A product that is covered by the AGOA preference scheme (when it has the special program indicator 'D' or falls into one of the textiles and apparel categories) will benefit from duty-free AGOA preferences provided that such product is the

• ‘growth or manufacture’ of an AGOA beneficiary country (i.e. fulfils the origin requirements), and

• is shipped directly from the AGOA beneficiary to the US (transits through other countries are acceptable, but such products may not enter the commerce of any third country).

Being the growth or manufacture of a beneficiary country means that the product must have been produced exclusively, or through a process of substantial transformation (any non-originating materials used before being able to be counted as local content) in the AGOA beneficiary. These provisions are known as the Rules of Origin (see related KB article here).

This is to avoid situations whereby goods are sourced from other, third countries, and then transshipped to the US through the territory of an AGOA beneficiary (claiming to be a locally-made product) to benefit from the available preferential import status. The rules of origin are also intended to ensure that a meaningful economic activity still takes place in the beneficiary country.  

Under AGOA, two broad sets of RoO apply: for apparel (and textile) goods, and for other (non-apparel) goods. The specific criteria for each of these two product group are set out in another Knowledge Base section below. 

You can also view a Guide on the AGOA Rules of Origin at this link.