Deep And Comprehensive Free Trade Agreement
As a result, the EU has become Georgia`s largest trading partner, with a share of total trade of more than 30% and growth in Georgian exports to the EU market. While economic modernization has been encouraged, the impact of the DCFTA has been fundamental to increasing Georgia`s attractiveness for foreign investment. The European Bank for Reconstruction and Development announced a record volume of investment in Georgia in 2016. Deep and Comprehensive Free Trade Areas (DCFTAs) are three free trade areas established between the European Union and Georgia, Moldova and Ukraine respectively. DCFTAs are part of each country`s EU Association Agreement. They allow Georgia, Moldova and Ukraine to access the European single market in certain sectors and to offer EU investors in these sectors, in the associated country, the same regulatory environment as that of the EU.  The agreements with the Republic of Moldova and Georgia were ratified and officially entered into force in July 2016, although parts of them have already been provisionally applied. The agreement with Ukraine has been provisionally applied since 1 January 2016 and formally entered into force on 1 September 2017. While work on the signing of a Deep and Comprehensive Free Trade Agreement between Ukraine and the EU first began in 1999, formal negotiations between the Ukrainian government and the European Commissioner for Trade did not start until 18 February 2008.  Until May 2011, three outstanding issues had to be resolved under the free trade agreement: quotas for Ukrainian grain exports, access to the EU services market and geographical names of Ukrainian raw materials. Beyond these problems, the agreement was ready.  Despite these outstanding issues, Ukraine was ready to sign the agreement in its current form. Although it wanted wider prospects for enlargement and access to the EU market for its truck drivers, Ukraine had more than many other candidates for the corresponding phase of the process.
The final agreement was initialled on 19 July 2012.  Like the AA, the ratification of the DCFTA has been blocked by the EU due to concerns about the rule of law in Ukraine.    These include the application of selective justice and the amendment of electoral laws. As a result, the role of Ukrainian oligarchs in sanctioning the agreement has also been questioned.  Georgian entrepreneurs may set up a business or branch of a company in a relevant European country and bring qualified Georgian personnel into the European Union for a limited period of time. Service providers may, within the limits of the Agreement, provide their services throughout the European Union.. . . .