Africa Growth And Opportunity Act (Agoa) And African Agriculture

AGOA directs the President of the United States to convene an annual meeting between the U.S. government and representatives of eligible African countries and to prepare an annual report to Congress on U.S. trade and investment policies with sub-Saharan Africa (SSA). Currently, Angola, Gabon, Nigeria and South Africa- accounted for the bulk (84 percent) of U.S. total imports from SSA. Since the passage of AGOA, the business climate has improved for non-agricultural exports and growth in these sectors has made relatively low direct benefits to Africa’s poor. Consequently, expanding AGOA’s application to African agriculture would have a significant impact on reducing hunger and poverty and therefore, on improving overall conditions in SSA. As a result of inadequate technology availability to increase agricultural output in order to take advantage of AGOA after meeting domestic needs, it is necessary to encourage a synergic approach to farming such as the African integrated farming system. Secondly, the paper posits that integrated agriculture will be cost effective in reducing the high cost structure of agricultural production in the SSA. AGOA should encourage and support African countries in the establishment and enforcement of effective laws, rules and regulations governing international trade and marketing. In conclusion the paper urged the U.S. government to adopt a comprehensive African policy, including a strengthened AGOA, increased development assistance, increased emphasis on agriculture and rural development, and a vigorous response to famine and civil conflicts.