Export of locally produced products abroad is 71.7% of the total volume of exports and re-exports from Georgia.

Due to the new coronavirus pandemic, the crisis in the world economy is deepening - economic indicators continue to decline around the world, including in Georgia.

Almost all sectors of the economy have been affected by the pandemic, and trade is no exception - Georgia's foreign trade turnover has decreased by 18.2% since the beginning of 2020 compared to January-June 2019.

The crisis caused by the coronavirus pandemic has dealt a serious blow to the Georgian economy – according to Sakstat, in January-June, Georgian products were exported for more than 1.5 billion dollars - 16% less compared to the same period in 2019. Exports without re-exports since the beginning of the year decreased by 3% and amounted to about 1.1 billion dollars.

What does Georgia produce and which countries buy Georgian products during the pandemic?

What Georgia produces

Georgia produces a fairly wide range of products - copper ores and concentrates, natural grape wines, ferroalloys, ores and concentrates of precious metals, mineral waters, nitrogen fertilizers, gold, flour and pellets from meat, fish or crustaceans, alcoholic beverages, forest and other nuts, etc. These same products lead the export production.

Georgia also produces and exports cattle, sheep, vegetables and fruits, including tomatoes, potatoes, onions, bell peppers, eggplants, herbs, tangerines, apples, pears and peaches.

Despite the difficulties caused by the coronavirus pandemic, Georgia exports peaches and nectarines without hindrance. The Ministry of agriculture of Georgia has organized a "green corridor", which allows exporters to quickly export fruit abroad, even under the restrictions imposed by COVID-19.

According to the Ministry, the harvest of peaches and nectarines is in the active phase. According to the latest data, 6.2 thousand tons of products were exported from Georgia, which is 640 tons more than in the same period last year. In 2019, the export of peaches and nectarines for the same period amounted to 5.5 thousand tons.

This year, a rich harvest of peaches and nectarines is expected in the Kakheti region – more than 35 thousand tons. During the 2019 season, more than 13.2 thousand tons of peaches and nectarines were exported from Georgia. More than 80% of the total amount fell on Russia – 10.7 thousand tons. 1.3 thousand tons of Georgian peaches and nectarines were sent to Armenia, and 667 tons to Azerbaijan.

Which countries to buy Georgian products

Exports are declining as consumption of Georgian products falls in the countries where we sell them, said Akaki Tsomaya, an expert on economic issues.

"International trade is falling because revenues are declining. And when income is reduced, spending, i.e. consumption, is also reduced. The consumption includes imported products too - 70% of our consumption is imported products. And when we reduce consumption, imports also fall. Among other things, exports are declining in the countries where we sell our products, and the economy is also falling." The top ten countries that exported goods from Georgia during the pandemic also include Switzerland, the United States, Spain, Armenia and Azerbaijan. All these countries, except Spain and Switzerland, are also among the top ten trading partners of Georgia.

Sputnik-georgia.ru