New pacts with EU set to make Georgia a business hub: envoy

By Salman Siddiqui/Staff Reporter

So far, trade is limited to individual transactions between Qatar and Georgia. However, the ambassador said that Qatari companies have undertaken a number of feasibility studies in Georgia, notably in agriculture, real-estate, logistics and health sectors. “We expect this to be reflected in terms of trade figures,” she said.

Recently, a high-level business delegation from Qatar was in Georgia. The visit came in the wake of the visit to Qatar of the Georgian minister of foreign affairs, who was accompanied by the minister of agriculture.

The Georgian-Qatari business forum took place in Tbilisi last April.

“During the visit, Qatari businesspeople met with their Georgian counterparts as well as with government officials. I think they got a fairly good understanding of business opportunities and the legal and administrative environment. They have expressed interest in banking, agriculture, real-estate, tourism, and infrastructure. So we hope that we will see outcomes soon,” she said.

In addition, the ambassador said that the upcoming association agreement and deep and comprehensive free trade agreement with the EU, which would be signed in June, were expected to turn Georgia into a hub for business with the EU.

“This will boost manufacturing, trade, and logistics. So Georgia will be an interesting base for Qatari and other GCC-based companies that want to increase their business presence in the EU, given that so far there is no free trade agreement between the EU and the GCC,” she added.

She said a number of sectors Qataris have shown interest in are ‘very promising’. “They align business opportunities with development needs of the country. We hope that some durable pilot projects can be initiated.”

The ambassador said Georgia would like to see further investments along the value chain. “For an agricultural investment (like animal husbandry), we would like to see food processing, storage facilities, slaughterhouses among others. This will empower the foreign investor in Georgia further, in particular those that have technical expertise. Agriculture as a whole has a huge potential.”

Also, Georgia is geographically close to the GCC as a whole. “Turkish products are marketed successfully and are everywhere on supermarket shelves in Qatar. This experience should just be extended to neighbouring Georgia. And again, the fact that Qatar Airways flies to Georgia should make exports of value added produce an easy thing,” Meiering-Mikadze said.

In the health sector, she said there was a list of formerly state-run health institutions ready for privatisation. They include some of the most prestigious resorts and spas.

In the energy sector, she said Georgia has thousands of little rivers that can all be used to generate hydroelectricity. “Contrary to what many people think, power plants are not only for the big players but also good investments for medium-sized companies. And the electricity market in the region keeps expanding,” she added.

Similarly, she said, the countries of the Caspian Sea want alternative export routes for their gas. “Georgia is the natural corridor for this. Oil and gas pipelines already exist. We think it is very interesting to diversify transit ways further by building an LNG terminal on Georgia’s Black Sea coast.”