From the ISET Economist news (http://www.iset.ge/news/?p=3871)
By Eric Livny
Democracy and Freedom Watch reported October 9, that “Georgia’s controversial new immigration law may be changed”. The law, writes DFW, “has caused a wave of confusion and irritation in the country’s expat community. Prime Minister Irakli Gharibashvili … told journalists that if any defects become apparent after the enactment of the new law, ‘we’ll surely correct it.’”
Just a month earlier, confusion, irritation and public outrage were caused by another piece of Georgian legislation – a law greatly limiting the sales of non-prescription drugs (see Florian Biermann’s post). The outrage was caused by the fact that many of the drugs affected by the new law, e.g. plain painkillers, were in extremely wide use. As a result, less than two weeks after coming into force on September 11, the law was amended by the health minister, Davit Sergeenko, allowing 772 medicines to be sold over the counter, without a prescription.
One could perhaps say, as the Germans do, ende gut, alles gut. But, alles is nicht gut. The fact that such REALLY BIG MISTAKES are allowed to occur in the first place suggests that something is deeply flawed in the Georgian policymaking machine. One obvious concern is the lack of due “public policy” process. Indeed, there was nothing particularly urgent about either piece of legislation; both could have benefited from a proper technical review, “stakeholder consultations” and a public debate.
Second, and very importantly, these grand failures suggest that Georgian lawmakers lack a proper understanding as to the role of regulation in an economy, and how much of it a country like Georgia needs (or can afford).
THE BENEFITS OF PROCRASTINATION AND DEBATE
Any discussion of regulations can easily get politicized, sparking seemingly futile and lengthy political exchanges. Left-wing intellectuals would argue that regulations are there to address market failures (such as drug addiction and overconsumption of antibiotics) or protect the weak and vulnerable (e.g. by securing their jobs and providing income support). The libertarians among us would argue that the market can correct itself, and that, in any case, state paternalism is not a solution to any problem. Rather, it creates unnecessary red tape and leads to unintended consequences such as laziness, corruption, illicit economic activities (“black market”) and smuggling. State failures, according to the enlightened libertarian view, are as much of a problem as market failures.
Such a clash of ideas is quite legitimate, and – if conducted in a civil and constructive manner – should be welcome in any community and polity. For one thing, it would provide legislators with a better understanding of the “problem” they are trying to solve (if there is a problem), such as:
the incidence of antibiotic resistance among Georgians;
immigrants competing with (or creating jobs for) low-skilled Georgian workers;
the extent of land grabbing (as well as investment and job creation) by Punjabi farmers.
Ultimately, whether liberal immigration regime (or free access to medications) is to be recognized as a “problem” is about politics rather than science. Still, having some evidence to consider before rushing with regulatory “solutions” would be a good step forward. It may well be the case that, while generating “killer” headlines, a “problem” is ridiculously small in magnitude or does not even exist.
Secondly, when faced with the need to publicly defend their proposals, proponents of regulations would be forced to analyze alternative solutions while taking into account the cost factor, effectiveness in terms of actually solving the problem at hand, related corruption risks, and other types of collateral damage.
DON’T BITE OFF MORE THAN YOU CAN CHEW!
But perhaps the most ideology-free criterion of evaluating the feasibility of regulations is whether a country has the requisite human capacities and skills. Even a relatively simple regulation, such as traffic lights, may be counterproductive if not properly planned and executed. First, there is the basic question of how to regulate a given intersection (traffic lights are effective only when traffic intensity exceeds a certain threshold level, which is almost never reached at night). Second, traffic lights have to be properly timed to maximize intersection capacity and minimize delays). Poorly planned traffic lights – hello, Tbilisi! – are not only a drag on traffic but also a safety hazard.
What is true about traffic, is equally true for extremely complex regulations such as anti-trust, labor, and food safety, which Georgia has subscribed to as part of the Association Agreement with the EU. For instance, it will take years – maybe even generations – to build the necessary professional capacities within the Georgian parliament and judiciary, the competition watchdog, the economics, legal and management professions in order to implement Swedish-style anti-trust law in the Georgian context. Thankfully, for now Georgia is paying lip service to some its EU-related commitments (e.g. by creating a competition agency and copy-pasting anti-trust legislation without caring to enforce it).
The botched attempts to rewrite immigration and pharmaceuticals laws suggest that professional skills are in extremely scarce supply throughout Georgia’s bureaucracy. After all, the Georgian state is one of the youngest in the world; Georgia’s educated urban elite is a tiny sliver of the population; and even this sliver has been impoverished by many years of brain drain and outmigration. In this situation, the Georgian state should not attempt to bite off more than it can chew. It should avoid complex regulations, even when these are theoretically desirable or required by its international partners. It should certainly avoid thoughtlessly copy-pasting regulations that have been designed for other times and other places.
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A short story by Leo Tolstoy titled “How much land does a man need” describes the fate of a land-hungry Russian peasant, Pakhom, who is promised as much land as he can walk around from sunrise till sunset. One condition is attached: he has to make a full circle and return to the point origin by the end of the day. To maximize his future land holdings, Pakhom sets on a rather ambitious circular route, and is too late to realize that he cannot make it back on time. He runs as fast as he can and, exhausted from the effort, drops dead at the point of origin. His servant buries him in a grave only two meters long, thus ironically answering the question posed in the title.
From the beginning of June, the two most popular national TV stations Imedi TV and TV Pirveli have been broadcasting the Georgian Milk Mark (GMM) animation video five times a day during prime time for free as a part of social advertising. Those televisions have national coverage reaching a high number of consumers.
There are now ten GMM dairy enterprises’ products available in fifteen supermarket chains across Georgia. Detailed information to be found on www.georgianmilk.ge.
On the May 20th, 4,400 beekeepers registered in the new GBU database received an SMS notification from the Georgian Beekeepers Union (GBU) on how to treat Varroa, the most common bee disease in Georgia.
The GBU will continue informing its members through phone Facebook. And their new official webpage is now online: www.geobeekeepers.ge.
Created in 2018, the GBU is an umbrella association uniting ten beekeeping associations and three commercial beekeeping companies.
The Georgian Beekeepers Union (GBU) successfully advocated for permits to be issued for beekeepers allowing them to continue work during the curfew.
The Government of Georgia declared the nationwide curfew on March 30th, 2020 to restrict the spread of the COVID-19 virus, prohibiting any movement from 9:00 PM to 06:00 AM. This posed a serious problem for beekeepers who rely on transhumance predominantly at night.
In Georgia, bee transhumance allows for beekeepers to place hives at different altitudes to capture the flowering of different plants. Starting from late Spring, Georgian beekeepers start to move apiaries to get different types of honey including Acacia,Chestnut, Alpine, Linden. The transhumance of bees significantly increases their honey productivity.
On April 4th, the GBU sent an official letter to the Ministry of Environmental Protection and Agriculture of Georgia (MEPA) asking for the issuing of permission/passes for beekeepers including the guidance it developed for beekeepers during the Covid-19 outbreak.
‘We asked the Minister to mediate with the appropriate agencies to issue special permits, so that beekeepers may access their apiaries and work there, transport beekeeping apiaries for transhumance on pre-determined routes within the curfew conditions.’ – Avksenti Papava, the Director of the GBU.
Up to eight hundred beekeepers have already used permits, who are now able to visit apiaries and carry out vital seasonal treatment and maintenance. Bees are transported at night where possible, because they do not leave a hive during night, which the permit makes possible.
‘I have my apiaries located in the different regions for getting various types of honey. I was very happy to hear about special permit for beekeepers, as it is very active season in beekeeping. I am able to freely move to the locations and do not worry about time limitations’ – Kakhaber Zirakasvili, a beekeeper.
Guidance and contact information on getting permits and the Covid-19 recommendations have been shared by the GBU on its facebook page.
The Georgian Beekeepers Union (www.geobeekeepers.ge) is an umbrella association uniting ten beekeeping associations and three commercial beekeeping companies with more than four thousand Georgian beekeepers. It was established to represent their interests and to promote the health and development of the honey sector in Georgia with the facilitation of the Swiss Agency for Development and Cooperation (SDC) project the Mercy Corps Georgia implemented Alliances Caucasus Programme (ALCP).
In the midst of anxiety under the COVID-19, some people rise to the occasion when faced with adversity and it is uplifting to hear stories about them. As for many others it has been difficult times for the client businesses of the programme, but they have continued to help people most affected by the current crisis over the past two weeks.
Ten dairy enterprises with the Georgian Milk Mark www.georgianmilk.ge provided cheese for the medical staff of hospitals in the frontline of battling the virus as well as people under quarantine and locals in the lockdown areas in the different regions of Georgia, who have limited access to the markets.
‘It is now important to show support to each other. I was very happy to see reactions from people, who were very surprised and thankful. I think those GMM enterprises set very good example for others.’ – A GMM cheese distributor.
The Georgian Beekeepers Union (www.geobeekeepers.ge), uniting ten beekeeping associations and three commercial beekeeping companies supplied 1.2 tonnes of honey for further distribution among medical staff and vulnerable groups.
The Kakhetian Traditional Winemaking group’s (programme facilitated honey aggregator and exporter company) forty-one rooms hotel-complex is being used as a quarantine zone, the company also supplied food to locals over seventy in two regions of Georgia within a social project ‘Care for Each Other’ initiated after the virus outbreak and is now offering online sales and a free home delivery of its products (wine, compotes, jams, including, honey); the company’s webpage Old Kakheti went online to improve online sales.
These are a few examples and continuation of the kindness acts that started a month ago.
Referred to as Liquid Gold, for its color and perceived health benefits, Erbo the Georgian word for melted butter is a well-kept secret in Georgia. Traditionally made at home Erbo is much used in local traditional cuisines. Butter is an important fat in Georgia, very common in Azeri cuisine and in mountainous regions where both the harsh winter climates and distance from markets increased the importance of butter which can be stored, in communities dependent on dairy farming.
Now thanks to Milkeni Ltd who have started to produce and sell Erbo as part of their products made under the Georgian Milk Mark, quality assured Erbo is now available commercially for the first time in Georgia in Madagoni and Libre supermarkets chains. Interest and demand is growing rapidly.
Of all regions, perhaps Ajara is most famous for its use of Erbo. Most traditional Ajarian dishes contain Erbo. Borano is a dish of melted butter containing traditional Chechili cheese, a dish which been awarded the status of Intangible Cultural Heritage and Khavitsi a sauce made with flour and Erbo.
So what is special about Erbo? People believe that it is a healthy fat, processed differently and beneficially in the body and is well absorbed in the human body; it does not contain lactose and casein, so it is recommended for those with lactose intolerance. Mountain people believe Erbo boosts metabolism and energy, improving brain function, memory and their immune system.
In summer 2019, ten new Jara hives were placed in the Goderdzi Alpine Garden (GAG), Jara Beekeeping area, an area which aims to publicize Jara beekeeping and teach people interested in taking it up. With the help of the Jara Beekeepers Association (JBA) they were moved for wintering to Paksadzeebi Village in Khulo last autumn. Last week, all the hives were checked and fortunately, all the bee colonies are alive and working productively.
This Jara apiary is currently undergoing the Bio certification process and is due to obtain certification in July this year. It will be moved back to the GAG (Goderdzi Pass, 2000m above sea level) in May and be the focal point of Jara beekeeping workshops for school students and garden visitors.
The Goderdzi Alpine Garden is a tourist and environmental hub in the rural part of Ajara, Western Georgia. It involves and develops a sense of ownership for rural inhabitants in the field of biodiversity and environment, showcases the beauty and ecological assets of rural Ajara and generates added value from rural tourism for locals.
