Georgia in Free Trade Space

Lali Chagelishvili

The issues of Georgian trade policy are considered in the article. Proceeding from the analysis of international trade and economic relations, the author points out that the promotion strategy of Georgian trade relations should be based on the implementation of alternation and substitution policy.

Based on the cyclic recurrence of the economy, the implementation of the above-mentioned strategy, without changing the ultimate aim and the main strategy, will bring us good results.
From the viewpoint of making profits out of trade, modern forms of both goods and services trade should be purposefully applied in the country’s trade policy. The implementation of this is possible by means of applying marketing administration (marketing management). Based on it there occurs an effective combination of goods and services trade so that each of them should give us a wishful result in conducting of the diversification policy. The economic expediency of free market for Georgia is linked to the share of the export produce, creation of production infrastructure and manufacturing of import substituting produce.
One of the forms of the free market is a free economic area, which is popular enough of late. In the author’s opinion, the creation of a free economic area in Georgia is likely to be considered based on the principle of creation of scientific and technical and scientific and production areas. Such areas are less associated to corruption and shade economy, and there is no danger of existence of ethnic conflicts. They may have an important effect on scientific activity as well as on wide use and stirring up of the national competitive resources. The creation of these areas will be possible only in case if the state will solve corresponding financial problems in a short period of time, and the main thing is that with creation of technologies and technological parks the state will promote and develop such strategic and competitive factor like scientific and technical potential and innovational activities. This will contribute to the development of the national technologies and will provide for economic security of the country and implementation of the multilateral trade policy.