Feasibility Study on FTA between Georgia and India Accomplished
12-01-2019

On January 11, 2019, a summarizing meeting of Georgia-India joint research group for conducting the feasibility study of the free trade agreement was held at the Ministry of Economy and Sustainable Development of Georgia. Deputy Minister of Economy and Sustainable Development of Georgia, Genadi Arveladze and Bidyut Bihari Swain, Additional Secretary of the Department of Commerce of the Government of India and the Head of the Indian Delegation co-chaired the meeting.

Within the framework of the meeting, a relevant document completion of the survey was signed as well. The study illustrated that the Free Trade Agreement between India and the Republic of Georgia will positively affect the economic prosperity of the countries and the bilateral trade in terms of trade of goods and services as well as the investments in the field of trade, which, in turn, will facilitate the creating of new opportunities for business.

According to Genadi Arveladze, the Deputy Minister of Economy and Sustainable Development, the free trade agreement between the two countries is actually implementable and will be mutually beneficial. Such a conclusion is based on the study results regarding the trade of goods, trade of services and investment opportunities. At the same time, the research provides recommendations for establishment of a joint interstate committee on negotiation on the Free Trade Agreement.

Bidyut Bihari Swain, the Head of the official delegation of the Republic of India, stated the following: “We will compare the results of the study and after Indian and Georgian Governments will approve it, we will start working on a free trade agreement soon.”

Consequently, Georgian and Indian delegations, based on the conclusions and recommendations of the study, agreed on the accomplishment of the all the inner procedures required for launching the negotiation on the FTA between the countries in shortest terms.

According to the results of the study, prospects of export growth from Georgia to India covered such products as ores, slag, metallurgical products, medical products, wine and other alcoholic and non-alcoholic beverages, processed agricultural products, etc. Export products from India that are expected to be increased in volume include ores, mineral fuels, plastic products, electrical equipment, etc.

According to the feasibility study, mutually beneficial for trade files include business and professional services, telecommunications, computers, tourism, audio-visual products and services, etc.

In addition, the study highlights the sectors that have potential to be interesting for Indian investors and these sectors include farming, pharmaceuticals, metallurgy, information technologies, tourism, education and healthcare, audio-visual services, energy and environment, etc. Georgia’s potential investment areas in India are such sectors as tourism, education and wine making.


 


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