Poultry Trade Barriers Resolved, but South Africa Awaiting Official U.S. AGOA Decision

U.S. and South African veterinarians resolved issues over salmonella levels allowed in U.S. poultry exports to the country during a Jan. 6 meeting. The resolution reduces the potential for the end to certain duty-free benefits provided to South African agricultural goods by the U.S. under the African Growth and Opportunity Act (AGOA). “The risks of being kicked out of AGOA have been resolved,” Sandile Tyini, economic minister in the South African Embassy’s Department of Trade and Industry (DTI) Foreign Economic Office said in an interview on Jan. 7. “The negotiations took place yesterday and then all the remaining issues as proclaimed by the US as issues were resolved mutually between the two sides, and…we verified that we met all the conditions to remain in AGOA.” But no one from the Office of the U.S. Trade Representative or the White House has yet officially confirmed to Pretoria that it will remain in good AGOA standing, the official said.

Negotiations slipped past President Barack Obama’s Dec. 31 deadline for South Africa to either remove barriers to U.S. poultry exports, or lose AGOA benefits, but the U.S. held off on suspending the privileges. The U.S. pressured South Africa to remove trade remedies and sanitary and phytosanitary barriers for several months (see 1509140023), and industry groups expressed support for suspending AGOA benefits for South Africa to counteract antidumping duties and expand trade flows. While the USTR did not respond to requests for comment, U.S. Ambassador to South Africa Patrick Gaspard on Jan. 6 tweeted (here): "Tremendous progress in negotiations today. Thanks to leadership of [South Africa] DTI and [the South Africa Department of Agriculture, Forestry, and Fisheries. Looking forward to the first shipment of chickens."