Tariff and non-tariff regulation of Georgia's foreign trade
Tariff and non-tariff regulation of Georgia's foreign trade
Georgia has one of the most liberal and competitive trade regimes in the world. Since September 1, 2006, the number of import tariffs in the country has been reduced from 16 to three: 0%, 5%, and 12%. These rates apply to imports of approximately 85% of products.
In accordance with Georgian legislation, exports and re-exports from Georgia are exempt from customs duties. Since September 1, 1997, the country's government has applied VAT based on the destination principle.
A free trade regime is in effect between the Republic of Belarus and Georgia (The Republic of Belarus and Georgia, through an exchange of notes between the Ministries of Foreign Affairs of Belarus and Georgia, agreed to apply the Agreement on the Establishment of a Free Trade Area of April 15, 1994, to mutual trade after Georgia's withdrawal from the CIS).
In Georgia, non-tariff restrictions (quotas, licenses, permits) are rarely used to regulate foreign trade, except when products relate to healthcare, safety, or environmental protection.
Import, transit, or re-export authorizations are required for the following goods:
goods subject to phytosanitary and veterinary control – issued by the National Food Agency of Georgia under the Ministry of Environment Protection and Agriculture of Georgia;
electronic surveillance equipment – Ministry of Internal Affairs of Georgia;
restricted goods – Ministry of Environment Protection and Agriculture of Georgia;
nuclear and radioactive materials, waste, minerals – Ministry of Energy;
weapons and ammunition – Ministry of Defense of Georgia;
dual-use goods – Georgia Revenue Service under the Ministry of Finance of Georgia;
Medicines and pharmaceutical products subject to special control – Ministry of Georgia for the Affairs of Internally Displaced Persons from Occupied Territories, Labor, Health Care, and Social Protection;Import of iodized salt – Ministry of Environment Protection and Agriculture of Georgia.
