“After a thorough analysis, we have concluded that Georgian prices can come closer to European price levels,” stated Georgian Prime Minister Irakli Kobakhidze on Imedi LIVE.

The Prime Minister explained that a detailed investigation was carried out to determine the causes behind rising prices.

“We examined the situation extensively, with the support of the Minister of Economy and the Ministry of Economy. Our research revealed that the markup on goods is excessively high. From the Georgian border to the shop counter, the markup reaches 86 percent. This figure does not include import duties or VAT, meaning the overall markup remains substantial. When considering all stages before products even reach the border, the total markup becomes even more significant, driving up consumer prices.”

Kobakhidze noted that in European countries, the typical difference between wholesale and retail prices ranges from 30 to 40 percent. “By analysing these factors, we concluded that it is indeed possible for Georgian prices to approach European levels. Achieving this will require further study of the remaining details.”

The Prime Minister emphasized that the process will be challenging but necessary. “We must begin consultations with distribution companies and supermarket chains. Parliament has already confirmed its readiness to establish a parliamentary commission for this purpose, and law enforcement agencies are prepared to support the process within their structures.”

Kobakhidze stressed that the ultimate goal is tangible results. “We are confident that this process can lead to price reductions. The same approach could apply to the pharmaceutical sector, where prices remain excessively high. The key is to identify where prices are inflated unnecessarily and implement measures such as anti-monopoly legislation to protect the interests of our citizens.”