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US trade representative says there will be no immediate extension to the African Growth Opportunity Act (AGOA) facility until Congress approves.According to the Africa Economy Magazine, US assistant trade representative Florizelle Liser told African trade ministers during a consultative meeting in Mombasa, Kenya recently that the extension to the AGOA facility was dependent on a favourable response from the American Congress.She said a bill on the AGOA extension would have to be tabled before Congress.Ms Liser said "The American legislators...

A Cameroonian Business Delegation leaves the country today to join their counterparts from Ghana, Benin, Niger, Nigeria and Senegal for a two-week trade mission and training programme in Washington DC from June 12 to 20, 2004.The Trade Mission has been organised by the Graduate School of the United States Department of Agriculture (USDA) in partnership with the AGOA Training Center-Africa (ATCA) and the technical support of the Cameroonian Ministry of Industrial and Commercial Development.The Training Programme is taking place within the...

Zambian president Patrick Levy Mwanawasa has invited the Apparels Tri-Star managers to set up a similar plant in Zambia.Mwanawasa, who was accompanied by his wife and his economic adviser, Dr. Moses Banda, was yesterday guided around the Bugolobi plant by Tri-Star managing director Vellipillai Kananathan. Uganda's presidential adviser on the African Growth and Opportunity Act (AGOA), Susan Muhwezi, was there."I am very delighted with what I have seen in Uganda, especially the factory. I do invite you to come and set up the same facility in...

Congressional passage of the latest version of the African Growth and Opportunity Act (AGOA), called AGOA III, is critical to maintain the forward momentum of business-led growth in Africa, a continent that could be left behind by increased trade competition if not given the economic kick-start the bill offers, says former Assistant U.S. Trade Representative (USTR) for Africa Rosa Whitaker.Whitaker, who has often been called "Ms. AGOA" because of her tireless efforts in creating and passing the original bill in 2000 when she was a government...

Uganda could take advantage of the niche market for organic products that exists in the United States of America. The African Growth Opportunity Act (Agoa) consultant, Ms Rosa Whitaker, said last week that the market would benefit Uganda significantly because of higher average prices for organic commodities."Although, the organic industry in Uganda is in a nascent stage, Uganda is Africa's primary organic producer, with more than 100,000 hectares of certified farmland, productive coffee, cotton, pineapples, bananas, sesame, dried fruits, and...

"AGOA is in shambles" commented an African diplomat following a recent rally in the Senate that featured the rock star Bono and bevy of influential legislators. What should have been have been a shot in the arm for the passage of pending AGOA legislation instead revealed the degree to which this effort is in peril.The key aspect of the legislation is the extension of the provision that enables the less developed AGOA-eligible African countries to export to the U.S., duty and quota free, apparel containing fabric from non-AGOA countries. This...

The government has called on the United States government to relax rules on the importation of cotton and coffee and other products for Zambia's participation in the African Growth and Opportunity Act (AGOA) to be meaningful.Speaking in Lusaka recently, Commerce, Trade and Industry Minister Dipak Patel said relaxing the rules on coffee, cotton and other agricultural products would broaden Zambia's trade participation."There are a lot of rules on agricultural products, especially phytosanitary rules. The US government should consider relaxing...

(Analysis) Mauritius has failed to benefit from AGOA in sectors other than the textile and clothing industries, according to recently released trade data by the United States International Trade Commission. This data indicates that despite AGOA’s ostensibly broad product coverage, the country’s exports are still largely concentrated in the garment industry which in 2003 accounted for 90% of exports to the US. (For a disaggregated trade profile, click here). Over the first three months of 2004, this proportion crept up further to 91% of...

Ugandan producers are poised to benefit from a multi-billion dollar organic foods market in the United States following the launch of 'Uganda: The garden of Africa,' a new initiative marketing Uganda's organic products there.Emmy Olaki reports that although Uganda's organic industry is still in the nascent stage, Rosa Whitaker, a former trade assistant in the US government recently said Uganda is Africa's primary organic producer, with more than 100,000 hectares of certified farmland producing cotton, coffee, sesame seeds, dried fruit,...

So Rosa Whitaker has been at Munyonyo, where African finance ministers have been spending a lot of taxpayers' money on the pretext of looking for solutions to Africa's trade-related economic problems.Ugandans should have a special interest in Ms Rosa Whitaker; not only because she was the assistant United States trade representative to Africa when AGOA sounded like a sub-county in heaven, but also because through her company, the Whitaker Group, she was later to be employed by the Uganda government as the country's AGOA consultant, some kind...

The African Growth and Opportunities Act (Agoa) and black economic empowerment (BEE) share many common goals, the US Embassy’s economic officer, Alan Tousignant, said at the Metropolitan BEE Conference and Expo last week.Following the establishment of Agoa in 2000, discussions are currently under way, in Washington, to finalise Agoa III.Tousignant pointed out that the first part of the Act, the ‘Trade Policy for Sub-Saharan Africa’, describes the findings of Congress, and a statement of policy by Congress. These sections deal with...

Visiting US senator, Mary Landrieu has said Americans want authentic African products."People in the US want products from countries like Uganda. But they have to be of very good quality," she said.Landrieu, who represents Louisiana, made the remarks yesterday at the Phenix Logistics Uganda Limited factory at Kibira Road in Kampala. US ambassador Jimmy Kolker accompanied her.She said on return to USA, she would lobby the senate to have the African Growth Opportunity Act (AGOA) extended for a longer period.Uganda exports various materials...

UGANDA's exports to the United States have more than doubled in the last year, rising to $35m in 2003, up from $15.2m in 2002, an American consultant has said.Exports in 2001 to the US were $17.8m, Rosa Whitaker, president of the Whitaker Group, and a former assistant US trade representative for Africa said.The increase, which represents a 129% rise, she said, was because of the opportunities provided by the duty and quota-free African Growth and Opportunities Act (AGOA) which started in 2000."Uganda started late on AGOA, but we are pleased...

The much-hyped recovery of the manufacturing sector remained muted during the year, with output expanding by a mere 1.4 per cent, against 1.2 previously.And just some 11,990 workers are estimated to have landed jobs on the country's factory floors, pushing the total number employed by manufacturers to 241,754 persons. Even then, there were some bright spots like the Export Processing Zones (EPZs) which - helped by a near-captive US market under the Agoa (African Growth and Opportunity) privileges - welcomed Sh15.7 billion in new investment...

The African Growth and Opportunity Act (AGOA) Consultant Ms Rosa Whitaker has said the proposed budget cut on AGOA initiative by the committee on budget will deal a blow to the economy.The committee on budget has recommended that the AGOA budget be cut. Whitaker who was responding to questions during a press conference, which she addressed yesterday at AGOA offices in Kampala, said cutting the budget would create more unemployment for the next generation."I respect the MPs decision and the sovereignty of this country. But cutting the budget...

Amid concern that key provisions of the African Growth and Opportunity Act will expire later this year unless Congress votes an extension, supporters have issued a plea for public pressure on Congress.U.S. government estimates suggest that hundreds of thousands of current and prospective jobs in some of Africa's poorest countries are at stake. Advocates of the extension say the next few days are critical to extending the legislation in time to prevent erosion of major gains it has fostered.The legislation, popularly known as AGOA, which has...

In a remark at an Ethio-American Business Community Forum luncheon held the previous Thursday at the Hilton, Ambassador Aurelia E. Brazeal, said that she hoped to see Ethiopian entrepreneurs and the public at large significantly increase their share of the benefits from AGOA in the next couple of years. Under the AGOA textile and apparel visa arrangements, Ambassador Brazeal said, beneficiary countries can export handloomed, hand-made and folklore articles to the US but the eligible products must be determined through bilateral consultations...

Lesotho tops the African list of clothing exporters to the United States of America, US government statistics released in Maseru show. The US Embassy in Maseru released the statistics, showing that Lesotho is a major beneficiary of the US's Africa Growth and Opportunities Act (AGOA). It ranks among the largest exporters in Africa to the United States, and is Africa's eighth largest exporter to the United States. "Total exports from Lesotho to the United States grew from US322-million in 2002 to over US393-million in 2003, a 22 percent...

African economies could face serious problems if the passage of the proposed enhancement of the African Growth and Opportunity Act, or Agoa III, was delayed beyond September 30.US assistant trade representative for Africa Florizelle Liser told a House subcommittee last week the extension was needed to preserve emerging African economies. According to the Bureau of International Information Programmes of the US Department of State, chairman Ed Royce asked the subcommittee what would happen if the provision in the last Agoa bill were allowed...

Foreign buyers of local textiles under the African Growth Opportunities Act (AGOA) want the US Congress to pass the AGOA3 Bill faster."Every buyer in the US is holding back because we do not know what will happen after 2007. There is uncertainty about whether the Bill is going to be signed or not," Jack Budhrani, Apparel Tri-Star garment buyer said on Wednesday.The AGOA3 clause allows sourcing of raw materials like fabrics from third party countries for manufacturing of garments in countries benefiting from the US quota and tariff-free...

Special presidential assistant on AGOA, Susan Muhwezi is keeping her fingers crossed that the US Congress passes the AGOA III Bill which seeks to extend the overall programme from 2008 to 2015.The Bill also seeks to extend third country fabric provision for three years, from September 2004 to 2007, including a phase down of benefits in year three. The Congress is expected to approve the Bill within one to two weeks time.Under the current law, least-developed AGOA beneficiary countries can use third country fabric in qualifying apparel until...

The United States of America is in the process of extending the eligible exports products from 2008 to 2015 through the African Growth Opportunity Act (AGOA).COMESA head of AGOA Moses Simemba said in an interview in Lusaka yesterday that the bill had already been brought to congress and the hearing would be done soonHe said that the extension would address structural laws of non- eligible products such as hand made fabrics and yarn, as at the moment only machine made fabrics were AGOA eligible.He said the new agreement would make it possible...

The advisory board set up in 2002 to deal with bottlenecks in the container supply chain has notched up some major successes, co-chairperson Captain Dave Rennie said on Tuesday. When the board, drawn from government departments, parastatals and the private sector, was formed, the Durban terminal had been operating at an average 12 moves an hour, a figure which was now closer to 20. This would "ramp up" even more with the installation of planned new cranes, he told a media briefing in Cape Town. He warned however that government had to...

Mauritian Prime Minister Paul Berenger is to discuss Zimbabwe and the Africa Growth and Opportunities Act (AGOA) with US President George Bush in Washington on Wednesday, a senior official told IRIN."As Mauritius assumes the chairmanship of the Southern African Development Community (SADC) in August, Zimbabwe is one of the likely issues to be raised. The issue has been blocked for some time, with SADC countries holding a position contrary to the one held by the Commonwealth and the developed countries on Zimbabwe," Kewe Chung, an advisor to...

African economies could face serious repercussions if passage of a proposed enhancement of the African Growth and Opportunity Act known as AGOA III is delayed beyond September, Assistant U.S. Trade Representative for Africa Florizelle Liser told the House Africa Subcommittee May 11. Chairman Ed Royce (Republican of California) asked what would happen if the provision in the last AGOA bill that allows least-developed countries duty-free export into the U.S. market of apparel made with fabrics from another country were allowed to expire.Liser...

One year after Tanzania launched its export processing zones (EPZs), only three licensed operators have effectively started producing goods for export to the US under the Africa Growth and Opportunity Act (Agoa).According to the National Development Corporation (NDC), a government agency responsible for the development of EPZs, the first factory to come on line at the EPZs was Nida Textile Mills, located in Tabata Industrial Area along the Nelson Mandela Highway.The other two are Star Apparels (T) Ltd and Reclaimed Appliances Ltd, both...

Congressmen who have contended fiercely over economic and foreign policy issues this election year took turns praising a trade bill they say will help Africans grow their export sectors and lead to increased standards of living on the continent. An uncommon degree of bipartisanship as well as urgency dominated the House Ways and Means Committee as it held a "markup" or amendment hearing May 5 on H.R. 4103, The African Growth and Opportunity Act (AGOA) Acceleration Act.The committee members voted unanimously to forward the bill to the full...

There will be no reprieve for a decades-old international textile quota system that is due to wind up at the end of this year, despite pressure by US and other textile industries for an extension, a senior World Trade Organisation official said yesterday. "It's a deal that's already been done. It can't be undone," said Cheidu Osakwe, director of the WTO's textile division, in a speech to trade policy specialists in Washington. As the deadline approaches, textile industries in both rich and poor countries have become increasingly fearful...

The African continent is at a crossroads - with one path leading to economic prosperity and growth and the other leading to greater despair, hunger, conflict, disease and environmental degradation - said Representative Ed Royce (Republican of California) April 29 as he testified in support of "AGOA 3," an extension of the African Growth and Opportunity Act. The path to prosperity, Royce said, is the path of AGOA, the U.S.-Africa trade law that "has managed to draw hundreds of millions of dollars of foreign investment to the continent,...

As the Chairman of the Africa Subcommittee, U.S. Rep. Ed Royce (R-CA-40) testified at today's Ways & Means Committee Trade Subcommittee hearing focusing on the Africa Growth and Opportunity Act (AGOA). Following is his statement:.....Thank you Chairman Crane for inviting me to testify before your Subcommittee on H.R. 4103, the 'AGOA Acceleration Act of 2004.' [ Note: HR 4103 is available for download in AGOA.info's 'Legal Documents' Download Archive - see link above ] As one of its original co-sponsors, I've enjoyed working with your...

The Lesotho National Development Corporation (LNDC) is holding a conference on 14-15 May 2004 in Maseru to address the problems currently facing the textile industry. Government officials and industrialists are expected to come from Lesotho, Swaziland, Namibia, Botswana and Kenya for the conference which coincides with an international trade fair. The conference will focus on four themes: productivity, human resource management and industrial relations, compliance with customer codes of conduct and HIV/AIDS in the textile industry. While...

Remarks by Prime Minister A.T. Dlamini of Swaziland at a 'Call to Action' breakfast and press conference organized by the Agoa 3 Action Committee, a coalition supporting extension and expansion of the African Growth and Opportunity Act (Agoa) , at the Rayburn House Office Building, United States Congress. ...It gives me great pleasure to address such an august gathering that is meeting here today for a just course. In Africa, there are millions of our people who are living in poverty and their plight depends on the AGOA III passage.Ladies...

Apparel Tri-star (U) Ltd, a company exporting garments to the United States under AGOA, has recruited another 800 girls to work in its second factory."We have recruited another 800 girls for our second factory which is opening in May. Because we had limited capacity, we couldn't meet all the demand. Now, with additional labour force, we should be able to satisfy the demand in the US market, the company's chief executive officer, Villupilai Kananathan, said on Saturday.He said 470 of the 800 girls had already undergone a two-month training...

The introduction of revised labour legislation in Swaziland is expected to improve workers' rights and boost investor confidence in the tiny mountain kingdom.The Senate passed the amended Industrial Relations Act (IRA) this week, despite the royal government's ongoing suspicion that workers' unions are bent on undermining sub-Saharan Africa's last absolute monarchy.The previous IRA was a revision of 2000 legislation that had been amended by the royal council, causing a temporary suspension of trade privileges with the United States.The 2000...

Businessmen from West and Central Africa yesterday met in Yaounde to brainstorm on ways and means of stepping up action towards the implementation of the American law on trade between Africa and the United States. Organised by the AGOA. Training Center Africa (ATCA), the workshop is a veritable instrument of networking in order to better make use of the opportunities offered by the African Growth and Opportunity Act (AGOA) voted into law by the American Congress in 2000. Participants worked on an empirical theme, "AGOA in West Africa:...

After experimenting on Shea Nut Butter for over four years in northern Uganda, Lira-based oil company, Guru Nanak Oil Mills is set to explore the world market. According to Guru's executive director, Surjit Singh, the firm is targeting the American markets, whose doors have been opened by the African Growth Opportunity Act (AGOA). "There is a big market for Shea Nut Butter in the U.S.A because many natural cosmetics manufacturers prefer African Shea oil. Therefore, this project should be supported for the country to get foreign exchange,...

Mozambique, having emerged from years of instability as a result of a protracted civil war in the 1980s and early 1990s, has started making significant progress in recent years. This coincided with a gradual liberalisation of the economy, which is now attracting renewed interest from foreign investors. Foreign direct investment (FDI) inflows have been recorded in a number of sectors, including the financial sector, tourism, construction and manufacturing sectors. However, the country has thus far largely failed to penetrate the largest...

A few influential Republicans and Democrats in the US Congress are jointly urging that a provision in the Africa Growth and Opportunity Act (Agoa) trade law, crucial to Kenya, be extended for three years beyond its scheduled expiration in September.Under a new proposal known as the Agoa Acceleration Bill, Kenya and other eligible African countries could continue using Asian-made fabrics in their clothing exports to the US until 2007.Kenya's representatives in Washington are lobbying hard for this extension because the country still produces...

The World Bank called yesterday for an extension of the clothing preferences in the African Growth and Opportunity Act (Agoa). In their discussion paper on the effects of preferential access to the US market under Agoa, World Bank economists Paul Brenton and Takako Ikezuki appealed for the benefits of Agoa to be extended or made permanent.For many sectors, it is likely the current temporary and relatively short statutory period of Agoa constrains a significant investment response.SA and Mauritius were cited as examples of Agoa beneficiaries...

The strength of the rand has wiped out some of the benefits of the European Union (EU) free-trade agreement, a South African textile federation has said.The strong rand has turned the local textile and clothing industry on its head, with exports to the US market also down sharply.There have also been massive job losses due to declining exports and an influx of cheap imports .The Textile Federation (Texfed), an umbrella body of South African textile associations , said 25000 jobs were lost in the industry last year.While explaining the slump...

Export Processing Zones have developed into one of the few success stories in local manufacturing, and nowhere is this more visible than in the manufacture of apparel for export to the American market.About 40 factories - riding on the back of the tariff-free market access accorded by a special US trade law - have spawned a $164-million industry and created over 30,000 jobs.But beyond the gloss of impressive figures, there is another not-so-rosy side to the Agoa story in Kenya. It is one of poor quality jobs, the dominance by foreign...

The African Growth and Opportunity Act (Agoa) benefits should be extended over a much longer period, if not made permanent, and the special liberal rules of origin for clothing products be extended considerably beyond 2004, World Bank economists Paul Brenton and Takako Ikezuki recommend in a recent working paper. According to them, the ability to export clothing products under preferences with liberal rules of origin is the key factor currently determining whether Agoa has a significant impact on non-oil exporting African countries. At...

Inspite of the assurances by government officials to the contrary, there are strong indications that Nigeria is still far from qualifying for the African Growth and Opportunity Act (AGOA) about four years after the programme started to assist exports from Africa.AGOA was signed into law on May 18, 2000 by then US president Bill Clinton as Title 1 of The Trade and Development Act of 2000 to offer tangible incentives to African countries to continue their efforts at opening up their economies and build free markets.Dependable sources close to...

With strong leadership from Rep. Charles Rangel (D-NY), Sen. Richard Lugar (R-IN) and President Bill Clinton, Congress took a big step toward unlocking Africa's economic potential four years ago, with the enactment of the African Growth and Opportunity Act (AGOA). At the time, Congressman Rangel predicted that it would "represent substantial trade benefits for Africa ... investment in Africa, less poverty, higher disposable incomes, and the ability to become a full partner in the global economy." By 2004, AGOA had fulfilled much of its...

On April 1, 2004 a broad bipartisan coalition held a press conference in the Capitol to unveil new AGOA III legislation, titled the AGOA Acceleration Act.The legislation is championed by Representatives Bill Thomas, (R-CA), Jim McDermott (D-WA), Phil Crane (R-IL), Charles B. Rangel (D-NY), Ed Royce (R-CA), William Jefferson (D-LA), Amo Houghton (R-NY), Donald Payne (D-NJ) and Richard Neal (D-MA).The AGOA Acceleration Act, HR 4103, is closely modeled after the AGOA III Act but specifically designed to smoothly pass the Congress in quick...

"The Africa Growth and Opportunity Act Acceleration Act 2004, H.R. 4103, represents a major milestone in efforts to fight poverty and instability in Africa and help grow the region's reforming economies as markets for US goods," Rosa Whitaker, co-chair of the AGOA 3 action committee, said.Fellow co-chair Jack Kemp, founder of Empower America, was equally upbeat. "Fighting poverty and expanding markets for Africa helps create new opportunities for Americans - it's a win-win for all."The bipartisan initiative's key architects are Rep. Bill...

Despite strong bipartisan support for the extension of the Africa Growth and Opportunity Act (Agoa), there is growing angst among many African apparel producers about whether the legislation will be approved before October. The date is key, as the vital ‘third country’ textile provision is set to expire on September 30, 2004.The provision allows least-developed country-beneficiaries under Agoa, as well as Botswana and Namibia, to source textiles from non-African and non-US sources. This enables them to deal with the reality of...

Sierra Leone's Information and Broadcasting Minister, Prof. Septimus Kaikai, has called on Sierra Leoneans to use the Africa Growth and Opportunity Act (AGOA) to market locally made textiles and garments in the United States."The use of AGOA can help to fight poverty, create job opportunities, elevate wages for Sierra Leoneans and improve the country's economy." The minister made these disclosure at a special press conferences on 'Sierra Leone's Acquisition of the AGOA Textile and Garments Visa' held on Monday 5th April 2004.The Minister of...

The Government is involved in initiatives to seek an extension of the African Growth and Opportunity Act (Agoa), Trade and Industry Minister Dr Mukhisa Kituyi has disclosed.Kituyi was responding a request for a ministerial statement by Kaiti MP Gideon Ndambuki (Kanu). The member has asked what the Government was doing to beat the September 31 deadline.Ndambuki said Kenya was threatened with the risk of being struck off from Agoa if it failed to meet the September 31 deadline.The legislator also sought to have the House informed on what the...

Following the first full year of the African Growth Opportunity Act (AGOA) programme in 2001, Sub- Saharan African producers exported additional goods worth $8b to the United States.This was said by Theodore Nkodo, the vice-president of the African Development Bank's operations in the north, east and south.Nkodo said the growth represented a 62% increase over the previous year.He said this at a recently concluded Africa conference on food security at Munyonyo.Nkodo said as a result of AGOA, USA now trades more with Africa than former Eastern...