European Union Trade Incentives

The well known EU's Generalized System of Preferences (GSP) is a trade arrangement through which the EU provides preferential access to the EU market to 176 developing countries and territories, in the form of reduced tariffs for their goods when entering the EU market. There is no expectation or requirement that this access be reciprocated. It is implemented by a Council Regulation applicable for a period of three years at a time. GSP covers three separate preference regimes:

• The standard GSP, which provides preferences to 176 Developing Countries and Territories on over 6200 tariff lines;
• The special incentive arrangement for sustainable development and good governance, known as GSP+, which offers additional tariff reductions to support vulnerable developing countries in their ratification and implementation of international conventions in these areas;

GSP+

For the period 2009-2011, 16 beneficiary countries have qualified to receive the additional preferences offered under the GSP+ incentive arrangement.

Armenia joined this list since January, 1, 2009.

This allows Armenia to export to the EU 7 200 products without any customs duties.