Agribusiness Insurance System in Georgia and its Main Tendencies

Abstract

Food supply maintenance of the population is a part of global issues and its success is the foundation of the development of any national economy. Georgia is an agricultural country, but the food potential of the country is used only partially. The main determining factors of the problems are the provision of financial resources and specific risk factors. In the given situation, the Ministry of Agriculture of Georgia has developed an agricultural insurance project, which will support and facilitate the adoption of agricultural insurance. Today prospects and problems of the insurance sector are vital issues for agriculture as well as for the economy and employment. In this article, we discussed the performance of agricultural insurance and the necessity of governmental support. On the basis of comparative analysis of the experiences of the current states of The European Union and Georgia, prospects and dangers of the development of agricultural insurance has been detected. Also, based on theoretical and practical analysis, essential recommendations have been designed to eliminate dangers and to promote the development of agricultural insurance in Georgia.