Trade ( Generalized System of Prefrences )

GSP |  Background | Objective |  Principles | Schemes | Benefits |  Country Preferences |  Eligible Articles | Rules of Origin

Generalised System of Prefrences : GSP

Objective
The purposes of the Generalized System of Preferences are to increase export earning of developing countries, to promote their industrialization and to accererate their rates of economic growth.

Applying the tariff preferences
1. Products must be covered by the scheme and comply with the rules of origin.
2. Register as an exporter applying Form A and/or Extend the expiration of register

2.1 Regulation
- Juristic entity
2.2 Documents
- an applicant Form A registration
- a copy of certificate of juristic (not more than 6 months)
- a copy of value added tax certificated
- a copy of permit for operating factory
- representitive documents
- a copy of the owner's identify card and the representitive identify card
2.3 Procedure Time
- within 3 working day
2.4 Fees
- free of charge

3. Submission of information sheet about production process and cost of good.

3.1 Requirements

Certain products falling within Chapter 84 - 96 such as machinery, mechanical appliances, air conditioner, automatic data processing, machines and unit thereof, motor vechicles, camera, electrical machinery and equipment provided that these products accordance with the rule of origin.
3.2 Documents
- Information sheet about production process and cost of goods
- Permit for corporating factory (copy)
- VAT certificate (copy)
- Import entry (copy)
- Invoice of imported material (copy)
- Cash Receipt or tax invoice (copy)
- Flow chart of production process
3.3 Procedure Time
- not later than 5 working days
3.4 Fees
- free of charge

4. Application for certificate of origin Form A.

4.1 Requirements
- Form A applicant registration.
- Product must be comply with the rules of origin specified by each GSP schemes
4.2 Documents
- an application form
- a commercial invoice
- a bill of lading or an air waybill
- a paper of cost production declaration and/or a paper of production process declaration for textile products
- a copy of Form A applicant registration certificate.
4.3 Procedure Time
- within 1 working day
4.4 Fees
- Free of charge
4.5 Relating legistration
- Notification
- Regulation

Issuing Authorities
Bangkok

- Trade Preferences Division
Office of Commodity Standard Building,
Rachdamneon Klang Avenue, Bangkok 10200
Tel 282-8188 , 629-1684-87
- Certificate of Origin Issuing Office, Bangkok International Airport
Cargo Terminal, 3rd Floor, Room No. 311
Tel 535-1675, 523-7913
- Certificate of Origin Issuing Office, Bangkok Port
Export Inspection Division, Custom Department
Tel 249-2106, 240-2232
- Foreign Trade Service Section
Office of Commodity Standard Building,
Ratchdamneon Klang Avenue, Bangkok 10200
Tel 281-6767, 282-2824, 629-1524-5

Regional
Office of Foreign Trade, Chiengmai Province, Tel (053) 274671-2
Office of Foreign Trade, Chonburi Province, Tel (038) 341174
Office of Foreign Trade, Srakeaw Province, Tel (037) 232091
Office of Foreign Trade, Khon Kaen Province, Tel (043) 238115
Office of Foreign Trade, Songkla Province, Tel (074) 252501

1. What GSP is.

GSP is the Generalized System of Preferences which enable certain exporting products originated in Thailand to certain preference-giving countries a benefits of recduction or exemption of Most-Favour-Nations tariff rate.

2. GSP background

After WW II, world economy was under recession. In order to help developing countries to increase their competitiveness in the world market which can help them develop their economy, in 1968 developed countries, under the auspices of the UNCTAD, agreed to establish the programm called ' the Generalized System of Preferences - GSP'.
At present, Thailand is granting GSP benefits from 27 beneficiary giving countries. They are

3. Objectives

• To make developing countries aware of the potential for trade expansion arising from GSP schemes and to increase their capabilities to make use of these schemes;

• To make developing countries become industrially developed

• To make developing countries develop their economy.

4. GSP principles

• Non-reciprocal

• Non-discriminatory

5. GSP schemes

There are 13 GSP schemes of 27 beneficiary-giving countries which Thailand has been one of the eligible beneficiary-recieving countries since the start of the programme. They have the major characteristics in common as follows;

- Effective period
- Product coverage

6. GSP benefits

to promote new products to the markets by using GSP as a tool
to promote the products which, in consequence, will bring more investments, employments and economic developments of the countries as a whole
to promote the utilization of domestic materials in the production in order to comply with the rules of origin requirements.

7. Prefrences giving Countries

1. The United States of America             
. The United States of America

2. Canada                   
. Canada

3. European Union             

4. The European Free Trade Area         
. Switzerland
. Norway

5. The Socialist Countries          

6. Japan         
. Japan

7. Australia          
. Australia

8. New Zealand           
. New Zealand

8. Eligible Articles Under The GSP Scheme

01 Live animals.
02 Meat and edible meat offal.
03 Fish and crustaceans, molluscs and other aquatic invertebrates.
04 Dairy produce; birds’eggs; natural honey; edible products of animal origin, not elsewhere specified or included.
05 Products of animal origin, not elsewhere specified or included.
06 Live trees and other plants; bulbs, roots and the like; cut flowers and ornamental foliage.
07 Edible vegetables and certain roots and tubers.
08 Edible fruit and nuts; peel of citrus fruit or melons.
09 Coffee, tea, mate and spices.
10 Cereals.
11 Products of the milling industry; malt; starches; inulin; wheat gluten.
12 Oil seeds and oleaginous fruits; miscellaneous grains, seeds snd fruit; industrial or medicinal plants; straw and fodder.
13 Lac; gums; resins and other vegetable saps and extracts.
14 Vegetable plaiting materials; vegetable products not elsewhere specified or included.
15 Animal or vegetable fats and oils and their cleavage products; prepared edible fats; animal or vegetable waxes.
16 Preparations of meat, of fish or of crustaceans, molluscs or other aquatic invertebrates.
17 Sugars and sugar confectionery.
18 Cocoa and cocoa preparations.
19 Preparations of cereals, flour, starch or milk; pastrycooks’ products.
20 Preparations of vegetables, fruit, nuts or other parts of plants.
21 Miscellaneous edible preparations.
22 Beverages, spirits and vinegar.
23 Residues and waste from the food industries; prepared animal fodder.
24 Tobacco and manufactured tobacco substitutes.
25 Salt; sulphur; earths and stone; plastering materials,lime and cement.
26 Ores, slag and ash.
27 Mineral fuels, mineral oils and products of their distillation; bituminous substances; mineral waxes.
28 Inorganic chemicals; organic or inorganic compounds of precious metals, of rare-earth metals, of radioactive elements or of isotopes.
29 Organic chemicals
30 Pharmaceutical products.
31 Fertilisers.
32 Tanning or dyeing extracts; tannins and their derivatives; dyes, pigments and other colouring matter; paints and varnishes; putty and other mastics; inks.
33 Essential oils and resinoids; perfumery, cosmetic or toilet
34 Soap, organic surface-active agents, washing preparations, lubricating preparations, artificial waxes, prepared waxes, polishing or scouring preparations, candles and similar articles, modelling pastes, “dental waxes” and dental preparations with a basis of plaster.
35 Albuminoidal substances; modified starches; glues; enzymes.
36 Explosives; pyrotechnic products; matches; pyrophoric alloys; certain combustible preparations.
37 Photographic or cinematographic goods.
38 Miscellaneous chemical products.
39 Plastics and articles thereof.
40 Rubber and article thereof.
41 Raw hides and skins (other than furskins) and leather.
42 Articles of leather; saddlery and harness; travel goods, handbags and similar containers; articles of animal gut (other than silk-worm gut).
43 Furskins and artificial fur; manufacturers thereof.
44 Wood and articles of wood; wood charcoal.
45 Cork and articles of cork.
46 Manufacturers of straw, of esparto or of other plaiting materials; basketware and wickerwork.
47 Pulp of wood or of other fibrous cellulosic material; waste and scrap of paper or paperboard.
48 Paper and paperboard; articles of paper pulp, of paper or of paperboard.
49 Printed books, newspapers, pictures and other products of the printing industry; manuscripts, typescripts and plans.
50 Silk.
51 Wool, fine or coarse animal hair; horsehair yarn and woven fabric.
52 Cotton.
53 Other vegetable textile fibres; paper yarn and woven fabrics of paper yarn.
54 Man-made filaments.
55 Man-made staple fibres.
56 Wadding, felt and nonwovens; special yarns; twine, cordage, ropes and cables and articles thereof.
57 Carpets and other textile floor coverings.
58 Special woven fabrics; tufted textile fabrics; lace; tapestries; trimmings; embroidery.
59 Impregnated, coated, covered or laminated textile fabrics; textile articles of a kind suitable for industrial use.
60 Knitted or crocheted fabrics.
61 Articles of apparel and clothing accessories, knitted or crocheted.
62 Articles of apparel and clothing accessories, not knitted or crocheted.
63 Other made up textile articles; sets; worn clothing and worn textile articles; rags.
64 Footwear, gaiters and the like; parts of such articles.
65 Headgear and parts thereof.
66 Umbrellas, sun umbrellas, walking-sticks, seat-sticks, whips, riding-crops and parts thereof.
67Prepared feathers and down and articles made of feathers or of down; artificial flowers; articles of human hair.
68 Articles of stone, plaster, cement, asbestos, mica or similar materials.
69 Ceramic products.
70 Glass and glassware.
71 Natural or cultured pearls, precious or semi-precious stones, precious metals, matals clad with precious metal and articles thereof; imitation jewelry; coin.
72 Iron and steel.
73 Articles of iron or steel.
74 Copper and articles thereof.
75 Nickel and articles thereof.
76 Aluminium and articles thereof.
77 Reserved for possible future use in the Harmonized System)
78 Lead and articles thereof.
79 Zinc and articles thereof.
80 Tin and articles thereof.
81 Other base metals; cermets; articles thereof.
82 Tools, implements, cutlery, spoons and forks, of base metal; parts thereof of base metal.
83 Miscellaneous articles of base metal.
84 Nuclear reactors, boilers, machinery and mechanical appliances; parts thereof.
85 Electrical machinery and equipment and parts thereof; sound recorders and reproducers, television image and sound recorders and reproducers, and parts and accessories of such articles.
86 Railway or tramway locomotives, rolling-stock, and parts thereof; railway or tramway track fixtures and fittings and parts hereof; mechanical (including electro-mechanical) traffic signalling equipment of all kinds.
87 Vehicles other than railway or tramway rolling-stock,and parts and accessories thereof.
88 Aircraft, spacecraft, and parts thereof.
89 Ships, boats and floating structures.
90 Optical, photographic, cinematographic, measuring,checking, precision, medical or surgical instruments and apparatus; parts and accessories thereof.
91 Clocks and watches and parts thereof.
92 Musical instruments; parts and accessories of such articles.
93 Arms and ammunition; parts and accessories thereof.
94 Furniture; bedding, mattresses, mattress supports,cushions and similar stuffed furnishings; lamps and lighting fittings, not elsewhere specified or included; illuminated signs, illuminated name-plates and the like; prefabricated buildings.
95 Toys, games and sports requisites; parts and accessories thereof.
96 Micellaneous manufactured articles.
97 Works of art, collectors’ pieces and antiques. 

9. GSP Rules of Origin

1. Origin Criteria

2. Direct Consignment
The products eligible for preference must be transported direct from the preference - receiving country to the
preference - giving country under the consignment conditions prescribed by individual preference - giving
countries as indicated in the following paragraphs.