Page 62 - GEORptOct22

9.1.8 Healthcare sector news
Georgian insurance market grows by 19% in H1
The Georgian insurance market ended H1 with an expansion of 19% y/y, while gross written premiums (GWPs) reached GEL 448.64mn (€119.29mn), according to data published by the Georgian Insurance Supervision Service.
Life and non-life insurance had almost the same growth rates, also at 19%, while the market remained non-life oriented - non-life insurance occupies over 93% of the portfolio.
Of the largest market segments, the most impressive growth was recorded by Motor Hull, with GWP increased to GEL 74.49mn, while property insurance also grew by more than 25%, as well as accident insurance and health insurance.
Insurers' paid claims expanded by almost 26% to GEL 194.19mn. In terms of segments, the largest amount of paid claims fell on health insurance - almost GEL 105mn.
Out of 18 companies operating in the Georgian insurance market, GPI Holding continued to lead (GEL 86.11mn of GWP), Aldagi ranked second, while Imedi L and TBC Insurance swapped places, with Imedi L falling to fourth and TBC Insurance moving up to third.
9.1.9 Agriculture sector news
Georgia intends to reduce share of wine exports to Russia and expects significant boost to US
Georgia to ban export of wheat and barley for a year
Georgia's National Wine Agency's Chairman Levan Mekhuzla said that wine exports to Russia should decrease to 40% in the next five years. It currently stands at 60% in 1H22.
"Last year, wine exports to the USA increased by 16%. This year we have an outstanding marketing campaign and the increase in exports to the US market will become more visible. In general, we are working very diligently on other markets such as the UK and Germany as well as Eastern European countries, primarily Poland and the Baltics. We think that Russia's share in wine exports will drop below 40% in about five years," said Mekhuzla.
According to him, the government intends to steadily sell five million bottles of Georgian wine annually on the US market by 2025. In 1H22, a total of $98mn worth of wine was exported from Georgia, 58% of which went to Russia. Georgian Minister of Agriculture Otar Shamugia expects a significant increase in wine exports to the US.
According to Shamugia, his ministry spends around GEL12mn ($4mn) on the promotion of Georgian wine, and these funds were directed to predetermined priority markets, including the US.
In 2022 to date, Georgia has exported $2mn worth of wine to the US. Wine exports to the US exceeded one million bottles in 2021. In 2021, total sales of Georgian wine abroad generated $250mn.
The Georgian government will ban the export of wheat and barley for a year starting from July 4, 2022. The decree has already been signed by Prime Minister Irakli Garibashvili and shared on the official Facebook page. The reason is the Russian invasion of Ukraine, according to Minister of Environment and Agriculture Otar Shamugia, "given the situation in the region, it is important to sell locally produced wheat and barley only on the domestic market to ensure food security", he said. According to him, despite the fact that Georgia is completely dependent on wheat imports (500,000 tonnes of wheat per year) and wheat cannot be exported from Georgia due to low production, “the current situation creates a risk that a certain amount of wheat may be
62 GEORGIA Country Report October 2022 www.intellinews.com