Export decreasing

Georgia’s export revenue has further decreased in the first two months of 2009. The reason is the financial crisis and the decrease in prices on export products.

Foreign trade turnover in January-February was USD 701 million, 34% less than during the same period last year. Of this amount export is worth USD 136 million. The leading Georgian export is ferroalloys, however the demand for this product has decreased, as has the demand for scrap metal, the number two export item.

Economic analysts are concerned about imports greatly exceeding exports and the trade deficit becoming more visible. Some economic experts demand that the Government takes more radical steps to facilitate local production. “Our target should be decreasing import levels and developing of local production,” suggests economic analyst Soso Archvadze.