Georgia and India Finish Study on Free Trade Agreement Expediency

Georgia and India are taking further steps to establish a free trade agreement to facilitate access to the markets and boost bilateral business and trade.

The sides held a meeting on January 12, where the results of the research on free trade agreement (FTA) expediency were discussed. The study was conducted by the joint working group, set up with the purpose of revealing the possible benefits for both sides, in case the agreement is signed.

The Deputy Minister of Economy and Sustainable Development of Georgia Genadi Arveladze and the Additional Secretary of the Ministry of Commerce and Industry of India Bidyut Behari Swain, Head of the official delegation of the Republic of India, Chaired the meeting in Tbilisi.

During the meeting the sides signed a document on completion of the research, which reads that in case of the free trade deal, export from Georgia to India will increase in the fields of metallurgical products, medical products, wine and other alcoholic and non-alcoholic beverages, processed agricultural products, etc.

Import from India is predicted to increase in the field of cement, ores, mineral fuels, plastics, electrical equipment and other products.

In the field of services, the study revealed that mutual beneficial trading potential exists in business and professional services, telecommunication, computer, tourism, audio-visual and other sectors.

On the basis of the conclusion of the working group, Georgia and India agreed to implement the relevant procedures for the purpose of launching free trade negotiations.

If the free trade deal is reached Georgian entrepreneurs will have access to India’s market that boasts a total of 1.3 billion consumers.

So far Georgia has free trade deals with Turkey, the European Union (EU), European Free Trade Association (EFTA) countries - Switzerland, Norway, Iceland and Liechtenstein - and with the Commonwealth of Independent States (CIS) countries - Armenia, Azerbaijan, Kazakhstan, Kyrgyzstan, Moldova, Turkmenistan, Tajikistan and Uzbekistan.

Georgia also signed a free trade deal with China and Hong Kong.