The project analyzes the connection between knowledge gaps and production outcomes and structural and social change in Georgian agriculture. The potential impact of agricultural extension and training efforts as well as capital relief measures are estimated econometrically, and recommendations are given whom to target with these policy interventions.
The agriculture sector, the main source of both financial and non-financial income for the rural population, plays an important role in the social and economic development of Georgia. The development of a high quality training and extension system is an important element in providing farmers with the necessary knowledge to increase their productivity and income. Implementing such a system requires not only that the most relevant knowledge areas are pinpointed but also that those farmers for whom training and extension makes the greatest difference are identified. This is the primary goal of the project. In addition, also the potential of capital relief measures is assessed. Training, extension, and capital relief interventions are evaluated based on three criteria: (a) the productivity and profitability gains that can be achieved, (b) whether structural change is speeded up or slowed down, and (c) the social consequences.