The Generalized System of Preferences (GSP) is a preferential tariff system that provides tariff reduction on various products. It is a trade program that provides nonreciprocal, duty-free treatment for certain U.S. imports from designated beneficiary countries and territories. The GSP promotes economic development by eliminating duties on thousands of products when imported from one of 119 designated beneficiary countries and territories. The program was established by the Trade Act of 1974 and implemented on January 1, 1976. The GSP program provides additional benefits for products from least developed countries. The eligibility of goods for duty-free entry under GSP depends on whether they are wholly the growth, product, or manufacture of, or a new or different article of commerce that has been grown, produced, or manufactured in, a beneficiary developing country. The GSP program imposes quantitative ceilings called Competitive Need Limitations (CNLs) on GSP benefits for all tariff items and beneficiary developing countries. The GSP has been criticized for not being completely generalized with respect to products, and for benefiting richer developing countries more than low-income developing countries lacking natural resources. However, supporters note that GSP has benefited developing countries unevenly, but it has not failed to benefit them.