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2006 AGOA Civil Society Forum
June 6-7,  Washington, DC

 

 Click to view conference video Listening to AfricaAGOA and the Reality of Financing for Small and Medium-sized EnterprisesOpening Plenary: with David Beckmann and Paul Brenton

The African Growth and Opportunity Act (AGOA), which grants duty-free access to many goods from sub-Saharan African countries, directs the President of the United States to convene an annual ministerial level forum with representatives from all AGOA eligible countries. The Act also urges the Administration to encourage a parallel Private Sector Forum and a Civil Society Forum. The location of the annual forum rotates between Washington and an African country. Previous forums have been held in Mauritius and Senegal. The forum provides an important opportunity to focus the attention of U.S. and African political leaders and other stakeholders on AGOA's accomplishments and the ways in which its performance could be improved.

The Civil Society Coalition for the 2006 AGOA Forum organized the AGOA Civil Society Forum on June 6-7, 2006. The forum consisted of a two-day program of plenary sessions, panels and workshops, including two sessions on Capitol Hill with key members of Congress and their staff.

Delegates from U.S. advocacy and development organizations, civic leaders and owners of small businesses from all over Africa attended the forum. The major theme was "The AGOA We Have" versus "The AGOA We Need." Participants examined the impact of AGOA's first five years on economic growth and poverty reduction. They agreed that several countries have benefited from duty-free access to the U.S. market, particularly in textiles and apparel, but pointed out that AGOA's opportunities could be made more meaningful.

The forum's content was shaped by analysis of the first five years of AGOA. The operating premise of AGOA is that increased US-Africa trade will translate into sustained economic growth, job creation and increased incomes. While market access is certainly important for economic growth, one of the most urgent lessons that we must take from AGOA is that market access in and of itself does not automatically lead to growth or poverty reduction. AGOA has not spurred the kinds and levels of investment needed to create capacity and expand economic activity in the rural and agricultural sector, where most poor people in Africa are concentrated.

The Civil Society Coalition agrees that AGOA must be integrated into a larger strategy that aims to unleash the entrepreneurial forces of Africa, in urban, rural and agricultural sectors and especially among women. The forum focused on the challenges facing farmers and farmers' cooperatives in their efforts to access local and regional markets. It also investigated the reality of financing and technical assistance for small and medium-sized businesses (SMEs) seeking to start up or scale up business in Africa.

"The AGOA we need would also provide commodity producers with skills-building and technical assistance," said Kwame Amoako Tuffuor, a Ghanaian delegate. Africans need financing assistance for small and medium enterprises to expand production and enhance product quality "so that the goods we supply can meet global market standards and be competitive," he added. Without this, agreed Ugandan delegate Paul Mugambwa, "AGOA's promise to help Africans eradicate poverty cannot be fulfilled."

Key questions raised included: Can AGOA be expanded beyond its focus on market access to become the "AGOA we need" or do we need to look for other vehicles? Can AGOA grow beyond its emphasis on exports and aggregate trade volumes to support African entrepreneurs at all levels, including small and medium-sized enterprises?

Civil society organizations share many of the same views on how AGOA can be improved, yet important differences do exist. Discussions are in many cases difficult and sometimes contentious. But we believe that this discussion needs to happen in order to arrive at a sober assessment of AGOA's accomplishments and its potential to foster poverty reduction and sustainable economic growth in Africa.

The forum ended with African and U.S. participants agreeing on the importance of finding concrete ways for civil society organizations on both sides of the ocean to work together and support each other in an ongoing way. The forum must be the first step in a long-term relationship between U.S. advocates and people working "on the ground" to develop small businesses and fight poverty in Africa. 

 The Civil Society Coalition for the 2006 AGOA Forum

The Civil Society Coalition for the 2006 AGOA Forum is comprised of U.S. secular and faith-based non-governmental organizations. Most coalition members operate programs in Africa. The activities of a few are focused on research, education and policy advocacy. The work of several organizations in the coalition is rooted in African-American advocacy for Africa. Most of the coalition's partner organizations have grassroots members across America.

A core group of U.S.-based civil society organizations, on behalf of the Civil Society Coalition, undertook responsibility for organizing the logistics and content of the 2006 Civil Society Forum.

The coalition is comprised of a wide variety of organizations with varying perspectives and histories of engagement with AGOA. However, the organizing principle of the coalition is the shared conviction that poverty reduction must be at the heart of U.S. policy engagement with sub-Saharan Africa. 

The goal of the forum was to facilitate discussion across a broad spectrum of civil society stakeholders on the role of AGOA in promoting sustainable growth, in both rural and urban areas, and poverty reduction.

A secondary goal was to catalyze sustained action on the part of civil society to influence policy. In addition to policy discussions the forum will include exchanges with U.S. government policymakers and a review of opportunities for advocacy on pending legislation over the coming year. Our goal is for the forum to serve as the starting point for reinvigorated civil society engagement with policy on African-U.S. economic relations.

"The AGOA we have"

Market access = economic growth = poverty reduction

"The AGOA we need"

Market access + capacity building + accessible financing = trade + poverty reduction and growth

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