Re-Export and Local Export: What Did January’s Data Show?

As a transit country, Georgia plays a significant role in regional trade, which is also reflected in its export figures. Re-export refers to the process of exporting goods that were previously imported without undergoing substantial processing. This boosts trade volumes and brings logistical benefits, but it does not reflect the development of Georgia’s domestic production. As a result, almost half—46%—of total exports consist of re-exported goods, which can sometimes create a misleading impression that the country is more export-oriented than it actually is.

According to January’s data, local export—meaning goods produced or substantially processed in Georgia—amounted to 186 million USD, a 12% increase compared to January of the previous year (source: Geostat). This figure represents only one month and is influenced by seasonal factors, but it still provides an interesting snapshot of trade dynamics.

The main destinations for local exports indicate which countries are genuinely interested in Georgian products, unlike re-export data, which mostly reflects transit trade. In January 2025, the largest export partners were Russia, Turkey, and China. However, exports to Russia and Turkey declined, while Bulgaria, Armenia, and Italy saw significant increases in Georgian exports. These shifts suggest that Georgian products are experiencing different trends in various markets.

The most in-demand export products in January were copper ores, mineral and spring waters, and wine. Mineral water exports increased by 47%, while wine exports fell by 29%. Additionally, there was a notable rise in the export of nitrogen fertilizers and unrefined gold, likely due to price and demand fluctuations in international markets.

An analysis of January’s data shows that Georgia’s local export continues to grow, but it still relies heavily on raw materials and food products. For long-term economic sustainability, it is crucial to diversify exports and increase the share of high-value-added products, which would make the country’s economy more stable and competitive.