Research Objective: The objective of this study is to examine the economic consequences of agricultural land fragmentation in Georgia and to assess its impact on agricultural productivity, farm efficiency, and rural economic development. The research focuses on identifying the main causes of land fragmentation, evaluating its effects on production costs and competitiveness, and exploring policy measures that can mitigate its negative economic consequences.
Methodological Approach: The study employs a mixed research methodology that combines quantitative and qualitative analysis. Statistical data on land ownership structure, average farm size, agricultural output, and productivity indicators are analyzed to assess the relationship between land fragmentation and economic performance. Comparative regional analysis is used to identify differences in the degree of fragmentation across regions of Georgia. In addition, relevant policy documents and international experiences are reviewed to evaluate potential approaches to land consolidation and sustainable land management. General scientific methods, including analysis, synthesis, comparison, and logical reasoning, are applied throughout the research.
Main Results and Implications: The findings indicate that excessive land fragmentation remains one of the major structural challenges facing Georgian agriculture. Fragmented land holdings reduce production efficiency, limit the adoption of modern agricultural technologies, increase operational costs, and hinder economies of scale. As a result, agricultural productivity and farm profitability are negatively affected, reducing the sector’s overall competitiveness. The study demonstrates that land consolidation policies, improved land market mechanisms, and institutional support for cooperative farming can contribute to more efficient land use and enhanced economic performance. The results provide valuable insights for policymakers, agricultural stakeholders, and researchers seeking to promote sustainable agricultural development and strengthen rural economies in Georgia.
