TRALAC - Trade Law Centre

New Ethiopia AGOA strategy in full swing

Thursday, 17 January 2019 Published: | USAID

Source: East African Trade and Investment Hub

The USAID Hub’s lead African Growth and Opportunity Act (AGOA) strategy consultant is in Ethiopia this week to gather supply-side information and conduct a sector analysis for a new Ethiopia National AGOA Strategy.

The Ethiopian government requested the Hub to provide technical assistance on the Strategy, which will set strategic actions and targets for significant growth in exports from Ethiopia to the United States by 2025.

The Hub began the strategy in October 2018 with a review of the macro-economic environment and Ethiopia’s trade performance globally and with the United States.

The Hub is now refining competitive export sectors and reviewing supply-side capacity.

The Strategy process will include stakeholder validation meetings in Ethiopia before concluding the drafting process at the end of March 2019, when the Hub will submit a completed draft to the Ethiopian government.

Ethiopia became eligible to benefit from AGOA in August 2000. A year later, Ethiopia’s textile visa program was approved enabling qualifying Ethiopian-made apparel eligible to enter the United States duty free. Ethiopia also qualified to use third-country (non-U.S., non sub-Saharan Africa) fabric to make apparel for duty-free export.

Despite this long history of AGOA eligibility, Ethiopia’s AGOA exports did not grow at the expected rate and thus the Ethiopian Ministry of Trade developed a draft AGOA national response strategy in October 2013.

The draft strategy established targets for growth of Ethiopia-U.S. trade between 2013 and 2018, identified critical actions to improve supply-side capacity, and suggested improvements to the operating environment that would enable Ethiopian exporters to take advantage of duty-free access provided by AGOA. The USAID Hub is building on this work.

 View and download current AGOA strategies here

 

View related news articles

Namibia launches AGOA strategy to increase tariff-free exports to the United States

Namibia launches AGOA strategy to increase tariff-free exports to the United States

Today, U.S. Ambassador Lisa Johnson joined Minister of Industrialisation and Trade Lucia Iipumbu to officially launch Namibia’s African Growth and Opportunity Act (AGOA) Utilization Strategy. The strategy seeks to increase Namibia’s exports under the AGOA program, which allows Namibia to export over 6,400 products tariff-free to the United States. This joint effort to...

11 May, 2021
'Changing jeans sourcing scene has these countries coming up roses'

'Changing jeans sourcing scene has these countries coming up roses'

The sourcing landscape for denim jeans is slowly but certainly shifting, while overall U.S. blue denim apparel imports continue to decline. Imports of jeans fell 7.43 percent in the first two months of the year compared to the same period in 2020 to a value of $460.25 million, expanding on a 5.36 percent year-over-year falloff in January, according to the Commerce...

09 April, 2021
Kenya, Ethiopia ahead of region in benefits of AGOA treaty

Kenya, Ethiopia ahead of region in benefits of AGOA treaty

Kenya led the East African Community members in its use of the Africa Growth Opportunity Act (Agoa) treaty, scoring 98 per cent. However, it came second to Ghana which recorded 99.1 per cent with Madagascar coming third at 93.7 per cent. According to data contained in the US Trade and Investment with sub-Saharan Africa: Recent Trends and New Developments report,...

26 May, 2020
Uganda: Government working on new AGOA strategy

Uganda: Government working on new AGOA strategy

Uganda will, before the end of April, reportedly launch a national strategy that will identify key products that Uganda can leverage on to improve its exports to US.  The strategy, whose formulation started in 2016, seeks to among others, identify five key products that can influence Uganda’s penetration into the US market.  Ms Suzan Muhwezi, the head of...

15 April, 2019
Sierra Leone to launch its AGOA response strategy

Sierra Leone to launch its AGOA response strategy

The African Growth and Opportunity Act (AGOA), an initiative of the United States Government, allows low-income countries to access the US market on very favourable trade terms.  The implementation of the new AGOA Strategy will allow Sierra Leone to benefit from duty free access to US markets when exporting products produced in the country.  The Ministry of Trade...

11 February, 2019