• Breaking News
US House approves AGOA extension, bill heads to Senate

US House approves AGOA extension, bill heads to Senate

The United States House of Representatives has approved legislation to extend the African Growth and Opportunity Act (AGOA), the US trade preference programme for eligible African countries, until 2028.

The bill passed on Monday with 340 votes in favour and 54 against and now moves to the US Senate for approval. If passed and signed into law, the extension will preserve duty-free access to the US market for thousands of products from Sub-Saharan Africa, offering continued support to exporters and manufacturers who rely on preferential entry into the world’s largest consumer economy.

Enacted in 2000, AGOA allows qualifying African countries to export goods to the US without customs duties, provided they meet governance, rule of law, labour, and market-based reform criteria. Over the years, countries like Ghana, Kenya, Ethiopia, and South Africa have benefited, particularly in textiles, apparel, agriculture, processed foods, and manufacturing.

The programme’s time-bound nature has periodically created uncertainty, prompting calls for longer-term extensions to aid investment planning. While the House vote signals strong US legislative support, analysts note the Senate debate may revisit broader questions on modernising AGOA to reflect evolving global trade patterns.

Until the Senate completes its review, AGOA continues under its current terms, ensuring stability for African exporters.

Comments (0)

No comments yet. Be the first to comment!

Leave a Comment