Uganda Among Three African Countries To Be Removed From Agoa Trade Deal

US President Joe Biden has unveiled plans to expel Uganda, Gabon, Niger, and the Central African Republic (CAR) from the African Growth and Opportunity Act (Agoa), a special US-Africa trade initiative.

The move is attributed to the nations’ involvement in “gross violations” of human rights or the absence of progress toward democratic governance.

Agoa, initiated in 2000, offers duty-free access to the US for over 1,800 products for eligible sub-Saharan African countries.

President Biden asserted that Niger and Gabon, currently under military rule following coups this year, were ineligible for Agoa due to their lack of progress in establishing political pluralism and the rule of law. Removal of the CAR and Uganda from the program was attributed to “gross violations of internationally recognized human rights” by their governments.

Earlier this year, the US considered excluding Uganda from Agoa and implementing sanctions after Uganda enacted a contentious anti-homosexuality law, which included the death penalty for certain same-sex acts.

“Despite intensive engagement between the United States and the Central African Republic, Gabon, Niger, and Uganda, these countries have failed to address United States concerns about their non-compliance with the Agoa eligibility criteria,” stated President Biden in a letter to the speaker of the US House of Representatives.

The four countries are yet to respond to the announcement, which coincides with South Africa hosting the 20th Agoa forum this week.

Their removal from Agoa will take effect at the beginning of next year and is likely to have economic consequences, as Agoa is credited with boosting exports, economic growth, and job creation in participating countries.

The CAR is expected to be the least affected, with only $881,000 (£722,300) in US exports in 2022, compared to imports worth $23 million from the US.

US data also shows that Uganda exported $174 million worth of goods to the US last year, while Gabon and Niger recorded US exports of $220 million and $73 million, respectively.

Ugandan President Yoweri Museveni reported that several American companies had already ceased importing textiles from Uganda due to the anti-homosexuality law. Additionally, he banned the importation of second-hand clothes in August, which was seen as targeting the US, a significant supplier of used garments to Uganda and other African nations.

Furthermore, the US government has taken action against Niger and Gabon, which are both led by juntas. The US State Department recently suspended most foreign aid to Gabon, intending to restore assistance only once democratic governance is established by the transitional government. In August, the US Secretary of State Antony Blinken announced a similar measure against Niger, temporarily halting certain foreign assistance programs benefiting the government of Niger.

Burkina Faso, Mali, and Guinea have previously been removed from Agoa following military coups in those nations.

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