry believe.


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