The Georgian Competition and Consumer Agency (GCCA) has wrapped up its examination of the blueberry sector's competitive framework, spanning from 2020 through to the initial ten months of 2024. This scrutiny was initiated upon requests from local cultivators aiming to evaluate the competition milieu.
Findings from this comprehensive monitoring revealed a notable expansion in both the volume and monetary value of blueberry exports during the observed period. Specifically, export volumes surged by 660%, with 4,969 tons being shipped abroad in the first ten months of 2024, a significant leap from the 654 tons recorded in 2020. Concurrently, the financial worth of these exports escalated by 595%, mushrooming from 11.4 million GEL in 2020 to 78.42 million GEL by 2024, marking a consistent annual growth
Analysis between 2020 and 2022 categorized the export market as low-concentrated. However, in the subsequent years of 2023 and 2024, the concentration index marginally surpassed the low-concentration threshold, suggesting a competitive landscape devoid of market dominance by a small cluster of entities. By 2024, the arena saw participation from 51 companies, with market dynamics reflecting regular shifts in the leading exporters and the composition of the top five, whose market share fluctuated between 54% to 63% over the years.
Despite the increased concentration, no single company has emerged as dominant, nor are there conditions conducive to collective dominance, such as significant market shares. The export destination of choice in 2024 remained the Russian Federation, claiming approximately 86% of the exports. Nevertheless, a promising trend towards market diversification is evident, with a growing share of blueberries finding their way to European markets.
The GCCA's final verdict on the blueberry export market detects no competition law infringements, negating the need for further monitoring. This conclusion was drawn from evaluating various factors, including market concentration indices, the distribution of market shares among leading companies, and the dynamic nature of market leadership. The agency thus commends the competitive state of the blueberry market throughout the monitored period. In 2024, alongside blueberries, the GCCA also concluded its analysis of the hazelnut market.
Source: Business Media