EU reopens preferential trade with Myanmar

EU reopens preferential trade with Myanmar

Published on Friday, 19 July 2013 17:20

Myanmar is set to profit from a preferential trade agreement with the European Union (EU) starting on July 19, according to an EU press release.

"This has the potential to make a huge difference to the country's economic development and to bring real benefits to the people of Myanmar," said EU Commissioner Karel De Gucht.

"The EU is also going to help Myanmar to boost the capacity of both public and private firms to make use of these new opportunities," he added.

According to that special privilege, Myanmar will gain duty-free and quota-free access to European markets under the terms of an 'everything but arms' trade agreement starting today.

The Generalised Scheme of Preferences (GSP) has allowed developing countries to pay lower import tariffs on some or all of their exports to the EU. The EU has granted GSP's to the 27 least developing nations of the world, with Myanmar now among them.

The EU suspended trade preferences for Myanmar in 1997 due to the country's violations of core international conventions on forced labour.

The EU has agreed to open its trade relations with Myanmar since President Thein Sein visited five EU countries from February 25 to March 8.

The International Labour Organisation concluded that significant achievements had been made by Myanmar although there some problems persist.

Source: http://www.news.myanmaronlinecentre.com/2013/07/19/eu-reopens-preferential-trade-with-myanmar/