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What are the merits of Agoa?

The 大象传媒's Lerato Mbele sat down with Rob Davies, SA's minister of trade and industry.

Last year, the trade treaty known as the Africa Growth and Opportunity Act (Agoa) was renewed for the 39 African states that qualify for it.

But there was one exception - South Africa.

US lawmakers were questioning whether South Africa was eligible for the benefits of Agoa - benefits such as duty-free and tax-free access into the Americam market. The basic argument was that South Africa is a middle-income economy with modern industries that are able to compete with American manufacturers. South Africa's participation in Agoa hinged on a category of agricultural products - mainly meat and poultry. In January 2016, President Obama told South Africa it would only qualify for Agoa if it removed protective measures on the imports of US beef, chicken and pork.

In order to discuss the merits of Agoa, the 大象传媒's Lerato Mbele sat down with Rob Davies, South Africa's Minister of Trade and Industry and asked him whether American products could flood the local market and destroy the local poultry industry.

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8 minutes