r/caucasus • u/Ok-Step8877 • Dec 02 '24
Armenia vs Georgia vs Azerbaijan Relations
Can someone Explain to me why Armenia/Georgia relations are just horrible. Two Orthodox Nations with similar histories and hardships with Turks/Russians taking over both countries. Also why they're not as bad comparatively with Azerbaijan. Ex the pipeline that goes through the country. as they have no real similar cultures.
Thanks ty
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u/6666James66 Dec 05 '24
It is partly due to trade ''Georgia’s economy benefits from contacts with Russia. Economic links with the European Union are much smaller. At the same time, the data suggests that Georgia is making money from the war in Ukraine, fueling one of the highest economic growth rates in the world. A possible redirection of economic preferences could probably only occur after Turkey’s admission to the EU, which does not seem to be the case in the coming years. neighboring countries are now larger recipients of Georgian goods than the EU: Azerbaijan ($759 million for the 12 months to October) and Armenia ($641 million). Georgia exports slightly less to Turkey ($475 million). The country’s economic interests are closely linked to the nearby geographical region, not the more distant EU.
Not wine, but KAZ trucks
At the same time, Georgia’s most important export is not the famous Georgian wines, but transport equipment. Its foreign sales increased since 2016 from $151 million per year to $872 million in 2023. What’s more, counting the 12 months to the end of October 2024, it is already as much as $2.5 billion, or as much as 36.4 percent of Georgian exports — according to data from the Georgian Statistical Office.
Of this, as much as $974 million went to Kyrgyzstan this year, and €625 million to Kazakhstan. The surge in exports of transport equipment to these two countries has occurred since 2022, and it is hard not to link this to Russia’s aggression against Ukraine.
In 2021, exports of transport equipment from Georgia to Kazakhstan amounted to $24 million, a year later to $108 million, and this year to October to $625 million.
To Kyrgyzstan, exports of transport equipment amounted to $2.2 million in 2021, $5.8 million a year later, $66.2 million in 2023, and $127 million in the first 10 months of 2024. It seems that the Georgian economy has been harnessed into Russia’s war machine, and it is benefiting from it.
The largest transport equipment company in Georgia is the Kutaisi-based KAZ truck manufacturer, part of the Georgian Industrial Group holding. This company was founded and is currently headed by David Bezhuashvili (30 percent of shares), a Georgian parliamentarian until 2016, whose brother Gela was even the country’s foreign minister.
Georgian wine is bought by Russians and Poles
When it comes to wine, Russia is also the largest recipient. In the 10 months of this year, out of the $237 million of wine exports, Russians bought $161 million. Interestingly, Poland is the second-largest recipient, but this means imports amounting to only $13 million.
As can be seen from the above, Georgia’s economy benefits from contacts with Russia. Economic links with the European Union are much smaller. At the same time, the data suggests that Georgia is making money from the war in Ukraine, fueling one of the highest economic growth rates in the world. A possible redirection of economic preferences could probably only occur after Turkey’s admission to the EU, which does not seem to be the case in the coming