Georgia benefits from car re-export

In recent times Georgia has been increasing its level of exports from the country. The government is very positive about the increase whereas skeptics challenge this position highlighting that among the export items there is a high level of car re-exports, which are not prduced in Georgia. Nevertheless this industry still employs more than 15 000 people in Georgia. The cars come into Georgia from Europe, USA and Japan. Some of them are new but most are second hand and they are further re exported to Armenia, Azerbaijan and central Asian countries. Some time ago Georgia’s main item for export was scrap metal but it has limits because everything that could possibly be dismantled, was dismantled, cut into pieces and sent abroad as scrap metal. The re-export of cars is strictly speaking a part of foreign trade. This type of business is practiced throughout the world and due to its location Georgia has a great chance to excel in this sector.