US GSP for Sri Lanka and other countries not re-authorised

The United States? Generalized System of Preferences (GSP) program for Sri Lanka and other countries expires on December 31, 2017.? The United States Congress did not re-authorize GSP before adjourning for the year.

The immediate effect of GSP expiration is GSP eligible imports to the United States from Sri Lanka and other GSP beneficiary countries and territories will be subject to non-preferential duties beginning January 1, 2018, the US Embassy in Colombo said today.

The United States says it is proud to serve as the top export market for Sri Lanka. According to the Global Trade Atlas, in 2016, the United States imported $2.8 billion of Sri Lankan goods.

U.S. Customs and Border Protection?s?web site?has a page dedicated to GSP program information with detailed information on importation procedures during a program lapse.

The US President had restored the US Generalized System of Preferences with effect from 29 June 2015 for a number of countries including Sri Lanka.

The US President signed the document into law on 29 June 2015, reauthorising the US GSP program until 31 December 2017, providing preferential duty-free entry into US market for nearly 5,000 products from 122 designated beneficiary countries and territories, including Sri Lanka.

Meanwhile, the Foreign Ministry said that the GSP alliance countries, including Sri Lanka, are lobbying for the renewal of the GSP program, and remain hopeful that the program will be renewed by the US Congress.

According to the Foreign Ministry, at present, nearly 3,500 different products from Sri Lanka are eligible to access the US market on a duty free basis under this program. The items include selected manufactured items, inputs used in manufacturing jewellery, carpets, selected agricultural and fishery products, and selected types of chemicals, minerals and marble. However, Sri Lanka?s largest single export item to the US, which is garments, is not eligible for benefits under the GSP program.?(Colombo Gazette)

?Source:? Global Trade Atlas