Georgia and Turkey liberalize trade, primarily in agricultural sector
Liberalization of trade between Georgia and Turkey
Georgia and Turkey announced their intention to mutually liberalize tariffs on agricultural products and services as part of the countries’ Free Trade Agreement. The agreement was signed in 2007 and it now provides for the exemption of certain goods from export/import duties.
The agreement was reached in Ankara at the 12th meeting of the committee created within the framework of the Georgian-Turkish free trade agreement.
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Deputy Minister of Economy of Georgia Gennady Arveladze, who headed the Georgian delegation during the meeting in Ankara, said that after the introduction of these changes, an increase in the export of Georgian agricultural products to Turkey is expected. The Deputy Minister did not comment on the prospects of increasing the import of Turkish products and the possible implications it may have on the local market.
The next meeting of the committee is scheduled to take place later this year in Tbilisi. Until then, consultations will continue online at the expert level.
In January-May 2020, the trade turnover between Georgia and Turkey amounted to $561.507 million. Over the first five months of 2021, this figure increased by 35% and reached $ 758,053 million.
Both imports and exports increased with turnover.
Georgia’s imports from Turkey
In 2021, Georgia purchased products from Turkey worth $ 624.743 million which is 30.2% more than the purchases during the same period in 2020.
Main imports included:
- Cars designed to carry ten or more people;
- Manufactured products;
- Ferrous metal structures
- Export of Georgia to Turkey
- In January-May 2021, Georgia sold products worth $ 133,290 million to Turkey, which is 63 percent more than in the same period in 2020.
Georgia’s exports to Turkey
In January-May 2021, Georgia sold products worth $ 133,290 million to Turkey, which is 63% more than the same period in 2020.
Main exports include:
- T-shirts, knitwear, knitted or crocheted clothing;
- Suits and clothing sets;
- Scrap, including ferrous metals;
- Semi-finished carbon steel products.