Green Economy: Sustainable Mountain Tourism and Organic Agriculture (GRETA)

Austrian Development Agency (ADA) has applied to Embassy for funding of SEK 30 500 000 to carry out the intervention "Green Economy: Sustainable Mountain Tourism and Organic Agriculture (GRETA)". The intervention is part of the EU framework of the Annual Action Programme 2017 for the Republic of Georgia: Action Document for Economic and Business Development in Georgia under the European Neighborhood Instrument (ENI). The Action Programme's overall objective is to foster socio-economic development in Georgia and has three inter-related thematic components: 1) Fairer and faster litigation in commercial matters, 2) Modernized financial infrastructure and 3) Greater business sophistication. The latter component includes the delegated action from the European Union to ADA, for which the Embassy has been approached to provide complementary Swedish funding. The proposed intervention aims at facilitating an improvement of the business environment and the creation of new income opportunities in sustainable mountain tourism and organic agriculture to reduce poverty and exclusion in selected regions of Georgia. The duration of the intervention is 52 months (2018-2023), starting with an 8-month inception phase. The total budget of the proposed intervention, including EU and ADA co-financing, is approximately SEK 70 000 000. Georgia's high mountainous regions already attract an increasing number of tourists and makes some use of its suitable conditions for organic agriculture production, but has a large potential of growth and development. Simultaneously, the mountainous regions are among Georgia's poorest, and the populations' perception of limited employment and income generation opportunities cause high rates of migration from the villages. The intervention is intended to realize the potential of high mountainous areas to contribute to SME development, organic agricultural production, employment and poverty reduction, increased income, while responding to Georgia's increasing number of tourists in these areas, as well as increasing product and service demands. The activities of the intervention include facilitation of a Mountainous Tourism Development Strategy, including, Destination Management and Branding Policy, establishment of a national quality standard and control system for local tourism suppliers, stimulation of innovation and creation of new market linkages. Access and provision of capacity development measures for people and institutions, which are active in the fields of sustainable mountain tourism and organic agriculture in the target regions are integral parts of the intervention. The latter will enable joint learning among public, private and civil society actors. The environment and social sustainability, as well as the gender equality is expected to be further strengthened, based on the results of environmental, gender and social impact assessment to be conducted during inception stage of the intervention, which will affect the design of the activities. Overall, through promoting sustainable development in tourism and organic agriculture sectors, the intervention is expected to contribute to increased employment and income opportunities in the target regions.