EFTA Georgia: Trade Promotion Seminar

The EFTA and Georgia jointly held a trade promotion seminar on 7 June in Tbilisi, organized in cooperation with the Georgian Swiss Business Association (GSBA) and the Embassy of Switzerland in Georgia. The EFTA – Georgia Free Trade Agreement (FTA) entered into force for Georgia, Iceland and Norway on 1 September 2017 and for Switzerland and Liechtenstein on 1 May 2018.

There is great interest in the new agreement and the seminar was well attended, with over 160 participants from private companies and government authorities.

The seminar brought together experts from the EFTA countries Switzerland, Norway, Iceland, Lichtenstein, and representatives of Georgia´s private and public sectors, to focus on the opportunities offered under the EFTA-Georgia Free Trade Agreement.

"We have facilitated the organization of such a seminar with the participation of EFTA experts to help the private and public sectors of Georgia to better understand the terms and conditions of the Free Trade Agreement signed with Switzerland, Liechtenstein, Iceland and Norway," said Alvaro Borghi, Deputy Head of the Mission of the Embassy of Switzerland. "The Agreement has improved the framework conditions and now it is time for the private sector to take this opportunity and benefit from it."

The Seminar included a panel discussion where several Georgian companies with first-hand experience of trade with Switzerland shared their practical knowledge with the attendees.

EFTA speakers and experts presented the technical and practical aspects of accessing the EFTA markets, with a focus on the opportunities created by the Free Trade Agreement (FTA) for Georgian producers and exporters. Topics covered were customs issues such as rules of origin, proofs of origin and the verification procedure, as well as issues on sanitary and phytosanitary requirements and technical standards. Furthermore, experts explained to the Georgian participants how trade in agricultural products is addressed in the FTA. Presentations were also made on how to export to EFTA States and what producers should keep in mind when exploring export opportunities.

“It takes some time to enter these markets, but when you are in these markets and deliver good products, then you have a real chance at economic growth. It is difficult to compete for such a small nation like Georgia, but when you diversify with niche markets, there is a real chance of success,” said EFTA expert Roger Hafner.

With a combined population of around 13 million, and a combined GDP of USD 1.2 trillion, the EFTA States are the world’s 9th largest merchandise trader and the 5th largest trader in commercial services, as well as being significant actors in the area of foreign direct investment.

Merchandise trade between the EFTA States and Georgia has grown substantially over the last decade, from $36 million in 2008 to $133 million in 2017, thanks in large part to increased EFTA imports from the Georgian gold mining industry and increased exports of pharmaceuticals and seafood. In 2017, EFTA’s exports to Georgia amounted to $60 million and exports from Georgia to the EFTA States reached $73 million. EFTA’s key exports to Georgia were pharmaceuticals, fish and watches, while EFTA’s imports were dominated by gold, followed by apparel and hazelnuts.

By Shawn Wayne