Externally, Serbia can serve as a manufacturing hub for duty-free exports to a market of 1 billion people.
It includes the European Union, the United States of America, the Russian Federation, Kazakhstan, Turkey, South East Europe, the European Free Trade Agreement members, and Belarus. This customs-free regime covers most key industrial products, with only a few exceptions and annual quotas for a limited number of goods.
Exports to the European Union market are free-of-customs according to the Stabilization and Association Agreement. For several food products (baby beef, sugar, and wine) export quantities are limited by annual quotas. Imports from the EU are pursued based on the Interim Trade Agreement, as part of the Stabilization and Association Agreement, providing for progressive abolishment of import customs duties for industrial and certain agricultural products from the EU countries by 2014.
Trade with the United States is pursued under the Generalized System of Preferences (GSP). U.S. trade benefits provide for a preferential duty-free entry for app. 4,650 products. For the full list of goods eligible for GSP treatment please log on to: www.ustr.gov
The Free Trade Agreement with Russia, signed in August 2000, makes Serbia particularly attractive to foreign investors in the manufacturing sector. Outside the Commonwealth of Independent States, Serbia is the only country possessing a Free trade agreement with Russia.
The Central European Free Trade Agreement (CEFTA) is the trade agreement between the following countries in South East Europe: Albania, Bosnia and Herzegovina, Croatia, FYR Macedonia, Moldova, Montenegro, Serbia, and the United Nations Interim Administration Mission (UNMIK) in Kosovo.
The Agreement has been in effect as of July 2007, providing companies in Serbia with an opportunity to reach the 29 million people market free-of-customs. Comprehensive Agreement’s main objectives are, inter alia, to expand trade in goods and services and foster investment by means of fair, stable and predictable rules, eliminate barriers to trade between the Parties, provide appropriate protection of intellectual property rights in accordance with international standards and harmonize provisions on modern trade policy issues such as competition rules and state aid.
For the full version of the Agreement log on to: www.stabilitypact.org