GSP Plus

The status of Generalized System of Preference, commonly referred to as GSP Plus was awarded to Pakistan with effect from January 2014. Under this arrangement, 6274 tariff lines are eligible of which 6269 tariff lines are duty free. Being the second country in South Asia and South East Asia to have this status, Pakistan has a lot of potential to increase its exports, introduce new products in markets of EU and build a stronger market for existing products.

Generalised Scheme of Preferences (GSP)

Simple Guide to GSP+

UK GSP Plus Scheme for Pakistan

The UK-GSP scheme will come into force from January 1, 2021 upon expiry of the Brexit transition period on December 31, 2020. Main aspects of the UK-GSP scheme as applicable to exports from Pakistan are as follows:

Pakistan has been placed in the “Enhanced Framework” which is same as the GSP Plus category of the EU-GSP scheme. Accordingly, under the UK-GSP scheme Pakistan will:
Be eligible for the same level of market access (preferential tariffs) for exports to the UK as are available to it under the GSP Plus scheme of the EU.
Be subjected to the same eligibility criteria and obligations as applicable to it under the GSP Plus scheme of the EU vis-à-vis the vulnerability criteria and compliance of 27 international conventions.
Rules of Origin for the UK-GSP scheme are identical to those of the EU-GSP, as laid out under Annex 22-03 of the EU Delegated Regulation 2015/2446. Specific aspects to be noted with respect to the Rules of Origin for the UK-GSP scheme are:
The UK-GSP scheme allows accumulation with the EU for all materials, while for accumulation with Norway and Switzerland, materials from HS Chapters 1 to 24 are excluded. Furthermore, accumulation with Turkey is not permissible.
The non-manipulation rule of the EU-GSP scheme (Article 43 of the EU Delegated Regulation 2015/2446) is equally applicable under the UK-GSP scheme. Hence, goods entering the UK via the EU (or any other country), while in transit, would remain eligible for GSP preferences.
Effective January 1, 2021, origin certification under the UK-GSP scheme will be as follows:
Certificates of Origin (COOs) for exports to the UK can be issued using the REX system only till December 31, 2020. Such COOs will remain valid for 12 months after December 31, 2020.
From January 1, 2021, REX system will not work for the UK and COOs for exports to the UK would have to be issued on the GSP Form-A which: i. Does not need to be stamped and signed by the TDAP. ii. Can be submitted to the UK customs on a copy of the Form-A (Annex).
The UK will provide a graduation period of at least three years before removing a country from the relevant GSP framework, which implies that the “Enhanced Framework” facility will likely remain available to Pakistan at least till the end 2023.

Generalised Scheme of Preferences (GSP)

Simple Guide to GSP+

UK GSP Plus Scheme for Pakistan

The UK-GSP scheme will come into force from January 1, 2021 upon expiry of the Brexit transition period on December 31, 2020. Main aspects of the UK-GSP scheme as applicable to exports from Pakistan are as follows:

Pakistan has been placed in the “Enhanced Framework” which is same as the GSP Plus category of the EU-GSP scheme. Accordingly, under the UK-GSP scheme Pakistan will:

Be eligible for the same level of market access (preferential tariffs) for exports to the UK as are available to it under the GSP Plus scheme of the EU.

Be subjected to the same eligibility criteria and obligations as applicable to it under the GSP Plus scheme of the EU vis-à-vis the vulnerability criteria and compliance of 27 international conventions.

Rules of Origin for the UK-GSP scheme are identical to those of the EU-GSP, as laid out under Annex 22-03 of the EU Delegated Regulation 2015/2446. Specific aspects to be noted with respect to the Rules of Origin for the UK-GSP scheme are:

The UK-GSP scheme allows accumulation with the EU for all materials, while for accumulation with Norway and Switzerland, materials from HS Chapters 1 to 24 are excluded. Furthermore, accumulation with Turkey is not permissible.

The non-manipulation rule of the EU-GSP scheme (Article 43 of the EU Delegated Regulation 2015/2446) is equally applicable under the UK-GSP scheme. Hence, goods entering the UK via the EU (or any other country), while in transit, would remain eligible for GSP preferences.

Effective January 1, 2021, origin certification under the UK-GSP scheme will be as follows:

Certificates of Origin (COOs) for exports to the UK can be issued using the REX system only till December 31, 2020. Such COOs will remain valid for 12 months after December 31, 2020.

From January 1, 2021, REX system will not work for the UK and COOs for exports to the UK would have to be issued on the GSP Form-A which: i. Does not need to be stamped and signed by the TDAP. ii. Can be submitted to the UK customs on a copy of the Form-A (Annex).

The UK will provide a graduation period of at least three years before removing a country from the relevant GSP framework, which implies that the “Enhanced Framework” facility will likely remain available to Pakistan at least till the end 2023.

Details on UK’s Generalized Scheme of Preferences (GSP)” are at:

Generalized Scheme of Preferences