external trade of georgia

Short describing methodology
External trade statistics data are collected according to recommendations of United Nations Statistics
Department “International Merchandise Trade Statistics” (United Nations, New York, 2004).
For External Trade Georgia uses the “general method”, which means that crossing a border of
the economic territory of the country is the main criterion for determining exports and imports.
Export implies both the export of domestic production and the reexport of imported goods.
Import implies importing of the production and reimport of imported goods.
Export is valued at FOB prices, are used to value export i.e. prices at the border of the exporting
country (this term means that the seller’s obligation to deliver is fulfilled when the goods have passed
over the ship’s rail at the named port of shipment), while import is valued at CIF prices, that is, transportation
costs to the border of the importing country included in the prices as well as insurance
costs.
There are following criteria to determine the partner country: for imports the country of origin or
the sending country, while for exports the country of destination.
Database of Customs Declarations (DBCD) is the main information source on external trade
transactions. National Statitics office (NSO) receives DBCD monthly from Revenue Service of Ministry
of Finance of Georgia. Information on external trade by motor cars is provided additionally by
the Service Agency of the Ministry of Internal Affairs, on gas and electric power is obtained from
corresponding sources, to complete the data.
Based on obtained information, NSO carries out the following activities:
- Checks DBCD – commodity codes, prices, weights, dates of customs declarations, country
codes for origin/destination, non-existent codes of country and commodity;
- Controls the limits on prices main commodities and adjusts quantities or prices or supplementary
unit;
- Removes from the database commodities which according to internationally approved methodology
should not be classified as external trade in goods (securities, bank notes and coins in circulation;
diplomatic and other analogous goods).
“Commodity Nomenclature for External Economic Activities” founded on the Harmonized
Commodity Coding and Description System, is used during the registration of the border crossing
transactions.
The value indicators are given in USD. The calculation of the statistical value in USD is carried
out by customs services during the registration of Customs Declarations according to the official exchange
rate established by the Interbank Monetary Exchange at the moment of the registration.
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