Political events in the country have already had a negative impact on trade relations with the European Union. As of the data for the last 9 months, exports to the European Union have declined by 31% and stood at $390 million. The Secretary General of the EU-Georgia Business Council does not rule out the trend will continue.
"When political relations and the situation with your partners deteriorate, of course, in a very short period of time, it will affect the economy. Our economy is quite fragile. We do not have any special minerals - oil, gas that would distinguish the country in the region and give much more opportunities for strengthening. In addition, the country’s share of manufacturing in the economy is not high. In the last 9 months, exports to the European Union decreased by $390 million that is 31% lower than the previous data. This means that the intense political battles of the last period have already found their reflection. The indicators may decline further and the recovery will take a very long and lengthy period," says Zviad Chumburidze.
Georgia cuts its exports to the EU, but rises them to the CIS countries. Zviad Chumburidze notes that in the last 10 months, Kazakhstan, Kyrgyzstan and Azerbaijan are among Georgia's top three trading partners. The Secretary General of the EU-Georgia Business Council hails the strengthening of trade relations with the region’s countries, but adds that the economy and markets need to be diversified. Zviad Chumburidze believes that the countries of the region and the CIS cannot replace the European market for Georgia.
The country’s economy should focus on diversification, which should be done in favor of the European direction. Free trade gives us all the tools for this. The visa-free regime allows businesses to enter on equal terms with their partners. What else should the EU do? The rest we have to do. The fact that no European country is included in the top ten is an unfavorable fact. Georgia is an import-dependent country, and here too it is better to focus on European countries. This country has no other prospects and alternatives except for the European one.
The Secretary General of the EU-Georgia Business Council explains that the current relations with strategic partners are not beneficial to the country. He believes that Georgia has exhausted the prospects for cooperation with Russia and the country has no alternative to returning to the European space.
"The latest developments with our strategic partners, the EU and the US, are definitely not beneficial for our country and our partners. We have been developing these relations for more than three decades. This has been our choice since gaining independence. Of course, when you have difficulties with a strategic partner and there is talk of resetting the relations, this means that it causes catastrophic damage to the country’s image, foreign policy and its prospects for the future. Society and business, we all together must realize that when you choose the path of independence and want to develop the country and make it a democratic state, there are difficulties, but we must all together realize and make one simple decision that the prospect of cooperation with Russia has been exhausted. Because our country has no other path, no chance, except for European and the Euro-Atlantic space integration.
Are there any alternatives? In fact, no. We all know this very well. Because 80% of our population definitely supports EU integration and returning to the European family," says Zviad Chumburidze.
