Berne, 30.03.2011 - On 30 March 2011, the Swiss Federal Council (government) adopted a revised ordinance on origin rules for tariff preferences for developing countries. The revised ordinance will pave the way to an enhanced access to the Swiss market for goods from developing countries.

Like other developed countries, Switzerland grants tariff preferences to developing countries via its generalized system of preferences (GSP). Since its last revision in 2007, the Swiss GSP enables least developed countries (LDCs) to export their products tariff- and quota-free to Switzerland.

The revised ordinance is due to enter into force on 1st May 2011. It aims to boost the use of the Swiss GSP by developing countries. According to the current practice, the Swiss GSP is used up to 40% of its potential because of, among others, the complexity of rules conferring national origin to goods. In 2010, goods imported into Switzerland under the Swiss GSP amounted to 4.3 billion Swiss Francs (provisional data). They could have amounted to 10.5 billion Swiss Francs had all exporters potentially qualifying for the Swiss GSP made use of it. The softening of origin rules, as foreseen in the revised ordinance, enhances the access to the Swiss market for products from developing countries: the main modifications are a reduction in the number of specific rules and in the local value-added requested. Moreover, a large number of goods from LDCs are granted softer rules than from other developing countries.

In adopting its revised ordinance, Switzerland adapts its preferential origin rules to those which the EU adopted at the end of 2010. The similarity of these rules with those of the EU - as well as with those of Norway and Turkey - greatly facilitates the transit of products qualifying for GSP treatment on the European continent. Producers from developing countries can thus take advantage from a unified European market with respect to origin rules.