The textile sector is one of the most profitable industries in Serbia and currently contributes 10% of the nation’s GDP. The success can be linked to high demand for textile products for export and increased foreign investment.
This has resulted in the establishment and growth of many businesses within the sector. According to the Development Agency of Serbia, the textile industry currently has over 1,800 companies employing more than 43,000 workers.
Being one of the best performing sectors, the Serbian government imposes import duty on fabrics to help boost revenue and protect local manufacturers from external competition.
Serbia’s Trade Agreements and How they Affect Textile Import
Serbia has signed several economic trade agreements over the years that have helped build its relationship with neighboring countries and others abroad.
Serbia is not part of the EU. However, it has signed a trade agreement that allows for the free movement of goods between Serbia and members of the EU.
The country also has free trade agreements with the European Free Trade Association (EFTA), the central European Free Trade Agreement (CEFTA), Russia, and the U.S.
The presence of these economic agreements is of great benefit to Serbia’s textile sector. This is because they allow manufacturers to freely and easily export their products within these economic blocs.
As a result, there is always a ready market for textile goods produced in Serbia. This, in turn, creates opportunities for producers of raw materials in China and other parts of the world who attempt to meet the demand.
Fabric Import Duty in Serbia
Customs duties for fabrics and related products range from 0-30% and are calculated based on the value of goods. The rates only apply to imports from countries like China, where Serbia has no free trade agreements.
Here are third-country tariff rates for some of the textile and textile apparells as defined by the Customs Administration of Serbia.
Fabric entering Serbia attract different import duty rates depending on the nature and value of the product. The customs tariff rates for all textile and textile apparel, and any other applicable laws and levies, are available on the Republic of Serbia Customs Administration website.