Investment & Trade
GSP (Generalized System of Preferences) Status
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Visit the source page for more details: https://bangladeshcustoms.gov.bd/trade_info/preferential_center_ex
Executive Summary
The Generalized System of Preferences (GSP) is a unilateral trade preference scheme under which developed countries grant reduced or zero tariff rates to imports from developing countries. Bangladesh currently benefits from GSP schemes of 12 countries/regions: EU (via EBA), UK (via DCTS EBA-equivalent), Australia (LDC preference), Canada (GPT for LDCs), Japan (recently graduated but transitional access until 2026), Norway, Switzerland, New Zealand, Belarus, Turkey (in EU Customs Union — applies EU preferences), Iceland, and Liechtenstein. The USA does NOT grant GSP to Bangladesh (the US GSP programme excludes textiles/apparel, which is 90% of Bangladesh's exports to the USA). After LDC graduation (November 2026), Bangladesh will need to negotiate new preferential arrangements: GSP+ with the EU (subject to 27 conventions), UK DCTS Enhanced Preferences, and bilateral FTAs (already signed with Bhutan, in negotiation with Sri Lanka, Indonesia, Malaysia).
Key Points
- 12 countries/regions currently grant GSP to Bangladesh
- EU EBA: 100% tariff elimination
- UK DCTS: equivalent to EU EBA (post-Brexit)
- Australia, Canada, Japan, Norway, Switzerland, NZ, Iceland, Liechtenstein, Belarus, Turkey
- USA does NOT grant GSP to Bangladesh (textiles excluded)
- Post-LDC graduation (Nov 2026): need new arrangements
- EU GSP+: requires 27 international conventions ratification
- UK DCTS Enhanced Preferences: similar conditions
- Bilateral FTAs: Bhutan (signed), Sri Lanka/Indonesia/Malaysia (in negotiation)
- GSP+ effective tariff reduction: ~66% of EU tariff lines
Full Details
Bangladesh's GSP status with various countries including current eligibility, product coverage, and graduation timeline.