After intense discord over South Africa’s participation in the Africa Growth and Opportunity Act (Agoa)‚ the trade relationship between the country and the US is on the mend‚ with talks now under way to provide greater access for South Africa’s agricultural products into the lucrative US market.The discussions between the US and South African governments over expanding the range of South Africa’s agricultural exports that can enter the US market duty-free under Agoa, have already yielded results as the US Department of Agriculture has issued a regulation to allow South Africa to export litchis to the US.
Other “low-hanging fruit” under discussion, are avocados‚ mangoes and beef‚ assistant US trade representative for agricultural affairs and commodity policy Sharon Bomer said last week. Bomer has overall responsibility for trade negotiations and policy coordination regarding agriculture‚ and was deeply involved in the recent negotiations with South Africa on the export of US meat.
The talks were deadlocked on several occasions over South Africa’s restrictive sanitary and phyto-sanitary rules‚ which the US regarded as unnecessarily strict‚ and which placed obstacles in the way of exporting US poultry.
The looming threat of South African agricultural products losing their duty-free access to the US under Agoa if a deal was not concluded, was decisive in breaking the logjam. As a precautionary measure‚ the US administration set a deadline of March 15 for South Africa to demonstrate it was implementing the agreements.
Bomer and her delegation were in the country last week for discussions with government officials and business representatives to ensure that everything was in place to give effect to the agreement for the export of US poultry‚ beef and pork to South Africa.
She said everything was “on track” in this regard.
Trade and Industry Minister Rob Davies has often stated his ambition to negotiate greater access for South Africa’s agricultural products into the US.
Agricultural products benefiting from duty-free access to the US under Agoa, are citrus‚ wine and macadamia nuts. The export value of these products is more than R2-billion annually.
Bomer said on the sidelines of an engagement with the media, the US would like to see more South African agricultural products entering the US.
There was‚ for instance‚ a huge demand for avocados. However‚ South Africa would have to first address US concerns over sanitary and phyto-sanitary issues related to the identified agricultural products.
Department of Trade and Industry spokesman Sidwell Medupe said yesterday the first consignment of litchis had already been sent to the US.
“With regard to avocados and mangoes‚ there are discussions and technical exchanges on the pest risk analysis‚” he said.
“Discussions on avocados are more advanced than those on mangoes.”
He said the technical exchange was a normal trade process.
Meanwhile‚ the department said the ANC had directed its economic transformation subcommittee to review the trade deals South Africa had signed since 1999.
These include agreements with the European Union‚ European Free Trade Association and the Mercosur trade bloc in Latin America.
Agreements to be looked at, include the Southern Africa Customs Union and the Southern Africa Development Community free trade protocol‚ and the talks for a Tripartite Free Trade Area in East and Southern Africa.
“The aim of the review is to inform the national executive committee of all the trade agreements currently in place and assess the implications of these agreements to inform South Africa’s approach to future negotiations.
“The purpose is not to amend or end existing trade agreements‚” Medupe said.
The department welcomed the initiative‚ as it would promote broad understanding of trade deals and the market access opportunities they provided. — BDLive
US warming to more SA exports
The discussions between the US and South African governments over expanding the range of South Africa’s agricultural exports that can enter the US market duty-free under Agoa, have already yielded results as the US Department of Agriculture has issued a regulation to allow South Africa to export litchis to the US.
Other “low-hanging fruit” under discussion, are avocados‚ mangoes and beef‚ assistant US trade representative for agricultural affairs and commodity policy Sharon Bomer said last week. Bomer has overall responsibility for trade negotiations and policy coordination regarding agriculture‚ and was deeply involved in the recent negotiations with South Africa on the export of US meat.
The talks were deadlocked on several occasions over South Africa’s restrictive sanitary and phyto-sanitary rules‚ which the US regarded as unnecessarily strict‚ and which placed obstacles in the way of exporting US poultry.
The looming threat of South African agricultural products losing their duty-free access to the US under Agoa if a deal was not concluded, was decisive in breaking the logjam. As a precautionary measure‚ the US administration set a deadline of March 15 for South Africa to demonstrate it was implementing the agreements.
Bomer and her delegation were in the country last week for discussions with government officials and business representatives to ensure that everything was in place to give effect to the agreement for the export of US poultry‚ beef and pork to South Africa.
She said everything was “on track” in this regard.
Trade and Industry Minister Rob Davies has often stated his ambition to negotiate greater access for South Africa’s agricultural products into the US.
Agricultural products benefiting from duty-free access to the US under Agoa, are citrus‚ wine and macadamia nuts. The export value of these products is more than R2-billion annually.
Bomer said on the sidelines of an engagement with the media, the US would like to see more South African agricultural products entering the US.
There was‚ for instance‚ a huge demand for avocados. However‚ South Africa would have to first address US concerns over sanitary and phyto-sanitary issues related to the identified agricultural products.
Department of Trade and Industry spokesman Sidwell Medupe said yesterday the first consignment of litchis had already been sent to the US.
“With regard to avocados and mangoes‚ there are discussions and technical exchanges on the pest risk analysis‚” he said.
“Discussions on avocados are more advanced than those on mangoes.”
He said the technical exchange was a normal trade process.
Meanwhile‚ the department said the ANC had directed its economic transformation subcommittee to review the trade deals South Africa had signed since 1999.
These include agreements with the European Union‚ European Free Trade Association and the Mercosur trade bloc in Latin America.
Agreements to be looked at, include the Southern Africa Customs Union and the Southern Africa Development Community free trade protocol‚ and the talks for a Tripartite Free Trade Area in East and Southern Africa.
“The aim of the review is to inform the national executive committee of all the trade agreements currently in place and assess the implications of these agreements to inform South Africa’s approach to future negotiations.
“The purpose is not to amend or end existing trade agreements‚” Medupe said.
The department welcomed the initiative‚ as it would promote broad understanding of trade deals and the market access opportunities they provided. — BDLive
Would you like to comment on this article?
Register (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Trending Now
Latest Videos