GSP

GSP

What is the GSP?

Trade program that removes or reduces import duties on products from vulnerable developing countries entering the EU

Main goals

• Boost economy

• Promote sustainability

• Create jobs

• Human rights

• Reduce poverty

• Labour standards

• Diversify exports

Real World example

Bangladesh

Major beneficiary

Least developed

Advantages

For exporters

For importers

0 tariffs

Cheaper goods

GSP+

¿How to get into?

The countries that take part of GSP+ have an arrangement for sustainable development and good governance.

Bolivia ,Cabo Verde, Kyrgyzstan, Mongolia, Pakistan, Philippines, Sri Lanka.

Expiration/revision

Products affected

Covers around two-thirds of all EU tariff codes, examples like textiles and agriculture

31 December 2027 like in the normal GSP

Advantages for exporters and importers

For exporters we have advantages like reduced tariffs, better acces to EU labour and gives incentives to the countries to have better governance standards.

For importers, there are lower prices to import and more products diversity

EBA

Everything but arms

What is EBA?

Special EU scheme under GSP that removes all tariffs and quotas on imports from Least Developed Countries, except arms and ammunition.

Main Goals

Support poorest & most vulnerable countries

Aid development in the world least developed nations

Who benefits?

LDC Exporters → Massive Market access, more sales, jobs and investments EU Importers → Wider variety, stable & affordable supplies

GSP, GSP+, EBA

Why is GSP important for developing countries ?

• Better access to the EU market
• Diversification
• Incentive for reforms
• Integration into global trade

Why is GSP important for the EU?

• Promotes EU values
• Economic benefits for EU
• EU gets more influence wordwide