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US looks to Sub-Saharan Africa for food exports after record year

US looks to Sub-Saharan Africa for food exports after record year
Published date:
Wednesday, 23 September 2015
Author:
Dana Sanchez

Sub-­Saharan Africa is one of the fastest ­growing regions for U.S. agricultural exports and a high-ranking U.S. official plans to visit the area to make sure the growth stays on course, but a lingering disagreement with South Africa is causing complications, GlobalMeatNews reports.

2014 was a record year for U.S. poultry meat and prepared food exports to sub-Sahara, according to the U.S. Department of Agriculture.

Surging demand, a growing middle class and a strong economic outlook is helping drive the demand, according to GlobalMeatNews. U.S. agricultural exports to sub-Sahara increased by more than 50 percent in the past decade.

In 2014, U.S. agricultural exports totaled $2.3 billion to the region.

Top sub-­Saharan Africa markets for U.S. agricultural and related products in 2015 included Nigeria ($883 million), Angola ($300 million) South Africa ($298 million), Ghana ($151 million), Kenya ($87 million) and Ethiopia ($83 million), GlobalMeatNews reports.

Krysta Harden, U.S. Deputy Secretary of Agriculture, plans to visit Accra, Ghana, in November to spread the word. U.S. companies can apply to go.

A disagreement between the U.S. and South Africa over the African Growth and Opportunities Act (AGOA) is complicating exports, according to GlobalMeatNews.

Certain African countries can export to the U.S. duty ­free. When AGOA was renewed earlier in 2015, South Africa agreed to lift the 15­-year ban on U.S. bone-­in chicken imports, imposed to prevent the U.S. exporting vast quantities of poultry and undercutting domestic producers.

More than three months after the deal was signed, the U.S. still can’t export its poultry to South Africa and with an avian flu ban in place, there’s no sign this will change.

U.S. trade representative Michael Froman threatened earlier this month to suspend South Africa from AGOA. “Without swift action, South Africa risks losing important tariff benefits under AGOA,” he said.

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