Euratex rejects EU's proposal of changes in GSP

Brussels, May 13(ANI): The European Apparel and Textile Confederation (Euratex) has rejected the European Union Commission's proposal to implement changes in the Generalized System of Preferences (GSP).

Such changes, if implemented, would grant duty free access to Pakistan in the EU markets, The Nation reports.

Euratex said that such a move would increase the vulnerability threshold of the GSP+ from one to two percent, which might adversely affect the EU textile industry.

It said Pakistan does not need changes as it the fourth largest supplier in EU and the value of its exports had increased to more than 20 percent in 2010.

It argued that it would erode the preferences of the countries in need, in favour of a stronger and already prevailing market player.

Euratex proposed a reduction in the vulnerability threshold and an improvement in the existing textile safeguard clause in volume, to minimize the adverse affect on the textile industry. (ANI)