US
Trade Representative at the on-going 2013 African Growth and Opportunity Act
(AGOA) in Addis Ababa, Ethiopia, US
Trade Representative Michael Froman
wants African governments to lower the cost of exporting goods to facilitate a
better trade window between it and the United States.
Froman
who the US delegation to a meeting with trade ministers and investors from 39
African countries during the African Growth and Opportunity Act (Agoa) forum
which ended Tuesday said “It’s very expensive to get Africa’s goods to global
markets.”
“Africa also needs to strengthen its regional
integration and possibly build a continent-wide free trade area,” he said.
US
officials present at the forum also want African governments invest in
infrastructure.
Froman’s
assertion came few weeks after the US indicated that it might ask African
states to reciprocate the duty and quota-free Agoa by opening up their markets
the same way they do to Asia and Europe.
At
the moment, Agoa allows African countries to export more than 4,000 product
lines to the US without quota or duty restriction.
“Obviously, there’s going to be a lot of
scepticism in the US if African countries ask for extension of Agoa beyond 2015
unless they also offer to give same preferential treatment to American goods,” Froman
said.
The
2013 AGOA Forum focused on best practices for trading under AGOA, access to
finance for women, business development, regional initiatives empowering women
entrepreneurs and use of social media to build a successful business.
AGOA enables the 39 eligible sub-Saharan
African countries to export most products duty-free to the United States. The
total African exports under AGOA have more than quadrupled since the program's
inception in 2000.
In
2012, AGOA-eligible countries exported nearly $35 billion in products to the
United States duty free under AGOA.
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