Artificially Reduced Prices in Svaneti Threaten Tourism’s Future – Hotel "Paliani"

International news
The founder of the Svaneti-based hotel Paliani, Ekaterine Gvelesiani, has warned that artificially reduced prices in the region’s tourism market could undermine the sector’s long-term sustainability.

Speaking on BMGTV’s program Women’s Narrative, Gvelesiani said the tourist profile in Svaneti has shifted in recent years, with an increasing number of low-spending visitors. At the same time, the number of hotels has grown significantly due to years of state-led tourism promotion campaigns, intensifying competition among local businesses.

“The segment of tourists coming to Svaneti has changed. Previously, high-spending tourists came, but in recent years this segment has completely shifted. With more hotels opening, we’ve had to make adjustments in the face of competition. Such a reduction in prices will have a negative impact on the sector in the long term,” she explained.

According to her, Svaneti has the full potential to evolve into a premium resort destination, able to compete with Switzerland and other high-mountain resorts in Europe. However, she warned that artificial price reductions could cause serious harm to the local economy and regional development.

Natiko Taktakishvili