Osman Chalishkan Mzhavanadze, Chairman of the International Investors Association, participated in the program on diagonal cumulation of Adjara TV program "Main Economy " Print
Wednesday, 02 June 2021 13:07

1. What does the diagonal cumulation agreement mean?

This is an agreement that operates between more than two countries if these countries have a free trade agreement with similar rules of production.

The agreement helps to strengthen economic ties between the two countries.

2. What is the diagonal cumulation agreement?

Enactment of the principle of diagonal cumulation envisages raw materials imported from Turkey

According to the agreement, products made in Georgia on Turkish raw materials will be considered as Georgian products and will be exported to the EU market where they will be presented with the label "Made in Georgia". I would also like to add that the import of raw materials will increase the variety of products produced and companies will be able to move production to Georgia and no longer have to produce in another country.

3. To what types of production will the diagonal cumulation agreement apply?

Most of all, it concerns the import of raw materials needed for textiles, furniture and construction.

4. What raw materials will be imported from Turkey under the cumulation agreement?

Within the framework of this agreement it will be possible to import all kinds of raw materials to Georgia.

5. Who could import these raw materials?  Only Turkish businessmen and Turkish citizens or Georgian businessmen and Georgian citizens?

Both Turkish and Georgian citizens tried to import raw materials, which they thought would restrict the country's investors and establish joint ventures in the future.