Indonesian wood product exports to the EU are to receive tax breaks under a preferential import tariff scheme designed to assist developing countries.
For Indonesia “wood and articles of wood” are included in the Generalised System of Preferences scheme for 2009-2011.
Wood products will not be subject to the the import tarriff of 3-6%, while plywood and other panel products will see the tax reduced by 3.5%.
Tariffs can be re-established automatically if a country’s product performance on the EU market reaches a certain threshold making it competitive.
“GSP is a vital tool of our pro-development EU trade policy,” said EU trade commissioner Peter Mandelson.
“The continuation of GSP will ensure stability and predictability for beneficiaries and traders in the EU and developing countries.”
