JEL Classifications: Q0, Q1, O2
CEREALS AS GUARANTOR OF FOOD SOVEREIGNTY Author: Paata Koguashvili, Nikoloz Chikhladze
| Published: 2019-12-27
| Pages: 54 - 59
For Citation: Koguashvili, P., Chikhladze, N. (2019). Cereals as Guarantor of Food Sovereignty. Globalization And Business, #8, pp. 54-59.
Georgia has long been considered one of the exempla- ry wheat producing and consuming countries. In the article, the authors claim that the production of cereals as a strategic food must be a priority, and that the structural transforma- tion of arable lands will allow for producing 1.0-1.1 million tons of cereals in the medium term, which is sufficient for the country’s food security. As to wheat, we can produce it within 60-65% of our demand, of which, price of one ton will be by$ 25-30 as compared who imported wheat. To that end, we have to change agricultural policy and bring it in line with the existing global challenges.
In the last two decades, there has been a trend towards the decline in world cereal output and the continuing rise in their prices. The latter is also due to the fact that population growth has far outpaced the per capita growth of cereal pro- duction.
In the last four decades, the global price of 1 ton of wheat has increased from $ 80.4 to $ 173.4. The era of cheap food in the world has come to an end.
Economic calculations indicate that by 2025, the opti- mal area for wheat will be considered: 114.0 thousand ha, for crops - 421.8 thousand tons, for a grain-storing - 120.0 thousand ha, and for a fodder - 50.0 thousand ha, for maize - 170,0 thousand ha and 714,0 thousand tons, for barley - 50,0 thousand ha and 160,0 thousand tons, for oats - 20,0 thousand ha and 50,0 thousand tons. In case of land consolidation, the wheat cultivation area may be increased to 150.0 thousand hectares.
In order to avoid the long-standing problem, it is necessary to apply all the reserves for increasing domestic cereal production, for which, first of all, Georgia should adopta financially, technically, technologically and institutionally strong State program supporting grain producers, which will also involve institutional measures to produce elite seeds.
WHEAT, STATE PROGRAM, FOOD, EFFICIENCY, IMPORT
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