Steenhuisen warns SA must brace for end of AGOA deal

The African Growth and Opportunity Act has allowed a group of sub-Saharan African countries duty-free access to the US market for around 1,800 products.

 "Agoa is all but cancelled in name and I think that we need to prepare as South Africa for that. What we've done is a two-track system, obviously now, to negotiate with the United States, to try and get a favourable trade deal. And this could take a number of forms, for instance, we could allow access to the American market on citrus on a counter-seasonal basis. There are concerns Americans have around poultry, pork and blueberries, and we are looking at how we can resolve that,” he said. 

Steenhuisen says the agricultural sector, especially citrus producers, is already feeling the pressure from US President Donald Trump’s decision to raise tariffs on South African exports by 30%.

READ: G20 agriculture meeting starts in Durban

An inter-ministerial team will head to Washington within 90 days to discuss the US levies on South African goods.

" We would seek to retain access to the US market on a favourable basis for South African agricultural goods. And our goal is to have the 30% lowered dramatically, hopefully to no tariffs. But if we are going to have tariffs, [we want] to have it in the 10%, which will bring some equality against our competitors."

The minister says the deal will benefit both sides, including American consumers.

"They receive well priced, excellent-quality agricultural products from South Africa, and their consumers enjoy our products. They're in high demand and, you know, there will be price shocks for the US consumer if these tariffs start to have the effect that everyone predicts that they would have."

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