Britain has launched a plan to extend tariff cuts to hundreds of products, such as clothing and food, from developing countries, as part of London’s post-Brexit effort to create systems to replace those run by the European Union.
In June, British Prime Minister Boris Johnson said he wanted to start a new trading system to cut costs and simplify rules for 65 developing countries to replace the European Union’s Generalized System of Preferences, which applies import duties at reduced rates.
Trade Minister Anne-Marie Trevelyan said the Developing Countries Trading scheme (DCTS) would extend tariff cuts to hundreds of other products exported from developing countries, a system that, she said, goes further than the EU scheme.
“As an independent trading nation, we take back control of our trade policy and make decisions that support British businesses, help with costs of living, and support the economies of developing countries around the world,” Trevelyan said in a statement.
UK businesses can look to reduce red tape and cut costs, incentivizing companies to import goods from developing countries.
Trade in developing countries covers 65 countries, simplifies rules of origin, which specify what percentage of a product must be manufactured in the country of origin, and removes some seasonal tariffs on agricultural products in the winter.