CCA Leading the Way on AGOA: Road to AGOA Reauthorization: The Future of U.S.-Africa Trade and Investment

On Tuesday, June 18, the Wilson Center African Program, in collaboration with The Brown Capital Management Africa Forum, hosted the panel on the reauthorization and future of AGOA. The panel featured very distinguished guests such as the CEO and President of the Wilson Center, Amb. Mark Green; the United States Senator of Delaware, Hon. Chris Coons; the President and CEO of the Corporate Council on Africa, Florizelle Liser; President of the U.S-Africa Business Center Chamber of Commerce, Kendra Gaither; Economic Policy Advisor to U.S., Senator Chris Coons, Sam DuPont; Wilson Center Africa Program Director, Oge Onubogu; Professor at the Lagos School of Business and fellow at the Wilson Center, Patrick Utomi; and the CEO of the Schneidman and Associates International, Witney Schneidman. The panel started with remarkable remarks from Ambassador Mark Green, who emphasized the importance of the U.S.-Africa trade relationship and the necessity of modernization to tap into Africa’s vast potential with its youth, ideas, and resources endowments. He was followed by Senator Chris Coons, who gave optimistic remarks on the future of AGOA with bipartisan support in the House and Senate. Senator Chris Coons stressed the importance of partnership between the U.S. and Africa, there-modelization of AGOA to make it more inclusive and beneficial for all stakeholders, and the necessity to equip AGOA with efficient tools for the economic development of Africa. Senator Coons stressed the landmark opportunity for this AGOA renewal to align with The African Continental Free Trade Agreement (AFCTA) to unleash Africa’s full economic potential. Indeed, he welcomes the opportunity to make AGOA eligibility more rational as a stepping stone to avoid the debt trap diplomacy of U.S. rival superpowers. Senator Coons assuring remarks were followed by a very insightful discussion among the panelists, who emphasized the importance of AGOA to enhance economic development and strengthen U.S.-Africa relations. The President and CEO of CCA, Florizelle Liser, explained the difference in perspective, from an African point of view, of AGOA in Africa’s economic development with her trip to Tanzania and Eswatini. She explained how AGOA is affecting communities positively and developing new avenues for trade between the U.S. and Africa. Indeed, she emphasized the need to enhance and improve the utilization of AGOA through a synergy of efforts from all stakeholders and close collaboration with The African Continental Free Trade Area. The President of the U.S-Africa Business Center, Kendra Gaither, emphasized the landmark opportunity to increase U.S-Africa trade through digital trade as the Biden Administration has expressed a solid desire to boost digital trade with Africa. She talked about how digital trade is growing more in Africa than any other place in the world. Indeed, President Ruto’s state visit has opened massive digital trade with Kenya. Kendra Gaither also talked about the digital trade initiative (DTI), which focuses on three essential pillars: 1) digital skilling, 2) digital infrastructure, and 3) enabling environment for the prosperity of digital trade. Professor Patrick Utomi emphasized the importance of AGOA in revolutionizing African trade and the need for a pan-African payment system to reduce the cost of intra-trade. He stressed the necessity for African countries to identify their factor endowments and strategies regarding trade so they can benefit from the different tools AGOA will offer. The Economic Policy Advisor of Senator Chris Coons, Sam DuPont, gave a perspective on the renewal of AGOA and its utilization strategies. He talked about how the renewal of AGOA can be equipped with tools that can provide incentives for U.S. companies to invest in specific sectors and the development of financial incentives. Sam DuPont also stressed the need for African countries to develop their own strategies with AGOA and how it can be used as a tool for regional integration and economic development. The panelists also approached the idea of incorporating critical minerals into AGOA as they are an essential factor of endowments for many African countries and a considerable area for the expansion of AGOA.