AGOA List of Conditionalities
The African Growth and Opportunity Act (AGOA) is a trade agreement between the United States Government and African Member States. Ideally, it allows between 1,800 – 6,400 range of products from eligible sub-Saharan African countries to enter the United States market duty-free. However, this access comes with a set of stringent eligibility criteria that countries must adhere to. From the examination of the eligibility standards and recent developments surrounding the program, here are some derived rules:
1. Eligibility for AGOA (African Growth and Opportunity Act) entails duty-free access to the US market for over 1,800 products, in addition to those under the Generalised System of Preferences program.
2. AGOA eligibility is contingent upon adherence to certain conditions, including establishing or making progress towards a market-based economy, the rule of law, political pluralism, and due process.
3. Applicant countries must eliminate barriers to US trade and investment, enact policies to reduce poverty, combat corruption, and protect human rights to qualify for AGOA benefits.
4. Violations of democratic principles, such as military coups against civilian governments, or discriminatory legislation, like Uganda’s anti-LGBT laws, can lead to exclusion from AGOA.
5. Engaging with entities like the Russian-backed private military contractor Mercenary Group (Wagner) can result in disciplinary measures, including exclusion from AGOA.
6. Nations can regain AGOA eligibility by severing ties with sanctioned entities like Wagner, though this may be challenging for reasons of regime security.
7. While the US imposes human rights conditions on some countries, it may overlook abuses by autocratic regimes in other regions, leading to perceptions of inconsistency in its approach.
8. Some countries excluded from AGOA may seek alternative partnerships to mitigate the economic impact of losing access to the US market.
These rules encapsulate the key criteria, conditions, and consequences associated with AGOA eligibility.