BAKU, Azerbaijan, Dec. 6
By Klavdiya Romakayeva - Trend:
Obtaining the status of the beneficiary "GSP +" by Uzbekistan will ensure sustainable growth and diversification of the range of export products in the country, increasing the number of commodity items that Uzbek manufacturers will be able to export to the EU countries to 6200, Trend reports referring to uzdaily.uz.
Together with Uzbekistan’s Ministry of Foreign Affairs and the Ministry of Innovations and Foreign Trade, bilateral negotiations are constantly being held with potential buyers and trade networks in order to diversify the export of textile products to the countries of the European Union.
One of the important factors in increasing the export of textiles is the GSP + regime, in which Uzbek textile products can seriously compete with other textile goods of other countries.
Until now, Uzbekistan has used the GSP regime, which allows exporting 3,000 goods to the EU without customs duties and 3,200 items at reduced rates. Under the GSP status, customs rates for textile products from Uzbekistan ranged from 4 to 12 percent.
The essence of the GSP (Generalized System of Preferences) consisted in reducing or abolishing tariff rates for certain types of goods produced in developing countries and imported by developing countries into developed countries.
The European Commission on November 30 of this year made an early decision on the application of Uzbekistan for obtaining the status of the beneficiary of "GSP +".
After the adoption of the decision, Uzbek producers and exporters will be able to start using unilateral tariff preferences when exporting their goods to the European market. At the same time, the number of commodity items that Uzbek manufacturers will be able to export to the EU countries will grow to 6200.
According to experts, under the GSP + preferential trade regime, the expected export volume of textile products at the initial stage will account for $300 million, with a subsequent increase to $1.2 billion by 2025.
Currently, Uzbekistan exports over $2.1 billion worth of textile products. Most of the exported products go to the markets of the CIS countries, Turkey and China, and only $60 million falls on the EU countries.
Exports to the EU countries at the end of 2019 amounted to $56.7 million, and for 10 months this year it amounted to $62.5 million.
"We expect that soon the interest of European countries in cooperation will increase, since with the receipt of the GSP + status, Uzbek textile products will increase their competitiveness," the statement says.
According to information, obtaining the status of the beneficiary of "GSP +" by Uzbekistan will create a solid foundation for domestic manufacturers-exporters of textile products, which will subsequently allow for sustainable growth and diversification of the range of export products, which will also serve the dynamic development of mutually beneficial trade relations with the countries of the European Union in the textile industry.
Potential partners include brands such as H&M, ZARA, Pimkie, Fred Perry, PULL & BEAR, Bershka, Stradivarius, Mango and many other companies.
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