Georgia turns eyes to USA market
16 September, 2010
Georgia turns eyes to USA market

To promote new trade and investment relations between the US and Georgian Companies the second US-Georgia Business Summit was held in Tbilisi, Georgia on September 8-9, 2010  under the initiative of US Department of Commerce. Tourism, franchising and agriculture were the focus sectors for the business summit.

Having lost Russian market in 2006 Georgia turns  eyes toward the over-ocean US market, one of the biggest market worldwide, to compensate the lost. The market is far and sets out  strong st

andards and regulations, but Georgian government thinks it is  much easier to access compared to the European one for American consumer is less conservative [than its  European peer] and open to new brands and products.
“The US market is enticing because it is huge and irrespective drop in expenditures  caused by financial crisis demand is still very high at US market,” Giorgi Pertaia,  Georgian Prime Minister Aide on Business Affairs, explained to Georgian Journal.
On the other hand US is interested to invest in Georgia once considers this country to be  its strategic partner in the region and tries to help Georgia to develop from economic and democratic points of view. US government held the first US-Georgian business summit in fall of 2008 in the wake of the August war with Russia so as to support the country to keep trust of oversea investors.
The second US-Georgia business summit held on 8-9 September of 2010 in Tbilisi aimed to deepen trade and investment relationship between Georgian and US companies against the backdrop of the underway global financial crisis.
“We consider Georgia as our important strategic partner and ally,” said Juan Verde, Deputy Assistant Secretary for Europe and Eurasia at the US Department of Commerce, visiting Georgia to host the summit. “US government supports Georgian democracy and economic development. We try to increase trust of investors toward Georgia.”


He believes Georgian economy is really becoming more liberal and barriers are reduced.
The Business Summit summoning about 150 American and Georgian businesses together featured panels on the US government resources, opportunities for commercial cooperation in Georgia, international support for business development, and best prospects for cooperation, including franchising and tourism.
Representatives of Georgian government and private sector, the US Embassy Georgia, representatives the US Department of Commerce, US Export-Import Bank, US Overseas Private Investment Corporation (OPIC), USAID Georgia, and multilateral development banks were among attendants.
Summit attendees were provided opportunities to have one-on-one meetings with select Summit speakers. The American Chamber of Commerce in Georgia managed a Trade Mission, certified by the US Department of Commerce, for US companies interested in the Georgian market.

According to Irakli Matkava, Director of Georgian National Investment Agency at the Ministry of Economic Development of Georgia, the summit is of great importance to Georgia since the US is the country that can play important role to boost investments to Georgia.
“When there are some success stories [of American-based investments in Georgia] in the past it means that the [investment] potential of the country is big and to deepen this potential it is important to work to inform the US. The US is far and it is not easy to send information there. So this kind of meeting works on this end. Specifically the thing that it is held under initiative of US Commerce Department and  participation  adds more trust to the event,” Matkava Told Georgian Journal.
Moreover the presence of the US Export-Import Bank and OPIC at the US-Georgia business summit is additional lure, Matkava accentuated.
“When they speak of investment and trade financing opportunities [in Georgia] today against the backdrop of global financial crisis when everybody seeks for access to financing sources it can significantly boost planning and implementation of concrete projects between US and Georgian businessmen,” He elaborated.

Potential priority investment sectors are tourism, agriculture, energy, logistics, and production. The follow up business summit was held on September 13, 2010 in San Francisco. Georgian government plans to continue this kind of meeting till the US market potential is not used as much as possible from investment point of view.

According to Pertaia, the ideal project of US-Georgia business relationship is attraction American investors to Georgia with their direct investments so as to establish and develop a high tech-based business here that in close partnership with local business will increase competitive power of Georgian product and boost export ultimately.
Pertaia believes that distance and strong market regulations is no problem for Georgian business to hit US market if they find their niche there. Modern logistic technologies make US market as accessible as for example neighboring Turkey to Georgia. Expenses related with hitting Turkey and US market may be just cents, Pertaia assures due to huge volumes of product that can be exported to US. But to hit this market Georgian business can either via finding their niche there or by creation a demand for product. Anyway they have to research the market to figure out what’s to what.

“Usually we speak of wine and mineral water as of traditional Georgian export product but nobody researched the US market and nobody thinks of producing the product that is in demand in US,” Pertaia said adding that this kind of research is quite expensive and since underdeveloped Georgian business cannot afford such a luxury they have to unite under one umbrella and hit the US market via joint effort. 
“The state can raise awareness via participation at many forums abroad and to advertise Georgian product and market generally, but the remainder is up to business to do it, state is no obliged to find a partner to concrete business. Business should be always in quest of new markets,” Pertaia said. “The US is interested in Georgia specifically after statements of Donald Trump that he intends to invest in Georgia. He outlines business trends in the US and knows where get the money.”

Other Stories
Doing business in Georgia has become easier than in America
According to the Doing Business 2019 report published by the World Bank, Georgia ranked 6th among 190 countries in terms of simplicity of doing business. This was an improvement over two ranks compared to last year.
Innovative and reliable online shop in Georgia -
Status of Georgia as a business and tourism interesting country is growing from year to year.
Tbilisi TV Broadcasting Tower – Better than the Eiffel Tower?
It is planned to renovate the Tbilisi TV Broadcasting Tower, one of the landmarks in the capital.
Georgian Fusion Menu by The Biltmore Hotel Tbilisi
5,895,914 international visitors have visited Georgia between January and August of 2018. Compared to the previous year the number has increased by 12.2 per cent.
Advertising of gambling and lucrative games may become banned in Georgia
Advertising of gambling and lucrative games may become banned in Georgia. Those who violate the new rule would be fined GEL 10 000.
Lebanese café-lounge Beirut opens in Tbilisi
What is necessary to organize an unforgettable event? – Fun, emotions, lots of surprises, good music and delicious menu.
Georgia second among the fastest growing tourist destinations in Europe
Georgia is among the fastest growing tourist destinations in Europe. The data is published by the UN World Tourism Organization.
Bitmain launches world digital mining summit in Tbilisi, Georgia
Bitmain CEO Jihan Wu and Roger Ver, CEO of Head Speaker List featuring Circle, and Genesis Mining when Digital Mining Leaders Convene In Tbilisi on September 21-23
TBC Bank and Gazelle Finance have teamed-up to support Medical City, a leading healthcare provider in the western region of Georgia to launch the Western Regional Center Of Modern Medical Technologies.
Equivalent to buried treasure – resources that are underused in Georgia
For 2018 the IMF Commission has forecast an annual economic growth for the Georgian economy of about 5,5%.
Does the quality of Georgian wine increase and how the export affects it
If we look at the data collected about modern Georgian wine, we will find out that the Georgian wines produced between 2015-2017 are much better in terms of their quality and Oenologic features rather than the wines produced between 2009-2011.
Japan simplifies the visa requirements for Georgian citizens
Diplomatic and economic relations between Georgia and Japan are now moving to a new phase. Recently Japan has decided to simplify the visa requirements for Georgian citizens.
M&S (Marks and Spencer) and H&M collections to be produced in Georgia
Garments manufacturer MGMTEX will start production of the M&S and H&M trendy collections from this September.
The World Digital Mining Summit to be held in Georgia
The summit is scheduled to take place between 21st-23rd September in the Hualing Hotel, Tbilisi, Georgia.
Galt and Taggart - Tourism Boom Continues in Georgia
Tourism has become one of the key drivers for the Georgian economy. Galt and Taggart has recently published research about the Georgian tourism sector in the first half of 2018.
"The worst dream for Putin is that Russians want to live in Georgia"
This year, visitors to the Adjara region would notice that there is a boom in construction in and around Batumi.
Underground gas storage facility to be built in Georgia
KfW, a German government-owned development bank signed a EUR 150 million promotional loan with the state-owned Georgian Oil and Gas Corporation (GOGC) for the construction of the first underground gas storage facility in Georgia.
New gambling rules for Georgia
Georgian lawmakers are preparing a new draft law relating to online-casinos and gambling that will seek to curb gambling addiction in Georgia.
How expensive is it to visit Georgia?
The Georgian Lari (GEL) is the official currency of Georgia and is the only legal means of payment in the entire territory of Georgia.
Trade with the EU and the Commonwealth of Independent States (CIS) has grown significantly
Trade with the EU and the CIS has grown by 26% and 33.5 % respectively, says GeoStat, the Georgian National Statistics Office.
The unemployment rate decreases in Georgia
The unemployment rate decreased in Georgia by 1,9% and amounted to 12.1% in the 2nd quarter of 2018 compared with the previous quarter,
Memorandum of Understanding to be signed between Georgia and Malaysia
According to the Georgian Ambassador to Malaysia Nikoloz Apkhazava, Georgia plans to sign a Memorandum of Understanding (MoU) with Malaysia.
“Blauenstein Georgia” due to expand in Georgia
“Blauenstein Georgia” is planning to open more shops in Georgia. It is an agriculture company that sells meat products, meat and convenience food.
The amount of Direct Foreign Investment rises in Georgia
According to the information of the National Statistics Office of Georgia, the amount of direct foreign investment in Georgia has risen
It’s going to get  harder for foreigners to get residence permit in Georgia
It’s going to get harder for foreigners to get permit of residence in Georgia.
Exchange Rates
GEL Exchange Rate
Other Stories
Recently Toyota rolled out Global Campaign under this slogan that reflects the Olympic and Paralympic Spirit of Encouragement,
A couple from Switzerland combines Swiss tradition and technology with Georgian products. Their cheese is made in the Georgian mountains and sold in local stores and hotels.
It has been more than five years since the residents of Lilo village, near Tbilisi, cannot open their windows.
63 000 GEL was received by the Georgian Agro Export Group which is just a small part of the European Neighbourhood Programme for Agricultural and Rural development.
Georgian entrepreneur Guka Tavberidze, who runs his own business in the UK and does it quite well, has been invited by BBC
The grand opening of 7-star The Biltmore Hotel Tbilisi took place in Georgia’s capital on July 31.
DUSHETI, Georgia – The Georgian government and the World Bank will allocate USD 5.6 million (12 million GEL) to fund
A new Georgian clothing brand named Person has emerged in Georgian market.
Georgia is in the midst of an economic maelstrom, Euronews reports.
Situation at Georgia’s mineral water market is interesting: over the last year, the volume of export has grown by 56 percent. According to “GeoStat”, over $114 million worth of mineral water was sold
GEL Exchange
November 2018
Mon Tue Wed Thu Fri Sat Sun
1 2 3 4
5 6 7 8 9 10 11
12 13 14 15 16 17 18
19 20 21 22 23 24 25
26 27 28 29 30