Trade & Industrial Policy Strategies (TIPS) invites you to a hybrid Development Dialogue on South Africa in the African Growth and Opportunity Act (AGOA): Impact and Renewal
Wednesday 26 June at 09:30 – 11:00 AM (SAST)
TIPS Dialogues bring together academics, policymakers, civil society organisations, workers, and practitioners to discuss important issues and share ideas on industrial policy.
PRESENTATIONS
- Saul Levin (TIPS) – Presenting South Africa In AGOA: Impact, Potential and the Case for Renewal Paper by TIPS and COSATU
- Faizel Ismail (Director of the Nelson Mandela School of Public Governance) – The Politics of Trade and South Africa
MEDIA
South Africa continues to push for long extension to Agoa well ahead of 2025 expiry - Polity 26 June 2024
RESEARCH REPORT
SOUTH AFRICA IN AGOA: IMPACT, POTENTIAL AND THE CASE FOR RENEWAL
BACKGROUND
This Development Dialogue will unpack South Africa and the United States’s African Growth and Opportunity Act (AGOA). Since being signed into law in 2000 and subsequently renewed, the Act has offered preferential access to the US market for most African countries, including South Africa.
In 2022, preferential access under AGOA has according to a TIPS and Cosatu report helped South African exporters avoid US$116 million in tariffs. While these savings are relatively small compared to South Africa’s US$14,5 billion in total exports to the US, they nevertheless play an important role for key sectors such as automotives, petrochemicals, citrus, wine, and a range of others – with 59% of manufacturing exports and 75% of agricultural exports entering the US market on a preferential basis, AGOA gives South African exports a competitive edge.
Yet despite some positive impact of AGOA, the trade measure has often failed to live up to a core objective of driving the development in a diverse range of value-added exports from Sub-Saharan Africa, and supporting the creation of quality jobs in the region. While the market access offered by AGOA is beneficial, it remains difficult for many African countries to benefit from preferences that require strong existing productive capacity. These underlying challenges have been aggravated by continued uncertainty on the renewal of AGOA. .
With AGOA’s 2025 expiry and possible renewal close on the horizon, South Africa’s continuation in the programme has been questioned.
TIPS Dialogues bring together academics, policymakers, civil society organisations, workers, and practitioners to discuss important issues and share ideas on industrial policy. TIPS is partnering with the Department of Trade Industry and Competition (the dtic).
ABOUT THE SPEAKERS
Moderator
Nokwanda Maseko is a senior economist at TIPS. Her work is at the intersection of industrial policy, gender and the just transition. She previously worked as a Budget Analyst at the National Treasury, and as an Assistant Director for Industrial Policy at the Economic Development Department.
Presenters
Saul Levin is the Executive Director of TIPS since 2014. He has a PhD in Development Studies from the University of Johannesburg, with his thesis on industrial financing. Saul has held senior posts in several government departments.
Faizel Ismail is the Director of the Nelson Mandela School of Public Governance where he teaches courses on global governance, trade law and trade policy. He has a PhD in Politics from the University of Manchester. He previously served as the chairperson of the International Trade Administration Commission (ITAC). He has served as the Ambassador Permanent Representative of South Africa to the World Trade Organization (WTO) (2010-2014).
Tanya van Meelis is the Head of the Policy Unit and the Labour Market Policy Coordinator at the Congress of South African Trade Unions (COSATU). Tanya is an accomplished businesswoman and has served in various roles such as Chief Economist at the Economic Development Department and Acting Deputy Director General at the Transformation and Competition unit at the Department of Trade, Industry and Competition (the dtic)
Malose Anthony Letsoalo currently serves as Chief Director: Bilateral Trade Relation – Rest of the World in the Trade Branch of the dtic. In this position, Malose is responsible for bilateral trade relations between South Africa and all foreign countries outside the African Continent, that is with Americans, Asia, Europe, and Middle East. Prior to this position, Malose served as Minister: Economic at the Embassy of South Africa in Washington DC.