Unlocking Export Potential of Georgia: Strategic Insights for High-Growth Sectors and European Market Expansion

A new report by the ISET Policy Institute provides a comprehensive analysis of Georgia’s fastest-growing export sectors, revealing significant opportunities for small and medium-sized enterprises (SMEs) to increase their export potential to European markets. Supported by the European Union and the United Nations Development Programme (UNDP), the study identifies six key sectors in Georgia that demonstrate strong potential for export diversification and market expansion across Europe.

High-Growth Sectors in Georgia: Key Findings and Export Opportunities

This detailed ISET report blends both quantitative data and qualitative insights from industry stakeholders, highlighting the top six sectors:

• manufacture of beverages,
• transport,
• telecommunications,
• computer and information services, and
• manufacture of wearing apparel.

Each of these sectors is shown to have substantial export competitiveness, growing demand in European markets, and opportunities for sustainable growth despite existing challenges.

Beverage Manufacturing in Georgia: High Export Potential for Wine and Spirits

One of the highest-ranking sectors in Georgia is beverage manufacturing, particularly in the production and export of wine, mineral water, and spirits. Although Georgia’s beverage exports are growing rapidly, the report reveals untapped potential in the European Union market. By enhancing certification processes and building export capacity, Georgia’s beverage industry could significantly increase its presence in Europe, particularly in high-demand niche markets like organic wines and premium spirits.

Digital Economy Growth: Telecommunications, Computer, and Information Services

Georgia’s telecommunications, computer, and information services sector is another high-potential industry. With SMEs contributing 84% of turnover in computer services, the sector plays a vital role in Georgia’s digital economy. Demand for these services is growing across Europe, making this sector a key driver for future export growth. The report suggests targeting European digital markets and strengthening public-private partnerships to further enhance the sector’s international competitiveness.

Strategic Recommendations to Boost Georgia’s Export Competitiveness

The report provides actionable recommendations to further boost Georgia’s export performance. These include improving infrastructure quality, expanding access to financing for SMEs, and encouraging public-private collaboration. To stay competitive in European markets, Georgian SMEs are advised to focus on green technology adoption, niche market targeting, and meeting international quality standards through certification improvements.

Preparing Georgia for Sustainable Export Growth and European Market Integration

With significant export potential across multiple sectors, Georgia is poised to expand its presence in European markets. By investing in strategic policy frameworks and fostering SME growth, the country can accelerate its economic integration with Europe. Georgia’s small and medium-sized enterprises (SMEs) have a crucial role to play in driving sustainable economic growth and export diversification in the coming years.

About ISET Policy Institute

ISET Policy Institute is the leading economic policy think tank in Georgia, specializing in research, training, and policy consultation in the South Caucasus region. The institute focuses on promoting good governance and fostering inclusive economic development.

For more information, visit ISET Policy Institute.

To read more policy briefs published by the ISET Policy Institute, visit the Institute’s page on the FREE Network’s website.

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