The United States government granted the Philippines additional $30 million in duty-free export access under the generalized system of preferences (GSP) program, the United States Embassy in Manila said on Wednesday.
US Embassy spokesman Dr. Frank Jenista told Business Times that the additional export benefits given to the Philippines is part of a $900-million GSP expansion to be accorded to beneficiary-countries under a proclamation signed July 1 by President George W. Bush. Jenista said he was not informed yet what particular Philippine product or products would be given duty-free access to the US under the GSP program.
At the Department of Trade and Industry, however, a source said the only pending petition that the Philippines has is the inclusion of pineapple juice in the GSP. The source said the government forwarded the pineapple petition to the US last year. The source said it could not be tuna or carrageenan as the Philippines is yet to forward the formal petition for the inclusion of the two exports to the US GSP list.
Reports from the US Trade Representative office said the proclamation “marks the conclusion of both the annual GSP program product review and a special review initiated to consider product requests from Argentina, the Philippines, and Turkey.â€
Bush also acted on product petitions from Bangladesh, Brazil, India, Morocco, Thailand, and Uruguay for the redesignation of their products in the GSP scheme and provided waivers for these and other countries on specific products, so that they continue to receive GSP benefits.
GSP was reauthorized last August as part of the Trade Act of 2002. Last year, imports valued at more than $17.5 billion entered the US market duty-free under this program.
The Philippines exports around $1 billion duty-free under this scheme.
The GSP program’s objective is to create trade opportunities for developing economies and to encourage broad-based economic development.
“The President’s action today provides immediate, expanded access to the US market for developing countries, and demonstrates America’s commitment to promoting economic opportunity and hope in the developing world,†said US Trade Representative Robert B. Zoellick.
Source: Manila Times