US extends GSP program till end-2013

The US GSP program, which came to a temporary halt at the end of 2010 due to domestic concerns, has now been extended till the end of 2013 and the US President is expected to sign the Reauthorisation Bill shortly, recorded the Department of Commerce of Sri Lanka under the Ministry of Industry and Commerce.

The Department of Commerce is happy that the GSP program will be reinstated 15 days after the US President signs the Bill.

Once it becomes law, the Program will resume zero-duty tariff concessions to all GSP-entitled products on retrospective basis with effect from 1st January, 2011. Under the GSP Program, the US extends duty free market access for a wide range of products imported from 131 eligible developing countries, including Sri Lanka. The value of GSP-entitled exports by Sri Lanka to the US market continues to remain below US $ 200 million per year, while apparel products, the principal export item to the US market fall outside the GSP benefits.

Pneumatic rubber tires, plastic-based packing material, rubber gloves, activated carbon, coir products, certain porcelain/chinaware, rubber floor coverings, etc. are among the main Sri Lankan exports, which benefit under the US GSP program.