Modernising the EU generalised system of preferences - a BusinessEurope position paper
- BusinessEurope supports the EU’s Generalised System of Preferences (GSP), as an instrument that captures best the connection between trade and development policies. Although the current GSP scheme is delivering, improvements are necessary to reflect a changing trade and economic environment in the aftermath of the COVID-19 pandemic and the need to promote more sustainable trade.
- We recognise the efforts of the European Commission to make the GSP more targeted to those countries most in need as well as to improve its functioning, especially when it comes to monitoring and transparency. The involvement of stakeholders, including business, is critical in this regard.
- To ensure that the GSP remains balanced – supporting poverty reduction, helping countries diversify their economies, but also safeguarding EU economic interests – BusinessEurope calls for broad product coverage and graduation that extends to GSP+ beneficiaries. We are also in favour of maintaining the possibility of withdrawal of preferences and being able to expediate the process especially in cases of serious violations of human rights, labour and environmental rights.