2009 Congressional Budget Justification
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USADF contributes to the goals of the African Growth and Opportunity Act by providing grants and technical assistance to small buisnesses and producer groups seeking to access international export markets.
What is AGOA?
The African Growth and Opportunity Act (AGOA) was signed into law on May 18, 2000 as Title 1 of The Trade and Development Act of 2000. The Act offers tangible incentives for African countries to continue their efforts to open their economies and build free markets. Since its implementation, U.S. total imports from sub-Saharan Africa have more than tripled, totaling $64.7 billion.
AGOA opens the door for Africa producers to access U.S. and foreign export markets. USADF grants provide direct support to local community producer groups and small enterprises to gain the capabilities needed to take advantage of these export oppurtunities. USADF grants provide capital resources for groups to add new management and production capacity needed to compete in a global market.
Rwanda’s Gahaya Links successfully filled a large export order for Peace Baskets from Macy’s in New York, with Hutu and Tutsi women working side-by-side in associations. (See ID #1735 for more details)
Mali’s MAM Cocktail exhibited its fruit juice drinks made from baobab, tamarind, mango, saba, and lemon fruits and hibiscus flowers at the 2007 Fancy Foods Show in New York. (See ID #1437 for more details)
Tanzania’s Marvelous Batik and Foot Loose Handicraft displayed products in booths at the compound where the U.S Presidential delegation stayed during President Bush’ February 2008 visit to Tanzania. (See ID #1633 for more details)
Botswana’s Godisha Technologies exhibited its solar-powered battery chargers for hearing aids at the “Design for the Other 90 Percent” exhibition at the Smithsonian’s Cooper-Hewitt National Design Museum. The President of Botswana visited the company’s workshop. (Click here for more details on projects in Botswana)
The Mtibwa Outgrowers Association project has achieved $10.95 million in revenue growth for small-scale sugarcane farmers in Tanzania. Two subsequent projects in the same subsector have also shown impressive results. The Kilombero and Ruembe projects have assisted over 5,400 farmers and generated a total of $15.13 million in increased sales over the baseline level. (Click here for more details on projects in Tanzania)
ADF operated in 16 sub-Saharan African nation during FY 2007 and had 249 active investments with a current value of $39.35 million.The active investment in FY 2007 produced a diverse range of export products and services; African clothing and fabrics; coffee, tea and citronella tea; fish and other seafood; fresh and dried fruits and vegetables; spices and natural flavorings; sugar; legumes, nuts, and seeds; edible oil; grains and processed African ethnic foods; hardwood furniture; hand-crafted home décor items; cattle hides and ostrich skins; paints and coatings; and ecotourism. Cumulative export sales from the 27 active investments that have produced exports were $19.49 million and the average was approximately $722,000 per project. In addition, other, recently completed projects have generated over $31 million in exports since receiving ADF financing.
The full text of the 2008 AGOA report to Congress - 2008
Comprehensive Report on U.S. Trade and Investment Policy Toward Sub-Saharan
Africa and Implementation of the African Growth and Opportunity Act - is available from the USTR as a .pdf file
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