The United States Senate passed legislation to extend duty-free access to the US for African countries, namely the African Growth and Opportunity Act (AGOA), on 14 August.
“I am very glad that we have found a way to get them to this point,” declared US Senate Finance Committee Chairman Orrin Hatch.
AGOA expands upon the US Generalised System of Preferences (GSP), a set of formal exceptions from the WTO’s most-favoured nation (MFN) principle, which allows developed countries to offer developing countries preferential treatment on specific goods. The current version of AGOA is due to expire on 30 September.
The Bill, passed last week with a majority support, includes the renewal of several trade preference programmes: the Generalized System of Preference – which had expired since July 2013 – will now be renewed through 31 December 2017; the AGOA, including the third-country fabric (TCF) provision and preferential duty treatment programme for Haiti, will be extended until 30 September 2025. Read more. Source | Brookings