Abstract

In Georgia agriculture faces many challenges though there are few beneficial movements in this sector. As the article mainly describes the challenges of potato production development, the statistical data analysis will be useful. In 2008-2019 local potato supply rate was increased from 86% up to 93% in the country, especially in the condition when the potato land plots reduced from 24 thousand to 16.4 thousand ha, while the quantity of the produced potato has been increased unequally. Rural farms, regardless they are domestic or commercial are still flexible on the market against the prices of other agricultural product, this was the reason why the total potato land plots used to increase or reduce. In many cases the reason for reduction of the plots is the problems with harvest sales and low prices compared to primary cost of the product due to which the cultivated land plots were reduced. In addition, 99% produce potato. The majority of Samtskhe-Javakheti residents was and is engaged before and now in the agriculture actively. The region population is actively involved in both crop production and livestock breeding. The speed of production volume changing in the agriculture gives us possibility to base regional development concept on agricultural development in combination with the processing industry. For the recent years the size of the state funding of the sector is permanently increasing, though there are many indicators showing that it is early to talk about quality improvement of the field. Additionally, the article discusses the steps made towards development of agriculture and there are stipulations about the reasons of their ineffectiveness. The solution ways and directions are also suggested for overcoming the causes on the example of Samtskhe-Javakheti region. By considering the fact that potato production is the major direction of the crop production in Samtskhe-Javakheti, the discussion mainly focuses on existing situation in potato growing of the region, analyzing the situation, threats and opportunities, strengths and weaknesses. In Summary, we have developed the model for the region in order to have a precedent for overcoming the challenges in the potato production, which will show the rural household and enterprises how it is possible to reflect supporting policy of the state on the financial results of the activities. The model does not require great financial expenses, though it can be an important stimulus for other domestic farms and the example for the regional cooperatives developed on the model, supporting to development agriculture and entire region together processing industry. Keywords: Agriculture, potato production.

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