---
title: "Preferential Duties"
description: "A Preferential Duty Rate is lower than the normal duty rate applied to imports from third countries — i.e. lower than the Most Favoured Nation (MFN) duty rate."
language: en
canonical: https://www.flex.thisisbrew.com/glossary/preferential-duties/
lifecycle: live
dateModified: 2026-08-20T06:44:11Z
topics:
  - "Customs & Compliance"
  - "Tariffs"
  - "Customs Brokerage"
  - "Air Freight"
  - "Ocean Freight"
---

# Preferential Duties

A preferential duty rate is lower than the standard Most Favoured Nation rate. It can be claimed for qualifying goods originating in a country the importing country has a Free Trade Agreement with.

## What are preferential duties?

A Preferential Duty Rate is lower than the normal duty rate applied to the imports from third countries - i.e. lower than the [Most Favoured Nation](https://www.wto.org/english/thewto_e/whatis_e/tif_e/fact2_e.htm#:~:text=Most%2Dfavoured%2Dnation%20(MFN,for%20all%20other%20WTO%20members.) (MFN) duty rate. This lower duty may be claimed for qualifying goods originating in countries with which the importing country has a Free Trade Agreement (FTA). In order for you to claim the preferential duty rate, you usually need to submit some kind of Proof of Origin.

Back to the [full glossary](https://www.flex.thisisbrew.com/glossary/).

---

*This is a markdown version of [https://www.flex.thisisbrew.com/glossary/preferential-duties/](https://www.flex.thisisbrew.com/glossary/preferential-duties/) for AI/LLM consumption.*