India hopes US will renew preference system for imports
New Delhi: India Tuesday said it hopes that the US will renew the Generalised System of Preferences (GSP) for duty-free imports from the country and the issue is "engaging their attention".
Exports to the US under GSP Form A Certificate of Indian Origin are allowed duty-free entry. Pending the GSP renewal programme, exports from India are subject to US import duties.
"It has been taken up. It will be followed up... Surely it is engaging their attention and I hope that positive view will be taken," Commerce and Industry Minister Anand Sharma told reporters here.
He said he had raised the matter during a recent meeting with the US Trade Representative.
The GSP programme helps developing countries increase exports to the US. It also aids American businesses by lowering the cost of imported goods that are used as inputs in value-added production.
CII Foreign Trade committee Chairman Sanjay Budhia said recently that the GSP renewal last time was delayed by the US by about three months.
US businesses imported USD 19.9 billion worth of products under the GSP programme in 2012, including many inputs used in American manufacturing.
Trade between India and the US was worth USD 61.35 billion in 2012-13, as against USD 58.19 billion in the previous fiscal.