DCTS Scheme
The Developing Countries Trading Scheme (DCTS) entered into force on 19th June 2023 and replaced the UK’s Generalized Scheme of Preferences (GSP).
You will need to establish whether your product will be arriving into the UK under preference. You can find out if your product is eligible to apply for a preferential certificate by contacting your local government office.
The DCTS is divided into three preference tiers, each offering different levels of tariff reductions:
- Comprehensive Preferences – Covers 47 Least Developed Countries (LDCs)
- Enhanced Preferences – Covers 16 LowIncome (LIC) and LowerMiddleIncome (LMIC) countries
- Standard Preferences – Applies only to India and Indonesia
From 1st January 2026 to 31st December 2028, certain goods from India and Indonesia will lose their preferential customs duty rates with the UK. This means they will be subject to the UK Global Tariff (UKGT) instead.
Key affected chapters from INDIA include (62) garments, (63) textiles, and from INDONESIA (64) footwear.
Goods that meet the DCTS rules of origin requirements are eligible to claim a lower rate of import duty on the basis of a valid proof of origin. A valid proof of origin must be:
- GSP Form A – which does not need to be stamped and signed by the DCTS country: you can submit a copy to the freight forwarder along with your other shipping documents.
- Origin declaration – depending on the trade agreement, you may only be able to use an origin declaration for consignments over £5,400 (€6,000) if you have applied for and received approved exporter status.
An origin declaration must:
- be made out on an invoice or any other commercial document that describes the goods in sufficient detail to enable them to be identified.
- include the following data elements:
- exporter’s name and business address
- date of direct shipment to the UK
- other references, for example, purchase order number
- consignee’s name and business
- purchaser’s name and address (if not the consignee)
- country of transshipment
- country of origin of the goods. If the shipment includes goods of different origins, enter details against data element on specification of commodities.
- transportation details
- terms of sale
- currency
- number of packages
- specification of commodities
- quantity
- unit price
- total price
- net weight
- gross weight
- invoice total
Example:
The exporter of the products covered by this document (customs identification No…. (1)) declares that, except where otherwise clearly indicated, these products are of …. (2) preferential origin in accordance with the rules of origin of the Developing Countries Trading Scheme of the UK and that the origin criterion met is … … ( 3 ).
(Place and date (4))
(Name and signature of the exporter)
- Enter your customs identification number if allocated.
- Enter the origin of the goods.
- Products wholly obtained: enter the letter ‘P’; Products sufficiently processed: enter the letter ‘W’ followed by a heading of the Harmonised System (example ‘W’ 9618).
- This may be omitted if included in the document itself.
Exporters providing an origin declaration must fulfil 2 conditions when creating an origin declaration:
- maintain appropriate commercial accounting records concerning the production and supply of goods qualifying for preferential tariff treatment; and
- be prepared to provide at any time, at the request of the customs or other competent governmental authority of the exporting country, all supporting documents or written statements from producers and suppliers which evidence a claim that the goods are originating.
Legislation: