Georgia-made products that include Turkish raw inputs will be exported to the EU under the Free Trade Agreement as diagonal cumulation, signed between Georgia, EU and Turkey on March 20, 2018 is entering into force ‘in the nearest future’, announces the Ministry of Economy of Georgia.
Diagonal cumulation will fully be activated after this information is published in the official journal of the European Commission on the basis of the notification from Georgia and Turkey“, says the ministry.
The ministry reports that diagonal cumulation will support the further development of the following sectors in Georgia: textile, manufacture of furniture, construction products, plastic products, steel products and paper and cardboard.
In general, the introduction of diagonal cumulation will increase the range of produce that can be exported to the EU, as well as it will encourage investments from Turkey in the Georgian economy, will help to establish joint companies and create new jobs”, said Georgian Economy Minister Natia Turnava.
Diagonal cumulation will not apply to agricultural produce, as the customs union between the EU and Turkey does not cover agricultural produce.