1. Introduction
Goods graduation is the suspension of preferential rates of customs duty on certain imports. These imports are highly competitive without trade preferences.
Suspensions can be applied to goods from countries in the general framework of the UK Generalised Scheme of Preferences (GSP).
An assessment to determine which goods should be graduated under the UK GSP has been conducted. Preferential tariffs on these goods will be suspended from 1 January 2023 until 11:59 pm on 31 December 2023.
The Developing Countries Trading Scheme (DCTS) is expected to enter into force in early 2023 and replace the GSP. Therefore, this goods graduation notice will only remain in place until the DCTS comes into force, at which point goods graduation will take place in accordance with the DCTS.
For further details on goods graduation under the DCTS, please see the Developing Countries Trading Scheme: government policy response.
In this notice you will find out:
- how long goods are graduated for
- which goods are graduated
1.1 Who should read this notice
You should read this notice if you are:
- based in the UK and import goods from a GSP beneficiary country
- based in a GSP beneficiary country and export goods to the UK
2. Graduation period
The goods in this notice will be graduated on 1 January 2023 until 11:59pm on 31 December 2023.This can be extended by a further notice.
3. Graduated goods
3.1 Goods originating from India
| GSP section | Description of GSP section |
|---|---|
| S-6a | Inorganic and organic chemicals |
| S-11a | Textiles |
| S-14 | Pearls and precious metals |
| S-15a | Iron, steel and articles of iron and steel |
3.2 Goods originating from Indonesia
| GSP section | Description of GSP section |
|---|---|
| S-3 | Animal or vegetable oils, fats and waxes |
| S-9a | Wood and articles of wood; wood charcoal |
4. Legislation
The legal basis for goods graduation is set out in regulation 22 and Schedule 3 of the Trade Preference Scheme (EU Exit) Regulations 2020 (SI. 2020/1438). In particular, Ground B, as described in paragraph 3 of Schedule 3 of the GSP regulations, applies.
Rules of origin for the UK’s GSP are set out in the Customs (Origin of Chargeable Goods: Trade Preference Scheme) (EU Exit) Regulations 2020 (SI.2020/1436).
