WORLD TRADE
ORGANIZATIONWT/REG121/4
10 February 2003
(03-0847)
Committee on Regional Trade Agreements Original:  English
FREE TRADE AGREEMENT BETWEEN GEORGIA AND UKRAINE
Questions and Replies
This document reproduces questions addressed to Georgia and the responses submitted.  The
questions and replies set out below are organi zed in accordance with document WT/REG121/3.
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I. BACKGROUND INFORMATION ON THE AGREEMENT
3. Scope
The text of some of the agreements refer to services, capital and labour.  Can Georgia
clarify what is meant by the word "services" in these agreements?  Does any of them cover
services? If so, have they been notifi ed to the Council for Trade in Services?
The FTA between Georgia and Kyrgyz Republic was designed to be quite general in scope,
the Articles of the Agreement do not make any reference to service, movement of capital and labor
itself.  Virtually the mentioned Agreement covers only trade in goods.  At the same time the draft of
the "Agreement between CIS countries on liberalizatio n of trade in services" is in the process of
consideration.
4. Trade Data
We note that trade data had been provided only with respect to imports into Georgia,
but were missing for the other Parties to the Agreements, which are not WTO Members.  It
would be appreciated if data could still be provided for the other Parties.  If that is not possible,
please provide export data from Georgia into th ose various countries, in the same format as the
data provided concerning imports.
Concerning the additional export trade data, please see below.
Georgia- Ukraine Trade turnover
(in million US$)
Year Turnover Export Import Balance
1996 44,2 5,4 38,8 -33,4
1997 64,0 8,4 55,6 -47,2
1998 39,6 8,4 31,2 -22,8
1999 38,0 10,9 27,1 -16,2
2000 46,4 11,0 35,4 -24,4
2001 61,2 11,7 49,5 -37,8WT/REG121/4
Page 2
Georgia- Exports to Ukraine
(in million US$)
HS Code Product description 1996 1997 1998 1999 2000 2001
0805 Citrus fruit, fresh or dried. 1,7 1,8 2,8 1,1 1,7 1,2
0902 Tea, whether or not flavoured. 0,5 0,3 0,3 0,9 0,6 0,5
0910 Ginger, saffron, turmeric,
(curcuma),0,2 0,5 0,5 0,2 0,4 0,3
thyme, bay leaves, curry and other
spices.
2201 Waters, including natural or
artificial0,3 1,0 0,3 0,2 0,8 1,0
mineral waters and aerated waters,
not
containing added sugar or other
sweetening matter nor flavoured; iceand
snow.
2204 Wine of fresh grapes, including
fortified0,1 1,0 0,8 1,5 2,9 3,7
wines; grape must other than that of
heading No. 20.09.
2208 Undenatured ethyl alcohol of an - - 0,9 0,6 - 0,1
alcoholic strength by volume of less
than
80 % vol.; spirits, liqueurs and other
spirituous beverages.
2602 Manganese ores and concentrates, - - - - 1,6 1,1
including ferruginous manganeseores
and concentrates with a manganese
content of 20 % or more, calculatedon
the dry weight.
3004 Medicaments (excluding goods of 0,1 0,3 0,1 0,05 0,7 -
heading No. 30.02, 30.05 or 30.06)
consisting of mixed or unmixed
products for therapeutic or
prophylactic uses, put up in
measured doses or in forms or
packings for retail sale.
7202 Ferro-alloys. - - 0,3 1,5 - 0,02
8428 Other lifting, handling, loading - or - 0,3 0,2 - 0,02 -
unloading machinery (for example,
lifts,
escalators, conveyors, teleferics).
8443 Printing machinery, including ink-
jet----- 1 , 0
printing machines, other than those
of
heading No. 84.71; machines foruses
ancillary to printing.
8479 Machines and mechanical
appliances----- 0 , 3
having individual functions, not
specified or included elsewhere in
thisWT/REG121/4
Page 3
HS Code Product description 1996 1997 1998 1999 2000 2001
Chapter.
8501 Electric motors and generators 0,1 0,3 - - 0,03 -
(excluding generating sets).
8601 Rail locomotives powered from an - - - - - 0,3
external source of electricity or by
electric accumulators.
8802 Other aircraft (for example,
helicopters,---- 0 , 7 0 , 2
airplanes); spacecraft (including
satellites) and suborbital and
spacecraft
launch vehicles.
9306 Bombs, grenades, torpedoes, mines, - - - 2,8 0,4 0,02
missiles and similar munitions ofwar
and parts thereof, cartridges and
other
ammunition and projectiles and
parts
thereof, including shot and cartridge
wads.
Total 5,4 8,4 8,4 10,9 11,0 11,7
Georgia- Imports from Ukraine
(in million US$)
HS Code Product description 1996 1997 1998 1999 2000 2001
0303 Fish, frozen, excluding fish
fillets and1,0 1,8 0,4 0,03 0,3 0,1
other fish meat of heading No.
03.04.
0405 Butter and other fats and oils
derived0,7 1,0 0,7 0,05 0,1 0,4
from milk; dairy spreads.
1001 Wheat and meslin. 3,4 0,7 0,9 6,5 4,8 2,2
1101 Wheat or meslin flour. 1,7 1,3 0,3 0,5 0,1 0,1
1701 Cane or beet sugar and
chemically14,1 13,8 0,6 0,2 - -
pure sucrose, in solid form.
2207 Undenatured ethyl alcohol of an - 4,3 1,0 1,9 1,3 1,6
alcoholic strength by volume of
80 %
vol. or higher; ethyl alcohol andother
spirits, denatured. of anystrength.
2402 Cigars, cheroots, cigarillos and - - - 3,0 3,7 6,8
cigarettes, of tobacco or oftobacco
substitutes.
2501 Salt (including table salt and 1,4 1,3 0,9 0,2 0,6 1,5
denatured salt) and pure sodium
chloride, whether or not in
aqueous
solution or containing added anti-WT/REG121/4
Page 4
HS Code Product description 1996 1997 1998 1999 2000 2001
caking or free-flowing agents; sea
water.
2704 Coke and semi-coke of coal, of
lignite0,2 1,1 1,6 1,9 1,1 1,9
or of peat, whether or not
agglomerated; retort carbon.
3004 Medicaments (excluding goods of 3,5 5,5 3,4 2,5 2,2 2,1
heading No. 30.02, 30.05 or 30.06)
consisting of mixed or unmixed
products for therapeutic or
prophylactic uses, put up in
measured
doses or in forms or packing for
retail
sale.
4011 New pneumatic tyres, of rubber. 0,2 2,0 0,7 0,1 0,2 0,6
6810 Articles of cement, of concrete or
of0,7 0,2 1,0 0,3 0,4 0,1
artificial stone, whether or not
reinforced.
6902 Refractory bricks, blocks, tiles and 0,3 1,4 0,2 0,2 0,4 0,5
similar refractory ceramic
constructional goods, other than
those
of siliceous fossil meals or similar
siliceous earth's.
7207 Semi-finished products of iron or 0,1 1,5 0,7 - - -
non-alloy steel.
7208 Flat-rolled products of iron or non- 0,5 1,2 0,3 0,4 0,2 0,55
alloy steel, of a width of 600 mm
or
more, hot-rolled, not clad, plated
or
coated.
7214 Other bars and rods of iron or non- 0,7 0,8 0,9 2,6 3,9
alloy steel, not further worked than
forged, hot-rolled, hot-drawn or
hot-
extruded, but including those
twisted
after rolling.
7228 Other bars and rods of other alloy - 0,4 0,9 0,3 0,3 0,5
steel; angles, shapes and sections,
of
other alloy steel; hollow drill bars
and rods, of alloy or non-alloysteel.
7302 Railway or tramway track 1,0 1,3 3,6 0,2 0,3 0,5
construction material of iron orsteel,
the following : rails, check-railsand
rack rails, switch blades, crossing
fiogs, point rods and othercrossing
pieces, sleepers (cross-ties), fish-
plates, chairs, chair wedges, soleWT/REG121/4
Page 5
HS Code Product description 1996 1997 1998 1999 2000 2001
plates
8111 Manganese and articles thereof, - 1,4 - - - -
including waste and scrap.
8406 Steam turbines and other vapor - - 1,6 0,005 - -
turbines.
8411 Turbo-jets, turbo-propellers and
other----- 8 , 8
gas turbines.
8504 Electrical transformers, static 1,1 1,0 - 0.005 0,005 0,03
converters (for example,
rectifiers)
and inductors.
8606 Railway or tramway goods vans
and- - - 1,0 4,5 1,5
wagons, not self-propelled.
8802 Other aircraft (for example, - - - - 0,7 0,001
helicopters, airplanes); spacecraft
(including satellites) and
suborbital
and spacecraft launch vehicles.
Total 38,8 55,6 31,2 27,1 35,4 49,5
II. TRADE PROVISIONS
1. Import Restrictions
We note that Protocols of exemptions apply only to the Georgia-Russian Federation and
Georgia-Kazakhstan FTAs.  However, we also no te that the data provided for the FTA between
Georgia and Ukraine also points to some trade not being covered by the Agreement.   Please
explain why some products are apparently excluded and provide a description of thoseproducts.
According to the existing Rules of Origin, in the context of Free Trade Agreement non-
residents are taxed by applied MFN duty. In case of trade between Parties to Agreement which is
conducted by the residence of third countries, the product delivered by the mentioned residence aretaxed by MFN duty, but in statistics the figures pointed the trade data between this two countries.
3. Rules of Origin
We note that the description of the rules of origin in the FTA between Georgia and
Ukraine is different from that provided for the FTA between Georgia and the Russian
Federation.  Are differences still in place, or h ave the rules of origin criteria been harmonized?
Does the CIS harmonized system provides for some sort of cumulation of origin scheme?
The detailed Rules of Origin are contained in a separate document (see Attachment 2 to
document WT/REG118/4).
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