US failing on Africa trade, investment

CAPE TOWN – Namibia on Thursday criticised the United States for low levels of trade and non-oil investment in Africa, and urged changes to laws that offered subsidies to American farmers.

“It is disappointing to note that… trade by the US non-oil sector is still very minimal,” Namibia’s President Hifikepunye Pohamba told delegates at a US-Africa investment conference.”Equally, investment from the US into Africa’s non-oil sector has been quite low if compared to those from the European Union and countries such as the People’s Republic of China.”The United States offers African countries preferential access to its market through the Africa Growth and Opportunities Act, which allows qualifying countries to export certain goods free of duties and quotas into the United States.But Pohamba said the law was not having the desired effect, and had not yielded significant increases in trade and investment, particularly due to the US stifling imports of African agricultural products and subsiding American farmers.It had taken the southern African country six years of negotiation to be allowed to export grapes to the United States under AGOA, and it was still, after two years, trying to get permission to ship meat.”AGOA has not yet yielded the desired results as far as American investment is concerned.This is despite …incentives provided by African governments to potential investments, including those from the United States,” he said.”It is my considered opinion that facilitating the access for African agricultural products to the United States market would drastically improve the livelihood of millions of African farmers and rural communities.”Namibia’s economy is based largely on mining but half of the two million people of the mostly desert nation rely on agriculture for their livelihood.Pohamba said the US should open its markets to African apparel and agri-products and should review its Farm Bill, which offered assistance to US farmers to the detriment of Africans.”The current low level of US investment in Africa’s non-oil sectors could be reversed with targeted, complementary interventions by the US public and the private sector,” he said.Nampa-Reuterstrade by the US non-oil sector is still very minimal,” Namibia’s President Hifikepunye Pohamba told delegates at a US-Africa investment conference.”Equally, investment from the US into Africa’s non-oil sector has been quite low if compared to those from the European Union and countries such as the People’s Republic of China.”The United States offers African countries preferential access to its market through the Africa Growth and Opportunities Act, which allows qualifying countries to export certain goods free of duties and quotas into the United States.But Pohamba said the law was not having the desired effect, and had not yielded significant increases in trade and investment, particularly due to the US stifling imports of African agricultural products and subsiding American farmers.It had taken the southern African country six years of negotiation to be allowed to export grapes to the United States under AGOA, and it was still, after two years, trying to get permission to ship meat.”AGOA has not yet yielded the desired results as far as American investment is concerned.This is despite …incentives provided by African governments to potential investments, including those from the United States,” he said.”It is my considered opinion that facilitating the access for African agricultural products to the United States market would drastically improve the livelihood of millions of African farmers and rural communities.”Namibia’s economy is based largely on mining but half of the two million people of the mostly desert nation rely on agriculture for their livelihood.Pohamba said the US should open its markets to African apparel and agri-products and should review its Farm Bill, which offered assistance to US farmers to the detriment of Africans.”The current low level of US investment in Africa’s non-oil sectors could be reversed with targeted, complementary interventions by the US public and the private sector,” he said.Nampa-Reuters