Georgia seeks operators for port and industrial zone
Georgia has invited foreign companies to submit expressions of interest in a concession to manage and operate its Black Sea port of Poti.
Foreign companies have also been invited to bid for the 49-year exclusive rights to develop and run an adjacent ‘free industrial zone’.
“We are going to not only set up a zone, where trade will be flourishing, but we aim to create a place where new companies will produce goods that will be shipped abroad through Poti port,” said Economy Ministry Advisor Irina Abulashvili.
Poti handled 7 million tonnes of dry cargo transshipment in 2006, which was a 9.1% increase in volume from 2005.
Abulashvili said that Poti had the potential to develop to handle up to 25 million metric tonnes (mt) of cargo shipments per year.
Rapidly growing cargo turnover between European and central Asian countries would be the key factor in accelerating such a growth for the port.
An industry player said that Poti had a good chance of becoming a transshipment hub for regional economies, but an influx of investment was needed.
The development of an industrial zone for export trade would go a long way in helping raise the port's profile, he added.
Meanwhile, Georgia's government has passed new legislation which will allow enterprises set up in the zone to be free from profit and property taxes.
Additionally, there are new laws designed to keep bureaucratic procedures to the minimum.
The last date for submissions of expressions of interest is September 14.