What is GSP?

Generalized system of preferences referred to as GSP, the developed countries to developing countries exports of finished and semi finished products (including some primary products) in general, non-discriminatory, non-reciprocal tariff preferences of a system.

Under the GSP (Generalized System of Preferences) program or the preferential tariff treatment, a free or reduced duty is granted by developed countries to certain manufactured goods from the least developed countries, in order to bolster their exports and economic growth.