IDEAS home Printed from https://ideas.repec.org/p/wbk/wbrwps/3262.html
   My bibliography  Save this paper

The initial and potential impact of preferential access to the U.S. market under the African Growth and Opportunity Act

Author

Listed:
  • Brenton, Paul
  • Ikezuki, Takako

Abstract

The ability to export clothing products under preferences with liberal rules of origin is the key factor currently determining whether the African Growth and Opportunity Act (AGOA) has a significant impact on non-oil exporting African countries. At present only a small number of countries receive substantial benefits and least developed countries that do not receive preferences for clothing have yet to see an impact of AGOA on their overall exports. However, the benefits from exporting clothing under AGOA appear fragile in the face of the removal of quotas in the United States on major suppliers, such as China, at the end of 2004, and the planned removal of the liberal rules of origin that allow for the global sourcing of fabrics from least-cost locations. To entrench and enhance the benefits of AGOA, it is important that the scheme be extended over a much longer period, if not made permanent, and the special liberal rules of origin for clothing products be extended considerably beyond 2004. The effective inclusion of textile products and a number of high-duty agricultural products would also help to broaden the range of opportunities for African exporters in the U.S. market. Nevertheless it is important that the opportunities created by AGOA are integrated into a broader framework for promoting trade and that it be recognized that if the opportunities offered by more open trade are to be exploited, there must be concerted efforts to improve the environment for investment countries covered by AGOA.

Suggested Citation

  • Brenton, Paul & Ikezuki, Takako, 2004. "The initial and potential impact of preferential access to the U.S. market under the African Growth and Opportunity Act," Policy Research Working Paper Series 3262, The World Bank.
    • Handle: RePEc:wbk:wbrwps:3262
    as

    Download full text from publisher

    File URL: http://www-wds.worldbank.org/external/default/WDSContentServer/WDSP/IB/2004/05/04/000009486_20040504125049/Rendered/PDF/wps3262african.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Elena Ianchovichina & Aaditya Mattoo & Marcelo Olarreaga, 2001. "Unrestricted Market Access for Sub‐Saharan Africa: How Much Is It Worth and Who Pays?," Journal of African Economies, Centre for the Study of African Economies, vol. 10(4), pages 410-432.
    2. Daniel Lederman & Çaglar Özden, 2004. "U.S. Trade Preferences: All are not Created Equal," Working Papers Central Bank of Chile 280, Central Bank of Chile.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Mary Amiti & John Romalis, 2007. "Will the Doha Round Lead to Preference Erosion?," IMF Staff Papers, Palgrave Macmillan, vol. 54(2), pages 338-384, June.
    2. Garth Frazer & Johannes Van Biesebroeck, 2010. "Trade Growth under the African Growth and Opportunity Act," The Review of Economics and Statistics, MIT Press, vol. 92(1), pages 128-144, February.
    3. Denis Medvedev, 2010. "Preferential trade agreements and their role in world trade," Review of World Economics (Weltwirtschaftliches Archiv), Springer;Institut für Weltwirtschaft (Kiel Institute for the World Economy), vol. 146(2), pages 199-222, June.
    4. Maria Cipollina & Federica Demaria, 2020. "The Trade Effect of the EU’s Preference Margins and Non-Tariff Barriers," JRFM, MDPI, vol. 13(9), pages 1-20, September.
    5. Lawrence Edwards & Robert Z. Lawrence, 2014. "AGOA Rules: The Intended and Unintended Consequences of Special Fabric Provisions," NBER Chapters, in: African Successes, Volume III: Modernization and Development, pages 343-393, National Bureau of Economic Research, Inc.
    6. World Bank, 2007. "Nigeria - Competitiveness and Growth : Country Economic Memorandum, Volume 2. Main Report," World Bank Publications - Reports 7824, The World Bank Group.
    7. Cooke, Edgar F A, 2011. "The impact of trade preferences on exports of developing countries: the case of the AGOA and CBI preferences of the USA," MPRA Paper 31439, University Library of Munich, Germany.
    8. Cooke, Edgar F. A., 2012. "Is the impact of AGOA heterogeneous?," MPRA Paper 43277, University Library of Munich, Germany.
    9. Walkenhorst, Peter & Cattaneo, Olivier, 2006. "Trade, Diversification and Growth in Nigeria," MPRA Paper 23735, University Library of Munich, Germany.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Kym Anderson, 2005. "On the Virtues of Multilateral Trade Negotiations," The Economic Record, The Economic Society of Australia, vol. 81(255), pages 414-438, December.
    2. Lucian Cernat & Sam Laird & Alessandro Turrini, 2003. "How Important are Market Access Issues for Developing Countries in the Doha Agenda?," International Trade 0302004, University Library of Munich, Germany.
    3. Lucian Cernat & Sam Laird & Luca Monge-Roffarello & Alessandro Turrini, 2003. "The EU's Everything But Arms Initiative and the Least-developed Countries," WIDER Working Paper Series DP2003-47, World Institute for Development Economic Research (UNU-WIDER).
    4. Kym Anderson, 2003. "Trade Liberalization, Agriculture, and Poverty in Low-income Countries," WIDER Working Paper Series DP2003-25, World Institute for Development Economic Research (UNU-WIDER).
    5. Cardamone, Paola & Scoppola, Margherita, 2012. "Trade costs and the pattern of Foreign Direct Investment: evidence from five EU countries," 2012 First Congress, June 4-5, 2012, Trento, Italy 124106, Italian Association of Agricultural and Applied Economics (AIEAA).
    6. Valenzuela, Ernesto & Hertel, Thomas W., 2006. "Trade Reforms and Poverty: Are the Impacts Discernable?," Conference papers 331527, Purdue University, Center for Global Trade Analysis, Global Trade Analysis Project.
    7. Cardamone, Paola, 2007. "A Survey of the Assessments of the Effectiveness of Preferential Trade Agreements using Gravity Models," Economia Internazionale / International Economics, Camera di Commercio Industria Artigianato Agricoltura di Genova, vol. 60(4), pages 421-473.
    8. Bernard Hoekman & Francis Ng & Marcelo Olarreaga, 2002. "Eliminating Excessive Tariffs on Exports of Least Developed Countries," The World Bank Economic Review, World Bank, vol. 16(1), pages 1-21, June.
    9. Joseph Francois & Bernard Hoekman & Miriam Manchin, 2006. "Preference Erosion and Multilateral Trade Liberalization," The World Bank Economic Review, World Bank, vol. 20(2), pages 197-216.
    10. Aaditya Mattoo & Devesh Roy & Arvind Subramanian, 2003. "The Africa Growth and Opportunity Act and its Rules of Origin: Generosity Undermined?," The World Economy, Wiley Blackwell, vol. 26(6), pages 829-851, June.
    11. Achterbosch, Thom J. & Ben Hammouda, H. & Osakwe, Patrick N. & van Tongeren, Frank W., 2004. "Trade Liberalisation Under The Doha Development Agenda; Options And Consequences For Africa," Report Series 29104, Wageningen University and Research Center, Agricultural Economics Research Institute.
    12. Bouët Antoine & Laborde-Debucquet David & Dienesch Elisa & Elliott Kimberly, 2012. "The Costs and Benefits of Duty-Free, Quota-Free Market Access for Poor Countries: Who and What Matters," Journal of Globalization and Development, De Gruyter, vol. 3(1), pages 1-27, June.
    13. Kareem, Olayinka Idowu, 2012. "Non – Tariff Barriers and Exports: An Impact Analysis from Africa – EU and Africa – USA Trade Relations," Conference papers 332252, Purdue University, Center for Global Trade Analysis, Global Trade Analysis Project.
    14. Lionel Fontagné, 2003. "Market Access and Domestic Support Measures," CESifo Forum, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, vol. 4(3), pages 3-10, October.
    15. Bouët Antoine & Laborde-Debucquet David & Dienesch Elisa & Elliott Kimberly, 2012. "The Costs and Benefits of Duty-Free, Quota-Free Market Access for Poor Countries: Who and What Matters," Journal of Globalization and Development, De Gruyter, vol. 3(1), pages 1-27, June.
    16. Lionel Fontagné, 2003. "Market Access and Domestic Support Measures," CESifo Forum, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, vol. 4(03), pages 3-10, October.
    17. Xavier Cirera & Francesca Foliano & Michael Gasiorek, 2016. "The impact of preferences on developing countries’ exports to the European Union: bilateral gravity modelling at the product level," Empirical Economics, Springer, vol. 50(1), pages 59-102, February.
    18. Agostino, Maria Rosaria & Aiello, Francesco & Cardamone, Paola, 2007. "Analyzing the Impact of Trade Preferences in Gravity Models. Does Aggregation Matter?," Working Papers 7294, TRADEAG - Agricultural Trade Agreements.
    19. Douillet, Mathilde, 2012. "Trade policies and agricultural exports of Sub-Saharan African countries: Some stylized facts and perspectives," MPRA Paper 40962, University Library of Munich, Germany.
    20. Kym Anderson, 2005. "Agricultural trade reform and poverty reduction in developing countries," Chapters, in: Sisira Jayasuriya (ed.), Trade Policy Reforms and Development, chapter 9, Edward Elgar Publishing.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:wbk:wbrwps:3262. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Roula I. Yazigi (email available below). General contact details of provider: https://edirc.repec.org/data/dvewbus.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.