1. Key Opportunities and Constraints for Improved U.S. Trade and Investment with Africa Presented by: Cargill Technical Services, Inc. African Coalition for Trade, Inc. Africa-U.S. Trade Services, Inc. Sponsored by: U.S. Agency for International Development (USAID) Under the Africa Trade and Investment Policy Project (ATRIP) January 14, 2003

4. U.S. - Africa Trade Status Setting the Stage

6. U.S. SSA Imports by Major Commodity Source: International Trade Commission data from AGOA website. 53% 21,060 22,213 13,750 Total -67% 1 1 3 Footwear -5% 53 58 56 Electronic products 10% 109 97 99 Misc. manufacturers 8% 119 141 110 Forest products 105% 263 178 128 Machinery 27% 268 217 211 Special provisions 99% 400 185 201 Transportation equipment -22% 660 1,454 849 Chemicals & related products 0% 836 875 833 Agricultural products 60% 998 789 622 Textiles and apparel 17% 3,082 3,201 2,638 Minerals and metals 14,271 15,016 8,001 Energy related products 2001 2000 1999 $ Millions

8. Growth in Non-Energy Duty-Free Trade 2000 vs. 2002 ($ million)

9. Growing U.S. Apparel Imports from SSA 33% 218.5 2001 Source: African Coalition for Trade, Inc. 15% 250.0 2002 28% 164.2 2000 128.2 1999 (million sq. meters % Increase Imports U.S. Apparel Imports from Sub-Saharan Africa

10. U.S. Agricultural Imports: Total and SSA Source: Provided by African Coalition for Trade

11. U.S. Trade with Six Selected SSA Countries 21,292 Total SSA 0.1 16 Zambia 0.1 18 Uganda 0.1 11 Senegal 0.9 185 Ghana 1.0 217 Lesotho 20.8 4,429 South Africa % of Total 2001 U.S. Imports with Six SSA Countries of Study, 2001 ($ Millions)

12. The Legal Context Act Overview

13. AGOA extends to Africa the most beneficial US trade and investment program available to any region of the world

15. LDC’s vs. Non - LDC’s Non-LDCs: Duty-Free for Apparel made from U.S. or African yarn/fabric and fabric unavailable in U.S. Non-LDCs: Equatorial Guinea, Gabon, Mauritius, Seychelles, South Africa AGOA II moved Botswana, Namibia to LDC category LDCs: Duty-Free for Apparel made from Third-Country Fabric for 4 years Major apparel producers among the LDCs: Kenya, Lesotho, Madagascar, Swaziland

19. 2001 AGOA Apparel Imports (million square meters) 2001 AGOA Apparel Imports (million square meters)

20. 2002 AGOA Apparel Imports Through October (million square meters)

21. Approved AGOA Visa Systems Botswana Mauritius Cameroon Mozambique Cape Verde Namibia Ethiopia Senegal Ghana South Africa Kenya Swaziland Lesotho Tanzania Madagascar Uganda Malawi Zambia

22. Recommendations for Improving AGOA Related Trade & Investment

27. Textile Sector

31. Apparel Sector

35. Agribusiness Sector

38. Example - Ghana Ghana’s total agr exports to U.S. were $58 mil in 2001 Source: U.S. International Trade Commission data Free 100 Coconut oil Free 300 Palm oil Free 700 Bran 11.3%/GSP duty-free 1,100 Cassava 0.52 cents/kg/GSP duty-free 6,800 Cocoa powder Defatted: 0.2cents/kg, GSP duty-free Not defatted: free 7,200 Cocoa paste Free 39,700 Cocoa beans ($ 1,000) NTR Duty 2001 Exports Product

40. Leather Sector

42. U.S. Footwear AGOA Imports Source: Prepared by African Coalition for Trade, Inc. 159% 1,400 534 Total 42% 94 66 Others 600% 14 2 Senegal <80%> 7 35 Kenya <90%> 14 142 Cameroon 8000% 81 1 Cote d'Ivoire 14% 119 104 Zimbabwe 320% 210 50 South Africa 537% 854 134 Sierra Leone % Growth 2001 2000 ($1,000)

44. Recommendations by U.S. Companies to Improve African Trade and Investment

49. We welcome your comments and suggestions Thank you!