Mr. Kobina Tahir Hammond, Ghana’s Minister of Trade and Industry, has urged American investors to engage in beneficial trade partnerships with Ghanaian businesses under the government’s industrialization plan.
During his official visit to Washington, DC, Minister Hammond emphasized potential collaboration opportunities, highlighting Ghana’s 1D1F (One District, One Factory) initiative as particularly attractive for US businesses due to its appealing incentive packages.
He visited the offices of the Corporate Council on Africa (CCA) and the US Chamber of Commerce, to familiarize himself with their operations and priorities.
He also highlighted the government’s efforts to attract garment manufacturers to Ghana, using Dignity DTRT as a prime example. Dignity DTRT has established a cutting-edge garment factory in Ghana and has partnered with an American company to import its garments.
However, Minister Hammond expressed worry regarding the impending expiration of the Africa Growth and Opportunity Act (AGOA) and urged the US Chamber of Commerce to advocate for its renewal.
He emphasized that Ghanaian textile and garment traders are deeply concerned about the potential impact of AGOA’s expiration on their businesses.
AGOA, in effect since 2000, has been a cornerstone of US economic policy and commercial relations with Africa, as outlined on the official website of the US Trade Representative.
AGOA grants duty-free access to the US market for over 1,800 products from eligible sub-Saharan African countries. This is in addition to the more than 5,000 products already eligible for duty-free access under the Generalized System of Preferences program.
To qualify for AGOA, countries must meet stringent eligibility criteria. They must demonstrate progress toward establishing a market-based economy, uphold the rule of law, support political pluralism, and ensure the right to due process.
Furthermore, AGOA requires countries to remove barriers to US trade and investment, implement policies to alleviate poverty, combat corruption, and protect human rights.
These measures are intended to promote economic development and strengthen commercial ties between the United States and African nations.
“By providing new market opportunities, AGOA has helped bolster economic growth, promoted economic and political reform, and improved U.S. economic relations in the region,” the website notes.
In 2015, Congress passed legislation to modernize and extend the program until 2025.
US-Africa Business Summit Plans Unveiled
Florizelle (Florie) Liser, President and Chief Executive Officer of the Corporate Council for Africa, emphasized her organization’s longstanding relationship with Ghana. She noted that President Nana Addo Dankwa Akufo-Addo had previously been a guest of the Council.
Liser said that the Council annually hosts the US-Africa Business Summit, with the 2024 summit scheduled to take place in Dallas, Texas and President Akufo-Addo of Ghana has been invited to attend this event.
A highlight of this year’s summit will be a special 20th-anniversary celebration in collaboration with the Millennium Challenge Corporation (MCC), established by former President George W. Bush.
The celebration, set to occur alongside the Dallas summit, will feature President Bush as a distinguished guest.
Dr. Guevera Yao, Vice President of the US-Africa Business Center at the US Chamber of Commerce, highlighted the Biden Administration’s focus on the diaspora as a catalyst for Africa’s transformation.
The administration established the President’s Council on African Diaspora Engagement (PAC-ADE), with the specific mandate of advising the President on strategies to leverage the diaspora’s potential to further development in Africa.
The Corporate Council on Africa (CCA) is a well-established business association with a history of over 30 years. Its membership includes US and African companies, ranging from small and medium-sized enterprises (SMEs) to multinational corporations.
The CCA’s primary mission is to advocate for increased US trade, investments, and business engagements with Africa, fostering economic growth and mutual prosperity between the United States and African nations.
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