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South Caucasus News

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Analysis: ‘Georgia will profit from transit, Russia will bypass sanctions, while Abkhazia will get only scraps’ – JAMnews


Analysis: ‘Georgia will profit from transit, Russia will bypass sanctions, while Abkhazia will get only scraps’  JAMnews

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South Caucasus News

Analysis: ‘Georgia will profit from transit, Russia will bypass sanctions, while Abkhazia will get only scraps’


Benefits of transit terminal in Abkhazia

In Abkhazia, debates continue over what benefit the republic will gain from the new transit terminal intended for transporting goods from Georgia to Russia. Most media agree that Abkhazia will receive little more than “scraps” from the project.

The opposition Telegram channel, Abkhaz Analytical Center, provides a detailed forecast of who will profit from the transit—and how—though it remains unclear how the route will operate given the unresolved Georgian–Abkhaz conflict.

What does the Abkhaz Analytical Center say?

“The new terminal is intended to help Russia bypass sanctions. Consequently, Georgia plays a key role in this scheme, acting as a participant in the deal.

Let’s consider an example of a possible trade operation: a sanctioned product that needs to be transported from China to Russia.

Step 1. China → Georgia

Who is the importer?

Georgia. Not Russia. Not Abkhazia. Not ‘third countries.’

A Georgian company purchases the goods, processes the documentation, and pays duties and VAT.

The goods become Georgian.

The Georgian state earns the profit.

Step 2. Georgia → Russia

Who is the exporter?

Georgia.

A Georgian company sells the goods to a Russian firm, handles the export, earns profit, generates turnover, and pays taxes.

The Georgian state benefits again.

This is key: Georgia is not just a transit corridor but a full participant in the deal. It buys first, then sells—the essence of sanctions bypassing.

Goods passing through Abkhazia are already Georgian products, purchased, sold, and profited from by Georgia.

Abkhazia’s role is simply that of a route.

Step 3. Transit through Abkhazia

Abkhazia does not import or export, does not collect taxes or VAT, does not participate in the deal, and is not a party to it. Its only role is letting trucks pass through.

What does Abkhazia get?

  • 0.1% customs fee, road wear, growth of grey schemes, criminalization of the Gali district where the terminal is built, traffic jams, and roadside motels for truckers (“tourism development”).

What does Georgia get?
Customs duties, taxes, bank fees, logistics, contracts, jobs, GDP growth, and an international role in bypassing sanctions—all from goods passing through Abkhazia.

What does Russia get?
Sanctions bypassed and a convenient supply channel.

In short:

Deal participants: China – Georgia – Russia.

Abkhazia is just a corridor, providing services and receiving only “scraps.”


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