GSP Textile Abbreviation

Generalized System of Preference

A preferential tariff system which provides for a formal system of exemption from the more general rules of the World Trade Organization (WTO). Specifically, it's a system of exemption from the most favored nation principle (MFN) that obliges WTO member countries to treat the imports of all other WTO member countries equally, that is, by imposing equal tariffs on them, etc.