Good opportunities for exports to EU

GSP is a system of tariff preferences granted unilaterally by the EU to products originating in developing countries. Duty is reduced or scrapped completely. The least developed countries enjoy duty-free access for virtually all their exports. Myanmar is classified as a “Least Developed Country” (LDC) by the United Nations.

Khine Khine Nwe from Myanmar Garment Manufacturers Association said: “Our new government is changing its policy and EU wants to invest in the garment sector. Myanmar was suspended from GSP standard in 1997 and Myanmar exports did not have duty-free access to EU markets. Now, we have heard that the EU will reinstate GSP for Myanmar. This would really help our business.”

A fisheries exporter, Toe Nandar Tin, of Anarwar Daiwee Fisheries Enterprise, said: “If we have GSP, it’s better. I think Thailand has that system but it will expire this year. If that happens, they will export their products from here. It is the same way with us. We have people who have established fisheries products factories in Thailand.”

Myanmar fisheries exporters are trying hard to reach EU standards but the EU levies duty on Myanmar fisheries products. Myanmar has 13 fisheries products factories that meet EU standards while the rest are trying to attain the EU standards. 

Tun Aye, secretary of Myanmar Fisheries Products Processors and Exporters Associations, said “I heard that we have GSP but currently that system has not yet affected our exporters.’’

Exporters and importers who have registered with the Ministry of Business and Commerce can have export licence and can apply for GSP if their export products are in the GSP list of their respective countries.

Myanmar will have duty-free access and sanctions will be eased, the EU announced on September 17.

As the world recognises the current changes in the Myanmar political, social and labour fields, the EU has reinstated its duty-free scheme.