Markets in Canada
In 2003 Canada granted Tanzania made textiles & apparel duty and
quota-free access; subject to fairly “liberal” trade Rule of Origin.
Canada’s General System of Preferences (GSP) programme offers benefits
under a General Preferential Tariff (GPT), and a Least Developed Country
Preferential Tariff (LDC-PT).
Tanzania products qualify for access under
the LDC-PT scheme.
Under the GSP textile & apparel system the fabric and/or yarn used must
come from GPT countries, or from an LDC-PT state. Complete tariff relief
can be obtained if fabrics are from Canada or GPT countries.
If the
fabric is formed outside Tanzania it must meet one of the following
conditions to qualify for preferences:
The fabrics should come from an LDC-PT or Canada and be made of yarns
originating in an LDC-PT/GPT country/Canada (processing outside an LDC-PT
or Canada is restricted) Tanzania can source fabrics from a GPT country,
but yarns must originate from an LDC-PT, GPT qualifying country, or
Canada.
The value of any materials coming from outside the LDC-PT
claiming the benefit, including packaging, cannot exceed 75% of the
ex-factory price of the goods in Tanzania.