Georgia’s bilateral trade with Russia increased 35.4% in the first five months of 2014, compared to the same period of last year, mostly due to 3.5-fold increase in Georgian exports, according to the figures released by Geostat on Tuesday.

With turnover of USD 303.6 million Russia is Georgia’s fourth largest trading partner after Turkey, Azerbaijan and China in January-May, 2014. In the first quarter of 2014 Russia was the third largest trading partner, but 21.7% y/y increase in imports from China in the first five months placed the latter as Georgia’s third largest trading partner with USD 308.7 million.

While imports from Russia increased only by 1% in Jan.-May, Georgia’s exports grew from USD 30.9 million in the first five months of 2013 to USD 108.38 million in the same period of this year. The increase is mostly due to exports of Georgian wines and mineral waters to Russia, which was banned by Russia up until late spring, 2013.

Value of Georgian wines exported in Jan.-May, 2014 stood at USD 70 million, 2.6-fold increase over the same period of last year, according to Geostat.

Share of Russian market in exported Georgian wine in Jan.-May, 2014 accounted for 68%, according to the Georgian National Wine Agency (NWA). Russia was followed by Ukraine, Kazakhstan, Poland, Latvia, China, Belarus, Estonia and Azerbaijan, according to (NWA).

Export of Georgian mineral waters almost doubled to USD 60.2 million in Jan.-May, 2014, compared to the same period of last year.

Georgian exports to CIS-member countries stood at USD 627.6 million of which Azerbaijan, Armenia and Russia were Georgia’s largest exporting markets with USD 240.4 million, USD 129.7 million and USD 108.3 million, respectively.

Georgian exports to the European Union with whom Tbilisi will sign the Association Agreement, including Deep and Comprehensive Free Trade Area (DCFTA), on June 27, stood at USD 253 million in Jan.-May 2014, a 58% year-on-year increase, according to Geostat. 

Georgia’s overall foreign trade increased 16% year-to-year in the first five months of 2014 to USD 4.49 billion; total exports rose by 17% y/y to USD 1.17 billion and imports increased by 15% y/y to USD 3.32 billion, according to Geostat.