EU urged to consider its GSP+ status given to Sri Lanka
Part of: GS Prelims and GS -II – International Relations and GS -III – Economy
- Recently, a resolution was adopted by the European Parliament, urging the European Union (EU) Commission to consider the temporary withdrawal of the Generalised Scheme of Preferences Plus (GSP+) status given to Sri Lanka.
- It is a set of EU rules allowing exporters from developing countries to pay less or no duties on their exports to the European Union.
- It helps developing countries to alleviate poverty and create jobs.
- The EU’s GSP is widely recognised as the most progressive in terms of coverage and benefits.
- The EU continuously monitors and reviews GSP+ beneficiary countries’ effective implementation of the international conventions on human rights, labour rights.
- The GSP was adopted at UNCTAD in New Delhi in 1968 and was instituted in 1971
- The United Nations Conference on Trade and Development was established in 1964 as a permanent intergovernmental body.
- UNCTAD is the part of the United Nations Secretariat dealing with trade, investment, and development issues.
Generalized System of Preferences (GSP)
- Umbrella that comprises the bulk of preferential schemes granted by industrialized nations to developing countries.
- Reduced Most Favored Nations (MFN) Tariffs or duty-free entry of eligible products exported by beneficiary countries to the markets of donor countries.