GOVERNMENT should be more aggressive in promoting products for exports to the United States of America in order to achieve national economic growth, a recent Bank of Namibia (BoN) research paper has recommended.
Currently under the African Growth and Opportunity Act (Agoa), Namibia’s exports to the US include products such as textiles and apparel, minerals and metals, fish, chemicals and related products, energy-related products, machinery and electronic products. The way forward, it was revealed to those who gathered at a BoN seminar held in Windhoek on Tuesday, was to have strategies to strongly market and promote products that have already gained access into the US market.Since Agoa came into effect in 2001, the country’s exports to the United States increased significantly from US$57,4 million in 2002 to US$238,2 million in 2004.However BoN researchers Vitalis Ndalikokule, Ben Biwa and Esau Kaakunga believe that more could be done in terms of penetration into the huge US market by local products.Ndalikokule said the Ministry of Trade and Industry should take into account global events currently taking place in the textile industry – with China flooding the international market – and which are threatening the survival of smaller countries.He said when promoting investment in the textile and garment sector, the Ministry of Trade and Industry should be ‘cautious about the events that are taking place in the textile industry worldwide’.It was also recommended that the same ministry tries to vigorously promote the export of value-added minerals and base metals to the US, adding that polished diamonds, zinc, and processed marble products currently hold a significant potential in improving export earnings.The case of value addition also came up, with the researchers saying it would be best for Namibia if companies that are cutting and polishing diamonds locally were encouraged to increase exports of their finished products to the US market.Biwa acknowledged that the US had become an important market for the country, adding that even after Agoa rounds off in 2015, Namibia should be able to export various products there.The Ministry of Agriculture, Water and Forestry was challenged to work out a programme to get technical assistance so that Namibia is able to meet the strict US export plant and animal health requirements.”In this regard, Namibia could borrow a leaf from South Africa which made resources available by retaining the services of a US consultant to assist with work toward meeting the US sanitary and phyto-sanitary requirements,” read the recommendations, adding that such a move would fast track the export of agricultural products to the US through Agoa.Agoa is a non-negotiable, unilateral agreement by the US with a view to benefit selected sub-Saharan African countries through enabling the qualifying countries to have tariff-free access to the US market.The overall programme ends in 2015, but preferential treatment for textiles ends in 2007.The way forward, it was revealed to those who gathered at a BoN seminar held in Windhoek on Tuesday, was to have strategies to strongly market and promote products that have already gained access into the US market.Since Agoa came into effect in 2001, the country’s exports to the United States increased significantly from US$57,4 million in 2002 to US$238,2 million in 2004.However BoN researchers Vitalis Ndalikokule, Ben Biwa and Esau Kaakunga believe that more could be done in terms of penetration into the huge US market by local products.Ndalikokule said the Ministry of Trade and Industry should take into account global events currently taking place in the textile industry – with China flooding the international market – and which are threatening the survival of smaller countries.He said when promoting investment in the textile and garment sector, the Ministry of Trade and Industry should be ‘cautious about the events that are taking place in the textile industry worldwide’.It was also recommended that the same ministry tries to vigorously promote the export of value-added minerals and base metals to the US, adding that polished diamonds, zinc, and processed marble products currently hold a significant potential in improving export earnings.The case of value addition also came up, with the researchers saying it would be best for Namibia if companies that are cutting and polishing diamonds locally were encouraged to increase exports of their finished products to the US market.Biwa acknowledged that the US had become an important market for the country, adding that even after Agoa rounds off in 2015, Namibia should be able to export various products there.The Ministry of Agriculture, Water and Forestry was challenged to work out a programme to get technical assistance so that Namibia is able to meet the strict US export plant and animal health requirements.”In this regard, Namibia could borrow a leaf from South Africa which made resources available by retaining the services of a US consultant to assist with work toward meeting the US sanitary and phyto-sanitary requirements,” read the recommendations, adding that such a move would fast track the export of agricultural products to the US through Agoa.Agoa is a non-negotiable, unilateral agreement by the US with a view to benefit selected sub-Saharan African countries through enabling the qualifying countries to have tariff-free access to the US market.The overall programme ends in 2015, but preferential treatment for textiles ends in 2007.
