The Generalized System of Preferences is a U.S. duty exemption program cited in 19 CFR 10.171 through 10.178. This program helps developing nations improve their economic condition through exports and provides for the duty-free importation of a wide range of products that would otherwise be subject to duty if imported from non-GSP status countries.
To qualify for this program the following conditions must be met:
(1) The product must be GSP eligible as stated in the Tariff Schedules. (2) The Country of Origin must be a designated Beneficiary Developing Country (BCD). (3) The product must be either wholly grown, produced, or manufactured in the BCD, or at time of import, at least 35% of the product’s dutiable value, must be from costs directly attributable to the BCD. (4) The product must be directly imported from the BCD to the US. (5) The U.S. Importer or his Customs Broker must request GSP treatment on the CF7501 consumption entry. (6) BCD Cost Data or Bill’s of Material must be available to support the GSP claim.
More specific information can also be obtained from Customs website at: www.customs.gov/xp/cgov/import/regulatory_audit_program/gsp.xml