WORLD TRADE  
ORGANIZATION  WT/REG261/1 
8 December 2009 
 (09-6311) 
Committee on Regional Trade Agreements  
  
 
  
 
 
FACTUAL PRESENTATION 
 
Free Trade Agreement  
between  
Turkey and Georgia 
(Goods) 
 
Report by the Secretariat 
 
 
 
 This report, prepared for the considerati on of the Free Trade Agreement between the 
Republic of Turkey and Georgia has been drawn up by the WTO Secretariat on its 
own responsibility and in full consultation with the Parties.  The report has been 
drawn up in accordance with the rules and pr ocedures contained in the Decision for a 
Transparency Mechanism for Regiona l Trade Agreements (WT/L/671).  
 Any technical questions arising from this report may be addressed to Ms. Roberta Lascari (tel: +41 22 739 6268).  WT/REG261/1 
Page iii  
 
 
  TABLE OF CONTENTS 
 
 
 
  Page 
 
I. TRADE ENVIRONMENT 1  
II. CHARACTERISTIC ELEMENTS OF THE AGREEMENT 5  
A. B ACKGROUND INFORMATION  5 
III. NATIONAL TREATMENT AND MARKET ACCESS FOR GOODS 6  
A. I MPORT DUTIES AND CHARGES , AND QUANTITATIVE RESTRICTIONS  6 
1. General provisions 6  
2. Liberalization of tariff lines and trade 6  
(a) Turkey's TRQs 7 
3. Turkey's liberaliz ation schedule 8  
4. Georgia's liberalization schedule 11  
B. R ULES OF ORIGIN  15 
C. E XPORT DUTIES AND CHARGES , AND QUANTITATIVE RESTRICTIONS  18 
D. R EGULATORY PROVISIONS OF THE AGREEMENT  19 
1. Standards 19  
(a) Technical barriers to trade 19 
(b) Sanitary and phytosanitary measures 19 
2. Safeguard mechanisms 19  
(a) Global safeguard measures 19 
(b) Bilateral safeguards 19 (c) Restrictions to safeguard the balance of payments 19 
3. Anti-dumping 20  
4. Subsidies and countervailing measures 20  
5. Other regulations 20  
(a) Customs-related procedures 20 
(b) Competition 21 
(c) Public Procurement 21 
(d) Other 21 
IV. PROVISIONS AFFECTING TRADE IN GOODS 22  
A. I
NTELLECTUAL PROPERTY  22 
B. S ECTOR -SPECIFIC PROVISIONS OF THE AGREEMENT  22 
C. I NSTITUTIONAL PROVISIONS OF THE AGREEMENT  22 
1. Exceptions and reservations 22  
2. Accession 22  
3. Institutional framework 22  WT/REG261/1 
Page iv  
 
  4. Dispute settlement 23  
5. Relationship with other agreements concluded by the Parties 23  
ANNEX I 25 
ANNEX II 28 
ANNEX III 30 
 
 WT/REG261/1 
Page 1  
 
 
  I. TRADE ENVIRONMENT 
1. The Free Trade Agreement (FTA) between the Republic of Turkey and Georgia (hereinafter 
the Agreement) is the 15th regional trade agreement (RTA) notified to the WTO by Turkey and the 
eighth RTA notified by Georgia.  It is the first RTA concluded by Georgia with a non-member of the 
Commonwealth of Independent States (CIS).1 
2. The two countries are very different in term s of population but similar in their economic 
structure.  In 2007, Turkey's population was 73.9 million, whereas that of Georgia was 4.4 million.  In the same year, Turkey's GDP was estimated at US$657 billion, while that of Georgia was significantly smaller, amounting to US$10 billion.
2 Manufactures account for a significantly larger 
share of Turkey's exports and imports (79.6% and 62.7% respectively) than for Georgia where 
agriculture and fuels and mining play a more importa nt role especially in exports (26.1% and 23.1% 
respectively).  The Parties' overall trade to GDP ratio  are quite different reflecting the relative sizes of 
their domestic markets, 48.5 for Turkey and 86.9 for Georgia in the period 2005-07.3 
3. In 2007, Turkey ranked 33rd among world merchandise exporte rs –accounting for 0.77% of 
world exports and 19th among world merchandise importers – acc ounting for 1.19% of world imports.  
In the same year, Georgia ranked 136th and 107th among global merchandise ex porters and importers, 
accounting respectively for 0.01% and 0.04% of world exports and imports of goods.  
4. In 2008, Turkey was Georgia's largest export market and import source for goods, accounting 
respectively 17.6% and 15.1% of its total merchand ise exports and imports.  Georgia was Turkey's 
32nd largest export destination (shari ng 0.8% of total exports) and 51st largest source of import 
(sharing 0.3% of total imports) of goods.   
5. Developments in global and intra-Party trade are presented in Charts I.1 (Turkey) and I.2 
(Georgia).  Over the period 1997-2008, Turkey's tr ade with the world has r ecorded a constant and 
growing deficit, while exports to Georgia have  increased steadily since 2002, surpassing imports in 
2006.  
                                                      
1 WTO Regional Trade Agreements Database, http://rtais.wto.org/UI/Pu blicMaintainRTAHome.aspx  
2 WTO Statistics Database, Trade Profiles (April 2009). 
3 WTO Statistics Database, Trade Profiles (April 2009). WT/REG261/1 
Page 2  
 
  050100150200250
1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 20080.01.02.03.04.05.06.0US$billion US$billionChart I.1 - Turkey: Merchandise imports from and exports to world 
and Georgia, 1997-2008
Source : UNSD, Comtrade database.Imports from Georgia
Exports to GeorgiaTotal imports
Total exportsLeft hand scale: Right hand scale:
 
6. In the same period (1997-2008), Georgia's trad e with the world has recorded a growing 
deficit, especially since 2003 when global imports be gan to increase sharply.  Data reported to the 
UNSD Comtrade database on bilateral trade with Tu rkey suggests a trade deficit during the period 
from 1997, which has grown rapidly since 2003.  For some of that period, however (2002-2005), Turkey also reports a trade deficit with Georgia.  The reason for the discrepancy in the data reported 
by the parties is not clear.
4   
                                                      
4 For instance, Turkey's deficit with Georgia amounted to US$34.6 million in 2002, US$118.8 million 
in 2003, US$106.9 million in 2004, and US$31 million in 2005.  In comparison, Georgia's deficit with Turkey 
was US$35.4 million in 2002, US$29 million in 2003, US$82.7 million in 2004, and US$160.4 million in 2005.  WT/REG261/1 
 Page 3 
 
 
  0.01.02.03.04.05.06.07.0
1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 20080.00.20.40.60.81.01.21.41.61.82.0US$billion US$billionChart I.2 - Geor gia: Merchandise imports from and exports to world 
and Turkey, 1997-2008
Source : UNSD, Comtrade database.Imports from Turkey
Exports to TurkeyTotal imports
Total exportsLeft hand scale: Right hand scale:
 
7. The commodity structure of trade between the Par ties, as well as of their imports and exports 
to the world in the period 2005-07, is shown in Ch art I.3 on the basis of the Harmonized System (HS) 
sections.   
8. The value of Turkey's imports from Georgia was estimated at US$312  million in 2005-2007, 
while the value of Georgia's imports from Turkey  was US$511 million.  Turkey's global imports are 
mainly machinery, minerals, and base metals, whic h accounted for 53.4% of the total.  Two of these 
categories, base metals, which alone accounted for 61 .9% of bilateral imports, and minerals (29.3% of 
total imports) also account for the majority of its imports from Georgia.  Nearly half of Georgia's 
imports from the world were accounted for by minera ls (19.7%), machinery (16.8%), and vehicles 
(11.7%).  In comparison, its imports from Turkey ar e concentrated mainly in  machinery, base metals, 
plastics and chemicals, which made up 52.3% of its  imports from Turkey.  Machinery also accounted 
for 14.9% of Turkey's global exports, together w ith textiles (23%) and vehicles (16.2%).  Almost a 
quarter of Georgia's exports to the world was made  up of metals (24.3%);  prepared foodstuff and 
minerals accounted for 17.9% and 13.5% of global exports, respectively. WT/REG261/1 
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  §Chart I.3
Turkey and Georgia: product composition of merchandise trade, annual 
average (2005-07)
Turkey's imports from Georgia Georgia's imports from Turkey
 Source:  UNSD, Comtrade database.Per cent
Total:  US$312 million Total:  US$511 million
Total:  US$142 billion Total: US$4 billion
Total:  US$89 billion Total:  US$1 billionTurkey's global exportsGeorgia's global exportsTurkey's global imports Georgia's global importsOther 4.2
Base metals  
61.9Wood 2.9 Machinery 19.0Other 
5.7
Base metals
12.2
Miscellaneous 2.7Other 
9.3
Minerals
19.7
Metals 
6.5
Chemicals
7.4Plastics 3.6Other
8.3
Minerals
18.0Optical  2.1Machinery
21.5
Chemicals 
9.0
Vehicles 
9.3Plastics 6.1
Base metals 
13.9
Machinery 4.8
Minerals 6.2Metals 
24.3Textiles 5.6
Prepared foods
 7.8
Other 
5.8Other 
3.7
Vehicles
 16.2Chemicals 2.7
Base metals 14.0Stone, Cement  2.6
Prepared foods 3.8Precious stones 5.2
Minerals
13.5Prepared foods 
17.9Wood 1.9
Vehicles 11.7Vegetables 5.3
Chemicals 9.9
Vehicles
11.7Animals  2.4
Machinery
16.8Stone, cement
4.3
Precious stones 3.4
Chemicals 8.2Vegetables  5.3Plastics 11.2Minerals 29.3Raw hides 1.6
Textiles 9.5Wood pulp 6.1
Textiles 3.3
Textiles
 23.0
Machinery 
14.9Plastics 4.0
Vegetables  4.5
Vegetables  8.8Wood pulp 1.8
Precious stones  2.2Vehicles 4.1Prepared foods 4.1Miscellaneous 3.2Wood 2.8Minerals  2.7
Stone, cement  2.4Wood pulp 2.1
  WT/REG261/1 
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  II. CHARACTERISTIC ELEMENTS OF THE AGREEMENT 
A. BACKGROUND INFORMATION  
9. The Free Trade Agreement between the Republic of Turkey and Georgia was signed on 
21 November 2007 and entered into force on 1 Nove mber 2008.  The Agreement was notified by the 
Parties to the WTO on 18 February 2009 under Article XXIV:7(a) of GATT 1994 as document 
WT/REG261/N/1.  The Agreement has been concluded for an unlimited period;  it shall terminate, 
upon written request by any of the Party, on the firs t day of the sixth month following the date the 
Party received the termination notice (Article 36). 
10. The text of the Agreement is availabl e at the following internet addresses: 
• Turkey:  http://www.dtm.gov.tr/dtmweb/  
• Georgia: http://www.economy.ge/  
11. The Agreement is composed of the main text (37 Articles), one Annex and two Protocols with 
related Annexes, as follows: 
Box II. 1 Table of Contents of the Agreement 
Chapter I  Industrial Products  
Chapter II  Basic Agricultural, Proce ssed Agricultural and Fishery Products 
Chapter III Common Provisions 
Chapter IV  State Monopolies, Competition Rules, Payments and Other Economic 
Provisions 
Chapter V Institutional and Final Provisions  
Annex I  List of Products referred to in Articles 3 and 8 
Protocol I + Annexes I and II Referred to in Article 9 
Protocol II Definition of the Concept of "Originating Products" and Methods of 
Administrative Cooperation  
Annex I to Protocol II  Introductory notes to the list in Annex II  
Annex II to Protocol II  List of working or processing required to be carried out on non-originating 
materials in order that the product manufactured can obtain the originating 
status 
Annex III to Protocol II  Specimens of movement certificate EU R.1 and application for a movement 
certificate EUR.1  
Annex IV to Protocol II Invoice declaration 
Source:  Free Trade Agreement between Turkey and Georgia. 
12. The Parties agree to gradually establish a free trade area in accordance with the Agreement's 
provisions, with Article XXIV of  GATT 1994, and with other multila teral agreements on trade in 
goods attached to the Agreement establishing the WTO (Article 1).  Liberalization of tariffs under the 
Agreement takes place at the time of its entry in to force; therefore, no transitional period for 
liberalization has been established. 
13. According to the "evolutionary clause" (Article  33), either Party may request to expand the 
coverage of the Agreement to fields  of economic interest for the Parties.  Where appropriate, the Joint 
Committee shall make recommendati ons to start negotiations.  WT/REG261/1 
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  III. NATIONAL TREATMENT AND MARKET ACCESS FOR GOODS 
A. I
MPORT DUTIES AND CHARGES , AND QUANTITATIVE RESTRICTIONS  
1. General provisions 
14. The Parties agree to abolish, on the da te of the Agreement's entry into force 
(1 November 2008), all customs duties and charges ha ving equivalent effect on imports of industrial 
products (Article 4.1).  Industria l products are defined as products falling within HS Chapters 25 to 
97, with the exception of products lis ted in Annex I to the Agreement which are treated as agricultural 
products (WTO definition) (Article 3).  No new cu stoms duties or charges having equivalent effect 
may be introduced on imports of industrial products (Article 4.2).  The elimination of customs duties 
also applies to duties of a fiscal nature (Article 5). 
15. With regard to agricultural products, the Par ties' reciprocal concessions are indicated in 
Protocol I to the Agreement (Article 9).  "Basi c agricultural, processed agricultural and fishery 
products" applies to products falling within HS Chapte rs 1 to 24 including pr oducts listed in Annex I 
to the Agreement (Article 8).  Customs duties on ag ricultural products originating in the other Party 
and charges having equivalent effect were rem oved upon the entry into force of the Agreement, 
except some agricultural products listed by the Parties in Annexes I and II to Protocol I.5  In addition, 
Turkey maintains tariff rate quotas (TRQs) on impor ts of certain agricultural products from Georgia 
(see Section on TRQs below).  
16. The possibility of granting further concessions in the agricultural sector shall be discussed by 
the Parties in the Joint Committee, taking into account  "the role of agriculture in their respective 
economies, the development of trade in agricultu ral products, the high sensitivity of agricultural 
products, the rules of their respective agricultural pol icy and the development of the liberalization of 
trade in agricultural products under the WTO" (Article 9.3).6  Each Party shall inform the other of any 
changes in its agricultural policies that may a ffect the conditions of bilateral trade under the 
Agreement.  Upon request by either Party, consulta tions within the Joint Committee shall promptly be 
held (Article 9.4). 
17. Any internal taxes and other charges and regulations shall be applied in accordance with 
Article III of the GATT 1994 and other rele vant WTO Agreements (Article 11). 
2. Liberalization of tariff lines and trade 
18. Under the Agreement, the Parties apply their respective customs tariff nomenclatures for the 
classification of goods.  For each product the basic duty is the applied MFN duty on 1 January 2007 
or any subsequently reduced duty applied erga omnes , in particular as a resu lt of tariff negotiations in 
the WTO (Article 2).  
19. Overall tariff elimination under the Agreement, in terms of the number of lines and value of 
trade, is depicted in Tables III.1.A (Turkey) and III.1.B (Georgia).  In 2008, Turkey's MFN tariff 
schedule comprised 18,239 tariff lines at the HS 12-digit level, of which 284 held non- ad valorem  
duties (1.4% of the total).7  Before the entry into force of  the Agreement, 4,335 tariff lines, 
corresponding to 23.8% of the total, were al ready duty-free on an MFN basis.  This figure 
                                                      
5 The list of agricultural products excluded by the Par ties is shown in Annex II of this presentation.   
6 As indicated by the Parties, as at October 2009, they had not agreed to further concessions in the 
agricultural sector.   
7 Of these, 30 are subject to specific duties, 113 to compound duties, 57 to mixed duties and 84 to other 
duties based on formulas on processed agricultural products.  The Secretariat has used the ad valorem  
component of the tariff lines in its calculations for the purpose of this presentation.  WT/REG261/1 
 Page 7 
 
 
  corresponded to 57.4% of Turkey's total imports from Georgia in the period 2006-2008.  Upon the 
entry into force of the Agreement, an additional 11,707 tariff lines (64.2% of the total) became duty-
free, corresponding to 41.7% of imports from Georgi a.  A total of 2,197 lines remain dutiable under 
the Agreement, which account for 0.8% of Turkey's  imports from Georgia.  As a result, 88% of 
Turkey's tariff lines became duty free upon the Agreem ent's entry into force, corresponding to 99.2% 
of its total imports from Georgia. 
Table III.1 
Tariff elimination commitments under the Ag reement and corresponding average trade  
A. Turkey 
Duty phase-out 
period Number of lines % of total lines in 
Turkey's tariff 
schedule Value of Turkey's imports 
from Georgia  
(2006-2008) 
in million US$ % of Turkey's total 
imports from Georgia 
2006-2008 
MFN duty free 
(2008) 4,335 23.8 221.9 57.4 
2008 11,707 64.2 161.2 41.7 
Remain dutiable 2,197 12.0 3.2 0.8 
Total 18,239 100.0 386.3 100.0 
 
Note: Based on HS 2007 nomenclature. 
 
Source:  WTO estimates based on data provided by Turkey. 
 
20. Georgia's MFN tariff schedule in 2008 comprised 10,898 tariff lines at the HS 11-digit level, 
of which 183 held non- ad valorem  duties, representing 1.7% of the total.8  Before the Agreement's 
entry into force, 9,350 tariff lines, corresponding to 85.8% of the total, were  already duty-free on an 
MFN basis.  This figure corresponded to 92.3% of Georgia's total imports from Turkey in the period 
2006-2008.  An additional 1,405 tari ff lines (12.9% of the total) became duty-free at the entry into 
force of the Agreement, corresponding to 6.8%  of imports from Turkey.  Under the Agreement, 
143 lines remain dutiable, which correspond to 0.9% of Georgia's imports from Turkey.  As a result, 
98.7% of Georgia's tariff lines have become dut y free upon the Agreement' s entry into force, 
corresponding to 99.1%  of its total imports from Turkey.   
Table III.1 
Tariff elimination commitments under the Agreement and corresponding average trade 
B. Georgia 
Duty phase-out 
period Number of lines % of total lines in 
Georgia's tariff 
schedule Value of Georgia's imports 
from Turkey 
(2006-2008) 
in million US$ % of Georgia's total 
imports from Turkey 
2006-2008 
MFN duty free (2008) 9,350 85.8 663.3 92.3 
2008 1,405 12.9 48.7 6.8 
Remain dutiable 143 1.3 6.7 0.9 
Total 10,898 100.0 718.7 100.0 
 
Note: Based on HS 2002 nomenclature. 
 
Source :  WTO estimates based on data provided by Georgia to the WTO-IDB. 
 
(a) Turkey's TRQs 
21. Under the Agreement, Turkey provides a dditional concessions thr ough tariff-rates quotas 
(TRQs) for imports of certain agricultural products from Georgia.  They mainly consist of:  live 
                                                      
8 All 183 non ad valorem  duties are specific. WT/REG261/1 
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  animals and animal products;  vegetable products;  prepared foodstuffs;  beverages and spirits;  and 
tobacco.  Most of these products have in-quota duty-fr ee treatment (a reduction of 100% is applied to 
the corresponding MFN tariff).  Other products bene fit from an in-quota duty reduction of between 
50% and 65% of the applied MFN ra te (See Annex III of this presentation).  The Agreement does not 
provide details on whether the TRQs are to be phased out  over time or if the in quota rates are to be 
reduced.   In addition, the Parties have indicated that there are at present no plans to renegotiate the 
TRQs under the Agreement. 
22. Neither Party has MFN tariff-rate quotas. 
3. Turkey's liberalization schedule 
23. A more detailed perspective on Turkey's tariff el imination schedule is presented in Chart III.1.  
At the time the Agreement entered into force (2008) , 4,355 lines were already duty-free.  Most of the 
lines liberalized under the Agreement held base rates of 10% or less (10,034 out of 16,042 lines).  Of 
the 2,197 lines that remain dutiable, 111 are subject to specific duties.  
0 2,000 4,000 6,000 8,000 10,000 12,000 14,000 16,0002008Chart III.1
Turkey's duty elimination under the Agreement
Year of duty free treatment   
Source: WTO Secretariat estimates, based on data provided by Turkey.Number of duty-free lines (cumulative)
Duty-free <10% <20% <30% MFN is: Non ad valorem duty
 
24. Table III.2 shows Turkey's trade liberalizati on commitments under the Agreement organized 
by HS section product categories.  Of the 18,239 lines forming Turkey's tariff schedule, 4,355 lines were already duty free in 2008;  these were mainly concentrated in chemicals and chemicals products 
(HS Section VI), machinery (HS Section XVI), an d base metal products (HS Section XV), which 
together account for more than half of Turkey's tariff lines.  An additional 11,707 lines, also concentrated in the same products, were liberalized at  the Agreement's entry into force.  A total of 
2,197 lines in agriculture remain dutiable under th e Agreement, with the average final tariff on 
dutiable items ranging from 23.3% to 83.5%.    WT/REG261/1 
 Page 9 
 
 
  Table III.2 
Turkey: Tariff elimination under the Agreement, by HS section 
HS section and description  MFN 
average%  Total No 
of lines  MFN duty-
free 2008  Number of 
duty-free 
lines 2008  Remain 
Dutiable Average Final 
Tariff (Dutiable) 
I Live animals and animal products 72.7 912 106 14 792 83.5 a/ 
II Vegetable products 28.8 836 82 281 473 37.2 a/ 
III Animal or vegetable fats and oils 21.6 198 30 15 153 23.3 a/ 
IV Prepared food etc. 47.0 1,095 75 241 779 51.7 a/ 
V Minerals 0.9 458 310 148   
VI Chemicals and chemical products 4.4 3,218 821 2,397   
VII Plastics and rubber 4.4 570 121 449   
VIII Hides and skins 3.0 225 60 165   
IX Wood and articles 1.7 349 203 146   
X Pulp, paper etc. 0.0 476 476    
XI Textiles and textiles ar ticles 7.9 3,028 104 2,924   
XII Footwear, headgear 7.6 205 3 202   
XIII Articles of stone 3.8 447 53 394   
XIV Precious stones, etc. 1.0 104 73 31   
XV Base metals and base metals 
products 3.9 1,902 634 1,268   
XVI Machinery 2.1 2,647 768 1,879   
XVII Transport equipment 5.0 470 57 413   
XVIII Precision equipment 2.0 675 263 412   
XIX Arms and ammunition 2.3 34 5 29   
XX Misc. manufactured articles 2.6 376 77 299   
XXI Works of art, etc. 0.0 14 14    
Total 11.5 18,239 4,335 11,707 2,197 58.1 
 
Note:  In-quota tariff lines are excluded. 
a/combination of ad valorem  and non ad valorem  duties (for tariff lines with non ad valorem  components, only the ad valorem  
part of the rate was included in th e calculation of the tariff averages). 
 Based on HS 2007 nomenclature. 
 
Source :  WTO estimates based on data provided by the Turkey authorities. 
 
25. Chart III.2 shows a comparison of average du tiable rates in those HS Sections where 
preferential duties remain.  The comparison is made  between Turkey's average preferential and MFN 
rates for lines which remain subject to preferential duties only.  As can be seen from the Chart, for 
HS Sections I, II and IV, preferential duties are identical to MFN duties indicating that no tariff reduction has taken place.  The only exception is in HS Section III (Animal and vegetable fats and 
oils), where the preferential duty is reduced by 2.9 percentage points with respect to the MFN duty.  
The average applied MFN rate in 2008 for the HS Sections listed in the Chart range from 26.2% 
(HS Section III) to 83.5% (HS Section I). WT/REG261/1 
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  0 1 02 03 04 05 06 07 08 09 0 1 0 0XXIXXXIXXVIIXVIIXVIXVXIVXIIIXIIXIXIXVIIIVIIVIVIVIIIIIIChart III.2
Turkey:  Average of dutiabl e rates, by HS SectionHS Section  
Note: For tariff lines subject to TRQs only the out-of-quota duty is included in the tariff-related calculations; for preferenti al 
          tariffs with non ad valorem components, only the ad valorem part of the rate was included in the calculation of the t ariff 
          averages.Source : WTO Secretariat estimates, based on data provided by Turkey.Average rate of duty (%)
MFN Preferential
 
26. Chart III.3 shows a comparison of average du tiable rates in those HS Chapters where 
preferential duties remain when the Agreement entere d into force.  The comparison is made between 
the average preferential and MFN rates for lines s ubject to preferential duties only.  For all the 
HS Chapters where tariff peaks remain, the preferen tial duties are identical to the MFN duties, with 
the exception of Chapter 15 (animal or vegetable fats  and oils).  The average applied MFN rate in 
2008 for the listed HS Chapters ranges from 8.5% (HS Chapter 19) to 136.8% (HS Chapter 2).  WT/REG261/1 
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  0 10 20 30 40 50 60 70 80 90 100 110 120 130 140242322212019181716151211100908070604030201Chart III.3
Turkey:  Average of dutiable rates, by HS Chapter
HS Chapter  
MFN PreferentialAverage rate of duty (%)
Note: For tariff lines subject to TRQs only the out-of-quota duty is included in the tariff-related calculations; for preferenti al 
          tariffs with non ad valorem components, only the ad valorem part of the rate was included in the calculation of the t ariff 
          averages.
Source : WTO Secretariat estimates, based on data provided by Turkey. 
4. Georgia's liberalization schedule 
27. Chart III.4 shows in more detail Georgia's duty elimination under the Agreement.  When the 
Agreement entered into force in 2008, 9,350 tariff lin es were already duty-free on an MFN basis.  The 
bulk of liberalization concerned tariff lines with  duties equal to or below 20% (143 lines).  No 
liberalization occurred with respect to tariff lines with base rates of 10% or less (63 in total) and with  
specific duties.   WT/REG261/1 
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  0 2,000 4,000 6,000 8,000 10,000 12,0002008Chart III.4
Georgia's duty elimination under the Agreement
Year of duty free treatment   
Source: WTO Secretariat estimates, based on data provided by Georgia to the WTO-IDB.Number of duty-free lines (cumulative)
Duty-free <10% <20% MFN is: Non ad valorem duty
 
28. Table III.3 presents Georgia's tariff elimination commitments under the Agreement by 
HS section product categories.  Before the entry into  force of the Agreement, 9,350 lines were already 
duty-free on an MFN basis.  These lines were mainly  concentrated in four product categories:  
machinery;  chemicals and chemical products;  te xtiles and related products ;  and base metals and 
products thereof.   Upon the Agreement's entry into force, an additional 1,405 lines became duty free;  
nearly half of them cons isted of prepared foodstuff and beverages, and animal  and vegetable products.  
In the same products categories (HS Sections I, II and IV) 143 lines remain subject to duties under the 
Agreement.  The average final tariff on dutiable items is 12%. 
Table III.3 
Georgia: Tariff elimination under the Agreement, by HS section 
HS section and description  MFN 
average%  Total No 
of lines  MFN duty-
free 2008  Number of 
duty-free 
lines 2008  Remain 
Dutiable Average Final 
Tariff (Dutiable) 
I Live animals and animal products 4.8 844 480 313 51 12.0 
II Vegetable products 6.7 569 246 270 53 12.0 
III Animal or vegetable fats and oils 0.0 128 128    
IV Prepared food etc. 8.4 908 212 657 39 12.0 
V Minerals 4.3 257 164 93   
VI Chemicals and chemical products 0.0 1,317 1,317    
VII Plastics and rubber 0.0 381 381    
VIII Hides and skins 0.0 225 225    
IX Wood and articles 0.0 190 190    
X Pulp, paper etc. 0.0 260 260    
XI Textiles and textiles ar ticles 0.0 1,301 1,301    
XII Footwear, headgear 0.0 121 121    
XIII Articles of stone 3.3 264 192 72   
XIV Precious stones, etc. 0.0 63 63    
XV Base metals and base metals 
products 0.0 1,119 1,119     WT/REG261/1 
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  HS section and description  MFN 
average%  Total No 
of lines  MFN duty-
free 2008  Number of 
duty-free 
lines 2008  Remain 
Dutiable Average Final 
Tariff (Dutiable) 
XVI Machinery 0.0 1,710 1,710    
XVII Transport equipment 0.0 570 570    
XVIII Precision equipment 0.0 397 397    
XIX Arms and ammunition 0.0 30 30    
XX Misc. manufactured articles 0.0 237 237    
XXI Works of art, etc. 0.0 7 7    
Total 1.5 10,898 9,350 1,405 143 12.0 
 Note:  Based on HS 2002 nomenclature. 
 
Source :  WTO estimates based on data provided by Georgia to the WTO-IDB. 
 
29. Chart III.5 shows a comparison of average du tiable rates in those HS Sections where 
preferential duties remain.  The comparison is made between Georgia's average preferential and MFN rates for lines which remain subject to preferential duties only.  As can be seen from the Chart, for 
HS Sections I, II and IV, preferential duties are iden tical to MFN duties (12%) indicating that no tariff 
reduction has taken place and therefore there is no improved preferential access for these products.   
048 1 2 1 6XXIXXXIXXVIIIXVIIXVIXVXIVXIIIXIIXIXIXVIIIVIIVIVIVIIIIIIChart III.5
Georgia:  Average of dutiable rates, by HS Section
HS Section  
Source : WTO Secretariat estimates, based on data provided by Georgia to the WTO-IDB.Average rate of duty (%)
MFN Preferential
 
 
 30. Chart III.6 shows a comparison of average du tiable rates in those HS Chapters where 
preferential duties remain.  The comparison is made  between the average preferential and MFN rates 
for lines subject to preferential duties only.  For a ll the HS Chapters where tariff peaks remain, the 
preferential duties are identical  to the MFN duties (12%). WT/REG261/1 
Page 14  
 
  048 1 2 1 624090807040201Chart III.6
Georgia:  Average of dutiable rates, by HS Chapter
HS Chapter  
MFN PreferentialAverage rate of duty (%)
Source : WTO Secretariat estimates, based on data provided by Georgia to the WTO-IDB. 
31. In addition to customs duties, Georgia a pplies excise taxes on some products, mainly, 
alcoholic beverages, tobacco products, petroleu m products and motor vehicles (see Table III.4).  
These excise taxes apply in the same way to dom estic and imported products, except for tobacco 
products, which according to Georgia, are subject to a lower rate for locally produced than for 
imported goods, including from Turkey.  Georgia has indicated that pursuant to its WTO obligations, 
it has decided to equalize the two rates and in Nove mber 2009, a draft amendment to this effect was 
submitted to the Parliament for adoption.  
Table III.4 
Overview of excise taxes applied to domestic production and imports, 2009 
HS Sub-Heading Brief Description of Products Rate  
(laris)a 
2203 Beer 0.2/litre 
220600 Other fermented beverages (for exam ple, cider, perry, mead) 2.5/ litre 
2207 Undenatured ethyl alcohol, alcoholic st rength by volume > 80% vol   1.3/ litre 
220860 Undenatured ethyl alcohol, alcoholic st rength by volume < 80% vol   1.5/ litre 
220830, 40, 50, 90  Spirits, liqueurs and other spirituous beverages. 2.5/ litre 
220820,70 Spirits obtained by distilling gr ape wine or grape marc 2.3/ litre 
240210   Cigars A (import) 0.90/stick 
 Cigars B (domestic) 0.70/stick 
  Cigarillos A (import) 1.0/20 stick 
 Cigarillos B (domestic) 0.80/20 sticks 
240220 Cigarettes A (with filter,  imported) 0.60/20 sticks 
 Cigarettes B (with filter, domestic) 0.40/20 sticks 
 Cigarettes A (without filter, imported) 0.15/20 sticks 
 Cigarettes B (without filter, domestic) 0.10/20 sticks 
2403 Other tobacco 20 /kilo 
2707 Oils and products from coal distillation 350-400/tonne 
2709 00   
271111 
271121 Crude petroleum 80/1000 cubic metre 
2710 Refined petroleum products 150-400/tonne  WT/REG261/1 
 Page 15 
 
 
  HS Sub-Heading Brief Description of Products Rate  
(laris)a 
271112,13,14,19 Petroleum gases 120/tonne 
2902, 2905 Hydrocarbons, acyclic alcohols 400/tonne 
3403 Lubricating preparations 400/tonne 
3811-3814 Prepared additives for mineral oils, and other composite preparations 400/tonne 
 Export of scraps of ferrous and/or non ferrous metal 25/tonne 
8703 Motor vehicles  0.5-1.5 /per cubic centimetre  of 
engine depending on the age of the vehicle 
a The Lari is Georgia's currency and was valued at 1. 6 laris per US dollar in November 2008 (period average). 
 
Source:  Information provided by Georgia.  
 
B. RULES OF ORIGIN  
32. Disciplines on rules of origin are provided in Pr otocol II to the Agreement.  Any amendments 
are to be initiated by the Joint Committee as described in Article 35  (Article 18).   
33. Under Protocol II (Article 2), a product is originating when:  
(a) it is wholly obtained9 in one of the Parties;  or  
(b) it incorporates materials that have undergone sufficient working or processing in one 
of the Parties, in accordance with th e conditions established in Annex II to 
Protocol II.  
34. There are no regime-wide rules of origin, but a list of specific criteria that non-originating 
materials should meet so that the final product acqui res originating status, as contained in Annex II of 
Protocol II.  In most cases, origin is gran ted if the working or processing carried out on 
non-originating materials results in a change in tariff classification (CTC), at the heading level 
(HS 4-digit).  This rule requires changes from eith er "any heading except that of the product" or from 
a specific heading or material, for prepared f oodstuffs, wood and wood pulp, textiles, footwear, 
articles of stone and plaster, pearls and base metals.  In other cases, materials from the same heading 
may be allowed, normally up to a certain limit (some petroleum products, chemicals, plastics, 
machinery, and miscellaneous manufactured articles) .  An import content test (MC) can also be 
provided either to supplement the CTH (for some  prepared foodstuffs, wood pulp, base metals, 
machinery, transport equipment and measuring instruments, and musical instruments) or as a standalone rule (for some vegetables, prepared f oodstuffs, chemicals, plasti cs, footwear, machinery 
                                                     
 
9 Article 5 lists the following as "wholly obtained pro ducts" in one of the Parties' territory:  (a) mineral 
products extracted from their soil or from their seabed;  (b) vegetable products harvested there;  (c) live animals 
born and raised there;  (d) products from live animals raised there;  (e) products obtained by hunting or fishing conducted there;  (f) produc ts of sea fishing and other products taken from the sea outside the territorial waters 
of Turkey or of Georgia by their vessels;  (g)  products made aboard their factory ships exclusively from 
products referred to in subparagraph (f);  (h) used articles collected there fit onl y for the recovery of raw 
materials, including used tyres fit only for retreading or for use as waste;  (i) waste and scrap resulting from 
manufacturing operations conducted there;  (j) products extracted from marine soil or subsoil outside their 
territorial waters provided that they have sole rights to  work that soil or subsoil;  (k) goods produced there 
exclusively from the products specified  in subparagraphs (a) to (j).  Th e terms “vessels” and “factory ships” 
apply only to vessels and factory ships: which are registered or recorded in the Parties; which sail under the flag 
of the Parties; which are owned to an extent of at least 50 % by nationals of  the Parties, or by a company with its 
head office in one of these States, of which the manager or managers, Chairman of the Board of Directors or the 
Supervisory Board, and the majority of the members of such boards are nationals of the Parties and of which, in 
addition, in the case of partnerships or limited companies, at least half the capital belongs to those States or to public bodies or nationals of the said States; of which the master and officers are nationals of the Parties; and of 
which at least 75% of the crew are nationals of the Parties. WT/REG261/1 
Page 16  
 
  and mechanical appliances, trans portation equipment, measuring inst ruments, arms and ammunition, 
and furniture);
10  in the case of chemicals, plastics, machinery and mechanical appliances, 
transportation equipment, measuring instruments, and furniture the MC test is offered as an alternative 
criterion;11  the permissible limit for non-originati ng materials is normally 40%, but different 
thresholds may apply (ranging from 20% to 50%).  A technical test or process rule, requiring that 
some production processes take place in the territory of the Parties, is required for some minerals, 
chemicals, plastics, wood, textiles, hides and skin s, glass products and base metals.  In the case of 
textiles and glass products, the technical test is offere d as an alternative rule in combination with an 
import content test.  Rules requiring certain material s to be obtained in the territory of the Parties 
(wholly obtained rules) are used for many pro cessed agricultural products.  The "tolerance rule" 
permits the use of non-originating materials in th e manufacture of a product provided that:  (a) their 
total value does not exceed 10% of the ex-works pri ce of the product, and (b) any of the percentages 
listed for the maximum value of non-originating materials are not exceeded (Article 6.2).   
35. The tolerance rule does not apply to textiles and clothing (HS Chapter 50 to 63), which are 
covered by specific provisions under notes 5 and 6 of Annex I to Protocol II.  Accordingly, any basic 
textile materials may be used in the manufacture of  an originating products where, taken together, 
they represent 10% or less of the total weight  of all the basic textile materials used.12  Materials which 
are not classified within Chapters 50 to 63 may be used freely in the manufacture of textile products 
whether or not they contain textiles;  where a pe rcentage-rule applies, the value of materials not 
classified under Chapter 50 to 63 must be taken into account when calculating the value of the 
non-originating materials incorporated. 
36. The "absorption principle" provides that a non-originating material acquiring originating 
status by meeting the corresponding processing require ments is considered to be 100% originating 
once incorporated into the final product (Article 6.1).   
37. Article 7 lists the operations that are consid ered as insufficient working or processing to 
confer the status of originating products, regardless of whether the requirements of sufficient working 
and processing are satisfied13 and whether or not the product meets the tolerance rule.  Article 8 
defines the unit of qualification to be used when determining classification of a good under the HS nomenclature.  Articles 9-11 provide for the treatment of accessories, spare parts and tools, sets and natural elements when determining the origin of a good.  
                                                     
 
10 The MC requirement establishes the maximum value of non-originating materials allowed in the 
final product, expressed as a percentage of the ex-works price of the product. 
11 Column 3 of Annex II to Protocol II describes the specific rule. When an alternative rule appears in 
column 4, either rule can be applied. 
12 The list of basic textiles materials is indicated in Annex I to Protocol II. 
13 These are:  (a) preserving operations to ensure that the products remain in good condition during 
transport and storage;  (b) breaking-up and assembly of packages;  (c) washing, cleaning; removal of dust, 
oxide, oil, paint or other coverings;  (d) ironing or pressing of textiles;  (e) simple painting and polishing operations;  (f) husking, partial or total bleaching, polishing, and glazing of cereals and rice;  (g) operations to 
colour sugar or form sugar lumps  (h) peeling, stoning and shelling, of fruits, nuts and vegetables;  
(i) sharpening, simple grinding or simple cutting;  (j) sifting, screening, sorting, classifying, grading, matching; (including the making-up of sets of articles);  (k) simp le placing in bottles, cans, flasks, bags, cases, boxes, 
fixing on cards or boards and all other simple packaging operations;  (l) affixing or printing marks, labels, logos 
and other like distinguishing signs on products or their packaging;  (m) simple mixing of products, whether or not of different kinds,  (n) simple assembly of parts of articles to constitute a complete article or disassembly of 
products into parts;  (o) a combination of two or more operations specified in subparagraphs (a) to (n);  (p) 
slaughter of animals.  All operations carried out in the Parties' territories on a given product shall be considered together when determining whether the working or processing undergone by the product is to be regarded as 
insufficient.  WT/REG261/1 
 Page 17 
 
 
  38. Bilateral cumulation between the Parties is perm itted;  consequently, materials originating in 
any of the Party's territory shall be considered as originating in the other Party's territory without 
needing to undergo sufficient working or processi ng provided that they have undergone operations 
beyond the operations referred to in Article 7 as insu fficient working or processing (Articles 3 and 4).  
39. The principle of territoriality (Article 12) re quires that conditions for acquiring originating 
status must continue to be fulfilled without interr uption in a Party's territory.  Where an originating 
good exported from a Party to another country is re-i mported, it will be considered as non-originating, 
unless it can be demonstrated to the customs or other competent authorities14 that the returning goods 
are the same as those that were exported and have  not undergone any operation beyond that necessary 
to preserve them in good condition while in that co untry or while being exported (Article 12.2).  The 
originating status shall not be affected by work ing or processing outside the Parties' territories on 
materials exported from and subsequently re-importe d by any of the Parties, provided that such 
materials (a)  are wholly obtained in one of th e Parties, or have undergone working or processing 
beyond the insufficient operations listed in Article 7 prior to being exported; and (b) it can be 
demonstrated to customs or other competent aut horities that (i) the re-imported goods have been 
obtained by working or processing exported materials;  and (ii)  the total added value acquired outside 
the Parties' territories does not exceed 10% of th e ex-works price of the end product for which 
originating status is claimed (Article 12.3).  Article 12.4 further specifies that, for the purposes 
described above, the conditions for acquiring origin ating status shall not apply to working or 
processing outside one of the Parties' territories.  However, where in Annex II, a rule setting a 
maximum value for all the non-originating material s incorporated is applied in determining the 
originating status of the end product, the total valu e of the non-originating materials incorporated in 
the territory of the party concerned, together with  the total added value acquired outside one of the 
Parties by applying the provisions of Article 12.4,  shall not exceed the 10%.  The provisions of 
Articles 12.3 and 4 do not apply to textiles and clothing (HS Chapter 50-63).   
40. Article 13 requires that goods benefiting from pr eferential treatment are transported directly 
between the Parties;  however products constituti ng one single consignment may be trans-shipped 
through or warehoused in third countries if they are under the surveillance of the customs authorities 
in the third country and do not undergo operations other than unloading, reloading or any operation 
designed to preserve them in good condition.  Origina ting products sent for exhibitions in the territory 
of a non-Party and subsequently sold for import in the territory of either of the two Parties shall 
benefit from  the provisions of the Agreement provi ded that they meet the conditions set out in 
Article 14. 
41. Article 15 provides for a no-drawback rule of cu stoms duties or charges having an equivalent 
effect applicable to materials used in the ma nufacture of originating products benefiting from 
preferential treatment. This prohibition shall a pply to any arrangement for refund, remission or 
non-payment, partial or complete, of customs duties or  charges having an equivalent effect, applicable 
in Turkey or in Georgia to materials used in  the manufacture, where such refund, remission or 
non-payment applies, expressly or in effect, when products obtained from the said materials are exported and not when they are retained for home u se (Article 15.2).  It also applies to packaging 
operations (when included with the product for HS classification purpose);  accessories, spare parts and tools;  and products in a set (Article 15.3).   A partial drawback on non-originating materials used 
in the manufacture of originating products is allowed (a) for products falling within 
HS Chapters 25-49 and 64-97, where a 5% rate of cust oms charge, or any lower rate as is in force in 
the Party concerned, shall be retained, and (b) for products under HS Chapters 50-63, where a 10% 
rate of customs charge, or any lower rate as is in  force in the Party concerned, shall be retained 
                                                     
 
14 According to Article 1(o), "custo ms authorities or other competent authorities" means:  Republic of 
Turkey Prime Ministry Undersecretariat of Customs, for Turkish side;  and authorized administrations in 
Georgia, for Georgian side. WT/REG261/1 
Page 18  
 
  (Article 15.6).  The prohibition does not preclude th e application of an export refund system for 
agricultural products, applicable upon export in  accordance with the Agreement's provisions 
(Article 15.5).
15  
42. Articles 36 and 39 deal with free zones and goods  in transit and storage.  The Parties shall 
take the necessary steps to ensure that products transported through a free zone in their territories are 
not substituted by other goods and do not underg o handling other than those necessary for their 
preservation.  In the case that such goods undergo treatment or processing, the authorities concerned 
shall issue another certificate of origin at the exporter's request.  According to Article 39, goods that conform with the Agreement's rules of origin and that  at the date of its entry into force are either 
being transported or are being temporarily stored  in the Parties' territories (in bonded warehouse or 
free zones), may be accepted as originating products subject to the submission, within four months 
from that date, of proof of origin and suppor ting evidence of transportation conditions to the 
competent authorities.   
Box III.1:  Rules of Origin Basic Features at a Glance 
• No regime-wide rules of origin 
• Specific rules common to both Parties apply to products covered in the Agreement 
• Product specific criteria: 
− Wholly obtained or entirely produced goods 
− In general, CTC at the heading levels 
− MC rules used, either alone or as supplementary rules 
− Two alternative rules for many products 
− Process rules used in certain cases 
• Bilateral cumulation between Turkey and Georgia 
• Absorption principle 
• Tolerance rule at a maximum of 10% (does not apply to textiles and clothing) 
• Specific tolerance rules for textile and clothing 
• Duty drawback permitted under specific conditions 
• No outward-processing authorized (except for a tolerance rule of up to 10% of the ex-work price. Does 
not apply to textiles and clothing) 
C. EXPORT DUTIES AND CHARGES , AND QUANTITATIVE RESTRICTIONS  
43. Articles 6 and 7 require the Parties to eliminate all customs duties and quantitative restrictions 
on exports of industrial pr oducts, and any charges or measures ha ving equivalent effect upon the entry 
into force of the Agreement.  The introduction of  new customs duties or quantitative restrictions on 
exports of industrial products or any charges or measures having equivalent effect in trade between 
the Parties is also prohibited. 
44. Article 11.2 specifies that exporters shall not bene fit from refunds of internal indirect taxation 
which exceed the amount of indirect taxation that ha s been directly or indirectly imposed on products 
exported to the territory of one of the Parties. 
                                                      
15 According to Turkey, the export refund system refe rs to Turkey's export su bsidies which are subject 
to Uruguay Round reduction commitments for agri cultural products and that are indicated in its 
Schedule XXXVII. Exports subsidies should have been phased out by 2004.  WT/REG261/1 
 Page 19 
 
 
  D. REGULATORY PROVISIONS OF THE AGREEMENT  
1. Standards 
(a) Technical barriers to trade 
45. The Parties retain their rights and obliga tions under the WTO Agreement on Technical 
Barriers to Trade (TBT Agreement) (Article 25).  They shall also endeavour to strengthen their 
cooperation in the field of technical regulations, standards and conformity assessment, in order to 
open their markets and eliminate technical barriers to tr ade.  To this end, they shall consult within the 
Joint Committee. 
46. Each Party shall, upon request from the other, submit information on particular cases of 
standards, technical rules or similar measures.  Where a Party has taken measures which are likely to 
create, or have created, an obstacle to trade, imme diate consultations are to take place in the Joint 
Committee.  The Joint Committee shall find an appropr iate solution in conformity with the WTO TBT 
Agreement (Article 25.3 and 4). 
(b) Sanitary and phytosanitary measures 
47. The Parties shall apply their sanitary and phy to-sanitary measures in accordance with the 
rules and procedures of the GATT 1994 and othe r relevant WTO agreements (Article 10). 
2. Safeguard mechanisms 
(a) Global safeguard measures 
48. With respect to the application of global safegua rd measures, the Parties retain their rights and 
obligations under Article XIX of the GATT and the WTO Agreement on Safeguards (Article 14). 
(b) Bilateral safeguards 
49. Safeguard measures can also be taken when th e implementation of Article 6 (elimination of 
export duties and charges) and Article 7 (eliminati on of quantitative restric tions and measures having 
equivalent effect on imports and exports) leads to:  (a) re-export to a third country against which the 
exporting Party maintains, for the product concerne d, quantitative export restrictions, export duties or 
measures or charges having equivalent effect;  or (b) a serious shortage, or threat thereof, of a product 
essential to the exporting Party; and the situations refe rred above give rise or are likely to give rise to 
major difficulties in the exporting Party (Article 15). 
50. Article 15.2 requires the exporting Party to submit its request to the Joint Committee for 
examination before taking any ap propriate measures.  The Committee shall take a decision within 
30 days from the submission of the request.  In the absence of a decision by the Committee, the 
exporting Party may take appropria te measures on the product concerned.  Such measures must be 
non discriminatory and are to be eliminated when conditions no longer justify their maintenance.  
(c) Restrictions to safeguard the balance of payments 
51. Article 17 allows the Parties to adopt restri ctive measures in case of serious balance of 
payments (BOP) difficulties, or threat thereof, in conformity with the WTO Agreement.  BOP 
measures must be of limited duration and must  not go beyond what is necessary to remedy the 
situation.  The Party concerned shall promptly info rm the other Party of the introduction of measures 
and shall provide, as soon as possible, a calendar for their elimination. WT/REG261/1 
Page 20  
 
  3. Anti-dumping  
52. The Parties may take appropriate measures ag ainst dumping in bilateral trade in accordance 
with Article VI of the GATT 1994 (Article 13). 
4. Subsidies and countervailing measures 
53. The Parties retain their rights and obligati ons under Article VI and Article XVI of 
GATT 1994, the WTO Agreement on Subsidi es and Countervailing Measures, and the 
WTO Agreement on Agriculture (Article 21).  Appropr iate measures may be adopted by the Parties in 
accordance with these provisions.  
5. Other regulations 
(a) Customs-related procedures 
54. Titles V and VI of Protocol II contain provis ions on proof of origin (Articles 16-31) and 
administrative cooperation (Articles 32-36).  Proof or origin is subject to submission, by the exporting 
country, of either:  
(a) a movement certificate EUR.1 (as specified in Annex III to Protocol II);  or 
(b) an invoice declaration (as specified in Annex IV to Protocol II) made by an 
"approved exporter" within the meaning of Article 23
16, or an exporter for any 
consignment consisting of one  or more packages containing originating products 
whose total value does not exceed €6,000. 
55. The following products are exempted from the submission of any proof of origin (Article 27):  
(i) products sent as small packages between private persons or forming part of travellers' personal 
luggage, whose total value does not exceed €500;  and (ii) occasional imports that consist solely of 
products for the personal use of the recipients or tr avellers or their families, whose total value does 
not exceed €1,200. 
56. The Agreement provides also for administrative cooperation between the Parties to check the 
authenticity of origin declarations (Article 32).  The customs authorities of both Parties may carry out 
random checks to verify proof of origin (Article 33).  The verification shall be carried out by the 
relevant customs or other authorities of the expor ting Party based on a request and by the authorities 
of the importing Party.  While the verification is  underway, the importing authorities may release the 
goods to the importer subject to any precautionary measures judged necessary.  If the verification is not complete within 10 months or if the informa tion provided is insufficient, the importing Party may 
refuse to grant preferential treatment.   
57. Disputes related to proof of origin procedures that cannot be resolved by the Parties' 
competent authorities, or related to the interpreta tion of Protocol II, shall be taken to the Joint 
Committee (Article 34).  The settlement of disput es between the importer and the customs authorities 
of the importing Party shall be resolved under the legi slation of the latter.  Article 35 provides for the 
imposition of penalties on any person who draws up, or causes to be drawn up, a document which 
contains incorrect information for the pu rpose of obtaining preferential treatment. 
                                                     
 
16 According to Article 23, the customs authorities or other competent authorities of the exporting 
country may authorize any exporter who makes frequent shipments of products under the Agreement to make 
out invoice declarations irrespective of the value of the products concerned.  WT/REG261/1 
 Page 21 
 
 
  58. The Parties agreed to set up a Sub-committee on customs and origin matters to assist the Joint 
Committee and to ensure a continuous informati on and consultation process between experts of the 
Parties (Article 37). 
(b) Competition 
59. The following practices are judged to be incompatible with the proper functioning of the 
Agreement:  (i) all agreements be tween undertakings, decisions by associations of undertakings and 
concerted practices between undert akings which have as their object or effect the prevention, 
restriction or distortion of competition;  (ii) abu se by one or more undertakings of dominant positions 
in the territories of the Parties, as a whole or in a s ubstantial part thereof;  and (iii) any state aid which 
distorts, or threatens to distort, competition by favouring certain undertakings or the production of 
certain goods (Article 20.1). 
60. The Joint Committee shall, within five years fro m the Agreement's entry into force, decide 
and adopt the necessary rules for the proper implemen tation of Article 20.1.  Until then, the Parties 
shall apply the provisions of Article 21 on subsidies for any state aid which distorts, or threatens to 
distort competition by favouring certain undert akings or the production of certain goods 
(Article 20.1.c), that is they may apply appropria te measures in accordance with GATT Article VI, the 
WTO Agreement on Subsidies and Countervailing Measures and the WTO Agreement on Agriculture 
(Article 20.2).  Where a Party considers that any of  the practices described above is incompatible with 
the Agreement's rules on competition and:  (i) it is not adequately dealt with under Article 21;  or 
(ii) in the absence of such rules, and if such pr actice causes or threatens to cause serious prejudice to 
the interest of the other Party or material inju ry to its domestic industry, including the services 
industry, that Party may take appropriate measure s after consultation with the Joint Committee or 
after 30 working days following such consultations (Article 20.4).17 
61. Article 20.3 further requires the Parties to respect  the principle of transparency in the area of 
state aid by reporting annually on the total amount and distribution of aid and by providing, upon request, information on aid schemes.  Moreover, upon request, each Party shall provide the other with 
information on individual cases of state aid.  
(c) Public Procurement 
62. Article 23 commits the Parties to adjust, within  four years from the Agreement's entry into 
force, any state monopoly of a commercial character to  ensure that no discrimination in the conditions 
for procurement of goods exist between their nati onals.  The Joint Committee shall be informed of 
any measures adopted by the Parti es to implement such a provision. 
63. The progressive liberalization of procurement ma rkets shall be the object of consultations 
between the Parties in the framework of the Joint Committee (Article 24). 
(d) Other 
(i) Payments and transfers 
64. The Parties shall authorize any payments and transfers between them in freely convertible 
currency and in accordance with the provisions of Article VIII of the Intern ational Monetary Fund 
Agreement (Article 19). 
                                                     
 
17 Such appropriate measures, when the WTO rules are applicable to them, may only be adopted in 
accordance with the procedures and und er the conditions laid down by the WTO or by any other relevant 
instrument negotiated under its auspices and applicable to the Parties (Article 20.4). WT/REG261/1 
Page 22  
 
  (ii) Trade in services 
65. Under Article 26, the Parties engaged to achieve  the gradual liberalization and the opening of 
their markets for trade in services in accordance with the provisions of  the GATS.  To this end, they 
shall regularly meet in the Joint Committee to revi ew the relevant services sectors and to consider 
further liberalization.  
IV. PROVISIONS AFFECTING TRADE IN GOODS 
A. I
NTELLECTUAL PROPERTY   
66. Article 22 sets out provisions on the protection of intellectual property rights (IPRs).  The 
Parties shall grant and ensure "adequate, effectiv e and non-discriminatory" protection of IPRs and 
shall adopt enforcement measures in accordance with the relevant international agreements. 
67. National and MFN treatment are granted to nationals of the Parties subject to the exceptions 
indicated in Article 3, Article 4 and Article 5 of the TRIPS Agreement (Article 22.2 and 3).  
68. The implementation of the IPRs provisions is to be regularly reviewed by the Parties;  where 
a problem in this field negatively affects bilateral trade either Party may request urgent consultations 
with a view to reaching a mutually satisfactory solution (Article 22.4). 
B. SECTOR -SPECIFIC PROVISIONS OF THE AGREEMENT  
69. There are no sector-specific provisions in the Agreement.  
C. INSTITUTIONAL PROVISIONS OF THE AGREEMENT  
1. Exceptions and reservations 
70. General exceptions to the Agreement's provisi ons are detailed in Article 16.  They may 
consist of prohibitions or restricti ons on imports, exports or goods in tr ansit, provided that they do not 
constitute a means of arbitrary discrimination or a di sguised restriction on bilateral trade, and may be 
applied for the following reasons:  public morality;  public policy or public security;  the protection of 
health and life of humans, animals or plants and the environment;  the protection of national treasures 
possessing artistic, historic or archaeological value;  and the protection of intellectual, industrial and 
commercial property. 
71. Article 29 on security exceptions is m odelled on Article XXI of GATT 1994.  
2. Accession 
72. The Agreement contains no provis ions on accession by third countries. 
3. Institutional framework 
73. A Joint Committee, responsible for the administ ration and implementation of the Agreement, 
is established under Article 27.  Its main functions are to make recommendations and take decisions in 
the cases provided for in the Agreement.18  Article 28.3 specifies that when a Party accepts a decision 
of the Joint Committee subject to the fulfilment of  constitutional requirements, the decision shall enter 
                                                      
18 The Joint Committee may take decisions pursuant to Article 15 (Re-export and Serious Shortage);  
Article 20 (Rules of Competition concerning Undertakings);   Article 30 (Fulfilment of Obligations);  Article 32 
(Dispute Settlement);  and Article 34 (Protocols and Annexes).  WT/REG261/1 
 Page 23 
 
 
  into force on the date of the receipt of the writte n notification of the comp letion of constitutional 
requirements, if no later date is contained therein. 
74. The Joint Committee shall convene at least once a year and, whenever necessary, upon 
request by either Party (Article 28).  It shall act  by consensus.  It shall adopt its own rules of 
procedure and may decide to set up sub-committees  and working groups.  According to Turkey, no 
sub-committees have been established unde r the Agreement as at October 2009.  
4. Dispute settlement 
75. Article 30 requires the Parties to resolve any divergence on the interpretation or 
implementation of the Agreement through cooperati on and consultations.  Ei ther Party ma request 
consultations on any actual or prop osed measure or on any other matter that might affect the operation 
of the Agreement by notifying in writing the other Part y and by supplying all the relevant information.  
Consultations shall start in the Joint Committee with in 10 days from the submission of the request.   
76. Article 31 sets out specific notification and consultation procedures for the adoption of 
appropriate measures pursuant to Articles 14 (Saf eguard Measures);  15 (Re-export and Serious 
Shortage);  20 (Rules on Competition);  and 30 (Fulfillme nt of Obligations).  In such cases, the Parties 
shall resort to direct consultations, which shall star t without delay in the Joint Committee.  If, within 
one month of the matter being referred to the Joint Committee, the Party complained against fails to 
terminate the practice objected to or the difficulties notified, and in the absence of a decision by the 
Joint Committee, the concerned Party may adopt m easures necessary to remedy the situation.  Such 
measures shall be immediately notified to the Joint Committee, be of limited duration, and not be in 
excess of the damage caused.  They shall also be  subject to regular consultations in the Joint 
Committee with a view to their relaxation or abo lition whenever conditions no longer justify their 
maintenance.  In such cases (i.e. Articles 14, 15,  20, and 30), the Agreement also allows the adoption 
of precautionary measures when exceptional circumstances require immediate actions.  Such measures shall be strictly necessary to remedy the s ituation and be notified without delay to the Joint 
Committee in order for the Parties to start consultations (Article 31.6).  
77. Dispute settlement provisions for any matter relate d to the application or interpretation of the 
Agreement are contained in Article 32.  The Join t Committee may settle the dispute by means of a 
binding decision on the Parties.  Where disputes cannot be resolved by a decision of the Joint Committee, any of the Parties may notify the other of the appointment of an arbitrator;  the other Party must appoint the second arbitrator within two mont hs.  The two arbitrators shall agree on the third 
arbitrator within two months who must be a citizen  of a third country with which both Parties have 
diplomatic relations.  Failure to agree on the third arbitrator within the time-limit, will result in the 
Joint Committee appointing the third arbitrator with in two months.  The arbitral decision shall be 
taken by majority vote and is binding on the Parties.  
5. Relationship with other agreements concluded by the Parties 
78. Article 12 does not prevent the Parties from maintaining or establishing customs unions, free 
trade areas, or arrangements with third countries, provided that these do not have a negative impact on 
bilateral trade, and in particular on rules of origin under the Agreement. 
79. The Parties shall endeavour to exchange in formation, within the Joint Committee, on 
agreements establishing customs unions or free trad e areas or, if appropria te, on any other matter 
related to their respective trade polici es with third countries (Article 12.2).  
80. The Parties' participation in other RTAs in fo rce (both notified and non-notified) is shown in 
Table IV.1 below. WT/REG261/1 
Page 24  
 
  Table IV.1 
Turkey and Georgia:  Participation in other RTAs (not ified and non-notified in force), as of November 2009  
GATT/WTO Notification 
Partner /Agreement Date of entry  
into force Type of 
agreement Year WTO Provision 
TURKEY 
Albania 01.05.08 Goods 2009 GATT Art. XXIV 
Egypt 01.03.07 Goods 2007 Enabling Clause 
Syria 01.01.07 Goods 2007 GATT Art. XXIV 
Morocco 01.01.06 Goods 2006 GATT Art. XXIV 
Tunisia 01.07.05 Goods 2005 GATT Art. XXIV 
Palestinian Authority 01.06.05 Goods 2005 GATT Art. XXIV 
Croatia 01.07.03 Goods 2003 GATT Art. XXIV 
Bosnia and Herzegovina 01.07. 03 Goods 2003 GATT Art. XXIV 
FYROM 01.09.00 Goods 2001 GATT Art. XXIV 
Israel 01.05.97 Goods 1998 GATT Art. XXIV 
European Communities 01.01.96 Goods 1995 GATT Art. XXIV 
EFTA 01.04.92 Goods 1992 GATT Art. XXIV 
PTN 11.02.73 Goods 1971 Enabling Clause 
ECO Signed 17.07.03
not implemented Goods 1992 Enabling Clause 
GEORGIA  
Turkmenistan 01.01.00 Goods 2001 GATT Art. XXIV 
Kazakhstan 16.07.99 Goods 2001 GATT Art. XXIV 
Armenia 11.11.98 Goods 2001 GATT Art. XXIV 
Azerbaijan 10.07.96 Goods 2001 GATT Art. XXIV 
Ukraine 04.06.96 Goods 2001 GATT Art. XXIV 
Russian Federation 10.05.94 Goods 2001 GATT Art. XXIV 
CIS 30.12.94 Goods 1999 GATT Art. XXIV 
GUAM 10.12.03 Goods Not notified 
Source: WTO Secretariat. 
 
FYROM: Former Yugoslav Republic Of Macedonia 
EFTA: European Free Trade Area. 
PTN: Protocol relating to Trade Ne gotiations among deve loping countries 
ECO: Economic Cooperation Organization CIS: Commonwealth of Independent States 
GUAM: Georgia, Ukraine,  Azerbaijan, Moldova  WT/REG261/1 
 Page 25 
 
 
  ANNEX I 
 
Details of the trade liberalization under the Agreement   
  
1. A comparison between the preferential tariffs applied under the scheduled tariff elimination 
programme as applied to the Parties' mutual im ports and the MFN applied rates by Turkey and 
Georgia on imports of total, agricultural (WTO defi nition) and non-agricultural products is shown in 
Table AI.1 (Turkey) and Table AI.2 (Georgia) below.  
Table AI.1 
Turkey: Indicators of MFN tariff rates and preferential rates for imports from Georgia 
ALL PRODUCTS Agricultural products a Non-agricultural products 
Average applied 
tariff Average applied 
tariff Average applied 
tariff Origin of 
goods Year 
Overall 
(%) On 
dutiable 
(%) Share of 
duty-free 
tariff 
lines (%) Overall 
(%) On 
dutiable 
(%) Share of 
duty-free 
tariff lines 
(%) Overall 
(%) On 
dutiable 
(%) Share of 
duty-free 
tariff lines 
(%) 
MFN 2008 11.5 15.0 23.8 46.8 54.1 13.3 5.0 6.7 25.8 
Georgia 2008 7.0 58.1 88.0 40.2 61.9 35.1 0.9 38.3 97.7 
 
a WTO Definition. 
Note: For tariff lines subject to TRQs only the out-of-quota duty is included in the tariff-rela ted  calculations; for preferen tial tariffs 
with non ad valorem  components, only the ad valorem  part of the rate was included in the calculation of the tariff averages. 
Based on HS 2007 nomenclature. 
 
Source : WTO Secretariat estimates based on data provided by Turkey. 
 
2. Turkey has a variable MFN tariff structure.  In 2008, its average applied MFN rate on all 
products was 11.5%.  Its average applied tariff on agri cultural products of 46.8% is almost ten times 
the tariff applied to non-agricultural products (5%).  At the date of the Agreement's entry into force 
(2008), Georgia's exporters enjoyed an absolute marg in of preference for agricultural goods of 6.6%;  
for non-agricultural goods, the average applied tariff  fell to 0.9%, giving Georgia's exporters an 
absolute margin of preference of 4.1%.  The sh are of duty-free lines on all products has increased 
from 23.8% to 88%;  for non-agricultural products this increase was higher from 25.8% to 97.7%, 
while for agricultural products the share of duty free lines increased from 13.3% to 35.1% for 
Georgian exporters.   
Table AI.2 
Georgia: Indicators of MFN tariff rates a nd preferential rates for imports from Turkey 
ALL PRODUCTS Agricultural products a Non-agricultural products 
Average applied 
tariff Average applied 
tariff Average applied 
tariff Origin of 
goods Year 
Overall 
(%) On 
dutiable 
(%) Share of 
duty-free 
tariff 
lines (%) Overall 
(%) On 
dutiable 
(%) Share of 
duty-free 
tariff lines 
(%) Overall 
(%) On 
dutiable 
(%) Share of 
duty-free 
tariff lines 
(%) 
MFN 2008 1.5 11.7 85.8 6.9 11.6 37.1 0.2 12.0 98.1 
Turkey 2008 0.2 12.0 98.7 0.8 12.0 93.5 0.0 0.0 100.0 
 a WTO Definition. 
 Note: Based on HS 2002 nomenclature.  
Source : WTO Secretariat estimates based on data provided by Georgia to the WTO-IDB. 
 
3. In 2008, Georgia's average applied MFN rate on all products was 1.5%;  a lower rate was 
applied on non-agricultural products (0.2%), wher eas the average applied MFN duty on agricultural 
products was 6.9%.  Upon the Agreement's entry in to force, 98.7% tariff lines became duty free on 
imports from Turkey;  the share of duty free lines on agricultural products highly increased from 
37.1% to 93.5%.  Non-agricultural products were to tally liberalized under the Agreement.  Turkey's 
exporters of agricultural products enjoyed an absolu te margin of preference of 6.1%;  on those lines WT/REG261/1 
Page 26  
 
  that remain dutiable under the Agreement, the pref erential duty is slightly higher than the applied 
MFN rate (12% vis-à-vis  11.6%).   
4. Table AI.3 shows the market access opportunities in Turkey for Georgia's top 25 exports 
(aggregated at the HS 6-digit level), which in  2006-08 accounted for 74.1% of Georgia's global 
exports.  Before the entry into force of the Ag reement, 49 tariff lines were duty-free and 91 were 
dutiable.  In 2008, an additional 33 lines have been li beralized;  of these, one third consisted of motor 
vehicles (with cylinder capacity of between 1500 cc and 3000 cc).  The 58 lines that remain dutiable 
after the Agreement's entry into force are mainly  concentrated in other wine and grape must.  
Table AI.3 –Turkey: Market access opportunities under the agreement for Georgia's top 25 exports 
Access Conditions to Turkey's import markets 
MFN (2008) Georgia's top export products in 2006-2008 Number of tariff 
lines 
HS number and description of the product  Share in global 
exports (%)  Avg. 
applied 
rate 
(%) Duty-
free Dutiable  Duty-
free in 
2008 Remain 
Dutiable 
720230 - Ferro-silico-mang anese 12.4 3.7  1 1  
260300 Copper ores and concentrates. 7.4 0.0 2    
710813 -- Other semi-manufactured forms 5.9 0.0 2    
720449 -- Other 5.8 0.0 4    
310230 - Ammonium nitrate, whether or not in 
aqueous solution 5.4 6.5  2 2  
080222 -- Shelled 3.9 43.2  1  1 
870323 -- Of a cylinder capacity exceeding 
1,500 cc but not exceeding 3,000 cc 3.8 10.0  11 11  
220820 - Spirits obtained by distilling grape 
wine or grape marc 3.0 0.0 11    
220421 -- In containers holding 2 l or less 2.7 70.0  51  51 
740400 Copper waste and scrap. 2.6 0.0 3    
220110 - Mineral waters and aerated waters 2.1 0.0 3    
270900 Petroleum oils and oils obtained from 
bituminous minerals, crude. 2.1 0.0 2    
252329 -- Other 1.8 1.7  2 2  
252390 - Other hydraulic cements 1.7 1.7  4 4  
720429 -- Other 1.7 0.0 2    
220210 - Waters, including mineral waters and 
aerated waters, containing added sugar 
or other sweetening matter or flavoured 1.6 9.6  4 4  
870324 -- Of a cylinder capacity exceeding 
3,000 cc 1.5 10.0  6 6  
170199 -- Other 1.5 115.7 1 6  6 
760200 Aluminium waste and scrap. 1.2 0.0 3    
720219 -- Other 1.1 2.7  1 1  
300490 - Other 1.1 0.0 12    
860110 - Powered from an external source of 
electricity 1.0 1.7  1 1  
271600 Electrical energy. (optional heading) 0.9 0.0 1    
252310 - Cement clinkers 0.9 1.7  1 1  
440792 -- Of beech (Fagus spp.) 0.8 0.0 3    
Total of above  74.1  49 91 33 58 
 
Note: Based on HS 2007 nomenclature. 
 
Source : WTO estimates based on data provided by Turkey and UNSD, Comtrade data. 
 
5. Table AI.4 shows the market access opportunities in Georgia for Turkey's top 25 exports 
(aggregated at the HS 6-digit level), which in 2006-08 accounted for 37.2% of Turkey's global 
exports.  Before the Agreement's entry into for ce, 278 tariff lines were already duty-free on an MFN 
basis and three lines were dutiable.  Two of the thr ee lines have been liberali zed under the Agreement:  
these were marble, travertine and alabaster  (TL 680291). One line (shelled walnuts)  remains dutiable 
under the Agreement.   WT/REG261/1 
 Page 27 
 
 
  Table AI.4 –Georgia:  Market a ccess opportunities under the agreeme nt for Turkey's top 25 exports 
Access Conditions to Georgia's import markets 
MFN (2008) Turkey's top export products in 2006-2008 Number of tariff 
lines 
HS number and description of the product  Share in global 
exports (%)  Avg. 
applied 
rate 
(%) Duty-
free Dutiable  Duty-
free in 
2008 Remain 
Dutiable 
721420 Containing indentations, ribs, grooves 
or other deformations produced during the rolling process or twisted after 
rolling 5.0 0.0 1    
870421 g.v.w. not exceeding 5 tonnes 3.4 0.0 5    
271019 Other 3.0 0.0 25    
852812 Colour 2.2 0.0 17    
610910 Of cotton 2.2 0.0 1    
870323 Of a cylinder capacity exceeding 1,500 
cc but not exceeding 3,000 cc 1.8 0.0 103    
271011 Light oils and preparations 1.6 0.0 12    
710812 Other unwrought forms 1.6 0.0 1    
870331 Of a cylinder capacity not exceeding 
1,500 cc 1.5 0.0 4    
870332 Of a cylinder capacity exceeding 1,500 
cc but not exceeding 2,500 cc 1.4 0.0 53    
870322 Of a cylinder capacity exceeding 1,000 
cc but not exceeding 1,500 cc 1.4 0.0 4    
711319 Of other precious metal, whether or not 
plated or clad with precious metal 1.3 0.0 1    
620462 Of cotton 1.2 0.0 7    
870210 With compression-ignition internal 
combustion piston engine (diesel or semi-diesel) 1.1 0.0 10    
840999 Other 1.0 0.0 1    
890120 Tankers 0.9 0.0 2    
620342 Of cotton 0.9 0.0 7    
080222 Shelled 0.8 12.0  1  1 
611020 Of cotton 0.8 0.0 3    
854459 Other 0.8 0.0 3    
720711 Of rectangular (including square) cross-
section, the width measuring less than 
twice the thickness 0.7 0.0 4    
841821 Compression-type 0.7 0.0 5    
870899 Other 0.7 0.0 6    
680291 Marble, travertine and alabaster 0.6 12.0  2 2  
845011 Fully-automatic machines 0.6 0.0 3    
Total of above  37.2  278 3 2 1 
 
Note: Based on HS 2002 nomenclature. 
 
Source : WTO estimates based on data provided by Geor gia to the WTO-IDB and UNSD, Comtrade data. 
 
 WT/REG261/1 
Page 28  
 
  ANNEX II 
 
Product exclusions under the Agreement
 
  
1. Agricultural products excluded by Turkey and Georgia under the provisions of the Agreement 
are shown in Table AII.1 below.  
Table AII.1  
Products excluded by each Party under the Agreement 
Turkey's exclusions Georgia's exclusions 
HS Code Description HS Code Description 
Chapter 01 Live animals 0105 Live poultry, (fowls of the species Gallus 
domesticus), ducks, geese, turkeys and guinea fowls 
Chapter 02 Meat and edible meat offal 0204 Meat of sheep or goats, fr esh, chilled or frozen 
Chapter 03 * Fish and crustaceans, molluscs and other 
aquatic invertebrates 0401 Milk and cream, not concentrated nor containing 
added sugar or other sweetening matter 
Chapter 04 * Dairy produce, bird eggs’ natural honey’ edible 
products of animal origin’ not elsewhere specified or included 0407 
Birds' eggs, in shell, fr esh, preserved or cooked 
0802 Other nuts, fresh or dried, whether or not 
shelled or peeled 0409 Natural honey 
0805.50 Lemons (Citrus limon, Citrus limonum) and 
limes (Citrus aurantifo lia, Citrus latifolia) 0702 Tomatoes fresh or chille d (only during the period 
of 1 June-31 October) 
0806 Grapes, fresh or dried 0711 Vegetables  provisionally preserved (for example, 
by sulphur dioxide gas, in brine, in sulphur water 
or in other preservative solutions), but unsuitable 
in that state for immediate consumption 
0810.50 Kiwifruit 0802 Other nuts, fresh or dried, whether or not shelled 
or peeled 
0812.90.10 Apricots 0805 
(excl. 0805.50) Citrus fruit, fresh or dried  
0813 Fruit, dried, other than that of headings 0801 to 
0806; mixtures of nuts or dried fruits of this 
chapter 0806  
(excl. 0806.20) Grapes, fresh  
0902 Tea, whether or not flavoured 0808.10 Apples 
0904.20 Fruits of the genus Capsicum or the genus 
Pimenta, dried crushed or ground 0812 Fruit and nuts, provisionally preserved (for 
example, by sulphur dioxide gas, in brine, in sulphur water or in other preservative solutions), 
but unsuitable in that state for immediate 
consumption 
Chapter 10 Cereals 0902 Tea 
1101 Wheat or meslin flour 2401 Unmanuf actured tobacco, tobacco refuse 
1102 Cereal flours other than that of wheat or meslin 2402 Cigars, cigarettes, cheroots, cigarillos 
1108 Starches; inulin   
1206 Sunflower seeds, whether or not broken   
1212.91 Sugar beet   
Chapter 15        
(excl.1504, 
1522) Animal or vegetable fa ts and oils and their 
cleavage products; prepared edible fats; animal 
or vegetable waxes   
Chapter 16 Preparations of meat, of fish or of crustaceans, 
molluscs or other aquatic invertebrates   
1701 Cane or beet sugar and chemically pure 
sucrose, in solid form   
1702 Other sugars, including chemically pure 
lactose, maltose, glucose and fructose, in solid 
form; sugar syrups not containing added 
flavouring or colouring matter; artificial honey, 
whether or not mixed with natural honey; 
caramel   
2002 Tomatoes prepared or preserved otherwise than 
by vinegar or acetic acid   
2007.99.98 Hazelnut paste   
2008.19 Other fruit and nuts   
Table AII.1 (Cont'd)   WT/REG261/1 
 Page 29 
 
 
  Turkey's exclusions Georgia's exclusions 
HS Code Description HS Code Description 
2101 Extracts, essences and concentrates, of coffee, 
tea or mate and preparations with a basis of 
these products or with a basis of coffee, tea or mate; roasted chicory and other roasted coffee 
substitutes, and extracts, essences and 
concentrates thereof   
2105 Ice cream and other edible ice, whether or not 
containing cocoa   
2106 Food preparations not elsewhere specified or 
included   
Chapter 23 * Residues and wast e from the food industries; 
prepared animal fodder   
2401 Unmanufactured tobacco; tobacco refuse   
 
* Some of these lines are subject to TRQs. 
 
Source:  Protocol I of the Agreement . 
 
   
 
    
 
     
 
    
 
     
 
    
 
    
 WT/REG261/1 
Page 30  
 
  ANNEX III  
 
Turkey's TRQs under the Agreement
 
  
1. Table AIII.1 shows TRQs maintained by Turkey  on imports of agricultural products from 
Georgia under the Agreement.  No details are avai lable on whether the TRQs are to be phased out 
over time or if the in quota rates are to be reduced. 
Table AIII.1  
Turkey's TRQs on imports originating from Georgia 
TRQs on entry into force (2008) 
HS Code Product Description 
Quota (Tonne) In quota duty 
(reduction from the 
MFN customs duty %) Average 
MFN 2008 
(%) 
0302.69.55 0303.79.65 Anchovies, fresh, chilled or frozen 8.000 60 30.0 
0405 Butter and other fats and oils derived from milk; 
dairy spreads 500 50 113.8 
ex. 0407 Quail eggs 50 100 24.4 
0409 Natural honey 200 100 38.5 
0603 Cut flowers 15 100 46.8 
Chapter 07 
(excl. 0702.00) Edible vegetables and certain  roots and tubers 1000 100 20.4 
0702.00 Tomatoes 600 100 48.6 
0805 
(excl. 0805.50) Citrus fruit, fresh or dried 4000 100 54.0 
0807 Melons, including wa termelons and papaws 
(papayas), fresh 3500 60 86.4 
0808.10 Apples, fresh 2.000 100 60.3 
0808.20 Pears and quinces, fresh 250 100 60.3 
0809 Apricots, cherries, peaches  (including nectarines), 
plums and sloes, fresh 600 50 55.0 
Chapter 11 
(excl. 1101, 1102, 
1108) Products of the milling industry; malt; starches; 
inulin; wheat gluten 2.000 50 39.6 
1202 Groundnuts, not roasted or otherwise cooked, 
whether or not shelled or broken 250 100 28.3 
1704 Sugar confectionary (inc luding white chocolate), 
not containing cocoa 500 100 8.7 
1806 Chocolate and other food preparations containing 
cocoa 500 100 8.6 
Chapter 19 
(excl. 1903) Preparations of cereals, flour, starch or milk; 
pastrycooks’ products 500 100 8.5 
2001 Vegetables, fruit, nuts and other edible parts of 
plants, prepared or preserved by vinegar or acetic acid 1.200 100 34.7 
2005 Other vegetables prepared or preserved otherwise 
than by vinegar or acetic acid, not frozen, other than products of heading 2006 1.000 100 36.1 
2007 
(excl. 2007.99.98) Jams, fruit jellies, marmalades, fruit or nut purée 
and fruit or nut pastes, obtained by cooking, whether or not containing  added sugar or other 
sweetening matter 1.000 
 
1.000 100 
 
50 55.6 
 
58.5 
2009 Fruit juices (including grape must) and vegetable 
juices, unfermented and not containing added spirit, 
whether or not containing  added sugar or other 
sweetening matter 4.000 65 58.5 
2102 Baker’s yeast 250 50 8.1 
2204 Wine of fresh grapes, including fortified wines; 
grape must other than that of heading 2009 1.000.000 lt 100 67.5 
ex. 2301.20 Flours of anchovies 3.000 100 2.0 
 
Note: For the calculation of MFN averag es specific rates are excluded and the ad valorem  part of alternate rates are included. 
 
Source:  Turkey-Georgia Agreement and data provided by Turkey. 
__________