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Construction Machinery Georgia, a subsidiary of Tegeta Holding, was founded in 2022 and is the official representative of leading European road construction brands. CMG’s portfolio includes Liebherr, Berco, and BOMAG, and MARINI, which are part of FAYAT GROUP, the largest French industrial ...See more
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CONSTRUCTION MACHINERY GEORGIA

CONSTRUCTION MACHINERY GEORGIA

06 February, 2025

Leading brands in the road construction industry

Construction Machinery Georgia (CMG), a subsidiary of Tegeta Holding, will present international premium road construction brands. The company supplies both the public and private sectors in the region with essential equipment for infrastructure and mining projects. Among the brands it represents is the German LIEBHERR, for which Tegeta Holding’s subsidiary was the official representative in both Georgia and Armenia. Prior to this, CMG introduced BOMAG and MARINI, both part of the largest French group, FAYAT GROUP. However, as the company told Forbes Infrastructure, its future plans include expanding its portfolio and entering new markets across the region.

CONSTRUCTION MACHINERY GEORGIA

Our respondent is Nika Abesadze, Director of Construction Machinery Georgia.

Nika, Construction Machinery Georgia is one of the latest companies established within Tegeta Holding. Let’s start with the activities and goals of this company. What areas do you cover with the global brands in your portfolio?
„The special purpose equipment we offer to customers is used in two main sectors: road construction and quarrying. CMG provides a diverse range of equipment tailored to specific infrastructure projects, ensuring that our customers can complete the entire road construction cycle by working with a single company. Additionally, we offer efficient service whenever necessary.
Given the increasing number of infrastructure projects, we recognized the need to develop this sector separately within Tegeta. This decision has proven to be highly beneficial. The holding is expanding on a large scale, and we approach all business processes from a regional perspective. We have successfully entered the markets of Armenia and Azerbaijan, making it crucial for each of our divisions to have dedicated teams and well-defined goals that drive continuous development“.


You represent the largest companies producing construction equipment in Georgia, including Fayat Group and Liebherr. What were the key factors in selecting these brands?
„Fayat Group is one of the largest business associations in the road infrastructure sector, covering the full cycle of equipment and machinery. This group includes two major brands: BOMAG and Marini.
The German company BOMAG is a global leader in road construction equipment, producing vibratory compactors, road paving machines, and a full range of machinery essential for road construction and maintenance. The scale of BOMAG’s production and market presence is also remarkable - the company operates in 150 countries and offers more than 250 different products.
Marini, on the other hand, is a leader in asphalt production, including cold asphalt, emulsions, and polymer bitumen plants. The company is known for its efficient production processes, which meet the highest standards of quality and precision while fully complying with environmental regulations. To date, Marini has sold more than 3,000 asphalt plants worldwide.
As for Liebherr, we had attempted to establish a partnership with them several times, and this time, we successfully reached an agreement. Liebherr is widely recognized as a benchmark for quality and technical excellence in construction equipment. Every product the company manufactures stands out for its efficiency, extended service life, and reduced operating costs.
In our region, we represent Liebherr in three key sectors: construction, port equipment, and machinery for mining and quarrying. Notably, until now, Liebherr did not have an official representative in Georgia. We have thoroughly analyzed the Liebherr equipment currently in use within the country and are fully prepared to ensure its optimal service and maintenance. To achieve this, we are building a comprehensive inventory of spare parts and continuously enhancing the expertise of our service personnel through ongoing training.
Liebherr’s decision to partner with us was heavily influenced by our proven experience and commitment to high-quality warranty and after-sales service. It is a great source of pride that we are the first official representatives of Liebherr not only in Georgia but also in Armenia“.


Why Armenia? Did Liebherr extend an offer, or was it your initiative?
„Armenia is a highly active market, currently experiencing a boom in road construction. Despite political challenges, numerous projects are being implemented. Our business partner in Armenia, Premium Machinery Armenia, will provide local customers with top-tier service“.


Liebherr's portfolio extends beyond road construction to include a full range of mining and quarrying equipment. What led you to focus specifically on this sector?
„The Transcaucasus region is rich in mineral resources, with many companies engaged in open-pit mining. Mining equipment represents one of Liebherr’s largest and most advanced product lines, distinct from other machinery due to its specialized nature. In this field, Liebherr is a clear industry leader, offering high-tech solutions and 24/7 service support—an advantage that sets us apart from competitors“.

CONSTRUCTION MACHINERY GEORGIA

Regarding the Georgian market, what makes it attractive to these leading brands?
„Georgia is a growing and developing market with significant infrastructure needs. As a result, there is strong interest from global brands. Tegeta Holding has built a reputation as a reliable and experienced partner, making us an appealing choice for these companies.
Although Liebherr typically avoids operating in smaller countries like Georgia, we successfully demonstrated the large-scale benefits of partnering with us in the region. This helped secure their trust and commitment to collaboration“.


On the other hand, what does the entry of such brands mean for the country?
„It means a more efficient fleet, enabling our customers to provide even better services. Through our activities, we actively contribute to the development of the country's infrastructure - a responsibility we take very seriously. For businesses, our cost-effective solutions ensure long-term success, which is directly linked to the country's economic growth“.


Given the many road construction projects in recent years, what trends are emerging in the purchase of new equipment by construction companies? Is demand increasing?
„Over the past four to five years, there has been a growing trend in purchasing used equipment. As you know, Georgia is a budget-conscious market, and consumer behavior is largely driven by the initial cost of assets. However, I believe that mentality and approaches are evolving. Businesses are increasingly evaluating their long-term strategies, factoring in ownership and maintenance costs before making final purchasing decisions“.


What has driven this shift?
„Georgia’s existing fleet is aging, and as time passes, maintaining older equipment becomes increasingly expensive. Meanwhile, in Europe and Turkey - both key sources of used construction equipment - there is now a shortage of machinery that meets the technical and financial requirements of our market. This is largely due to stricter emissions regulations.
Many manufacturers have already transitioned to new environmental standards, producing equipment that is more eco-friendly. However, most machinery available in the European market complies with Euro 3, 4, or 5 standards, which are not fully compatible with the fuel quality in our region. Additionally, it is only a matter of time before similar environmental regulations are introduced here, further driving demand for new, modern, and compliant equipment“.


Finally, let’s talk about future plans. What are your goals for the coming years? Do they include introducing new brands?
„Our primary goal is to continue expanding at the regional level. We plan to strengthen our presence in Armenia and Azerbaijan, focusing on specific sectors. Additionally, we will soon be adding several major brands to our portfolio, allowing us to participate in even larger infrastructure projects across the Transcaucasian market“.

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A joint seminar was held by CMG and Marini