The Deputy Minister of Trade and Industry, Elizabeth Thabethe, has arrived in Addis Ababa, Ethiopia, leading a South African delegation to the 12th United States-Sub-Saharan Africa Trade and Economic Cooperation Forum. The Sub-Saharan Africa countries will use the forum to lobby for the extension of the African Growth and Opportunity Act (AGOA) beyond 2015.
Deputy Minister Thabethe said the AGOA, which is a unilateral trade preference programme that aims to extend US trade and investment with Sub-Saharan Africa, is good for all as it is stimulating economic growth and facilitating Sub-Saharan Africa’s integration into the global economy.
She said that the AGOA complements the Generalised System of Preferences (GSP).
“AGOA expands the list of products that eligible Sub-Saharan African countries may export to the United States under the GSP with Quota Free and Duty Free While general GSP covers approximately 4 600 items, AGOA and GSP combined apply to more than 6 400 items,” said Thabethe.
AGOA was signed into law by president Bill Clinton on 18 May 2000, for a period of eight years and president George Bush later extended the programme to 2015.
Deputy Minister Thabethe added that since its inception in 2000, AGOA has had a transformative effect on Africa.
“The programme has been a catalyst to US trade with Sub-Saharan Africa particularly in the energy, footwear, vehicles and parts, clothing and textiles sectors. From2001 to 2011, total trade between the US and Sub-Saharan Africa under AGOA increased by 340%”, she said.
The AGOA legislation also provides for a United States-Sub-Saharan Africa Trade and Economic Cooperation Forum, commonly known as the AGOA Forum, to be held every year alternating between Sub-Saharan Africa and the US. The Forum gives a platform for regular dialogue and consultations between Ministers responsible for trade on issues of economics, trade and investment. Thabethe said that in addition to ministerial dialogue, the forum encourages interaction between the private sector and civil society.
Today Deputy Minister will attend the ministerial dialogue chaired by Ethiopia. The Minister’s dialogue will consider a report of the senior officials meeting that was held yesterday. The meeting also acknowledged the success stories of AGOA, both on the continent and in the US.
Thabethe reiterated that today’s ministerial meeting will lobby for the extension of AGOA beyond September 2015.
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