Guinea-Bissau

Guinea Bissau is a beneficiary of the EU's "Everything but Arms" (EBA) scheme for least developed countries. The World Bank classifies the country as a low-income economy with a per-capita income of $ 820 in 2022. Guinea Bissau does not take much advantage of the preferences granted by the EBA. In 2022, preferential imports amounted to € 582.000, 13% of overall EU imports.

What is the EBA?

The “Everything but Arms”(EBA) scheme is a permanent arrangement covering Least Developed Countries (LDC’s) as classified by the United Nations. This arrangement enables duty-free and quota-free access for all products (7200 products in total) originating in LDC’s except for arms and ammunition. Different from the Standard GSP and GSP+, LDC’s are not excluded from the scheme if they benefit from other preferential arrangements.

Guinea-Bissau flag

At a glance: EBA beneficiaries' preferential imports to the EU

group

2,10 M

Population

account_balance
Semi-Presidential Republic

Government

trending_up

3.50%

GDP Growth

equalizer

3.00%

Inflation

money

$ 1,63 B

GDP

43 -

Freedomhouse index

- -

ITUC Global Rights Index

40.2 ^

Environmental Performance Index

Facts about Guinea Bissau's economy

Export Products

Guinea Bissau's top export products are cashew nuts, gold, tropical woods, frozen fish, sesame seeds and cotton.

Cashew Production

Guinea Bissau is the world’s sixth largest producer of cashews and the second largest producer in West Africa. The Cashew sector is one of the cornerstones of the country’s economy.

Trade Partners

India, the EU and Senegal account for the largest share of Guinea Bissau's trade (almost 80%). The most important export markets for products from Guinea-Bissau are India (82.2%), Ghana and Togo.

Economic Structure

The economy is based mainly on agriculture which contributes about 50% to the country's GDP and supports the livelihood of about 80% of the population. Industrial activity so far is limited to a number of small-scale operations mainly in the area of agricultural processing and beverages.

Usage of EBA Preferences

About 13% of EU imports from Guinea Bissau make use of EBA preferences. While the country has not made use of its preferential access between 2014 and 2017, the country started again to benefit from the scheme in 2018 and peaked 88.2% in 2022.

Trade with the EU

Total trade with the EU summed up to € 195 million in 2022. The EU is the second most important trading partner for Guinea Bissau and accounts for almost 29.8% of overall trade. More than 51% of imports originate from the EU while only 0.7% of exports go to the European market.

Guinea Bissau and the EU (2022)

Imports from Guinea Bissau by product section

Imports from Guinea Bissau over time (in € m)

GUINEA BISSAU AND THE EU’s GSP

Economic Impact

15%

About 15% of Guinea Bissau's exports to the EU market are eligible for preferences granted by the EU's EBA arrangement.

88.20%

With a preference utilisation rate of 88.2%, Guinea Bissau takes good advantage of its preferential access to the European market.

Preference utilisation and export diversification

Guinea Bissau's imports to the EU

Preference Utilisation vs. total eligible imports

Guinea-Bissau’s preference utilisation rate is traditionally rather low as only a fraction of the total EU imports is eligible for EBA preferences. In 2022, however, the PUR jumped to 88% which can mainly be attributed to a substantial increase in exports of agricultural products in recent years. Agricultural exports remain the only product section in which EBA preferences are being used.

The largest product sections under EBA

Agricultural products, predominantly fats and fruits, account for the majority of EU imports from Guinea-Bissau. The graph indicates that despite a low level of eligibility, economic operators could make better use of EBA preferences. Likewise, this graph indicates the low level of diversification of Guinea-Bissau’s economy and its high dependency on nuts, fruits and vegetables.

SUSTAINABLE DEVELOPMENT

The preferential access to the EU market granted by the EBA scheme is not bound to the ratification of international conventions. Nevertheless, Guinea Bissau maintains a very high level of ratification and has ratified 14 out of 15 core international conventions that protect human and labour rights. In addition, Guinea Bissau has ratified 8 international conventions on the protection of the environment and 4 good governance conventions.

Core international conventions on human rights and labour standards

Ratified

  • Convention on the Prevention and Punishment of the Crime of Genocide (1948)
  • International Convention on the Elimination of All Forms of Racial Discrimination (1969)
  • International Covenant on Civil and Political Rights (1976)
  • International Covenant on Economic Social and Cultural Rights (1976)
  • Convention on the Elimination of All Forms of Discrimination Against Women (1981)
  • Convention Against Torture and other Cruel, Inhuman or Degrading Treatment or Punishment (1987)
  • Convention on the Rights of the Child (1990)
  • Convention concerning Forced or Compulsory Labour, No 29 (1930)
  • Convention concerning the Application of the Principles of the Right to Organise and to Bargain Collectively, No 98 (1949)
  • Convention concerning Equal Remuneration of Men and Women Workers for Work of Equal Value, No 100 (1951)
  • Convention concerning the Abolition of Forced Labour, No 105 (1957)
  • Convention concerning Discrimination in Respect of Employment and Occupation, No 111 (1958)
  • Convention concerning Minimum Age for Admission to Employment, No 138 (1973)
  • Convention concerning the Prohibition and Immediate Action for the Elimination of the Worst Forms of Child Labour, No 182 (1999)

Not Ratified

  • Convention concerning Freedom of Association and Protection of the Right to Organise, No 87 (1948)

Additional Conventions

  • Convention on International Trade in Endangered Species of Wild Fauna and Flora (1973)
  • Montreal Protocol on Substances that Deplete the Ozone Layer (1987)
  • Basel Convention on the Control of Transboundary Movements of Hazardous Wastes and Their Disposal (1989)
  • Convention on Biological Diversity (1992)
  • The United Nations Framework Convention on Climate Change (1992)
  • Cartagena Protocol on Biosafety (2000)
  • Stockholm Convention on persistent Organic Pollutants (2001)
  • Kyoto Protocol to the United Nations Framework Convention on Climate Change (1998)
  • United Nations Single Convention on Narcotic Drugs (1961)
  • United Nations Convention on Psychotropic Substances (1971)
  • United Nations Convention against Illicit Traffic in Narcotic Drugs and Psychotropic Substances (1988)
  • United Nations Convention against Corruption (2004)

EU-Guinea Bissau Bilateral Development Assistance

DG INTPA

Access all info about EU-Guinea Bissau relations on the International Partnerships website: https://international-partnerships.ec.europa.eu/countries/guinea-bissau_en

Opportunities in Guinea-Bissau

  • Guinea-Bissau has unexploited potential for further exploiting of its mineral resources, including phosphates, bauxite, and mineral sands
  • Guinea Bissau has a favourable climate and soil to expand its cultivation of cash crops, fruit, and vegetables to diversify from the cultivation of cashews

Contact points