October 18, 2024

JOHANNESBURG — The African Continental Free Trade Area (AfCFTA) Secretary General, Wamkele Mene, has outlined the possibilities for the AfCFTA and the United States’ African Growth and Opportunity Act (AGOA) to function as supportive and reciprocal trade mechanisms.

According to South African Government News Agency, Mene’s insights came during a media briefing on the margins of the AGOA Forum currently taking place in Johannesburg. He emphasized the importance of aligning the American-led AGOA, which promotes market access for Sub-Saharan African nations, with the African Union’s AfCFTA that aims to significantly escalate intra-African trade.

Mene provided an example of this potential alignment by referencing the protocol on investment within the AfCFTA that intends to create enhanced legal rights for investors while allowing for the regulation of investment in the public interest. He compared this with the United States Trade Representative’s (USTR) position on intellectual property rights reforms, aimed at serving public health and industrial development.

Further, Mene expressed caution against creating a divide within the AfCFTA as AGOA is implemented, highlighting the participation of North African states in the AfCFTA who are also eligible for AGOA. Addressing this concern, he noted the U.S.’s openness and its receptive stance toward African economic integration.

When questioned about AGOA’s potential conflict with the AfCFTA’s objectives, Mene described the situation as a “technical issue,” not a political one. He detailed ongoing measures to ensure AGOA’s implementation would bolster industrial development, regional integration, and support the overarching goals of the AfCFTA.

The Secretary General’s remarks convey a clear message that while there are challenges to synchronizing AGOA and the AfCFTA, both initiatives can be navigated to mutual advantage, reinforcing industrial development and economic integration across Africa.