Frosio - EU Generalised Scheme of Preferences (en)

EU Generalised Scheme of Preferences (GSP+)

European Union Delegation

Agricultural export promotion Workshop 

Bishkek, 19 October 2016

1. Main features of the GSP+

2. What GSP+ means for Kyrgyzstan

3. What the export helpdesk offers

4. How to use GSP+?

Table of content

1. Main features of the GSP+Overall Definition

GSP+: Special Incentive Arrangement for Sustainable Development and Good Governance. Complete duty suspension for the same product categories. Granted to countries which ratify and implement core international conventions relating to human and labour rights, environment and good governance

14 Beneficiary CountriesArmenia, Bolivia, Cape Verde, Costa Rica, Ecuador, El Salvador, Georgia, Guatemala, Kyrgyzstan, Mongolia, Pakistan, Panama, Paraguay and Peru.

Total Population : Estimated 335 Million PeopleTotal GSP 'Eligible' Exports to EU (2014): Estimated €9.8bn

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1. Main features of the GSP+

Beneficiary Status – Criteria (1)• Application: Getting GSP+ preferences is not automatic.

Countries must apply for the arrangement and fulfil certain criteria.• Standard GSP Beneficiary: The country must meet the criteria to

benefit from the standard GSP arrangement. • Vulnerable: The country must be considered 'vulnerable'. A

vulnerable country means a country

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1. Main features of the GSP+

Beneficiary Status – Criteria (2)• Ratification: The country must have ratified the 27 core

international conventions in the fields of human and labour rights, the environment, and good governance

• Implementation: The country must not present a serious failure in the implementation of the 27 core international conventions

• Binding Undertaking : The country must commit in writing to:1. maintain ratification of the conventions and ensure their

effective implementation;2. accept the reporting and monitoring requirements imposed

by the conventions; and 3. accept and cooperate with the EU monitoring procedure.

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1. Main features of the GSP+

Loss of Preferences

There are three different ways in which a country can lose some or all of its GSP+ preferences:

1. Safeguards

2. Temporary Withdrawal

3. Other Preferential Arrangements or Higher Level of Development

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1. Main features of the GSP+

GSP+ Monitoring

–Beneficiary countries are expected to effectively implement the GSP+ conventions during the whole period of GSP+

• In practice, that means real commitment to continuously improve the situation

–Continuous dialogue between the EU and the beneficiary country–Basic documents:

• Scorecards (= list of issues)• Biennial public reports

–Two year cycles for the whole duration of GSP+

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1. Main features of the GSP+

2. What GSP+ means for Kyrgyzstan?GSP+ status for Kyrgyzstan granted by EU in January 2016:

offers opportunities for Kyrgyzstan to increase and diversify its export and strengthen its economy

Kyrgyz exporters will be able supply to the EU at zero tariff rate agricultural products, food products, tobacco, and textiles, felt products, clothing, including leather, and carpet

This is a unilateral measure taken by the EU, the customs tariffs imposed by Kyrgyzstan on imports from the EU will remain in place.

2. What GSP+ means for Kyrgyzstan?

6,200 products eligible with no duties

Complete list is Annex IX, EU Reg. 978/2012

Market reach, 28 countries without borders, 500 mio. consumers1st trading power, 16% of world exports and imports

2. What GSP+ means for Kyrgyzstan?- Agricultural products covered:

• fruits, processed fruits (canned goods, juice), dried fruits and nuts (walnuts, almonds, pistachios), raw materials (beans, peas), food products, tobacco etc.

• - Need to implement 27 international conventions on human rights, good governance, labour and environmental standards (responsibility from the Gvt)

• - Business community can play a significant role

• - Improving human rights, including labour standards, is win-win situation for both Kyrgyzstan and the EU

Import conditions for each product exported to the EU marketHealth, safety, technical standards, marketing standards

Custom duties, duty discounts, quota database (link)

How to make use of reduced duties? (trade preferences)Rules and proofs of origin

Who to contact for advice?Competent authorities in MS, customs offices, chambers of commerce

Trade statistics – how much of my product is already exported to the EU?All trade flows – product by product, country by country – from 2002 till 2014

3. What the export helpdesk offers

Available online

All information free of charge!

Our data are "real life data" – frequent updates

Trade figures are at hand (total or product-specific)

Contact form to lodge individual requests – we respond within 3 working days

3. What the export helpdesk offers

http://exporthelp.europa.eu/thdapp/index.htm (Export Helpdesk)

•Step 1: Check general import requirements• Health, safety, technical standards, marketing standards

•Step 2: Check GSP+ product coverage

•Step 3: Check rules of origin criteria

•Step 4: Prepare documentary evidence (Proof of origin)

4. But how to use GSP+?

EU Import Requirements• General requirements = the import procedures to respect

(customs declarations, commercial invoice, freight insurance, etc)• Specific requirements on what the product, its label and its

packaging needs to fulfill for EU market access (health and safety, technical standards, labelling & packaging, food safety, product-specific marketing standards, etc)

• Harmonised for all 28 Member States

How does it work?

1ST STEPGo to "My export" and define the product code for your product

My export form

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The system helps you find the code

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2ND STEPFill in the search form

What? Where from? Where to?

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YOUR SEARCH RESULTS

The results on screen

Requirements

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EU requirements for "edible fruits and nuts" -explained-with legal references & links to EurLex-the competent authorities dealing with therequirement in the EU member state

Internal taxes

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What you can find in this section of the result page?•VAT rate•VAT provisions applying in Germany•VAT provisions for the EU•Import procedures Germany•Import procedures EU•Authority contact points

Tariffs

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• Thanks to GSP+ the custom duty went down from 4% to 0%

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Rules of origin • Rules of origin differ from product to product

• Links leading to detailed rules and explanations

3RD STEPStatistics – trade figures

Trade statistics

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More questions?

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• Contact the EU Delegation to Kyrgyzstan

Or

• lodge an enquiry via the website

More information on GSP and Export helpdesk

(Including the GSP Report)

http://ec.europa.eu/trade/policy/countries-and-regions/development/generalised-scheme-of-preferences/

http://exporthelp.europa.eu/thdapp/index.htm

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