BAKU, Azerbaijan, August 23
Tamilla Mammadova – Trend:
Georgian business expenses have grown significantly mainly due to a surge in raw material prices imported from China, Trend reports via Georgian media.
According to Irakli Iashvili, Director General of the transport company "East Gate", this is one of the main challenges for business in the post-pandemic period, since COVID-19 has turned the world upside-down.
“During the year, import prices from China have significantly surged by 500-600 percent. If before the coronavirus pandemic cost of shipping of one container was $3,000, now it increased to $14,000. The problem is to find containers as during the pandemic their production significantly reduced that forced the shipping companies to cut their capacity. Later the economy started recovering sharply, demand for transportation increased but the global freight transportation system cannot yet return to a pre-pandemic volume. All this cratered an acute shortage of containers and an increase in prices for services,” he explains.
GreenPack company produces a wide range of packaging materials also talks about a significant rise in import prices for raw materials causing price hikes for local products.
The company carried out imports mainly from China, now import prices surged by 900 percent, in order not to avoid bankruptcy, GreenPack is set to start imports from other countries.
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