Wednesday, October 31st 2012 - 20:12 UTC

Mercosur members, except Paraguay, de-listed from EU import preference scheme

The European Union issued on Wednesday its revised import preference scheme - known as the Generalised Scheme of Preferences (GSP) - for developing countries most in need which will take effect from 1 January 2014, revealing that all Mercosur full members, except for Paraguay, will no longer benefit.

EU Trade Commissioner Karel De Gucht:‚ an important recognition that key developing economies have become globally competitive’

Likewise there is a review of the overseas countries and Territories, mainly EU territories which includes among others the British Overseas Territories of the Falkland Islands, Gibraltar, St Helena and South Georgia and South Sandwich Islands and will be loosing GSP benefits from 2014.

Following agreement with the Council and European Parliament, Wednesday’s publication contains the specific tariff preferences granted under the GSP in the form of reduced or zero tariff rates and the final criteria for which developing countries will benefit.

The new scheme will be focused on fewer beneficiaries (89 countries) to ensure more impact on countries most in need. At the same time, more support will be provided to countries which are serious about implementing international human rights, labour rights and environment and good governance conventions.

Argentina, Brazil, Uruguay and Venezuela are listed as upper-middle partners since they are countries which have been listed by the World Bank as high or upper middle income economies for the past three years, based on Gross National Income (GNI) per capita.

The rest of the upper-middle partners who will also lose benefits are: Belarus, Russia, Kazakhstan; Gabon, Libya, Malaysia, Palau.

The other Mercosur full member Paraguay remains in the Low and Lower Middle Income partners which total forty and will continue to enjoy GSP benefits. Among the forty are several other South American countries: Colombia, Ecuador, Bolivia and Peru.

“I am delighted that EU Member States and Members of the European Parliament have backed the Commission's proposal to make our preferential import scheme more effective. It was an important recognition that key developing economies have become globally competitive. This now allows us to tailor our pro-development trade scheme to give the countries still lagging behind some additional breathing space and support.” said EU Trade Commissioner Karel De Gucht.

The current GSP scheme will remain valid until 1 January 2014, thus giving economic operators time to adapt to the revised regime.

The Council and the European Parliament built on the Commission's proposal by introducing a wider though limited expansion of products and preferences, a longer transition period for the application of the new GSP, and by expanding specific safeguards to include ethanol and plain textiles.

Beneficiaries in the reformed GSP scheme are expected to start with 89 beneficiaries: 49 least developed countries in the ‘Everything But Arms’ scheme, and 40 other low and lower-middle income partners.

The main country categories which will no longer benefit from the GSP scheme are 33 overseas countries and territories. These are mainly EU territories which have their own market access regulation—and thus do not use GSP to enter the EU. Reform will be in general neutral for them. This category includes the British Overseas Territories of Falkland Islands, Gibraltar, South Georgia and South Sandwich Islands and St Helena, among others.

And 34 countries which enjoy another trade arrangement with the EU which provides substantially equivalent coverage as compared to GSP. This includes countries with a Free Trade Agreement or with autonomous arrangements (such as the Market Access Regulation for countries with an Economic Partnership Agreement (EPA) or the special regime for Western Balkan countries). Given that use of GSP is marginal for these countries, reform will in general be neutral for them.

In 2011, imports that received GSP preferences were worth €87 billion, which represents around 5% of total EU imports and 11% of the total EU imports from developing countries.

 

21 comments Feed

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1 ChrisR (#) Oct 31st, 2012 - 08:24 pm Report abuse
Never mind AG, you will be back in soon when you economy freefalls to a default, AGAIN.
2 ProRG_American (#) Oct 31st, 2012 - 08:45 pm Report abuse
No problem. This is to be expected of masked men.
3 Guzz (#) Oct 31st, 2012 - 08:45 pm Report abuse
No more limosnas? Now what!??!
4 Tinx (#) Oct 31st, 2012 - 09:24 pm Report abuse
Guzz !

So what is your internet addiction ?

Internet using eveyday more than 80 % in UK together with almost as well as in Denmark,Sweden,Finland.

You are all failured societies, produce nothing,but internet sedulous.

We don't take serious of you..

Who care and listen to you by wasting time .. ..No one ..!

Sorry dear commentators.!
5 ProRG_American (#) Oct 31st, 2012 - 09:48 pm Report abuse
4 Tinx (#)
What is your problem with Guzz? What the heck are you talking about failed societies? If no one took Guzz seriously, he would not receive so many responses (most of them hateful) to his comments.
So from what “highly succesfull” paradise do you belong to?
Ho by the way, please improve your english.
6 briton (#) Oct 31st, 2012 - 10:02 pm Report abuse
The sooner the EU collapses the better,

all the Eu does is take take take.
sod em.
7 Anbar (#) Oct 31st, 2012 - 11:08 pm Report abuse
“”“ If no one took Guzz seriously, he would not receive so many responses ””

lololol

funniest post ever!
8 Guzz (#) Oct 31st, 2012 - 11:54 pm Report abuse
Brits here are corrupt beyond repair, do you really think it matters to me how my posts are taken by you lot?
You have no intentions to solve any issues, all you do is bash Argentina. If she doesn't pay her debts, you cry. If she pays, you cry louder. At home you fight hedge funds, against Argentina, you hail them. You are a bunch of hypocrits of double standards and unluckily for you, those two things don't counter eachother, they just add to your human misery...
9 redpoll (#) Nov 01st, 2012 - 12:20 am Report abuse
Watch it Guzz. Sister sussies sewing shirts for Swedish sailors.That mean you too?
10 Guzz (#) Nov 01st, 2012 - 12:27 am Report abuse
9
Don't you have the elections 2019 to prepare? Hush...
11 Troy Tempest (#) Nov 01st, 2012 - 03:29 am Report abuse
@8 Guzzano

Substitute “Brits ” with “Argies” and this makes more sense:

“yawn.. Brits here are corrupt beyond repair, do you really think it matters to me how my posts are taken by you lot?
You have no intentions to solve any issues, all you do is bash Argentina. If she doesn't pay her debts, you cry. If she pays, you cry louder. At home you fight hedge funds, against Argentina, you hail them. You are a bunch of hypocrits of double standards and unluckily for you, those two things don't counter eachother, they just add to your human misery...”

:-D
12 Guzz (#) Nov 01st, 2012 - 05:38 am Report abuse
11
Had I substituted Brits with Argentines, the world would be a better place, gringo baboso...
13 surfer (#) Nov 01st, 2012 - 07:21 am Report abuse
When Argentina defaults this will have a massive impact on both the 'guays, Chile far less so as its manage to distance itself from the devastating economic mismanagement of its neighbour .
14 Diddles (#) Nov 01st, 2012 - 07:30 am Report abuse
Guzz, like your fellow travellers, you are a very sad sad depressing soul.

You can waffle and waffle as much as you like, the Falkland Islanders will determine their own future. I have distant cousins who live there, and these people, like their fellow islanders, are proud of their identity and have no intention of surrendering it to you fools....so dream on, but that is all you can do.....it's a pity you could not open your mind and travel a bit.....have you ever visited the Falklands, I doubt it, and I guess you never will....anyway, you probably couldn't afford it these days with your 'monopoly' currency.

By the way, I am Australian, married to a Chilean, and have visited South America several times for extensive periods, including spending time in Argentina and Urugauy. Thankfully, all these trips have been enjoyable, probaly more so because I did not have the misfortune to come across someone like yourself.

Seriously, Guzz, if you had any credibility at all, you would be willing to acknowledge these real economic, political and general governance problems that Argentina faces.
15 British_Kirchnerist (#) Nov 01st, 2012 - 10:33 am Report abuse
Headline makes it looks like Paraguay is preffered, article clarifies it just means its more poor...
16 Conqueror (#) Nov 01st, 2012 - 11:34 am Report abuse
So, argie exports to the EU WILL be costing more. IF they continue. So how does it go now? Cost of manufacturing UP per inflation and increasing costs for importing components. Wages bill UP as unions demand next 25% pay increases. Will export taxes stay the same? When it comes to import taxes, there's more than one way. Importer accepts import taxes. Importer demands exporter reduces price. Importer buys elsewhere. Would Paraguay's soy be cheaper than argieland's?
17 briton (#) Nov 01st, 2012 - 07:56 pm Report abuse
Argentinas finnished, so they say.
18 ManRod (#) Nov 02nd, 2012 - 12:31 am Report abuse
an evident conclusion for the world... Paraguay is the only still valid Mercosur member! all the rest of bullies can pay their consecuences... great! Loved it...
19 British_Kirchnerist (#) Nov 02nd, 2012 - 10:00 am Report abuse
#18 No, its just the only mercosur member thats failed to make any development progress, read the article!
20 Conqueror (#) Nov 02nd, 2012 - 07:24 pm
Comment removed by the editor.
21 British_Kirchnerist (#) Nov 03rd, 2012 - 09:58 am Report abuse
#20Yo've been reported. Thats all I want to say about that “comment”

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