EU Makes Important Changes To Generalised Scheme Of Preferences (GSP) Regulations
A new regulation amending the European Union (EU) Generalised Scheme of Preferences (GSP) for developing countries will come into force on 1st January 2014.
The GSP comprises:
- A general arrangement defining tariff reductions or suspensions for goods imported from developing countries;
- A special incentive scheme, GSP+, which grants further tariff reductions for those countries which sign, ratify and effectively implement a set of 27 core United Nations and International Labour Organisation conventions on human and labour rights, environmental protection and good governance;
Please note that the new regulations make no changes to EBA (Everything But Arms) arrangements; which is a scheme that focuses on duty-free and quota-free imports of all goods from the least developed countries with the exception of arms.
89 countries remain members of the EBA scheme, while 40 countries make up the members of the Low and Lower Middle Income ranking.
As the application and effect of preference margins, product coverage, product graduation and the exact requirements of GSP+ status and special safeguards can be complex, we advise you to make sure that you are fully aware of key regulations when planning imports from relevant developing countries.