The Association of Free Businesses has called on the Ministry of Finance to increase the duty-free threshold for postal items from GEL 300 to GEL 900, saying the current limit no longer reflects economic realities.
The association says the existing threshold was introduced in 2009 and has become outdated due to changes in the country’s economy, including currency depreciation, inflation and the rapid growth of e-commerce.
The organization notes that the Georgian lari has depreciated by more than 38% against the US dollar since 2009, while consumer prices have increased by approximately 65-70% during the same period.
“The threshold established 17 years ago no longer reflects the real economic needs and purchasing power of the population,” the association says.
The Association of Free Businesses also rejected calls from other groups to abolish the GEL 300 duty-free threshold entirely, arguing that such a move would increase costs for consumers rather than protect local businesses.
The organization says removing the threshold would not prevent money from leaving the country through online purchases, but would instead increase prices for consumers, while benefiting local intermediaries.
The association also argues that abolishing the limit would mainly support large businesses, while negatively affecting small businesses and individuals who rely on online shopping.
The organization called on the Ministry of Finance to consider economic changes over the past 17 years and revise the duty-free threshold, saying an increase would be an “economically justified and necessary decision.”
