The main goal of the proposed action is to reduce the rural poverty in the Imereti Region in Georgia. Through the development of business-orientated small farmers’ and rural entrepreneur groups and reinforced by support for a more favourable agribusiness environment, the proposed action will support Imereti farmers to achieve economies of scale and ultimately fulfil the region’s agricultural development potential. Within the project small farmers, agribusiness and entrepreneurs will be supported with the aim of increasing their productivity and income through membership in business networks – cooperatives and associations, which provide the alternative to current cooperation between individual entities. Membership in cooperatives and associations will enable the farmers to reduce their operational costs, increase efficiency and improve the quality of their production. It will also enable better access to markets and thus enable the farmers to influence market prices. Since July 2013, adoption of the new law on agricultural cooperatives has improved the conditions for establishing cooperatives and it has provided the opportunity for agribusiness development in Georgia.