2017-10-13
One more enterprise was launched with the state support in Tbilisi, - today Prime Minister Giorgi Kvirikashvili opened "Megaproduction", enterprise that produces concrete tiles and is funded within the framework of the "Produce in Georgia" program.
According to the Prime Minister, it is important that rapid economic development of the country is accompanied by such a technological transformation. The head of the Government is convinced that newly established enterprise will bring technological changes into the construction industry.
"We are extremely glad that this enterprise was established on the basis of two companies "Tbilcement Group" and "FPC", both of which were beneficiaries of the "Produce in Georgia" program. Both of the companies enjoyed the state's financial assistance and it is great to see that a certain synergy was found. "Megaproduction" is an important accelerator of the construction process. The reinforced concrete constructions manufactured by this enterprise will be intensely utilized in the construction process, since it significantly accelerates, lowers the cost of the construction and has advantageous quality indicators as well," - the Prime Minister stated.
In his speech, the head of the Government emphasized the significant growth in the construction sector and noted that the dynamics of overall economic development is commendable as well.
"Compared to the indicators of 2016, we will finish 2017 with a 36% growth only in the infrastructure segment, whereas, in 2018 we will achieve 89% growth compared to 2016, which means that the costs of infrastructure will be almost doubled. In the budget for 2018, 1 billion and 830 million GEL is allocated for the infrastructural sector only and this is the sum allocated by the state alone. Growing dynamics of the private sector are added to this and pursuant to the conducted analysis, which may be accessed by anyone, the share of the private sector in the growth is the largest. This growth is surely supported by growing infrastructure expenses in the budget, but - very importantly - it is mainly private sector driven. Hence, 89% growth as compared to the last year's data will bring even larger effect in terms of private sector investments. If we add construction of hydroelectric power plants, as well as finalization of the legal process related to the Anaklia port, and the fact that the negotiations with the financial institutions have almost come to an end and actual construction of Anaklia port will be launched in December, we can assume that this will bring even better dynamics. Therefore, the demand on the products manufactured by such type of enterprises will be even higher," - the Prime Minister stated.
Giorgi Kvirikashvili urged all businessmen to maximally utilize the dynamics and opportunities that will enable them to enlarge the scale of production, import equipment of the leading companies, including similar Italian equipment that is installed at "Megaproduction". This will bring significant returns due to the growth in the private sector and the increased expenses of the state in terms of investments.
"This year we have decreased Government's administrative expenses and directed these resources towards infrastructure. The same is planned for the next year. Even more significant growth is to be expected and I believe that this will have a very positive impact on creating additional jobs. This company alone creates 50 new working places, 10 million GEL was invested and at the next stage, with the increase of the production rates, employment of 100 individuals is planned as well. 100 employed individuals' means 100 well-off families, which is very important for our nation and our State," - Giorgi Kvirikashvili stated.
Prime Minister thanked the managers of the company for the good initiative and wished them the best of luck. He also inspected the newly opened enterprise and received information on the manufacturing process.
Prime Minister's Press Office