The Autonomous Region of Adjara has made significant strides toward a free market economy in the ten years since the break-up of the Soviet system. By comparison with the rest of Georgia, Gross Domestic Product per capital (a good measure of annual income) approaches $4,000 while a similar number for the larger nation is under $1,000. Adjara contributes nearly one-fifth of the national budget although its population is only 10% of Georgia. Policies have been adopted by the Regional Administration and Parliament to encourage new business development, generate foreign investment and promote a wide range of activities in commerce and industry.

Although Adjara has a number of large business ventures, including its world class port and related industrial infrastructure, as well as a number of large firms engaged in manufacturing, the Region is particularly hospitable to small and medium sized enterprises. More than 2000 firms, mostly with less than ten employees, are part of the Region’s business fabric.

Advanced construction technology: The Mobile Factory

The Mobile Factory, a new type of construction technology makes it possible to cover wide areas, for a variety of functions, in a very short period of time. The construction technology allows for many different types of buildings. Most facilities are constructed on-site using 7-12 specialists. The structure is mobile, enabling the construction of buildings without frames or additional support. Still, these structures resist very heavy winds. The Mobile Factory is one of a number of successful construction businesses in Adjara.

On the silk route in Adjara: Batumi Oil Terminal

For more than 100 years, the Port of Batumi has been central to the east-west trade in petroleum. An intrinsic part of today’s oil transport network is the Batumi Oil Transport Facility. It’s modern storage tanks which connect with the railroad network and the modern oil handling capabilities of the port, provide a cost efficient and flexible system for it’s costumers. American oil companies, including Chevron and Andarko, have been long time users of this complex.

Supplying energy for the Region: The Electricity Company

Electricity for Adjara is supplied by thermal and hydro power stations in several districts of the region. Seen above are the plans for a plant under construction along the Black Sea coast town of Kobuleti. Electrical distribution has been privatized in Adjara in recent years.

Helicopter and plane manufacturing: Batumi Small Aviation Factory

One of Adjara’s newest manufacturing companies is the Batumi Small Aviation Plant which commenced operations in 2001. The company’s business program calls for manufacturing 8-seat and 10-seat small airplane and 2-seat helicopters. The Adjarian company has a contract for co-production of the aircraft with two American firms, “Comp Air” and “Rotorway.” Currently, a total of 18 helicopters and airplanes are under construction at the modern facility in Batumi. The firm has a close relationship with the Adjarian Aviation Institute which trains pilots and aviations specialists.