WT/TPR/M/420  
9 March  2022 
(22-2105) Page: 1/38 
Trade Policy Review Body  
12 and 14 January 2022  Original: English  
 
  
TRADE POLICY REVIEW  
GEORGIA  
MINUTES OF THE MEETING  
Chairperson: H.E. Mr Dacio Castillo (Hondura s) 
CONTENTS  
 
1  INTRODUCTORY REMARKS BY THE CHAIRPERSON  ................................ .......................  2 
2  OPENING STATEMENT BY THE REPRESENTATIVE OF GEORGIA  
(H.E.  MR GENADI ARVELADZE) ................................ ................................ .........................  4 
3  STATEMENT BY THE DISCUSSANT  ................................ ................................ ..............  12 
4  STATEMENTS BY MEMBERS  ................................ ................................ ........................  15 
5  REPLIES BY THE REPRESENTATIVE OF GEORGIA AND ADDITIONAL COMMENTS  ........  32 
6  CONCLUDING REMARKS BY THE CHAIRPERSON  ................................ .........................  37 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Note: Advance written questions and additional questions by WTO Members, and the replies provided 
by Georgia  are reproduced in document WT/TPR/M /420/Add.1  and will be available online at 
http://www.wto.org/english/tratop_e/tpr_e/tp_rep_e.htm . WT/TPR/M/420 • Georgia  
 
- 2 - 
 
  1  INTRODUCTORY REMARKS BY THE CHAIRPERSON  
1.1.  The third Trade Policy Review of Georgia  was held on 12 and 14  January  2022. The 
Chairperson, H.E.  Mr Dacio Castillo (Honduras) , acting on behalf of the current TPRB Chair, 
Ambassador  Molokomme,  welcomed the delegation of Georgia , headed by Mr Genadi  Arveladze , 
Deputy Minister Economy and Sustainable Development ; H.E. Ambassador  Aleksandre Maisuradze , 
Permanent Representative of Georgia  to the WTO; the rest of the delegation; and the discussant,  
H.E. Ambassador  Simon Manley (United Kingdom) . 
1.2.  The Chairperson was  pleased that, in addition to physical presence, the meeting also benefited 
from the Interprefy online connection, allowing for a wider participation of the Membership, in 
particular of officials who could not make the journey from  Tbilisi  given the curren t circumstances.  
1.3.  The Chairperson recalled the purpose of TPRs and the main elements of procedures for the 
meeting. The report by Georgia  is contained in document WT/TPR/G/ 420, and that of the WTO 
Secretariat in document WT/TPR/S/ 420. 
1.4.  Questions by the foll owing delegations were submitted in writing before the deadline:  
Hong Kong,  China; the United  Kingdom; India; the Republic  of Korea; the United  States; the 
European  Union; Ukraine; Canada; and Singapore . The following delegations submitted written 
questions after the deadline : Japan; Turkey; China; Iceland; and Thailand . 
1.5.  At the time of its previous review in 2016, Georgia was commended for undertaking an 
impressive range of reform initiatives that had further streamlined its already broadly open, 
transparent, and predictable trade and investment regime. However, further structural reforms had 
sought as Georgia had remained vulnerable to external shocks. Attracting additional foreign direct 
investment and diversifying its industrial production were im portant to increase exports and sustain 
growth; and improving its SPS regime was also warranted in the view of many Members.  
1.6.  The Chairperson turned to some of the developments in Georgia since its previous Review. 
During most of the period, economic growth  remained solid and positive, averaging 4.1% during 
2015-19 but had a severe downturn of 6.2% in 2020 due to the COVID -19 pandemic in which 
Georgia was particularly impacted because of its high reliance on external trade, foreign investment, 
and tourism fo r economic growth.  
1.7.  Along with its improving economic position, Georgia 's persistent current account deficits also 
improved during the review period, but then also faced a reversal in 2020. Merchandise trade 
remained in deficit but the deficit continually d eclined due to stronger growth in the export of primary 
products, i.e. food and minerals. However, the services trade faced significant declines in transport 
and travel services due to high reliance on tourism which was particularly negatively impacted due  
to the pandemic in 2020.  
1.8.  In response to the COVID -19 pandemic, Georgia took many steps to support the economy and 
mitigate its effect on the population. It took a range of targeted fiscal, monetary, and financial 
market policy measures that resulted in an  Anti-crisis plan worth GEL  3.6 billion and a significant 
increase in the level of subsidization, almost double d the level of previous years.  
1.9.  One of the most significant developments since the last review was Georgia 's Deep and 
Comprehensive Free Trade Are a (DCFTA) with the European  Union which was gradually  implemented  
in phases during the period. This Agreement le d to many reforms, including the approximation or 
harmonization to EU legislation to achieve the EU acquis. This was particularly evident in the  areas 
of TBT, SPS, IP, and government procurement where a number of reforms were envisioned, and 
Georgia participate d with the EU in a number of initiatives such as Twinning projects.  
1.10.  The remainder of Georgia 's trade policies such as on tariffs, remained largely unchanged and 
were described as simple and largely liberal, with a simple average of 2%. There was little if any 
reform to state -owned enterprises during the period; and agriculture, while important, did not have 
any significant policy shi fts. 
1.11.  Georgia 's role in the WTO can also be commended and it has been clear that Georgia attached 
great importance to the multilateral trading system. The Chairperson was happy to report that since WT/TPR/M/420 • Georgia  
 
- 3 - 
 
  the finalisation of the reports, Georgia informed that they  had joined the initiatives on MSMEs, 
Investment Facilitation for Development, and Trade and Health.  
1.12.  At the last TPR of Georgia, Members raised questions on many issues, several of which were 
consistently raised again  for this review . These included SPS, t echnical regulations/TBT, competition 
policy, and intellectual property. For this review, there was also significant interest in government 
procurement, subsidies, agriculture, SOEs, taxes, transportation, economic development, and 
notifications.  
1.13.  In total,  Georgia received 239  advance written questions from 14  delegations for this review, 
out of which 193 were sent within the established deadline, covering a broad range of topic s. The 
Chairperson understood that, u nfortunately, due to the circumstances rela ted C OVID -19 pandemic, 
Georgia was not  able to provide the responses to these questions.  The Chairperson looked forward 
to hearing Georgia's updates on these issues during the second day of the  session.  
1.14.  This meeting w as a good opportunity for Members to di scuss in greater detail issues of interest 
to them and of systemic importance to the multilateral trading system. It was also an opportune 
moment for Georgia to update the Membership on the impact of COVID -19 on its economy and 
measures it ha d taken in res ponse. The Chairperson looked forward to a fruitful exchange.  
1.15.  The Chairperson closed his introductory remarks by wishing Georgia a very successful 
third Trade Policy Review.   WT/TPR/M/420 • Georgia  
 
- 4 - 
 
  2  OPENING STATEMENT BY THE REPRESENTATIVE OF GEORGIA (H.E.  MR GENADI  
ARVELADZE ) 
2.1.  On behalf of the Government of Georgia, it is my great pleasure to participate in the third  Trade 
Policy Review of Georgia. At the outset, I would like to convey my appreciation to the WTO 
Secretariat for its tremendous efforts during the COVID -19 times for the preparation of the report 
and to the Chair of the Trade Policy Review Body of the WTO for convening this meeting.  
2.2.  It is my pleasure and privilege to address you all today and share the reforms implemented by 
the Government of Georgia in th e trade related areas during 2015 -2020.  
2.3.  Georgia is a responsible Member of the WTO committed to its values and principles. We are 
targeted at achieving maximum openness, transparency, regional and global integration of our 
economy. Trade liberalization con tinues to be one of the key objectives on Georgia's economic policy 
agenda. In the reporting period, Georgia undertook a number of reform initiatives targeted at 
streamlining, liberalization and simplification of trade regulations and their implementation.  
2.4.  As a result of reforms carried out by the Government, today Georgia pursues one of the most 
liberal foreign trade policies in the world that implies facilitated foreign trade regime and customs 
procedures, low import tariffs and minimal non -tariff regulat ions. 
2.5.  The reforms implemented during the past years have contributed to the creation of competitive 
market conditions and a business enabling environment. Additionally, these reforms have diversified 
international trade and Georgia's economic ties, thus ge nerating growth and development.  
2.6.  By undertaking numerous trade and economic reform initiatives and ensuring a strong legal 
system to protect investor rights, Georgia has positioned itself as an attractive destination for foreign 
direct investment. The gove rnment's priorities are now focused on further improving investment 
climate and strengthening investor confidence to attract more foreign investment and boost 
economic growth.  
2.7.  The country's economic policy continues to focus on free market principles, with  the private 
sector as the main driving force behind the economy. At the same time, the economic policy is 
channelled  toward maintaining macroeconomic stability, especially in the post -pandemic period, also 
toward further developing the business and invest ment environment, to support the recovery and 
subsequent expansion of pandemic -affected businesses.  
2.8.  The Government's economic policy focuses on Georgia's repositioning in the post -pandemic 
world, and on tapping into new opportunities for the country's subs equent development, especially 
in terms of encouraging domestic investment growth and attracting foreign investments.  
2.9.  To ensure a high level of long -term economic growth, the Government works on the structural 
transformation of the economy, and on the maxi mal incorporation of economic factors, and 
state-owned resources, into economic activities as well as active efforts continue toward the 
qualitative improvement of the work of relevant state institutions, which will support the effective 
implementation of the country's economic policy.  
2.10.  Georgian government's economic policy focuses on the country's rapid economic growth, 
poverty reduction, and the country's stronger positioning as the region's logistics and investment 
hub. 
Macroeconomic Overview  
2.11.  Georgia's economic performance for the period 2016 -19 was averaging 4.4%, but due to 
global pandemic, average GDP growth for 2016 -20 amounted to 2.3%. In 2020 real  GDP decreased 
by 6.2%.  
2.12.  After the economic contraction in 2020, significant recovery was obse rved since February and 
the economy displayed broad -based recovery driven by improvement in domestic and external 
demand. Georgia's economic recovery has gained surprising momentum, in January -November 
economic growth amounted to 10.7 % and real GDP exceede d (by 3.3 %) pre pandemic level as well.  WT/TPR/M/420 • Georgia  
 
- 5 - 
 
  The economy shows broad -based recovery driven by improvement in domestic and external demand. 
The economic activity improved in every sector of the economy, including manufacturing, 
construction, services , and touris m related activities.  
2.13.  The preliminary results of economic activity in 2021 are more positive than previously 
forecasted by IFI's, far exceeding expectations. The Government of Georgia expects double digit  
10% economic growth in 2021. As well, according to IMF projections, Georgia will ensure fastest 
economic recovery in medium term (2021 -2026) among regional and European countries, 
amounting to 6.2%.  
2.14.  Georgia's ratings are supported by strong structural indicators, such as governance and 
business environment . According to Fitch and S&P, Georgia has a track record of cooperation and 
strong support from IFI's, which ensure policy credibility, continued reform momentum and reduce 
financing risks. A credible policy framework has helped underpin Georgia's resilien ce not just to the 
current COVID -19 shock, but also past external shocks in the region.  
2.15.  During 2016 -20 period, the fastest growing sectors were healthcare  (6.1%), information and 
communication  (5.4%), water supply  (5.2%), financial and insurance activities  (4.7%), mining and 
quarrying  (4.2%). It should be mentioned that during period of 2016 -19 one of the fastest growing 
sectors were accommodation and food service activities  (13.7%) , and arts, entertainment and 
recreation  (9.6%). The COVID -19 outbreak has h it these sectors hardest.  
2.16.  The total volume of foreign direct investments in 2016 -20 amounted to USD  6,859.6  million. 
In 2016 -20 the largest share of FDI, 45.5% (USD  3,122.8  million) came from EU countries (plus the 
United  Kingdom), 23.7% (USD  1,623.0  million) from CIS countries and 30.1% 
(USD  2,062.8  million) from other countries. Georgia's FDI to GDP is among the highest in the region 
and in 2019 amounted to 7.6% of GDP. During 2016 -20 period sectors that attracted the highest 
shares of investment wer e transport and communication (22.5%), financial sector (20.2%), energy 
sector (11.7%), construction (8.9%) , and manufacturing sector (8.0%).  
2.17.  From 2016, current account deficit had downward trend till 2019. During this period deficit 
decreased by 7  percent age points from 12.5% to 5.5% of GDP. Due to the global crisis and pandemic 
in 2020, current account deficit to GDP amounted to 12.4% and equalled  USD 1,962.2  million. The 
deficit is mainly conditioned by a negative balance in trade in goods. While trade b alance in services 
is still positive, the amount decreased significantly because of travel restrictions during 2020. 
Tourism was one of the fastest -growing sectors in the current account and before 2020 it contributed 
around 70% to service export.  
2.18.  In line with improving economic activity in 2021 external merchandise trade far exceeded the 
pre-pandemic indicators. The strong growth is observed in merchandise trade, as well recovery 
trends in tourism industry strengthened since May. In January -November export  increased by 26.7 % 
and amounted to USD 3,822.9  million. While domestic export increased by 28.7 % and equalled  to 
USD 2,809.5. Export exceeded pre -pandemic level by 12.4 %. In November recovery rate in tourism 
revenues equalled  to 55%.  
2.19.  In line with strong r ecovery in service export, current account deficit significantly improved 
and in the third  quarter amounted to 7.2 % of GDP, 6  percentage point s less compared to the same 
period of previous year.  
2.20.  Government of Georgia prioritized the structural reforms to f ocus on long -term development 
goals. The priorities of structural reforms are oriented at structural transformation of the economy, 
inclusive access to the economic opportunities, decrease of external vulnerability, increase of 
savings , and productivity en hancement.  
Agriculture  
2.21.  The agricultural sector constituted 8.4% (as of 2020, preliminary data, at basic prices) of the 
total GDP of Georgia with 40.6% of the entire population residing in rural area (as of 
1 January  2021). According to 2020, the employment  rate in rural area is 38.7%. The Government, 
fully acknowledging the central importance of this vital part of the economy, has diverted substantial 
sums to the sector. In 2015 -20, funding for the agricultural sector from the state budget increased WT/TPR/M/420 • Georgia  
 
- 6 - 
 
  by 38.4%. The enticements have also result ed in the increase of agricultural exports by 6.0% in 
2020 compared to 2019.  
2.22.  Pursuant to the Deep and Comprehensive Free Trade Area (DCFTA) with the EU, and with the 
intent of approximation with EU legislation, Georgia adopted number of new regulations in the fie ld 
of food safety, veterinary and plant protection. According to DCFTA Georgia shall approximate its 
legislation to 272  legal acts of the EU. Timeframes for the approximation are 2015 -27. Legal 
approximation process is ongoing and every year new leg al acts are adopted or corresponding 
changes are made in existing legislation.  
2.23.  The overall strategic goals of Georgian agriculture and rural development for next 
seven  years, according to the "Strategy for Agriculture and Rural Development in Georgia 2021 -27", 
is to diversify/develop economic opportunities in rural areas based on the sustainable development 
principles, improve social condition and quality of life. Strategy goals are competitive agricultural 
and non -agricultural sectors; sustainable usage of  natural resources, retaining the eco -system, 
adaptation to climate change; effective systems of food/feed safety ; veterinary and plant protection.  
2.24.  Georgia is fully committed to meet the annual notification obligations in agriculture sector and 
fill the g ap of possible outstanding notifications in the nearest future. Moreover, Georgia wishes to 
note that no subsidies contingent upon export performance have been provided in agriculture sector 
in the reporting period.  
Tourism  
2.25.  Tourism is one of the fastest de veloping sectors of the Georgian economy and one of the main 
contributors to the increased wellbeing of the countries' population, having a high potential for 
further advancement. Between 2016 and 2019 Georgia achieved tremendous results in tourism 
growth,  with international traveller  trips increasing by more than 139%, from 6.7  million to 
exceeding the 9  million mark. In the same period, international travel receipts increased by 54.9%, 
which is more than a one-billion -dollar  contribution to the national e conomy.  
2.26.  The increase of travellers  in the period of 2016 -19, was largely determined by the entrance 
of new airlines - the introduction of direct flights to new destinations, drastic improvement of 
infrastructure, liberal visa policy, marketing campaigns, a nd development initiatives implemented 
by the Government of Georgia.  
2.27.  Amid the global outbreak of the COVID -19 pandemic, Georgia's tourism sector occurred to be 
one of the hardest -hit industries, likewise, all the other international travel destinations, an d 
correspondingly, the country experienced an 81.3% decrease in the traveller  numbers in 2020. To 
translate the aforementioned in economic terms, we experienced a 2.7  billion loss in international 
travel receipts.  
2.28.  The Government of Georgia elaborated vario us actions aimed at recovery, with tourism 
representing a priority pillar in post -crisis and economic recovery plans. Georgia initiated the support 
of the tourism businesses with various benefits and programmes since the first day of the crisis, 
including economic stimulus packages and various programmes to confront the negative impact of 
the pandemic outbreak. The Government has outlined a long -term tourism development vision, 
where one of the keys is to focus on the development of new policies, diversific ation of tourism 
products, and offerings making emphasis on sustainability.  
2.29.  To further aid the development of the tourism industry in the post -COVID period, the 
tailormade Tourism Recovery Plan is being elaborated in the framework of the Georgia Tourism 
Strategy 2025. Furthermore, to ensure provision of high -quality ecotourism -related products and 
services to the international visitors, Georgia's Eco -Tourism Development Strategy 2020 -30 has 
been adopted and entered into force.  
Transport  
2.30.  Due to its geopoliti cal location, transport is one of the major pillars of economic development 
and prosperity of the country. Georgia is located on the crossroad of Europe and Asia, where 
transportation of strategic cargoes is conducted. Therefore, one of the top priorities for the WT/TPR/M/420 • Georgia  
 
- 7 - 
 
  Government of Georgia is coordinated functioning of transport fields, modernization -construction of  
transport infrastructure in accordance with international standards and approximation of country's 
legislation with international law.  
2.31.  Ministry of Economy and Sustainable Development of Georgia has elaborated the National 
Transport and Logistics Strategy (2021 -30) and its Action Plan (2021 -22). It aims at further 
developing Georgia's transport and logistics sector through increased coordi nation, enhancing 
transport connectivity, developing reliable, effective and fast logistics services as well as increasing 
human capital in transport and logistics. The document shall be adopted by the Government in the 
nearest future. Its implementation w ill greatly contribute to increasing competitiveness of the 
transport and logistics sector in Georgia.  
2.32.  There was steady growth in the use of most forms of transport during 2015 -19. However, the 
impact of the global pandemic and the consequences it had on m ovements and the economy caused 
a significant decline in the transport of persons since 2020. Freight transport, or the movement of 
goods, on the other hand, remained steady or declined only slightly over the same period.  
2.33.  Georgia is one of Eastern Partners hip countries and stronger connectivity has been declared 
as one of the top priorities within the Eastern Partnership. Enhanced physical connectivity between 
Georgia and the EU would help better use of the DCFTA and increase country's transit and logistic 
potential and it is also of high relevance in the context of Euro -Asia connectivity.  
Energy  
2.34.  The energy sector still remains one of the leading sectors in the economy of Georgia. 
Affordable and reliable energy supply stays a key goal of the country. Reforms carried out in the 
sector were directed towards the main goals of increasing efficiency of the existing and development 
of new capacities and diversification of export and import sources. For this purpose, significant 
changes were made to the legal basis during the reporting years.  
2.35.  The range of the legislative acts were adopted in order to regul ate the energy field, attract 
investors, promote the renewable energy and energy efficiency, as well as for approximation of the 
Georgian legislation with the EU.  
2.36.  Georgia has started to implement a reform that will transform the power market. On 
16 April 2020, the Government of Georgia adopted the Electricity Market Model Concept. The 
Concept sets the guiding principles for organizing and functioning of the segments of the electricity 
wholesale market – day ahead market; intraday market; bilateral agreement s' market; balancing 
and ancillary services' market.  
2.37.  As regards Energy efficiency, in the previous years the Parliament of Georgia approved several 
important laws: Energy Labeling, Energy Efficiency, and Energy Efficiency of buildings. Currently, 
we are de veloping the secondary legislation defined by the mentioned laws. Several normative acts 
have already been approved. The elaboration process is ongoing. It is planned to finalize the legal 
acts in accordance with the timeframe established by the laws.  
2.38.  As a contracting party of the Energy Community, Georgia has to prepare and submit its 
long-term strategy with a perspective of at least 30  years. The preparation of the Energy and Climate 
Integrated Plan (NECP) is almost finalized. The NECP will set the target s for 2030 for Energy 
Efficiency, Renewable Energy and GHG emissions ' reduction. The Plan includes five dimensions, such 
as energy efficiency ; energy security ; internal energy market; decarbonization ; research and 
development ; and competitiveness.  
Telecommunication, Innovation and Technology Development  
2.39.  The Government of Georgia has a strong focus on developing the telecommunication sphere 
by using innovative techniques and technologies. Georgia put a lot of effort into introducing n ew 
services and improving existing ones using cutting -edge technology. Thanks to the legislative 
reforms of previous years, there is an attractive environment for investment in the country.  WT/TPR/M/420 • Georgia  
 
- 8 - 
 
  2.40.  The adoption of the Law of Georgia on Information Technology Zones  resulted the creation of 
an attractive environment for persons carrying out the economic activities in the field of Information 
Technology.  
2.41.  The large -scale reform of transition to digital terrestrial broadcasting was successfully 
completed in 2015. Conseq uently, state and private digital terrestrial broadcasting networks, 
including regional networks equipped with new technologies, are providing a variety of television 
programmes to the population for free.  
2.42.  According to the decision made by the Government of Georgia in 2020, IT companies with 
international status will enjoy significant tax benefits, which include a reduction of both income and 
profit tax, as well as the abolition of 5% dividend tax and property tax.  
2.43.  Georgia has the ambition to host a regio nal digital hub, which will help to address challenges 
of limited international data connectivity and development of domestic IT capabilities. It is one of 
the strategic priorities under the "National Broadband Development Strategy of Georgia and its 
imple mentation action plan for 2020 -25" (NBDS), which was adopted by the Government of Georgia 
(GoG) on 9  January  2020. The key objectives of the NBDS are to enhance the legal and regulatory 
framework for broadband development in line with the EU norms and over come the digital divide 
across urban and rural areas.  
Technical Barriers to Trade  
2.44.  Georgia continues to maintain open markets and has acknowledged that technical regulations 
have a significant role in promoting free trade. Recent policy initiatives have emp hasized facilitating 
export development and promoting integration with international and European markets. Georgian 
legislation on TBT follows international best practices and norms and significant steps have been 
taken to develop the national quality infr astructure to the level of the EU acquis.  
2.45.  Developments during the review period have focused on implementing the provisions of 
DCFTA in Standardization, Metrology, Accreditation and Conformity Assessment, thereby achieving 
greater integration in the EU mar ket. Significant steps were made forward in the area of quality 
infrastructure.  
2.46.  In 2017 Georgian Accreditation Center (GAC) received first recognition from European 
Accreditation Forum (EA) by signing the Bilateral Recognition Agreement between EA and GAC.  
Recognition from EA in 2017 covered five accreditation schemes: schemes for calibration and testing 
laboratories ; scheme for inspection bodies ; scheme for product and personal certification bodies. 
Later on , in 2019 international recognition was extended to the scheme for medical laboratories. In 
addition, GAC is preparing for peer evaluation form EA in 2022, planning  to extend recognition area 
towards Proficiency Testing Providers. Recognition of conformity assessment documents issued by 
organizations acc redited by GAC reduces technical barriers for Georgian products on international 
markets and contributes to the growth of competitiveness of the products produced in Georgia.  
2.47.  In 2018 As a result of examination conducted by experts of the Regional Organizat ion of 
Metrology (COOMET), the Institute of Metrology has achieved international recognition in the 
following areas of Measurement  mass and small volume ; temperature -humidity ; pressure ; radiation ; 
and geometric measurements.  At present, Georgia has 65  internationally recognised  CMC services.  
In 2020 Geostm created a digital platform (sst.geostm.gov.ge) of Georgian standards, which 
promotes increasing access to standards and simplifying purchasing procedures. From that time 
Geostm disseminates standards digitally.  The creation of digital platform has increased the number 
of disseminated Georgian standards about 30%.  
Tax and Customs  
2.48.  During the review period, Georgia continued its efforts to digitize customs procedures and 
made various adjustments to its le gal framework to further simplify procedures and ensure the 
approximation of its customs legislation with that of the European  Union as provided in the DCFTA. 
Georgia adopted a new Customs Code.  WT/TPR/M/420 • Georgia  
 
- 9 - 
 
  2.49.  The new Customs Code seeks to promote the modernization of cu stoms infrastructure, the 
simplification of procedures, and the digitalization of customs services. The new Customs Code was 
elaborated based on the obligations undertaken by Georgia within the scope of the Georgia EU 
association agreement and builds upon the provision of the Union Customs Code.  
2.50.  2019 saw the introduction of the Authorized Economic Operator programme, which was 
designed in compliance with the EU AEO guidelines while also taking into account the relevant 
provisions of the WTO TFA and the WCO SAFE framework of standards. The programme seeks to 
create a new level of customs to business as well as business to business cooperation through 
increased cooperation of operators with Customs authorities.  
2.51.  In parallel, Georgia continued to promote tax pol icy and administration reforms to boost 
economic growth. Since 2017, new distribution based corporate income tax system was introduced 
when profits are subject to CIT only when distributed. Furthermore, Georgia conducted 
comprehensive VAT reform and fully aligned its VAT legislation with one of EU as provided in the 
Association agreement. The comprehensive VAT reform will further strengthen and intensify business 
relations between Georgian and EU businesses, increase certainty of tax system.  
2.52.  Georgia has bee n continuing to modernize its tax administration in line with best international 
practices. Introduction of single treasury account ; reliable and accurate taxpayer register ; 
improvement of compliance risk management system ; further enhancement  and diversif ication of 
services ; are only part of reforms that was dully recognized by TADAT assessment conducted in 
2020, which showed significant improvements  comparing to the same assessment  in 2016.  
Competition and Anti -dumping  
2.53.  In September  2020, the Law of Georgi a "On Competition" and related sub -legal acts were 
substantially amended. The main purpose of these changes was to bring the Georgian Law on 
Competition and related legislation closer to the relevant EU legal framework and international best 
practice. As a  result, independence of the Competition Agency was further strengthened. The GNCA's 
enforcement (investigatory and fining) powers have also improved. Simultaneously, the 
amendments equipped  market players with additional tools to effectively exercise thei r right to 
defense and enhance procedural justice. Legislative changes also included improved procedures for 
concentration control, enhancements to the enforcement system of competition rules in the 
regulated sectors, changes to the GNCA's institutional se t-up. 
2.54.  Also, In July  2020 Parliament of Georgia has adopted the Law on the Introduction of 
Anti-dumping Measures. This law is in full compliance with the World Trade Organization 
Agreements.  
Intellectual Property Rights  
2.55.  Georgia has made number of amendments to its IP legislation during the review period in 
order to approximate Georgian legislation in  the area of intellectual property with the EU a cquis. 
2.56.  The main purpose of amendments  was to prevent and suppress infringements of IPRs  and to 
ensure the implementation of appropriate sanctions, in line with Georgia's commitments under the 
DCFTA.  
Public Procurement  
2.57.  In the reporting period, Georgia's public procurement system has undergone number of 
reforms under the obligations of AA/DCFT A. 
2.58.  In July  2020, the Parliament of Georgia adopted the amendments to the Law of Georgia on 
Public Procurement Legal Framework. According to the amendments, new impartial and independent 
administrative review body/tribunal has launched its operations with n ew institutional arrangements 
from the 1  January  2021. With these changes, Georgia has successfully completed first phase of 
approximation under the AA/DCFTA.  WT/TPR/M/420 • Georgia  
 
- 10 - 
 
  2.59.  Also, new draft law on public procurement is prepared which envisages all phases of 
approximation  under DCFTA.  
State -owned enterprises  
2.60.  In April  2020, the process of classification of state -owned enterprises was completed, under 
which were identified state corporations and general government enterprises. The mentioned 
process transparently revealed all  the enterprises that are non -commercial and constantly 
dependent on subsidies and enterprises that are fully commercial or have potential to become the 
commercial enterprises.  
2.61.  The Government of Georgia started the reform on state -owned enterprises. Under the reform , 
Government will strengthen corporate governance of state -owned enterprises based on OECD 
principles to ensure that the governance of public corporations is transparent and accountable and 
complies with high -quality corporate governance standards.  
2.62.  The Government elaborated and approved the ordinance on the Code of Corporate 
Governance of State Owned Enterprises. The Code provisions fully complies with OECD guidelines 
on corporate governance of state -owned enterprises. According  to the mentioned ordinance, 
Enterprises will ensure gradual compliance with the principles set out in the Code within the defined 
timeframe.  
2.63.  As well, it is planned to adopt the public corporation reform strategy in line with OECD 
principles, including by ensuring clear separation between the state's shareholder and policymaking 
functions. The strategy will reflect OECD principles and IMF TA recommendations to ensure that the 
governance of public corporations is transparent and accountable and complies with  high quality 
corporate governance standards. The legal and regulatory framework for public corporations will 
provide a level playing field and fair competition in the marketplace. Based on the adopted strategy 
government will also adopt a framework law fo r public corporations.  
Main Trade Agreements  
2.64.  Today, Georgia enjoys preferential trade regimes with the countries covering over 2.3  billion 
population. Diversification of export markets and products as well as the enhancement of the scope 
of preferential tr ade arrangements represents primary objectives for the Government of Georgia.  
2.65.  To this end, numerous regional free trade agreements were completed or negotiations started 
by Georgia since the last review.  
2.66.  The Agreement on Free Trade with the European Free T rade Association (EFTA) entered in 
force since May  2018.  
2.67.  Free Trade Agreement with the People's Republic of China entered into force since 
January  2018 and with Hong  Kong,  China since February  2019.  
2.68.  Strategic Partnership Agreement between Georgia and the U K entered into force on 
1 January  2021.  
2.69.  Moreover, Georgia has reopened FTA negotiations with Turkey to further liberalise trade in 
goods and to cover trade in services. Also, we concluded the Joint Feasibility Studies on the Free 
Trade Agreements with Indi a, Israel and South  Korea and joint statement on launching FTA 
negotiations with UAE was recently announced.  
Conclusions  
2.70.  To summarize, during the reporting period, Georgia continued the trend of trade  liberalization 
activities. As a result of the subsequen t and coherent reform measures, tariff and non -tariff barriers 
to trade are largely eliminated, and export and import procedures are simplified.  WT/TPR/M/420 • Georgia  
 
- 11 - 
 
  2.71.  Georgia stays committed to continue trade related reforms in line with WTO Agreements 
including approximation o f its legislation to the EU a cquis and to further strengthen WTO notification 
activities.  
2.72.  Liberal trade policies, preferential trade regimes create a solid foundation for strengthening 
and developing local industry, facilitate exports and foreign direct i nvestment. With that regards, 
Georgia will further develop its export market through an integrated network of international trade 
agreements, in which bilateral, regional and multilateral trade agreements will work in a harmony 
and in a joint effort to pro mote trade and facilitate market openness with its trade partners.  
  WT/TPR/M/420 • Georgia  
 
- 12 - 
 
  3  STATEMENT BY THE DISCUSSANT  
3.1.  It’s a real pleasure to serve as the discussant for the third  Trade Policy Review of Georgia and 
the first TPR  meeting of this year. And let me echo, first of all, Chair, your welcome to the Georgian 
delegation lead here in room by Minister Genadi Arveladze, and his colleagues here and in Tbilisi.  
3.2.   I would like to thank him for his comments already this morning. It would be remiss if I also 
failed to commend the Secretariat and the Government of Georgia and indeed other Members for 
their ongoing reviews, for their dedication in ensuring that this  vital transparency function of the 
WTO can continue despite the chall enges of the pandemic. And that pandemic has of course increase 
uncertainty around global trade and economic growth and that is certainly the case for Georgia, as 
we have heard this morning and as we read in the reports.  
3.3.  Georgia has experienced a significant economic contraction back in 2022 because of C OVID , 
which particularly harmed the vital tourism sector. Estimates from  2021, as the Minister was just 
explaining, clearly indicate that economic recovery was stronger than forecast, which is good news. 
But further economic disruption resulting from the uncertainties that continue to pervade the 
pandemic is clearly the chief downside risk for Georgia 's continued economic recovery and future 
growth.  
3.4.  So, as I understand it,  my role as discussant is to  highlight some of the key developments since 
Georgia 's last review in 2016, so as to foster discussion in this room today and on  Friday. In my 
remarks this morning, I wanted to touch on a number of areas of notable success, identify a few 
areas where perh aps performance could be strengthened, and then conclude with a few suggestions 
that flow from the reports prepared by the Secretariat and by the Georgia n Government.  
3.5.  So let me start with the areas of strength. In its report, Georgia states that trade libe ralisation 
continues to be one of the key objectives of its economic policy agenda, a  commitment echoed by 
the Minister, and I think that 's really welcome. And, indeed, during the review period, Georgia has 
maintained its largely liberal tariff regime, wit h low average tariffs and a high number of duty -free 
lines, also very welcome. Georgia has also expanded its network of Free Trade Agreements, 
concluding, as the Minister just mentioned, one with my own country in 2019. It 's updated its legal 
framework for  customs administration and continued its efforts to digitalise customs procedures. All 
very welcome. It ratified the Trade Facilitation Agreement in 2016 and, in May  2019, established a  
national Trade Facilitation Committee to oversee the TFA’s implementa tion and to advise the 
Government.  
3.6.   In addition, economic reforms have continued, including changes to the rules governing capital 
market development, intellectual property protection, value -added tax, and government 
procurement, as the Minister set out this morning. Georgia 's commitment to  maintaining an  open 
and consistent trade regime, and to progressive economic reforms, contributes to a good investment 
climate, and it is rightly recognised for its ease of doing business. Its financial and banking sector 
has weathered the disruptions pro moted by the pandemic in an impressive manner.  
3.7.  Georgia 's trade policy response to the pandemic is an admirable example to us all. A special 
team was established in the early day of the pandemic, with responsibility for ensuring smooth trade 
and transit. R egulatory requirements were applied in a manner designed to minimise the impact on 
imports and exports and on cargo drivers, where drivers were required to quarantine upon entry to 
Georgia, substitute drivers were made available to limit delays. Georgia ap plied some trade 
restrictions at the beginning of the pandemic, but most of them were removed within 6 to 12  months. 
Again, really welcome.  
3.8.  Georgia recognises its economic potential and it is targeting its policies to exploit its strengths. 
For example, it  is necessary to take advantage of the country 's extraordinary location at the 
crossroads of Eastern Europe and Central Asia. Georgia is investing in its transportation and logistics 
networks. It is working to expand its strong tourism sector, by diversify ing its tourism products and 
services, with an emphasis on sustainability. This will also support an expansionist export mix, which, 
as the Secretariat report notes, will depend on improving accessibility and hospitality infrastructure.  
3.9.  Forest s, as we hav e read in the reports and heard from the Minister, are an essential part of 
Georgia 's landscape, and economy, and therefore I would include the adoption of the new Forest WT/TPR/M/420 • Georgia  
 
- 13 - 
 
  Code as an important policy advance. That updated Forest Code and the new development  strategy 
and action plan for 2021 -2026 focused on developing forest restoration and maintenance, 
community awareness, multipurpose forest use, and strengthening governance are important steps 
in the right direction for preserving this key natural resource . 
3.10.  In the previous TPR, a number of Members suggested that additional attention was needed in 
the area of sanitary and phytosanitary measures and technical regulations. I think we all know that 
strong sanitary and phytosanitary infrastructure, in particular , is essential for expanding cultural 
exports. The Secretariat report notes that the SPS situation in Georgia can be described as having 
improved in recent year. In its report, the Government of Georgia notes the significant steps that 
have been made to im prove the country 's quality infrastructure. Questions about Georgia 's SPS and 
TBT regimes also featured among the questions submitted by Members for this review, indicating 
that it remains an area of interest. So, I am looking forward to hearing more from our Georgian 
colleagues on that today and on Friday.  
3.11.  Georgia is, as I think all of us in Geneva know, an active participant in the work of the WTO, 
including in the Joint Statement Initiatives on MSMEs and Electronic Commerce, Domestic Services 
Regulation and Investment Facilitation, and, Minister, you are admirably served by your Ambassador 
and his team here in Geneva. Naturally, there are always areas where improvements can be made, 
and the Secretariat Report and several Members ' questions flag Georgia 's WTO notifications, 
particularly in regard to import licensing, customs valuation, and subsidies. So, that’s the good news.  
3.12.  Let me turn to a few areas where challenges appear to remain. So, despite Georgia 's 
successful in the period under review i n reducing its poverty rate, it clearly still struggles to increase 
employment. Moreover, agricultural productivity remains relatively low, with consequent negative 
effects on rural development. Improvements in agricultural productivity, in quality, as wel l as greater 
value -added processing, could expand Georgia 's agricultural exports. Further reforms appear to be 
required in the mining sector, where exports increased over the period from 21 % to 27 % of 
merchandise exports. A new mining code is due to be ado pted in the first  trimester of this year.  
3.13.  At the previous TPR, Ministers encouraged Georgia to diversify its exports. And over the period 
covered by this review, Georgia has indeed increased its exports to China but there an increase in 
the concentration of exports to the Commonwealth of Independent States, particularly to the Russian 
Federation and Azerbaijan. The share of exports to the European  Union and other European 
countries, including ourselves, and the rest of the world dropped. The composition of  merchandise 
exports also remains highly concentrated on agricultural products. As noted, there was an increase 
in the share of the mining sector, and a drop in the share of manufactured goods.  
3.14.  Tourism remains the largest services export and while the ban king and financial sectors 
weathered the pandemic well, the high degree of dollarization of assets and liabilities has been 
identified as a potential vulnerability for the financial sector. Domestic  capital markets are still 
relatively under -developed, and  an important share of banks medium to long -term funding is 
sourced in foreign currency. Capacity to support local currency wholesale funding needs for domestic 
business is lacking and could be improved.  
3.15.  So, let me now briefly suggest some possible recomme ndations for the period leading up to 
the fourth  Trade Policy Review of Georgia. According to the World  Bank, Georgia struggled to provide 
quality learning and skills, despite near universal school coverage. Its Human Capital Index is  0.57 
which translated  into more terms means that children achieve only  57% of their human capital 
potential by the age of 18. So, like the rest of us, it is important for Georgia to invest in human 
capital development, to address skills mismatches, particularly in order to meet its  ambitions , set 
out again by the Minister this morning , to expand its IT sector and to host a regional, digital hub. 
There is significant un -met demand for tech skills, in particular. Skills deficit is both a constraint on 
Georgian business and a m ajor contributor to young unemployment. So, investment in human capital 
is also necessary in order to raise agricultural productivity.  
3.16.  In addition, like many of us, Georgia could improve the economic empowerment of women. 
While educational attainment of w omen is high, higher than among men, they have more limited 
access to economic opportunities than men. There is a large gender gap in labour force participation, 
and a significant occupational segregation, with woman in lower -wage employment. It is not the  
only place in the world where that is true but, nevertheless. Developing relevant skills among girls, WT/TPR/M/420 • Georgia  
 
- 14 - 
 
  including promoting science, technology, and maths, are, as fields for women and girls and 
increasing the availability of childcare and elder care, would  support greater female labour force 
participation, especially in higher -wage jobs.  
3.17.  The Minister referred to it this morning, that state-owned enterprises account for an important 
share of Georgia 's GDP, employment, and public investment, and operate in a  number of key sectors, 
including electricity and gas, water supply and sewage, and water supply and storage. So, over the 
review period, more enterprises were nationalised than were privatised. SOEs do not all perform 
well, imposing both high fiscal and e conomic costs on the Government, and limiting the 
competitiveness of Georgian businesses. The Georgian Government recognises that 
SOE performance, as the Minister said this morning, must be improved in order to reduce fiscal risks, 
avoid higher sovereign d ebt, and remove constraints on economic growth, and it has taken a number 
of steps in that direction, as the Minister set -out. Continued reforms and restructuring of SOEs, 
working with international partners, and encouraging greater private investment in t he economy will 
help Georgian businesses compete successfully in global markets.  
3.18.  Finally, a particular passion of mine, climate change. Key sectors of the Georgian economy, 
not least agriculture and tourism of course, are exposed to significant climate rel ated risks. Both the 
mountainous areas above 1 ,000 metres and the coast are subject to climate -related weather 
disturbances. Climate change will also impact the forests, which cover over 40% of Georgia 's 
territory and whose greenhouse gas absorption capaci ty Georgia aims to increase. These risks are 
reflected in Georgia 's updated national determined contribution. Given the country 's vulnerability to 
external shocks, observed most recently with the pandemic, Georgia should move quickly to assess 
climate impa cts on sensitive ecosystems and important economic sectors, and develop sound 
strategies to support their adaptation.  
3.19.  This is my first experience as a discussant. And so, before concluding,  let me say  that learning 
a bit about Georgia for today and Friday,  beyond what is in the two  reports , has been a real pleasure.  
The country has an amazing ecological diversity, ranging from subtropical to alpine, and boasts 
49 different soil types.  It has mountain peaks higher than we can see here in Switzerland.  It is t he 
cradle of winemaking, dating back 8,000  years.  The Georgian language is one of the oldest in the 
world, and it has its own unique alphabet. Georgia also celebrates two  Christmases and two  New 
Year's, the old New Year is celebrated on 14  January.  
3.20.  At a banquet or festivity in Georgia, it is the role of the tamada or toastmaster to keep the 
audience engaged.  A good tamada is one who is good with words, demonstrates originality and 
humour, and is also short and to the point.  With that in min d, I will wrap up by expressing my thanks 
again for the opportunity to serve as tamada for our meeting today, and to extend my best wishes 
to the Georgian delegation for a successful Trade Policy Review  
 
  WT/TPR/M/420 • Georgia  
 
- 15 - 
 
  4  STATEMENTS BY MEMBERS  
HONG  KONG,  CHINA  
4.1.  I would sta rt by extending a warm welcome to the Georgian delegation led by 
Mr Genadi  Arveladze, Deputy Minister of the Ministry of Economy and Sustainable Development. I 
would also like to thank Ambassador Simon  Manley of the United  Kingdom for sharing with us his 
insights as the discussant, and the Secretariat for preparing the comprehensive reports for this 
review.  
4.2.  Hong Kong,  China and Georgia have maintained close and cordial bilateral trade relations. The 
bilateral merchandise trade between our two  economies amou nted to US D 30.7 million in 2020. We 
value Georgia as an important trading partner and would endeavour to ensure that our bilateral 
trade ties will continue to prosper.  
4.3.  Hong Kong, China signed a Free Trade Agreement (FTA) with Georgia in June 2018, which 
entered into force in February  2019.  The FTA is comprehensive in scope and smooth in 
implementation.  It has brought about more favourable market access for goods and services, and 
further enhanced the trade and investment flows between Hong  Kong,  China and Georgia.   
4.4.  Turning now to Georgia 's trade policies, we have the following observations.  
4.5.  First, on trade and investment policies. We are pleased to note that Georgia 's economic growth 
has been largely positive over the last decade and there has been a demonstrated commitment to 
open markets and further integration into regional and world markets. As a result of these 
developments and the increase in per  capita income, Georgia reached the status of upper -middle 
income country in 2016.  
4.6.  We commend Georgi a for its economic achievement so far and encourage Georgia to continue 
to pursue its economic policy agenda with focus on free market principles and trade liberalisation.  
4.7.  On trade facilitation, we are pleased to note Georgia 's dedicated efforts in digital ising, 
modernising and simplifying its customs procedures and formalities through the adoption of a new 
customs code and other legal instruments to facilitate trade during the review period.   
4.8.  Georgia has also developed an Authorised Economic Operator progr amme and enhanced 
cooperation between businesses and customs authorities.  We commend Georgia 's continued efforts 
in facilitating trade.  
4.9.  Georgia ratified the Agreement on Trade Facilitation (TFA) in 2016 with 92% of the TFA 
obligations implemented at the ti me of ratification.  We are glad to note that Georgia has completed 
the full implementation of TFA in September  2019 and duly submitted all transparency notifications.  
4.10.  Turning to tariffs. We are pleased to note that the tariff system and structure of Georgi a 
remain largely liberal and simple. It is commendable that Georgia has bound all of its tariff lines, 
with an average bound rate of 7.4%. There is also an increase in duty -free tariff lines percentage 
from 79.6% in 2015 to 81.3% in 2021 in addition to red uction in non  ad valorem tariffs from 4.5% 
to 2.5% during the same period. We commend Georgia for having the fourth -lowest MFN applied 
tariff (average applied MFN tariff remained at 2%) among WTO Members and the seventh -largest 
share of duty -free lines in 2020 according to WTO statistics.  We look forward to Georgia 's continued 
efforts in liberalising its tariff regime.  
4.11.  On standards and other technical requirements, we note that Georgia 's rules and procedures 
of accreditation have been updated recently to in corporate modifications of international standards. 
We appreciate Georgia 's efforts in harmonising domestic rules with international standards to 
facilitate trade.  
4.12.  The Secretariat report underscores that the sanitary and phytosanitary requirements and the 
situation in Georgia improved in recent years. We hope Georgia would continue its efforts in aligning 
its SPS -related legislation with international norms to facilitate trade.  WT/TPR/M/420 • Georgia  
 
- 16 - 
 
  4.13.  Hong Kong,  China looks forward to continuing our close economic cooperation with  Georgia, 
especially in its pursuit of liberalisation in trade in services. We wish Georgia a successful Trade 
Policy Review.  
UNITED  KINGDOM  
4.14.  On behalf of the UK Government, I am pleased to welcome the delegation of Georgia and join 
other delegations in expressing our appreciation for the Secretariat 's work facilitating the TPRM.  
4.15.   The United  Kingdom is one of the largest foreign direct investors in Georgia. Trade between 
our economies grew by almost 17% in June  2021, compared to the same pe riod in 2020. We look 
forward to further expanding our trade ties, building on the solid foundations of the UK -Georgia 
Strategic Partnership and Cooperation Agreement.  
4.16.  The United  Kingdom appreciates Georgia 's active engagement at the WTO, including its 
participation in the WTO Joint Statement Initiatives and its engagement on WTO reform matters, 
particularly regarding its support for a resolution to the Appellate Body impasse.  The UK would 
welcome Georgia 's additional participation in the three  environmenta l initiatives at the WTO: the 
Trade and Environmental Sustainability Structured Dialogue ; the Informal Dialogue on Plastic 
Pollution and Sustainable Plastics Trade ; and Fossil Fuel Subsidy Reform. These important initiatives 
are helping to position trade a s part of the solution to our shared environmental challenges.  
4.17.  Since its previous review in 2016, Georgia has committed to closely implementing its WTO 
Membership obligations by ratifying the Trade Facilitation Agreement and by accepting both the 
Declarat ion on the Expansion of Trade in Information Technology Products and the Protocol 
Amending the TRIPS Agreement. Commendably, Georgia has maintained its liberal and simple tariff 
system, which WTO statistics show is the fourth -lowest MFN applied regime amon g WTO Members.  
4.18.  Georgia has undertaken important legislative and regulatory changes, such as Constitutional 
and Electoral Code amendments, as well as judicial reforms and legislation to protect and enforce 
Intellectual Property Rights at the border and to apply simplified customs procedures. The 
United  Kingdom looks forward to the timely conclusion and effective enforcement of the respective 
legislation.  
4.19.  With these successes in mind, it is the United  Kingdom 's view that Georgia should take 
measures to furt her reduce the significant stake of SOEs in key sectors of its economy. This will help 
to promote inclusive and sustainable economic growth and attract greater activity and investment 
amongst the private sector.  
4.20.  Relatedly, Georgia 's Economic Development S trategy 2020 -2030 appears to plan for a more 
substantive, longer -term import -substitution incentives. As Georgia already subsidises several 
domestic economy sectors, any additional such measures may potentially distort trade with WTO 
Member states. The UK also encourages Georgia to ensure that it meets its transparency obligations 
regarding subsidies notifications in a timely and comprehensive manner.  
4.21.  During the review period, Georgia 's government procurement regime underwent numerous 
positive developments , including introducing e -procurement and establishing an independent Public 
Procurement Dispute Resolution Council. However, competitive tendering in government 
procurement remains generally low and foreign participation was less than 2% of total procurem ent 
spending in 2020.  The UK recommends that Georgia moves forward with its accession to the WTO 
Committee on Government Procurement (GPA) to improve openness of government procurement.  
4.22.  In conclusion, the United  Kingdom commends Georgia for the positive changes it has made 
to its trade policy since its last review, which have resulted in an open and liberal economy that 
welcomes and values foreign participation.  The UK encourages Georgia to build on these positive 
developments and consider Member 's suggestions to achieve its de velopment goals.    
INDIA  
4.23.  My delegation is pleased to participate in the third  Trade Policy Review of Georgia and would 
like to extend a very warm welcome to the delegation of Georgia led by H.E.  Mr Genadi  Arveladze, WT/TPR/M/420 • Georgia  
 
- 17 - 
 
  Deputy Minister Ministry of Economy and Sustainable Development of Georgia.  My delegation would 
like to commend H.E.  Mr Aleksandre Maisuradze, Permanent Representative of Georgia to UN Office 
and other International Organizations in Geneva, for his endeavours , and the  Government of Georgia 
along  with the WTO Secretariat for their comprehensive reports and would also thank the discussant 
H.E. Mr Simon  Manley  (of the United  Kingdom) for his insightful comments.  
4.24.  India's relations with Georgia go back to the third and fourth  centuries BC on the Silk Route. 
Modern day , bilateral relations were established in September  1992, when India formally recognised 
Georgia after its independence in 1991. These ties received a new boost after the first  ever visit to 
Georgia by India 's External Affairs Ministe r in 2021. Discussions focussed on further strengthening 
the bilateral ties and explore opportunities that exist in several areas where both countries can 
collaborate namely agriculture, education, tourism, steel , and power.  
4.25.  Trade ties form an integral par t of the multifaceted bilateral relations. An Agreement on Trade 
and Economic Cooperation between India and Georgia was signed in 1995 laying a foundation to 
further strengthening bilateral trade and economic cooperation.  
4.26.  India-Georgia trade reached US D 48.45 million in the year 2020, showing marginal increase 
since last three  years. The top  five export commodities from India are bovine meat, rice, tobacco, 
medicaments , and polycetals (used for plastic manufacturing). While the top  five import 
commodities to India are aluminium waste and scrap ; petroleum coke ; copper waste and scrap ; 
unwrought lead ; and petroleum oil. The total Indian investment in Georgia is a little over 
USD 400 million. Steel, infrastructure, agriculture , and service sectors are among fe w sectors having 
significant Indian investment.   
4.27.  Connectivity, however, remains the major challenge for promotion of trade between the 
two countries and efforts to overcome the challenge , opening a direct flight has been affected by 
the ongoing pandemic. The pandemic has further affected start of negotiations of India and Georgia 
FTA. The FTA Feasibility Study was launched in April  2017 and was completed in January  2019.  
4.28.  As per the Secretariat report Georgia has recorded positive economic growth in the past 
decade, owing to its commitment to open markets and integrate further into the global economy as 
well as regional markets, as reflected in its engagements at the WTO and the Deep and 
Comprehensive Free Trade Area (DCFTA) with the European Union. Howev er, the report further, 
notes that the services sector was particularly hit hard and affected mainly transport, 
accommodation, and food services due to the COVID -19 pandemic. And this slowdown in economic 
growth in 2020 reversed previous gains in unemploym ent and poverty reduction.  
4.29.  However, it must be highlighted that the Government of Georgia undertook several mitigation 
measures with a view to alleviating the adverse economic and social impacts caused by the 
COVID -19 pandemic. The broad objectives of Geo rgia's trade policy continue to be focussed on trade 
policy liberalization, facilitation of export and import procedures and streamlining of regulations on 
non-tariff barriers, and diversification of trade relations. We note, that in July  2021, the Governm ent 
presented a 10 -year economic development strategy, Economy 2030 the strategy aims to increase 
domestic production and exports in order to maintain a high rate of economic growth. India takes 
note of these policy developments and remains open to partner  with Georgia in its path to economic 
growth and development.  
4.30.  India has submitted a number of questions to Georgia and our capital will be reviewing the 
responses provided, we thank Georgia for the same. Lastly Chair, we look forward to working 
together w ith Georgia in further expanding and fostering our trade and investment ties for our 
mutual benefit. We wish the delegation of Georgia a productive and successful Trade Policy Review.  
REPUBLIC OF KOREA  
4.31.  I would like to thank the delegation of Georgia for pr eparing this review. My special thanks 
go as well to Ambassador Mr  Simon  Manley for his insightful contribution and to the Secretariat for 
its informative report.  
4.32.  Korea and Georgia have enjoyed an excellent economic relationship over the years. Despite 
some fluctuations, trade activities between Korea and Georgia have increased steadily. While Korea WT/TPR/M/420 • Georgia  
 
- 18 - 
 
  mainly exports transport equipment, steel products, and medicine to Georgia, Georgia's top 
exporting goods to Korea have been raw materials and textiles. The tw o countries recently concluded 
the Joint Feasibility Studies of Free Trade Agreements. I believe that our trade relationship is quite 
complimentary with the utilization of the respective competitive advantages.  
4.33.  We note that Georgia achieved a steady econo mic growth between 2016 and 2019 of about 
4.4% annually before the COVID -19 crisis. Georgia is currently under the negative influence of the 
pandemic, especially in the sector of tourism. Nevertheless, as the global economy is recovering 
from the pandemic,  we are sure that Georgia will return to its normal path of growth soon.  
4.34.  Korea highly commends the Georgian government 's openness to trade, which has functioned 
as one of the reasons for its economic success. Even though Georgia initiated a market -based 
economy at a competitively later stage, its liberalization reforms have enabled Georgia to be one of 
good emerging economies in the region. We also note that Georgia has maintained good trade policy 
objectives, which include trade policy liberalizati on, facilitation of trade procedures, streamlining of 
regulations on non -tariff barriers, and diversification of trade relations. Especially, the efforts to 
modernize the regulatory framework in various areas under the Deep and Comprehensive Free Trade 
Area (DCFTA) with the European  Union should be highly recognized.  
4.35.  At this stage, I would like to highlight two  issues, taxation and tourism. I think that Georgian 
taxation system is well positioned. Given the limited revenue sources and the status of a 
middle -income country, it is making good use of the revenue -generating power of both VAT and 
excise tax, which apply equally to goods and services whether imported or locally produced and 
above all account for about 60% of the total tax revenue. Dependence on ge neral indirect tax is 
helping Georgia keep its low import tariff system which would lead to more economic opportunities 
and greater consumer welfare.  
4.36.  If we remind ourselves of the effects of the moratorium on electronic transmission and related 
policy alt ernatives, this combined strategy of broad general consumption -related tax and low import 
tax is desirable in terms of revenue generation as well as adaptation to the digital economy. Of 
course, as Georgia grows further to become a high -income economy in t he future, it needs to 
consider a greater dependence on direct tax such as income tax for the purposes of broader revenue 
and enhanced equity.  
4.37.  Georgia has high potential in the tourism sector considering its beautiful landscape and 
cultural heritage. We ar e sure that the Georgian tourism sector would contribute to lessening the 
country's trade deficit and giving a constant impetus to its GDP growth if appropriate policy 
interventions are applied. Taking a customer -based approach would be a good intervention . It would 
be important to satisfy independent inbound foreign tourists every step, from preparing for the trip 
to visa acquisition, entry, accommodation, food, sightseeing, activities, feedback, and so forth. For 
example, since Georgia is famous for its d elicious cuisine, it can benchmark other countries and 
publish a so -called "Georgian -style Zagat Guide " to provide information online and offline about the 
best value restaurants in the country.  We wish Georgia a successful review.  
UNITED  STATES  
4.38.  The United  States is pleased to welcome Mr  Genadi  Arveladze, Deputy Minister of Economy 
and Sustainable Development of Georgia and the rest of the distinguished delegation from Tbilisi to 
the third  Trade Policy Review (TPR) of Georgia.   
4.39.  We welcome the Secretariat an d Government reports and appreciate the opportunity to gain 
a clearer sense of changes to trade and investment policies in Georgia since the last review in 2016.  
Each of the reports has helped to inform our consideration of Georgia 's trade and investment policies 
today and to establish a solid foundation upon which to build our TPR discussions regarding Georgia. 
I would also like to thank our discussant Ambassador  Simon  Manley of the United  Kingdom for the 
contributions to this revie w. 
4.40.  The United  States and Georgia enjoy a constructive bilateral relationship, with cooperation 
spanning many of the economic and security issues confronting the world. In terms of trade, the 
value of US goods imports from Georgia in 2021 was US D 149 millio n, with the top import categories WT/TPR/M/420 • Georgia  
 
- 19 - 
 
  in iron and steel at USD 89 million, organic chemicals at USD 29 million, inorganic chemicals at 
USD 7 million, wine at USD 7 million, and knit apparel at USD 2 million.  
4.41.  The United  States has submitted a number of question s to better understand Georgia 's 
processes and mechanisms, and we look forward to reviewing Georgia 's responses to our written 
questions. Many of these questions reflect our desire to encourage Georgia to move forward on 
important WTO commitments, includin g continuing its accession to the WTO Agreement on 
Government Procurement.  
4.42.  For example, we have raised questions regarding Georgia 's process for ensuring notification 
to WTO Committees of legislation or other measures as it continues approximation to the E U acquis.  
We note the reference in the Secretariat report to capacity constraints preventing Georgia from 
making notifications, and look forward to learning more about these particular constraints.  
4.43.  We encourage Georgia to support the initiative by 20  cospo nsors for a General Council 
Decision to Enhance Transparency and Improve Compliance with Notification Requirements under 
WTO Agreements. This proposal is designed to improve support for Members facing difficulties in 
fulfilling their notification obligatio ns and we would welcome the constructive input from Georgia.  
4.44.  In addition, the United States submitted detailed questions regarding duty exemptions; 
subsidies to the agricultural sector; the status of notification of updated regulations on customs 
valuation  and new import licensing procedures; and the status of Georgia 's Annual Questionnaire 
for the Committee on Import Licensing.  
4.45.  We also raised questions regarding the programs for Enterprise Georgia, Produce in Georgia 
and the Universal Industrial Component of the Produce in Georgia Program; the National 
Phytosanitary Strategy and the National Food Safety Implementing Strategic Document; and the 
status of intellectual property rights protection and enforcement in Georgia.  
4.46.  The United States further encourages Georgia become more active in WTO regular Committee 
work and to share its national experiences as part of its ongoing efforts to build national capacity 
among its technical agencies. We would welcome Georgia 's participation in ongoing initiatives, 
particul arly in the area of trade facilitation where a number of Members are working to secure a 
decision on strengthening resiliency and preparedness through trade facilitation and in the area of 
sanitary and phytosanitary measures where Members are working to de sign a work plan to respond 
to modern SPS challenges.  
4.47.  The United  States greatly appreciates the opportunity to participate in this TPR review and 
looks forward to continuing our work with Georgia, and our trading partners, to strengthen the global 
economy and the multilateral trading system embodied by the WTO, allowing trade and investment 
opportunities to expand.  
4.48.  We wish Georgia a successful review and we thank the delegation for its attention to our 
questions.  We hope that Georgia will find this review to be useful as the country continues to open 
its markets for global trade.   
UKRAINE  
4.49.  Ukraine would like to extend a very warm welcome to the delegation of Georgia, led by 
Mr Genadi  Arveladze, Deputy Minister Ministry of Economy and Sustainable Devel opment of Georgia.  
We appreciate the significant work of the Chair, the WTO Secretariat, discussant 
H.E. Mr Simon  Manley  (United  Kingdom) and the Government of Georgia to prepare to this Review.  
4.50.  The third  Trade Policy Review of Georgia offers a good opport unity to gain a better 
understanding of Georgia 's trade, economic and investment policies, including recent measures 
taken in response to the COVID -19 pandemic and its impact on the economy.  
4.51.  We note the results of the reforms carried out by the Government of Georgia which have 
contributed to the trade liberalization and diversification, creation of competitive market conditions 
and business enabling environment, thus generating growth and deve lopment.  WT/TPR/M/420 • Georgia  
 
- 20 - 
 
  4.52.  Ukraine commends the significant economic recovery achieved after the economic contraction 
in 2020 due to the global pandemic and believes that implementation of the measures set in the 
Government Program 2021 -2024 "Toward Building a European Sta te" and in the Strategy 
"Economy  2030" will enable Georgia to continue economic growth and to meet its strategic 
development goals.  
4.53.  At a multilateral level, Ukraine recognizes Georgia 's active engagement within the WTO 
process and welcomes Georgia 's accept ance of the Trade Facilitation Agreement (in 2016) and the 
Protocol Amending the TRIPS Agreement (in 2018).  
4.54.  In terms of our bilateral relations, Georgia is a very important strategic partner for Ukraine. 
Our countries enjoy effective economic and trade coo peration based on the Agreement on Free Trade 
between Georgia and Ukraine.  
4.55.  Priority areas of our bilateral cooperation in the economic sphere are as follows:  further 
increase in trade in goods and services;  development of transport and energy corridors;  
development of cooperation programs in the field of tourism and hotel business;  and expansion of 
cooperation in agricultural sphere and food industry, creation of joint ventures and productions in 
the territories of both States.  
4.56.  In 2020, the Ukrainian -Georgian trade in goods contracted by 12.7% compared to 2019 and 
amounted to USD  501.8  million. However, in January -October 2021 our bilateral trade increased by 
28.6% comparably to the same period of 2020 and reached USD  511.3  million (exports – 
USD 348.7  million, imports – USD 162.6  million).  
4.57.  Ukraine believes that the achievement of common objectives regarding integration into the 
EU market and approximation of our national legislations to the EU acquis will result in the improved 
conditions for  trade and further increase in trade turnover between Ukraine and Georgia.  
4.58.  As contracting parties of the Regional Convention on Pan -Euro-Mediterranean Preferential 
Rules of Origin, Ukraine and Georgia can participate in a diagonal cumulation scheme. To mak e the 
most of the benefits of the abovementioned Convention and for the purpose of its implementation, 
Ukraine and Georgia ratified appropriate amendments to their FTA in 2020. The updated matrix of 
the Convention contains designations for the application of diagonal cumulation of origin for goods 
between Ukraine and Georgia.  
4.59.  Thus, the conditions for the development of additional export opportunities in the 
Ukraine -EU-Georgia triangle have been created, that will promote the involvement of our producers 
in regional and international value chains and potentially expand the opportunities for preferential 
export of goods to promising foreign markets.  
4.60.  Ukraine has submitted a number of questions with the regard to the reports prepared by 
Georgia and the WTO Secre tariat. The main topics were related to the measures implemented under 
economic reforms and strategic documents; the process of approximation of Georgi a's legislation to 
the EU acquis; formulation of customs fees; particularities of VAT and excise tax syst em; support 
measures in agriculture; legislative amendments on compulsory licensing ; etc. 
4.61.  Ukraine would be grateful for receiving answers to all submitted written questions, which will 
be examined carefully.  
4.62.  We wish the delegation of Georgia a very succes sful Trade Policy Review and look forward to 
further strengthening our bilateral cooperation.  
CANADA  
4.63.  Canada joins other WTO Members in welcoming Mr  Genadi  Arveladze and the other Members 
of the delegation from Georgia today. We are very pleased to particip ate in the third  Trade Policy 
Review of Georgia. We thank the Georgia Government and the WTO Secretariat for their reports.  
4.64.  Since its accession to WTO in 2000, Georgia has made efforts to further integrate its economy 
with international trade networks. Ca nada welcomes Georgia 's commitment to a predictable WT/TPR/M/420 • Georgia  
 
- 21 - 
 
  rules-based trading system and the work it has undertaken to meet its WTO obligations. In 
particular, Canada would like to highlight Georgia 's very good notification record. Such transparency 
ensures all WTO Members and their stakeholders remain updated on our respective trade policies, 
and any changes to them.  
4.65.  We would also like to commend Georgia for its participation in the Joint Statement Initiatives 
on E-Commerce, Investment Facilitation f or Development and Micro, Small and Medium Sized 
Enterprises. Canada appreciates the support by Georgia of the draft "Joint Ministerial Declaration on 
the Advancement of Gender Equality and Women 's Economic Empowerment within Trade ", which is 
to be issued at MC12. We encourage Georgia to consider joining the Trade and Environmental 
Sustainability Structured Discussions. We also encourage Georgia to consider joining the Multi -Party 
Interim Appeal Arbitration Arrangement as well as the recently agreed Declara tion on the Conclusion 
of Negotiations on Services Domestic Regulation.  
4.66.  Additionally, Canada would like to thank Georgia for recently joining 57 other WTO Members 
in co-sponsorship of the draft trade and heath declaration "COVID -19 and Beyond ". This is an 
important political commitment, designed to contribute to the WTO response to the current 
COVID -19 pandemic and to enhance resilience against future pandemics.  
4.67.  As Georgia continues to weather the challenges posed by COVID -19 and the slowing 
economies of so me of its main trading partners due to the depreciation of their currencies, it will be 
aided by the market and policy reforms it has made in the past several years. The commitment of 
the Georgian government to leverage the opportunities afforded by its As sociation Agreement with 
the EU, an FTA with China and the continued alignment of its legislative and regulatory framework 
to that of the EU, will encourage the development and diversification of its industries and increase 
exports.  
4.68.  Canada commends Georgia  for the sustained growth in its services exports which have 
continued to rise the last few  years. We note the exceptional performance of the tourism, 
transportation and business travel sectors during the period under review. While these sectors 
account fo r an unbalanced share of Georgia 's services exports, it is nevertheless clear that there 
remains considerable growth potential in them. As Georgia continues to make improvements in its 
tourist service offering and as it works to rebound from COVID -19, it i s well placed to leverage its 
strengths to attract travellers beyond those coming from neighbouring countries. This will also have 
a positive impact on transportation services, a sector that will continue to grow.   
4.69.  We are pleased that Georgia has continued  to reduce obstacles to doing business in the 
country by reducing or eliminating the majority of tariffs. However, Canada notes that companies 
currently present in Georgia have expressed concerns with the safety of their investments, slow 
decision -making p rocess at the municipal level and the difficulty to resolve commercial disputes 
within reasonable delays, all major challenges faced by investors in Georgia. Canada, therefore, 
looks forward to continued efforts by Georgia to improve its business environme nt.  
4.70.  In closing, I would like to note that although Georgia and Canada 's bilateral trade flows are 
modest, we enjoy a warm relationship. We are encouraged by the continued efforts of Georgia to 
transform its economy and see value in increased cooperation b etween our countries.  
4.71.  We appreciate the responses from Georgia to our questions and wish the delegation of Georgia 
the utmost success during this Trade Policy Review.  
EUROPEAN  UNION  
4.72.  On behalf of the EU, I would first like to welcome the Delegation of Georgia, led by 
Mr Genadi  Arveladze, Deputy Minister of Economy and Sustainable Development. My appreciation is 
extended to the Discussant, H.E.  Mr Simon  Manley (Ambassador of the United  Kingdom) for getting 
us started today with his remarks.  
4.73.  From an economic point of view, Georgia performed well in the recent years as demonstrated 
by a real GDP growth rate, which averaged 4.1% during 2015 -2019, one of the strongest in the 
region. Secondly, Georgia has an excellent ranking (seventh)  in the las t World Bank 's annual "Ease 
of Doing Business " survey.  WT/TPR/M/420 • Georgia  
 
- 22 - 
 
  4.74.  Like many other countries, Georgia experienced a significant downturn of GDP of -6.2% in 
2020 as a consequence of the COVID -19 pandemic. This is in particular due to its high reliance on 
external trad e, foreign investment and tourism. However, macroeconomic policies remained 
prudent, and due to mitigating measures taken by the Government and, amongst others, COVID -19 
specific Macro Financial Assistance provided by the EU, the IMF projects growth as hig h as 7.7% in 
2021.  
4.75.  The EU acknowledges Georgia's efforts in implementing far -reaching structural reforms, 
inter alia, the ones carried out in the context of implementation of the EU -Georgia Deep and 
Comprehensive Free Trade Area (DCFTA). However, we belie ve that further structural reforms are 
needed for strengthening Georgia's resilience to shocks, attracting additional investments and 
improving productivity, and thereby sustaining growth in the future.  
4.76.  The EU commends Georgia's efforts to integrate into the world economy as reflected in the 
progressive liberalisation of its trade regime and its participation in or adherence to various 
multilateral trade initiatives. In particular, the EU welcomes Georgia 's membership of the Pan  Euro 
Mediter ranean Convention on rules of origin and hopes that Georgia will soon become a Party to the 
WTO Agreement on Government Procurement. In the EU's view, this can contribute to strengthening 
further the economic reform path and Georgia's integration in the in ternational economy.  
4.77.  Furthermore, the EU appreciates Georgia 's participation in the WTO Joint Statement Initiatives 
on E-Commerce and Investment Facilitation for Development. We appreciate the strong interest of 
Georgia in the services domestic regulation  and urge Georgia to promptly join this initiative that was 
concluded last year and is now moving to the implementation phase.  We also encourage Georgia to 
consider joining the three recently launched environmental initiatives and hope that Georgia will 
constructively engage in the discussions on all the key issues in this organisation, including on the 
WTO reform.  
4.78.  Let me concentrate now on the bilateral and regional relations between Georgia and the EU. 
Georgia is an important economic market for many Euro pean companies. The EU is the first  trading 
partner of Georgia and bilateral trade has continued to grow, even if modestly, in the past years. 
The EU values the strengthening of EU -Georgia bilateral trade relations under the DCFTA and 
commends Georgia on its reform process in trade -related a reas. Further, the EU also reaffirms its 
commitment to support Georgia 's reform agenda through financial and technical cooperation.  
4.79.  We commend Georgia on its continued efforts to approximate national legislation to the 
trade-related body of the EU law. Thi s will not only help develop bilateral trade relations between 
the EU and Georgia but will also contribute to making Georgia an attractive place for worldwide 
foreign direct investment.  
4.80.  Let me mention a few examples in this respect. The EU notes the effort s made by Georgia to 
improve the competition and state aid legal framework, and welcomes recent amendments 
introduced in the Law on Competition, which aim at further bringing the Georgian competition regime 
in line with the DCFTA requirements. Also worth h ighlighting is the adoption of a new Customs Code 
and further digitalisation of customs systems, which should allow Georgia to accede to the Common 
Transit Convention by 2024.  
4.81.  Legislative approximation efforts in public procurement are also paying off in particular since 
Georgia is not yet a full Member of the WTO Government Procurement Agreement. Adjusting 
Georgia 's national laws and implementing its commitments has so far led to the possibility of 
granting mutual access to public tendering for supplies a t central government level.  
4.82.  During the last Trade Policy Review in 2016, the EU recommended Georgia to further invest 
in the SPS area. We can only but acknowledge the good progress in this area where Georgia has 
adapted its legal framework on veterinary, f ood safety, and plant protection to more than half of the 
EU acquis in these areas. This has also resulted in increased access for the Georgian products to the 
EU market for animal origin products.  
4.83.  Finally, Georgia 's regulatory agenda covers considerable c ommitments in the areas of 
telecommunications, postal, financial and international maritime transport services. We acknowledge 
the progress and would like to encourage Georgia to step up its efforts in these areas with the aim WT/TPR/M/420 • Georgia  
 
- 23 - 
 
  of improving even further the  already acknowledged good business environment, and to attract 
foreign direct investment. Amendments to the Labour Law as part of Georgia’s trade and sustainable 
development commitments are also a step in the right direction.  
4.84.  All this shows Georgia 's comm itment to adopting a modern 21st century framework for trade 
and investment. On behalf of the EU, I wish the Georgian delegation the utmost success during its 
third Trade Policy Review.   
SINGAPORE  
4.85.  Singapore extends a very warm welcome to the Deputy Ministe r of Economy and Sustainable 
Development, Mr  Genadi  Arveladze and his delegation. Let me begin by expressing our appreciation 
to Georgia for its Government report and statement. Our appreciation also goes to you, Chair, 
discussant Ambassador  Simon  Manley a s well as the Secretariat for your valuable insights. Allow me 
to make three  points.  
4.86.  First, Singapore commends Georgia for the economic reforms that it has implemented during 
the period under review. Before the onslaught of the COVID -19 pandemic, Georgia had implemented 
reforms to strengthen public sector competitiveness and improve its business environment, which 
played an important role in enabling Georgia to achieve an average growth rate of 4.1%. Such 
reforms include embracing digitalisation, d evelopment of Georgia 's capital market by upgrading the 
regulatory framework and promoting the use of financial instruments such as corporate bonds and 
other types of securities, and establishment of rules for government procurement to promote 
competition.   
4.87.  According to the World  Bank, these sound macroeconomic policies have enabled Georgia to 
halve its national poverty rate between 2007 to 2019. When the COVID -19 pandemic first  hit, 
Georgia took decisive action in implementing a range of targeted fiscal, m onetary and financial 
market policy measures to address the acute economic challenges, and subsequently devised a more 
comprehensive Anti -Crisis Economic Plan to aid recovery, which has yielded results. The National 
Bank of Georgia reported an expected gro wth in the economy by 8.5% in 2021 driven by domestic 
demand, which will stabilise at 5% in the medium term. Looking ahead, Singapore welcomes 
Georgia 's commitment to pursuing innovation, such as through setting up the Georgia Innovation 
and Technology Age ncy (GITA). We are confident that these reforms will be an important driver of 
further growth in the years ahead.  
4.88.  Second, Singapore looks forward to strengthening our economic relations with Georgia. 
Singapore welcomes Georgia 's efforts at developing a Di gital Corridor and data centres that will 
connect the South Caucasus to the European Union and Asia, under the "National Broadband 
Development Strategy of Georgia and its implementation action plan for 2020 -2025". This will 
strengthen Georgia 's internation al data connectivity and provide opportunities for greater 
collaboration between Singapore and Georgia to embrace digital transformation. In this regard, 
Singapore has requested more information on Georgia 's plans to set up a regional digital hub.  
4.89.  Both Si ngapore and Georgia are strategically located within our respective regions. Hence, we 
have been engaging in negotiations for an Air Services Agreement (ASA) and Singapore looks 
forward to the completion of this ASA. When the COVID -19 pandemic is over and international air 
travel resumes, this ASA will facilitate increased flights and frequency that will enhance connectivity 
and boost opportunities for business and leisure.   
4.90.  Third, Singapore commends Georgia 's continued commitment to diversify its economic 
relations and be actively engaged in the WTO. It is noteworthy that Georgia had ratified the Trade 
Facilitation Agreement in 2016, accepted the Protocol Amending the TRIPS Agreement in 2018 and 
joined the International Organisation of Securities Commission s as a regular member in 2021.  
4.91.   Furthermore, as highlighted in the Secretariat 's report, Georgia has actively participated in 
all four of the Joint Statement Initiatives (JSIs). Singapore looks forward to work closely with Georgia 
to advance our mutual goa l of strengthening the rules -based multilateral trading system. We also 
encourage Georgia to submit the outstanding notifications flagged by the Secretariat, on import 
licensing, customs valuation and subsidies.   WT/TPR/M/420 • Georgia  
 
- 24 - 
 
  4.92.  Finally , Singapore is confident that Georgi a will continue its positive economic development 
and the Georgian Mission under the able leadership of Ambassador  Aleksandre Maisuradze will 
continue to play an important role in strengthening the WTO. We wish Georgia every success for its 
third Trade Policy Review . 
JAPAN  
4.93.  Japan welcomes the delegation of Georgia led by Mr  Genadi  Arveladze Deputy Minister, 
Ministry of Economy and Sustainable Development. We sincerely appreciate the reports prepared by 
the WTO Secretariat and the Government of Georgia, which  form the basis for our discussion today. 
We are also grateful to the discussant, H.E.  Mr Simon  Manley, the United  Kingdom 's Ambassador to 
the WTO, for his insightful remarks.  
4.94.  Japan welcomes Georgia 's efforts to promote trade liberalization, diversification, and regional 
economic integration. Although the COVID -19 pandemic has had adverse impacts on the economy 
of Georgia, we hope that the country will continue to achieve economic growth under the multilateral 
trading system, in the same way a s it achieved the status of upper middle -income country in the 
2016 World  Bank assessment.  
4.95.  Since the last TPR, the economic relationship between Japan and Georgia has been 
strengthened. This relationship is expected to further develop as a result of the J apan-Georgia 
Investment Agreement and the Japan -Georgia Tax Treaty, both of which came into effect in 2021.  
Next year will mark the 30th anniversary of the establishment of diplomatic relations between Japan 
and Georgia, and Japan would like to continue to  accelerate the cooperation between our two 
countries.  
4.96.  Japan believes that the use and promotion of negotiations by like -minded countries is 
important for improving the function of rules negotiations of the WTO. We appreciate Georgia 's 
active involvement i n the JSI discussions. On the other hand, despite the fact that Georgia applied 
to accede the WTO Agreement on Government Procurement in 2002, the accession negotiation is 
currently inactive. We hope that Georgia will take the necessary steps to accede the  Agreement in 
order to further improve transparency in government procurement.  
4.97.  Japan appreciates Georgia 's efforts for reform and liberalization as mentioned in the 
Secretariat 's report. Japanese companies operating in Georgia have also welcomed these effo rts and 
expressed their expectations for further enhancement of investment support. For example, Japan 
supports the new initiative launched by the Georgian Government in November  2020 to promote 
increased foreign direct investment and the influx of relevan t technology and know -how, as well as 
the Competition Law revised in November 2020 to promote fair and efficient markets. Japan also 
expects that the Government of Georgia will place more emphasis on quality in government 
procurement, not only in terms of initial price competition, but also in terms of lifecycle costs, to 
ensure sustainable growth in Georgia.  
4.98.  To conclude, I would like to reiterate my appreciation to Georgia for making this review 
meeting possible despite the present situation with the COVID -19 pandemic, and for Georgia 's efforts 
to improve its trade environment since the last review.  
TURKEY  
4.99.  Turkey joins other Members in welcoming the delegation of Georgia headed by 
H.E. Genadi  Arveladze, Deputy Minister of the Ministry of Economy and Sustainable Development of 
Georgia.  We would like to thank the Secretariat and the Government of Georgia for their detailed 
reports as well as our discussant Ambassador  Manley for his invaluable comments.  
4.100.   As stated in the reports, during the review period Georgia's economic performance has 
generally remained positive.  The real GDP continually expanded throughout 2015 -2019 with an 
average growth rate of 4.1%.  As a result of positive developments and the increase in gross national 
income per  capita, Georgia b ecame upper -middle income country in 2016.  WT/TPR/M/420 • Georgia  
 
- 25 - 
 
  4.101.   However, due to the COVID -19 pandemic the GDP decreased 6.2% in 2020. The pandemic 
interrupted Georgia's positive economic growth and reversed its gains in the field of unemployment 
and poverty.  
4.102.   In this regard, w e welcome the 10 -year economic development strategy, namely 
"Economy  2030". We are confident that with this strategy Georgia will maintain a high rate of 
economic growth, increase exports and domestic production.  
4.103.   Turkey also commends Georgia 's ranking as s eventh country in the World  Bank's "Doing 
Business" 2020 report.  
4.104.   Turkey values Georgia 's firm commitment to the multilateral trading system and the WTO. 
We welcome the ratification of the Trade Facilitation Agreement and the Declaration on the 
Expansion o f Trade in Information Technology in 2016.  At the same time we note the approval of 
the Protocol Amending the TRIPS Agreement in 2018.  We are also pleased with the Georgia's active 
participation in Joint Statement Initiatives on E-Commerce, Investment Facilitation for Development 
and MSMEs.  
4.105.   Georgia is a close neighbour, friend and strategic partner for Turkey. We are very pleased 
to have regular high -level contacts and consultations with Georgia.  During the review period, our 
bilateral trade volume increase d more than 40% reaching USD 1.9 billion  in 2021.  
4.106.   According to the Government report, Turkey has been the largest trading partner of Georgia 
since 2006. The FTA has been in effect since 2008 and negotiations continue to expand its scope.  
Turkey is one of the largest foreign direct investors with more than 2 ,000 companies in Georgia. Our 
direct investment, including through third parties, has exceeded  USD 1.2 billion.  
4.107.   Georgia also plays a pivotal role in terms of connectivity between Central Asia, 
South  Caucasus and Europe. Together with Georgia and Azerbaijan, we have undersigned strategic 
projects in the energy field such as Baku -Tbilisi -Ceyhan oil pipeline and the Baku -Tbilisi -Erzurum 
natural gas pipeline. These projects, followed by Trans -Anatol ian natural gas pipeline (TANAP) paved 
the way to put into practice the Southern Gas Corridor.  
4.108.   In transportation field, Baku -Tbilisi -Kars Railway line is important in terms of increasing 
connectivity in our region and reviving the historical trade route. A s such, we also see Georgia as an 
important partner in our Asia Anew policy.  
4.109.   In conclusion, we wish Georgia a very successful Trade Policy Review.  
CHINA  
4.110.   Let me first welcome the Georgian delegation headed by Mr  Genadi  Arveladze, the Deputy 
Minister of Econ omy and Sustainable Development to the third  Trade Policy Review of Georgia in 
Geneva and extend my appreciation to the Secretariat for their excellent work. I also wish to thank 
our distinguished discussant, H.E.  Mr Simon  Manley for his insightful remarks . 
4.111.   Georgia remained positive economic performance during the review period. Although it is 
one of the hardest hit countries in the COVID -19 pandemic due to its heavy dependence on tourism 
and foreign investment, Georgia registered 15% in economic growth for  the first  three quarters of 
2021, with good prospect to exceed the pre -pandemic level at the end of the year . 
4.112.   China notes with pleasure the good progress of Georgia in various sectors thanks to its 
constant reform over the years. It has adopted great effo rt to approximate its legislations, rules and 
standards to those of the European Union as provided for in the DCFTA (Deep and Comprehensive 
Free Trade Area), in such areas as customs procedures, intellectual property rights and agriculture, 
particularly in  food safety, veterinary and plant protection. These new regimes, applied also in 
consistent with WTO rules, serve as an impetus for Georgia to better integrate into the global market.  
4.113.   Georgia actively participated in the major aspects of WTO work. It has accepted the Trade 
Facilitation Agreement, the Expansion of Information Technology Agreement and the Protocol 
Amending the TRIPS Agreement. It also actively engages in JSIs. Particularly, China highly WT/TPR/M/420 • Georgia  
 
- 26 - 
 
  commends Georgia becoming a co -sponsor to the Joint Sta tement Initiative on Investment 
Facilitation for Development last  November, joining the other over  110 Members of the WTO to 
further improve transparency in investment policy and simplify and accelerate investment 
procedures.  
4.114.   Bilaterally, as one of the major foreign investors in Georgia, China has an accumulative 
investment of USD 820 million  in Georgia by November  2021. Georgia became one of the 
first partners to the Belt and Road Initiative (BRI) of China in 2015. As the Georgian Ambassador to 
China once pointed out, the BRI fully meets the vision of Georgia to build itself into a transportation, 
transit, trade and logistics hub between the east and the west.  
4.115.   Furthermore, as the China -Georgia Free Trade Agreement entered into force in 2018, 
bilateral trade volume increased by 29% in the following year. China now is the third largest trading 
partner to Geor gia. Despite the COVID -19 pandemic, China absorbed 14.3% of Georgia's total 
export, ranking as the largest export market for Georgia in 2020.  
4.116.   This year marks the 30th anniversary of the Georgia and China diplomatic relationship. China 
would like to continu e to strengthen its trade and investment cooperation with Georgia both 
bilaterally and multilaterally.  
4.117.   To better understand Georgia 's trading regimes and policies, China submitted written 
questions to Georgia related to the tax exemption policies under th e Georgia -EU Association 
Agreement, regulatory policies in its Free Industrial Zones, environment -related subsides and 
standards, etc. Finally, I wish the third  Trade Policy Review  of Georgia a full success.  
ICELAND  
4.118.   It is with pleasure that Iceland welcome s the distinguished delegation of Georgia to their 
Trade Policy Review today – the first one of 2022. We also express appreciation to the WTO 
Secretariat and Georgia for the reports prepared, as well as to the discussant, for the excellent 
framing of the i ssues for our discussion today.  
4.119.   First, I would like to mention the Free Trade Agreement between Georgia and the four EFTA 
States, Iceland, Liechtenstein, Norway, and Switzerland that entered into force in 2018. The FTA 
has served our countries well. It is a broad -based agreement, covering trade in goods, services, IPR, 
governmental procurement, competition as well as trade and  sustainable development.  
4.120.   After having experienced average growth of 4 .1% throughout the years 2015 -2019, the 
economy, relaying on external trade, foreign investments and tourism, has suffered heavily over the 
course of the past two  years due to the COVID -19 pandemic.   
4.121.   Iceland welcomes the actions taken by Georgia to counter the impact of the pandemic, which 
has demonstrated some new challenges relating to trade and trade -related activities as it is widely 
recognised that women are affected much harder tha t men, including when it comes to participating 
in trade.  
4.122.   Iceland welcomes the work done by Enterprise Georgia that specifically targets women 
owned businesses, as studies show that gender equality and women 's economic empowerment 
benefits economies in man y concrete ways, among those, having a positive effect on trade and 
contributing to increasing economic growth.  
4.123.   Policies and programs specifically targeted to encourage women 's participation in national 
and international trade are important to ensure that and to develop them it is important to identify 
barriers that women face when it comes to participating in trade.  
4.124.   An important tool in advancing women 's economic empowerment is the sharing of best 
practices of respective experiences relating to those policies and programs. This is a work that the 
Informal Working Group on Trade and Gender has been focusing on and is laid out in the proposed 
Joint Ministerial Declaration on the advancement of gender equality and women 's economic 
empowerment within trade .  WT/TPR/M/420 • Georgia  
 
- 27 - 
 
  4.125.   Iceland has submitted in advance written questions on the participation of women in the 
economy of Georgia. We welcome the replies as the answers will be useful in gathering best 
practices.  
4.126.   Finally, as one of the co -chairs of the Informal Working Group  on Trade and Gender, Iceland 
welcomes Georgia 's constructive participation in the work of the Informal Working Group and 
Georgia 's support to the proposed Joint Ministerial Declaration on the advancement of gender 
equality and women’s economic empowerment  within trade.  
4.127.   Iceland appreciates Georgi a's active engagement in WTO and their continued support for the 
multilateral trading system. We wish the delegation of Georgia every success for their third Trade 
Policy Review.  
THAILAND  
4.128.   Thailand is delighted to participate in the third Trade Policy Review of Georgia. We wish to 
extend our warm welcome to the delegation of Georgia led by H.E.  Mr Genadi  Arveladze, Deputy 
Minister of Economy and Sustainable Development of Georgia.  
4.129.   We would like to thank Ambassador  Simon  Manley of the United  Kingdom, for his insightful 
comments as Discussant. We also thank the Government of Georgia and the WTO Secretariat for 
preparing the reports.  
4.130.   Thailand and Georgia have established diplomatic relations since 1992. Rece ntly, bilateral 
relations between the two  countries have been strengthened in various fields including visits and 
exchanges between government officials as well as cooperation in economic development and trade.  
4.131.   In terms of merchandise trade, the average t otal trade value between the two  countries from 
2018 to 2020 amounted to approximately USD 37.5 million  per year and has expanded by 20.01% 
for the first 11 months of 2021. The top traded products between the two countries are refrigerators 
and freezers, m otor vehicles, and pneumatic tires. We hope that the two  countries could strive for 
a higher bilateral trade exchange in the future.  
4.132.   Georgia, like Thailand, is an open economy primarily relying on international trade, foreign 
investment, and tourism. Geor gia's service sector, especially tourism, has been particularly hard hit 
by the COVID -19 pandemic, resulting in the downturn in economic growth in 2020. Thailand wishes 
Georgia to overcome these challenges successfully and emerge even stronger. Particularl y, we 
welcome Georgia 's efforts in diversifying her exports, the profile of foreign tourists, and the FDI into 
tradable sector in order to promote the country 's long -term economic growth.  
4.133.   Thailand believes that Georgia is full of potential due to its geog raphical location and 
transport connections, which could make the country a regional economic hub. The unique cultural 
and natural heritage of the country as well as warm hospitality and service -mindedness of the 
Georgian people can certainly enable the to urism sector to go a long way towards becoming the 
main engine of sustainable economic growth of the country.  
4.134.   In this review, Thailand has submitted questions on Georgia's trade and economic policy, 
particularly on Georgia 's investment regime and tourism sector. We thank Georgia in advance for 
responding to our questions.  
4.135.   Lastly, Thailand appreciates the leadership of Ambassador  Aleksander  Maisuradze in 
Geneva. We look forward to enhancing the cooperation between our two missions. Thailand wishes 
Georgia a  successful third Trade Policy Review.  
KYRGYZ REPUBLIC  
4.136.   Kyrgyz  Republic warmly welcomes the delegation of Georgia led by H .E Mr Genadi Arveladze , 
Deputy Minister of Economy and Sustainable Development . We would like to express our gratitude 
to the WTO Secretariat and Georgian Government and the Secretariat of WTO for providing such a 
comprehensive reports of the third review of the trade policies and practices of Georgia. We would WT/TPR/M/420 • Georgia  
 
- 28 - 
 
  also like to thank the Discussant, H.E.  Ambassador of the Unite d Kingdom Mr  Simon  Manley for his 
insightful comments.  
4.137.   Georgia has shown an enormous result in trade liberalisation as it has been a key in their 
economic policy agenda. The country has demonstrated its highest of de dications to the WTO rules 
and has continuously shown its commitment to the multilateral trading system. As a result, today 
Georgia pursues one of the most liberal foreign trade policies in the world with facilitated foreign 
trade regime and customs proced ures, low import tariffs and minimal non -tariff regulations. It is 
indeed crucial nowadays for the world trade.  
4.138.   The diplomatic relationship between the Kyrgyz  Republic and Georgia was established on 
10 June 1992. Since then, our countries are gradually mo ving towards development of bilateral trade 
and economic cooperation.  
4.139.   As of today, our countries have signed agreements, which laid a serious ground in legal 
framework enabling further development of a mutually beneficial links and diversified cooperation  
at bilateral and international levels especially within the framework of the United  Nations, WTO and 
other international organizations.   
4.140.   In spring 2016 in Tbilisi the first  meeting of the Intergovernmental Kyrgyz -Georgian 
Commission on Trade and Economic Cooperation was held, which served a solid platform and gave 
a good impulse for further improvement of our partnership. The signed during the meeting 
Agreement on Promotion and Protection of Investments and on Avoidance of Double Taxation 
between the Governments of Kyrgyzstan and Georgia acts as a strong legal basis which is supposed 
to create a favourable environment for development of business interactions between the 
two countries.  
4.141.   Unfortunately, despite the existing potential, the scale of eco nomic cooperation shows quite 
modest figures. However, despite the spread of the pandemic the trade showed positive trend. 
According to our statistics, the foreign trade turnover at the end of 2020 amounted only to 
USD 13.6 million . In 2020 we see a 54% in crease comparing to 2019 of the trade volume. Moreover, 
the trade in January – September  2021 almost doubled compared to the same period of previous 
year amounting  USD 17.3. million   
4.142.   The same positive trend is observed in foreign direct investment statisti cs. Inflow of FDI 
from Georgia to the Kyrgyz  Republic in 2018 amounted to USD 10.3 million and rose to 
USD 21.7 million in 2019.  
4.143.   The Kyrgyz  Republic believes that the aforementioned indicators of bilateral economic 
cooperation do not match the existing po tential. On this regard, we need to intensify our bilateral 
economic collaboration and launch a series of events at B2B and B2G levels with Georgia, which can 
commensurate with the immense trade and investment potential between our countries.  
4.144.   The most impo rtant and promising areas of bilateral trade and economic interaction are 
cooperation in tourism, infrastructure development, energy, processing industry and agriculture.  
4.145.   Taking this opportunity, the Kyrgyz  Republic wishes a very successful Trade Policy Re view 
to the delegation of Georgia.  
URUGUAY  
4.146.   Uruguay wishes to extend a warm welcome to the delegation of Georgia, headed by the 
Deputy  Minister of Economy and Sustainable Development, Mr  Genadi  Arveladze , on the occasion of 
its fifth Trade Policy Review. We appreciate the excellent work undertaken by both the Secretariat 
and Georgia in preparing their respective reports and wish to congratulate Ambassador  Manley on 
his high -quality report.  
4.147.   Uruguay wishes to congratulate Georgia on its continued efforts to transform the economy 
and its commitment to open markets and further integration into world and regional markets. 
Despite the major blow dealt by the COVID -19 pandemic, above all to the services se ctor, Georgia's WT/TPR/M/420 • Georgia  
 
- 29 - 
 
  economic performance has been solid. We also commend the steady increase in exports during the 
review period.  
4.148.   Georgia and Uruguay agree on the great value of the WTO and the central role that it 
performs in the rules -based multilateral trad ing system, as well as on the need to achieve meaningful 
outcomes at MC12. Both countries recognize that supporting and contributing to the multilateral 
trading system, enhancing trade cooperation and promoting an inclusive and sustainable trade policy 
will be key to navigating the post -pandemic economic landscape.  
4.149.   I would also like to acknowledge Georgia's commitment to increasing the participation of 
MSMEs in international trade, as evidenced when it recently joined the Informal Working Group on 
MSMEs at the WTO.  
4.150.   To conclude, we would like to reiterate our appreciation for this new opportunity to discuss 
the trade practices of Georgia, and we look forward to pursuing our cooperation at all levels: 
bilateral, regional and here at the WTO. Thank you and my b est wishes for a successful review.  
REPUBLIC OF MOLDOVA  
4.151.   Let me start by joining others in welcoming  Mr Genadi  Arveladze, Deputy Minister of 
Economy and Sustainable Development and his delegation from the capital as well as Georgian 
Ambassador and his Genev a based team at this third trade policy transparency exercise. I would 
also like to thank the discussant, Ambassador  Manley (United  Kingdom) for the insightful 
introductory remarks as well as to acknowledge my delegation 's appreciation to the Secretariat f or 
their efforts in drafting a comprehensive report.   
4.152.   As a general remark, I am pleased to mention that two decades of liberalization reforms, 
have transformed Georgia into an almost duty -free economy. Georgia maintains low tariffs and a 
very opened trade regime with the rest of the world, similar to the economy of the 
Republic  of Moldova.  
4.153.   As stated, and in the Secretariat 's report, we believe that its openness to trade and 
commitments undertaken within the Deep and Comprehensive Free Trade Agreement with EU 
(DCFTA) are a plausible argument for the registered economic performance from the recent years, 
and that there is an evident connection between the level of development that Georgia has been 
able to obtain in the last years and its clear focus on develo ping strong institutions and maintaining 
a liberal and transparent trade regime.  
4.154.   As a result of these positive developments and the increase in gross national income per 
capita, Georgia reached the status of upper -middle income country in 2016, according to World  Bank 
criteria, which is a highly commendable result.   
4.155.   In terms of GDP, Georgia remained heavily reliant on the services sector as it continued to 
account for about two  thirds  of GDP output. The other significant sectors that contributed the most 
to the economy were manufacturing, construction, and agriculture. Similar to my country, the impact 
of the COVID -19 pandemic was particularly hard in the services sector as the most significant 
declines were in the transport, and accommodation and food serv ice sectors. Agriculture remained 
important, especially in terms of employment, but it has been characterized as having low 
productivity. Despite changes in the Tax Code, Georgia's informal sector remains significant 
especially in the foodstuffs, retail an d wholesale, construction, and hotel and restaurant sectors 
where these firms often remain underproductive.  
4.156.   Despite considerable challenges it is commendable that Georgia continues to implement its 
structural reform agenda and focus on long -term developmen t priorities, including a number of 
important infrastructure projects, e.g. roads and communications networks.  
4.157.   Additionally, we note positively that a number of substantial economic reforms improving 
business environment were adopted by Georgian authorities during the review period. Notably, by 
advancing new instruments for access to finance, implementing the new i nsolvency framework, 
developing the local capital market, supporting energy security and independence, and promoting WT/TPR/M/420 • Georgia  
 
- 30 - 
 
  digitalization, Georgia makes efforts to further improve the business climate, increase private sector 
competitiveness, foster economic div ersification, and boost economic growth and job creation.  
4.158.   Furthermore, since the last TPR, the Secretariat report notes that in July  2021, the 
Government presented a 10 -year economic development strategy called Economy 2030 which aims 
to increase domestic  production and exports. Specifically, the new strategy aims to double exports 
in the next five  years and increase self -sufficiency by at least 20%. As part of the Produce in Georgia 
State Program, the new Business Export and Import -Replacement Program ide ntifies certain sectors 
that have the potential for export growth and import replacement on the local market and that will 
benefit from certain support schemes. In this context, understanding current realities, Moldova is 
particularly concerned with the in creasing regional tendencies of protectionist policies. We are 
interested in the implementation of the above mentioned program and its conformity with WTO 
commitments undertaken by Georgia while joining this organization back in 2000.  
4.159.   On a positive note, we commend Georgia for its efforts to pursue trade facilitation reforms 
by implementing the TFA. We also commend its accession to ITA extension which is an important 
step for improvement of business climate and country image. Furthermore,  we encourage and invite 
Georgia to launch the accession process to the GPA in the nearest future which would bring tangible 
benefits to its government procurement expenses.  
4.160.   On the bilateral level, we enjoy very close and friendly relations. Unfortunately, the trade 
betwee n the Republic of Moldova and Georgia, registered a decreasing trend other the latest review 
since 2014, however, the Republic  of Moldova is working to revitalize the economic bilateral relations 
and strengthen our close cooperation including through the "Associated Trio " (Georgia, Ukraine and 
Moldova) formed in the context of the implementation of the Association Agreements and DCFTA 
with European  Union.  
4.161.   Additionally, we attach great value to the bilateral Agreements signed between Georgia and 
the Republi c of Moldova in the field of the mutual promotion and protection of investments and on 
free trade from 2007. We would be pleased to further strengthen our collaboration and share our 
best practices in the main sectors of interest including through the GUAM  platform.  
4.162.   Last but least, on another positive note, we are very pleased to mention that despite its 
small delegation, Georgia follows closely and collaborates in the work of the WTO, also submitting 
notifications in most committees. We further encourage Georgia to ensure the continuity of the 
submission of the WTO notifications in a timely manner. We look forward for Georgia 's engagement 
in the ongoing Joint Initiatives, particularly we would be pleased to invite Georgia to join the Services 
Domestic Regu lation initiative with a view to incorporating the disciplines in the Reference Paper as 
additional commitments into its GATS Schedule.   
4.163.   To conclude, on behalf of the delegation of the Republic  of Moldova I would like to 
congratulate Georgia on its economi c success registered from recent years and I wish the Georgian 
delegation interesting discussions during this transparency exercise.  
BRAZIL  
4.164.   Brazil would like to thank the Government of Georgia for engaging in its third  Trade Policy 
Review and providing Mem bers with an overview of the country 's economic performance and 
adherence to the multilateral trading system. We welcome the Georgian delegation, headed by 
Mr Genadi  Arveladze, Deputy Minister of Economy and Sustainable Development, and thank the 
Georgian Mission in Geneva, and especially Ambassador  Aleksandre  Maisuradze, for their efforts and 
contributions to this important exercise.  
4.165.   We would also like to express our appreciation to the WTO Secretariat for its comprehensive 
report, as well as to you, Chai r, and the discussant, Ambassador Simon M anley , for your contribution 
to a successful trade monitoring exercise.  
4.166.   Georgia has continued to maintain a generally open trade regime since its previous Review 
in 2016 and, apart from the year  2020, has experienced continued and consistent GDP growth in 
the past years. The COVID -19 crisis has had a significant impact on the Georgian economy, as in 
most of our countries. Despite the impacts of the COVID -19 in the global economy, there are solid WT/TPR/M/420 • Georgia  
 
- 31 - 
 
  grounds for optimism based on sound macroeconomic policies, steady economic growth, deepening 
of trade liberalization and continuous efforts by the Government of Georgia in achieving better 
governance.  
4.167.   Georgia has demonstrated it recognizes the importance o f trade facilitation for streamlining 
and simplifying trade flows. We commend Georgia 's ratification of the Trade Facilitation Agreement 
in 2016 and its completion of the implementation of its obligations under the Agreement in 2019. 
We also note with sati sfaction the adoption of a new Customs Code in 2019, which introduced an 
Authorized Economic Operator programme.  
4.168.   Brazil is aware of Georgia 's efforts towards sustaining a favourable  environment for foreign 
investors.  Georgia has evolved very positively in important international economic rankings, 
occupying: the 7th place among 190  countries in the "Doing Business 2020" of the World  Bank; 
ranked  5th in the world on the Fraser Institute raking "Economic Freedom Index "; the 12th place 
among 186  countries eval uated by the "Economic Freedom Survey" of the "Heritage Foundation"; 
and the 5th position in the "Open Budget Survey" of the "International Budget Partnership", among 
186 evaluated.  
4.169.   We are pleased that Georgia takes part in all four Joint Initiatives. With  regard to the 
structured discussions on investment facilitation for development, Brazil is convinced that a 
meaningful outcome in those negotiations will further provide conditions for an even more 
transparent and friendly environment for investors.  
4.170.   Advan ces in the areas of competition policy and government procurement should also be 
highlighted.  
4.171.   With regards to food safety and animal and plant health, we see with great satisfaction that 
the basic principles of the SPS Agreement are well incorporated into  national regulations. Codex 
standards apply to both imported and domestically produced  goods. These are all very positive 
initiatives, which should be commended.  
4.172.   Challenges remain, however, in the realm of notifications of SPS requirements and practices. 
The Secretariat 's report draws attention to the fact that legislative developments in the field of SPS 
were significant, with Georgi a's main law for SPS undergoing several amendments during the period 
review, but only one notification has been received.  
4.173.   Since Agriculture exports are very important to Geo rgia's economy, we encourage Georgia 
to participate in the SPS workplan to respond t o modern challenges.  
4.174.   With regard to trade relations with Brazil, bilateral flows are still modest but  have potential 
for expansion. Bilateral trade volume, according to Brazilian government data, reached 
USD 206 million in 2020, an increase of 6% compared to 2019. The main products exported from 
Brazil were copper ore, sugar, pork, chicken , and beef. But we believe there is a wide range of 
trading opportunities to be harnessed. Bilateral investments also have great untapped potential.  
Brazil stands ready to  cooperate for closer bilateral relations and a stronger multilateral system.  
4.175.   I conclude by wishing to the Georgian delegation a very successful and productive Trade 
Policy Review.  
  WT/TPR/M/420 • Georgia  
 
- 32 - 
 
  5  REPLIES BY THE REPRESENTATIVE OF GEORGIA  AND ADDITIONAL COMMENTS  
5.1.  I would like to extend my sincere appreciation to you, Chair, for presiding Georgia's third  Trade 
Policy Review and for your significant input in this process.  
5.2.  Our heartfelt gratitude is also extended to H.E.  Ambassador  Simon  Manley of the 
United  Kingdom, for bringing honour  to serve as a discussant for Georgia's third  Trade Policy Review 
as well as for his excellent recommendations.  
5.3.  Georgia also wishes once again to express many thanks to the WTO Secretariat for their 
outstanding efforts in the pr eparation of the comprehensive report.  
5.4.  I would like to thank the Members for their positive evaluation and acknowledgements for 
Georgia's efforts in implementing far -reaching reforms. We also very much appreciate and welcome 
the suggestions and encourageme nts from the Members calling for Georgia's accession to various 
declarations and initiatives. Internal discussions are underway on the matter of Georgia's accession 
to these initiatives and we look forward for the positive outcome.  
5.5.  With that regards I woul d like to highlight that Georgia has already joined the Initiative on 
Investment Facilitation for Development as well as the Declarations on MSMEs and Trade and Health.  
5.6.  I would also like to thank and welcome the questions raised by the Member States relate d to 
both reports. Overall, we have received more than 230  questions, which proves the Members' 
increased interest towards Georgia's trade and economic reforms implemented during the reporting 
period.  
5.7.  Responds to all the advanced written questions, submitt ed by the Members before the review, 
will be provided in the one -week period. As for the questions raised throughout the first  session, 
I will be happy to answer them now.  
5.8.  Members encouraged Georgia to ensure that it meets transparency obligations regardin g WTO 
notifications.  Georgia is taking steps to increase the capacity of the relevant institutions responsible 
for WTO notifications. In this regard, only in the last two  years, overall more than 30  WTO 
notifications  under the relevant Agreements were made  by Georgia. In parallel to capacity building, 
Georgia intends to increase the number of WTO notifications.  
5.9.  Members recommended that Georgia moves forward with its accession  to GPA.  At the outset 
let me reiterate Georgia's strong adherence to its commitmen ts undertaken within the WTO 
accession process and reassure the GPA Members in Georgia's interest to continue the negotiations 
for Membership in the WTO Government Procurement Agreement, as set out in the Working Party 
Report on Georgia's accession to the WTO.  
5.10.  I would like to use this opportunity to report the GPA Membership on major legislative 
developments in Georgia's public procurement system:  
5.11.  First, The Free Trade Agreement between Georgia and EFTA countries, which was signed in 
June 2016 and entered into force for Georgia on 1  September  2017, contains a special chapter 
devoted to government procurement, the provisions of which, are primarily based on WTO GPA 
agreement. Accordingly, the government procurement provisions with EFTA countr ies are fully 
enforceable on the territory of Georgia.  
5.12.  Second , On 21  February  2020, draft amendments to the Public Procurement Law were 
submitted to the Parliament of Georgia for adoption, which provide for the establishment of an 
independent and impartial  administrative review body in Georgia's public procurement system. 
Those legislative changes aim to meet Georgia's obligations under the EU – Georgia Association 
Agenda (AA), whereas the public procurement represents an important area to be addressed.  
5.13.  Third, The draft Law on Public Procurement has been prepared by Georgian side in close 
collaboration with EU experts aimed at ensuring full approximation of Georgia's public procurement 
landscape with latest EU public procurement directives thus entailing ful l compliance with the 
provisions of WTO revised GPA text. The draft law will be submitted to the Parliament soon.  WT/TPR/M/420 • Georgia  
 
- 33 - 
 
  5.14.  Let me underline that for the last 10  years Georgia's entire public procurement transactions 
are being carried out through electronic procurem ent platform and only in 2019, 1 .977 companies 
from 77  countries have enjoyed unrestricted access to Georgia's open and liberal public procurement 
market. Currently, there are internal discussions to re -activate Georgia's stalled GPA accession 
negotiations . 
5.15.  Member s highlighted  that Georgia subsidises several domestic sectors that may potentially 
distort trade with WTO Members.  Georgia wishes to note that it has not been providing subsidies 
contingent upon export performance or any other subsidies prohibited  by the WTO law.  
5.16.  Member s encouraged Georgia to further reduce SOEs participation in the economy.  The 
Government of Georgia started the reform of state -owned enterprises which among  others aims to 
reduce the number of SOEs. Under the reform government will strengthen corporate governance of 
state-owned  enterprises based on OECD principles to ensure that the governance of public 
corporations is transparent and accountable and complies with high -quality corporate governance 
standards.  
5.17.  In April  2020, the proces s of classification of state -owned enterprises was completed, under 
which were identified state corporations and general government enterprises. The mentioned 
process transparently revealed all the enterprises that are non -commercial and constantly 
depende nt on subsidies and enterprises that are fully commercial or have potential to become the 
commercial enterprises.  
5.18.  It is planned to adopt the public corporation reform strategy in line with OECD principles, 
including by ensuring clear separation between the  state's shareholder and policymaking functions. 
Based on the adopted strategy government will also adopt a framework law for public corporations.  
5.19.  Based on adopted framework law, an existing public corporation will be liquidated if it is not 
commercially v iable and no longer the most efficient option for meeting the policy objective; 
Converted into a Legal Entity of Public Law (LEPL) if it is not commercially viable, but remains the 
most efficient option for meeting the policy objective; Privatized if it is  commercially viable, but no 
longer the most efficient option for meeting the policy objective and Retained as a public corporation 
if it is commercially viable and remains the most efficient option for meeting the policy objective.  
5.20.  Member s highlighted  that competitive tendering in government procurement remains 
generally low and foreign participation was less than 2% in 2020.  Georgian e-procurement system 
is open for any interested parties. In order to participate in Georgian public procurement, economic 
operator must be registered in the e -procurement system, which is very simple and straightforward 
process. Once economic operator is registered in the system, there is no restriction to participate in 
the competitive tender process de spite geographical location. Georgian e -procurement system also 
allows registered economic operator to choose potential favourite CPV codes and get notified 
automatically on new tender notices on these CPV codes. This option ensure that economic operator 
will not miss tenders on pre -selected CPV codes.  
5.21.  Members highlighted that the use of so -called "black  list" or "white  list" might be associated 
with the discriminatory practices in procuring procedures.  Register of mala fide participants of the 
procurement ("the Black  List") is crucial for the effective functioning of the Georgian Public 
Procurement System. The Black  List includes the data on mala fide persons, bidders and suppliers 
participating in public procurement, who may not participate in public procurement and be awarded 
a public procurement contract within one year after they are entered into the Black List. the list can 
be considered as the preventive instrument for the economic operators to fulfil the obligations 
defined by the public p rocurement contract. The procedures and conditions for maintaining the 
Black  List are defined in a subordinate normative act approved by the chairperson of the Public 
Procurement Agency. It should also be noted that this subordinate normative act does not differ 
between non -resident and resident economic operators. These procedures and conditions for 
maintaining the Black  List apply equally both to resident and non -resident companies.  
5.22.  As for the register of qualified suppliers participating in procurements ("the White  List"), 
according to the Law of Georgia "On Public Procurement", the White  List includes data on qualified 
suppliers participating in procurements who meet the criteria determined by a subordinate normative 
act for inclusion in the White List. When participating in public procurement, qualified suppliers WT/TPR/M/420 • Georgia  
 
- 34 - 
 
  registered in the White  List shall enjoy simplified procedures provided under a subordinate normative 
act. The procedures and conditions for maintaining the White  List are defined by the subordi nate 
normative act – by the decree of the Chairperson of the State Procurement Agency. The White  List 
can be considered as the motivation for the economic operators as they will be able to enjoy 
simplified procedures whilst participating in the Georgian pu blic procurement procedures. It should 
also be noted that according to Georgian legislation, both non -resident economic operators and a 
branch of the non -resident company are eligible to apply for registering in the While  List. 
5.23.  Member s requested more infor mation on Georgia's plans to set up a regional digital hub.  The 
Development of a digital hub in Georgia is one of the priority directions of the "National Broadband 
Development Strategy for 2020 -2025" and is derived from it. The MoESD is working with the 
World Bank on the concept paper and action plan to explore potential and identify activities for the 
development of a digital corridor connecting Europe and Asia through Georgia to host a regional 
digital hub in our country. It will describe the general sta te of development of the international 
Internet connection in the region, its development trends, activities to be implemented by the State 
and the private sector to develop the potential of digital transit corridor and regional data centers in 
Georgia.  
5.24.  Ambassador  Manley in his intervention has highlighted that agricultural productivity remains 
relatively low, with consequent negative effects on rural development and recommended that 
Improvements in agricultural productivity, in quality, as well as greater value -added processing, 
could expand Georgia's agricultural exports.  
5.25.  With that regards I would like to provide some additional information. Agriculture sector was 
declared as a top priority for Georgia in 2012 and significant reforms and activities have be en carried 
out since then. Furthermore, it is worth noting  that alongside the huge support from the donors, 
including the EU, US, UK , and other countries, large financial resources were and are being allocated 
from the state budget to the agricultural and rural development sectors as to priority areas.  
5.26.  In addition to that MEPA initiated different assistance mechanisms to enable the business 
operators to establish the international standards and increase their competitiveness and 
productivity.  
5.27.  We observed ma ny success stories during these years, herewith, let me share some of the 
notable figures and trends of the official statistics demonstrating the achievements of the sector in 
Georgia.  
5.28.  In 2020 compared to 2015 gross output in agriculture, forestry and fisheries sector increased 
by 35% and amounted to GEL 5.8 billion.  
5.29.  According to 2020 data, the Gross Domestic Product created in agriculture, forestry and 
fisheries sector at current prices is 35% more than the same figures of 2015.  
5.30.  The average  monthly nominal earnings of employees in agriculture, forestry and fisheries 
sector increased by 39% in 2015 -2020.  
5.31.  During the same period (2015 -2020) the average yield per hectare  of annual crops has been 
increased. e.g., the average vegetable yield per  hectare increased by 61%.  
5.32.  Exports of agr i-food products are growing every year, In the period of 2015 -2020, the value 
of exports of agri -food products increased by 54%.  
5.33.  Georgian delegation has confirmed that all advanced questions raised by Members within t he 
deadline will be answered within one week. Therefore, the period for Members to submit follow -up 
questions will be extended, agreed with the Secretariat and with the Chairperson, by one week from 
the date of completing replies and all the questions will  then be answered within 30  days of today's 
meeting.  WT/TPR/M/420 • Georgia  
 
- 35 - 
 
  DISCUSSANT  
5.34.  I would like to congratulate the delegation of Georgia for their participation in this, their 
third Trade Policy Review and to wish them, once again, but this time without my poor pronunciatio n, 
a very happy new year.  
5.35.  We have heard that the pandemic has limited the capacity of Georgia to engage fully with this 
process, but I am sure Members look forward to receiving Georgia 's responses to their questions 
soon. That way Georgia and its trade partners will enjoy the full benefit of this process, which 
remains key to the work of this Organisation.  
5.36.  As you mentioned during our first meeting, Members are clearly interested in deve lopments 
in the fundamentals of Georgia 's trade policy, including sanitary and phyto -sanitary standards, and 
the role of state -owned enterprises in the Georgian economy. Members recognised the potential for 
growth, subject to further improvements in the bu siness environment, but also noted Georgia 's 
continuing vulnerability to external shocks.  
5.37.  I was delighted to hear Minister  Arveladze underline Georgia 's determination to address these 
issues and to liberalise its economy through internal reform, enhancing  its attractiveness to foreign 
investors, and through deepening – and widening - bilateral and regional free trade arrangements.  
5.38.  Members highlighted their bilateral economic ties with Georgia. They also, rightly, welcomed 
Georgia 's commitment to the multi lateral trading system. And they took the opportunity to 
encourage Georgia to do even more within the WTO, including through the plurilateral initiatives 
that have become such a fruitful part of this Organisation 's work.  
5.39.  It remains for me to thank Georgia  and other Members for their engagement in this review, 
and to congratulate the WTO Secretariat for their work preparing reports, and compiling the 
questions, answers and statements.  
UNITED  STATES  
5.40.  Georgia is a valued US trading partner, and we look forwar d to increased clarity and 
engagement on several trade issues moving forward.  We fully understand how much effort goes into 
these reviews, and acknowledge the ongoing challenges posed by the pandemic.  
5.41.  Unfortunately, we understand that Georgia was unable to  circulate written replies to the 
advance questions of Members prior to the start of Day one of this TPR, as required by the rules.  
5.42.  This failure prevents Members from properly and faithfully conducting this Trade Policy 
Review. Simply stated, Members have no basis to prepare for this Day two meeting, nor can we ask 
follow -up questions by the deadline – the end of this Day two meeting.  
5.43.  To our knowledge, no Member has previously failed to circulate responses to any advance 
written questions prior to the start of the TPR.  
5.44.  Our concerns are not academic, we believe that Members ' questions inform and improve the 
TPR review and form an integra l part of the TPR process.  We regret that this review has failed to 
provide that added value for Georgia.  
5.45.  Our preference would have been to suspend this review and resume once responses were 
provided and we note for the record that in any future instances  similar to this, the United  States 
will insist on suspension of the review.  
5.46.  That said, on an exceptional basis, we can accept Georgia 's commitment to: (1)  answer all 
advance written questions within one week from today; (2)  accept follow -up questions from 
Members for one week beyond the date that its responses to advance written questions are circulated 
to Members; and (3)  submit written responses to all outstanding written questions within 30  days 
of this meeting.  WT/TPR/M/420 • Georgia  
 
- 36 - 
 
  5.47.  Again, we value our relatio nship with Georgia and look forward to a timely and full completion 
of this review.  
EUROPEAN  UNION  
5.48.  On behalf of the EU, let me first thank the delegation of Georgia for the comprehensive 
overview presented on Wednesday of the main trade and economic develo pments and reforms that 
occurred during the review period, and also for the statement this morning.  
5.49.  The EU welcomes the insights that this third review has provided into Georgia 's ongoing and 
planned policies and initiatives to enhance its integration into  the multilateral trading system, 
strengthen its institutional and economic framework, and improve its resilience in the rapidly 
evolving global and regional contexts. The EU continues to value the strengthening of EU -Georgia 
bilateral trade relations unde r the Deep and Comprehensive Free Trade Area and commends Georgia 
on its reform process in trade -related areas, carried out in the context of implementation of the 
DCFTA.  
5.50.  However, it is very regrettable that Georgia has not complied with the rules of proce dure for 
this exercise and not submitted any replies to our or other Member 's advance written questions. 
Replying to the questions in a timely fashion and Members being able to review and comment on 
the responses is an essential part of this review process . We would appreciate receiving the replies 
as soon as possible and would like to reserve the right to submit follow -up questions even after the 
meeting, given this special circumstance.  
5.51.  The EU hopes that the comments provided by the WTO Membership during this review will 
support Georgia in its efforts to further reform its policies and to address the remaining challenges.  
5.52.  In conclusion, the EU would like to thank the delegation of Georgia for undergoing this 
important transparency exercise in a hybrid form at and in spite of challenging circumstances, thus 
demonstrating Georgia 's commitment to the WTO. Nevertheless, we would like to stress again the 
importance of receiving the replies in order to conclude the review.  
5.53.  The EU is confident that our good coopera tion will continue both in the context of our bilateral 
DCFTA as well as in the WTO and will contribute to a sustainable socio -economic recovery from the 
pandemic and to economic growth.  
UNITED  STATES  
5.54.  The United  States has had to intervene several times l ast year to raise concerns with the 
timeliness of responses to advance written questions.  
5.55.  Nonetheless, this lack of responsiveness is part of a growing trend since late 2020. At several 
TPRs last  year, the Member under review simply made no attempt to ans wer a significant number 
of questions from Members.  
5.56.  We are having to speak to this issue increasingly often. Why should Members face deadlines 
to submit questions, if the Member under review can disregard those questions?  And why should 
the United States answer Members ' properly submitted questions during its upcoming TPR, if other 
Members under review make no attempt to answer our properly submitted questions?  
5.57.  The United States will only take the TPR process as seriously as other Members take it.  
5.58.  We request the TPRB Chair take action in 2022 to ensure that future reviews are conducted 
according to the rules. If Members face difficulties in responding then postponement is the option.  
As we said earlier, we are considering options for future TPRs, in cluding our own.  
5.59.  We also note that the TPR Division is one of the largest in the WTO, both in terms of staff and 
financial resources.  If Members don 't value the work of the division, then these resources should be 
reallocated elsewhere. We will take this issue up as part of the TPR assessment this year.  
  WT/TPR/M/420 • Georgia  
 
- 37 - 
 
  6  CONCLUDING REMARKS BY THE CHAIRPERSON  
6.1.  This third  Trade Policy Review of Georgia has been an excellent opportunity to examine the 
evolution of its trade and related policies since the previous Review in 2 016, as well as to learn about 
the unique challenges caused by the COVID -19 pandemic that has impacted trade and the global 
economy. I would like to thank the delegation of Georgia, led by Mr  Genadi  Arveladze, Deputy 
Minister of Economy and Sustainable Dev elopment, for its active participation and engagement in 
this exercise. I would also like to express my appreciation to our discussant, H.E.  Ambassador 
Simon  Manley of the United  Kingdom, and to the 18  delegations that took the floor during this 
meeting.  
6.2.  Georgia was commended for its overall positive economic performance in recent years and for 
its pursuit of economic policies based on a commitment to open markets and integration into the 
global economy. As a consequence of sound macroeconomic policies and  structural reforms, 
economic growth during the review period was steady at a rate of about 4.4% annually prior to the 
onset of the COVID -19 crisis in 2020. This resulted in a significant increase in per  capita GDP and a 
substantial reduction in the nation al poverty rate. While Georgia had been heavily negatively affected 
by the COVID -19 pandemic, especially because of the pandemic's impact on tourism and transport, 
appropriate fiscal, monetary, and financial market measures and a comprehensive anti -crisis 
economic plan enabled the economy to recover in 2021 and resume its previous growth path.  
6.3.  Members commended Georgia for its open trade and investment policies and regulatory 
reforms adopted during the review period. The tariff system and structure remaine d largely liberal 
and simple, and Georgia had the fourth -lowest average MFN applied tariff among WTO Members. 
Georgia continued efforts to facilitate trade by modernizing and simplifying its customs procedures 
and formalities through the adoption of a new Customs Code and an Authorized Economic Operator 
Programme, and completed the full implementation of the Agreement on Trade Facilitation in 2019. 
Many trade -related reforms implemented by Georgia were related to the Deep and Comprehensive 
Free Trade Area w ith the European Union, which provides for the approximation of Georgia's 
domestic laws to EU trade -related legislation.  
6.4.  In addition to changes in customs procedures, this entailed far -reaching structural reforms in 
many other areas, including sanitary and phytosanitary measures, technical regulations and 
standards, competition law, state aid, government procurement, intelle ctual property rights, energy, 
and telecommunications, as well as postal, financial, and international maritime transport services. 
There were also constitutional and judicial reforms.  
6.5.  Members expressed appreciation for Georgia's active engagement in and commitment to the 
WTO, as reflected in: (i)  its acceptance of the Agreement on Trade Facilitation, the Declaration on 
the Expansion of the Information Technology Agreement, and the Protocol Amending the TRIPS 
Agreement; (ii)  its participa tion in three Joint Statement Initiatives, some of which it joined very 
recently; and (iii)  its support for recent draft declarations on the Advancement of Gender Equality 
and Women's Economic Empowerment Within Trade and on COVID -19 and Beyond: Trade and 
Health. Members encouraged Georgia to join other ongoing initiatives, including with respect to 
services domestic regulation, trade and environment, transparency and improved compliance with 
notification requirements, trade facilitation, and SPS measures. Many Members encouraged Georgia 
to complete its accession to the Agreement on Government Procurement as a means to improve the 
transparency of its procurement regime. Some Members encouraged Georgia to participate more 
actively in discussions on WTO reform  and in regular WTO work.  
6.6.  Another theme that attracted much attention was the importance of diversification of Georgia's 
foreign trade and economic relations as a central objective of its recent trade policy. In this regard, 
Members welcomed Georgia's invo lvement in various regional trade and connectivity initiatives. In 
addition to developing its relationship with the European  Union pursuant to the Deep and 
Comprehensive Free Trade Area, Georgia concluded several new free trade agreements; joined the 
Pan-Euro-Mediterranean Convention on Rules of Origin; participated in the Belt and Road Initiative; 
entered into bilateral agreements on investment, taxation, and aviation services; undertook efforts 
to strengthen its role in international data connectivity; an d was involved in regional energy 
infrastructure projects. It was noted that there remained significant potential to further exploit the 
opportunities provided by Georgia's unique geographical location to make the country a regional 
economic hub.  WT/TPR/M/420 • Georgia  
 
- 38 - 
 
  6.7.  The disc ussions revealed several aspects of Georgia's trade and economic policies where there 
remained scope for improvement. The lack of timely notifications in certain areas such as import 
licensing, SPS measures, customs valuation, and subsidies was raised by m any Members. While 
there have been positive changes to Georgia's government procurement regime, such as the 
introduction of electronic procurement and the creation of an independent dispute resolution entity, 
the level of competition and foreign participat ion in government procurement was insufficient. The 
large participation of state -owned enterprises in the economy and the inadequate legal protection 
of foreign investment were also identified as areas requiring further reform.  
6.8.  Some Members pointed to the  need for further structural reforms of Georgia's economy to 
create the conditions for sustained economic growth. Mention was made of the need to attract more 
FDI to tradable sectors and to improve productivity and strengthen resilience to shocks. Members 
welcomed Georgia's efforts to further develop and diversify its tourism sector.  
6.9.  Members expressed interest in several recently adopted policies and strategies, such as the 
Economic Development Strategy 2020 -2030, new support schemes by Enterprise Georgia,  and the 
initiative launched in November 2020 to promote increased inflows of FDI. With respect to some of 
these programmes, questions were raised as to whether they were aimed at import substitution and 
might involve subsidies.  
6.10.  These were some of the main  areas of discussion at this Review, which has allowed us to gain 
a better understanding of Georgia's trade, investment, and related policies. I trust that the Georgian 
authorities will consider the many constructive comments made and issues raised at this  meeting.   
6.11.  Georgia received 239  advance written questions from 14  delegations for this Review, out of 
which 193  were sent within the established deadline. It is regrettable that Georgia was not able to 
provide replies to any advance written questions by da y one of the meeting as prescribed. Questions 
and replies are an integral part of a TPR exercise and constitute a key instrument to provide the 
membership with much needed transparency. Georgia has confirmed that all advance written 
questions posed by Memb ers within the deadline will be answered within one week and they have 
just recently submitted a number of them.  
6.12.  Therefore, the period for Members to submit follow -up questions will be extended by one week 
from the date of the completed replies, and Georg ia will answer all outstanding questions within one 
month of today's meeting after which the Review of Georgia will be successfully concluded. It is 
noted that this should not set a precedent for future reviews as it is an exceptional situation as 
outlined  by Georgia and the procedures of the TPRB remain upheld.  
 
__________