Agoa favours Africa in face of Asian onslaught

ALAN PEAT
THE TINY landlocked kingdom of Lesotho has become sub-Saharan Africa’s largest textile and clothing exporter to the US under the African Growth and Opportunity Act (Agoa).
The trade law centre of Southern Africa (tralac) told FTW that US trade representative Robert Zoellick commended the country for achieving this position in his recent meeting with Lesotho prime minister, Pakalitha
Mosisili, to discuss how to speed up regional free trade negotiations.
Despite the impending onslaught from Chinese textile manufacturers, Zoellick indicated to the press agency AFP that Lesotho had an edge over the Asian onslaught.
“Agoa gives an advantage to Lesotho and other countries in sub-Saharan Africa,” he said, “because they pay zero tariffs, when the other countries that are not part of that system
pay tariffs ranging from 10%-20%.”