Press Releases
United States Holds Trade and Investment Talks with Largest African Regional Economic Group
D.C. February 14, 2007Washington DC – U.S. trade and development officials held in-depth
discussions today with a delegation from the Common Market for Eastern
and Southern Africa (COMESA). The half-day meeting was the latest
high-level consultation between the two parties under the terms of the
United States-COMESA Trade and Investment Framework Agreement (TIFA).
U.S. Trade Representative Susan C. Schwab opened the meeting, which
included discussions on U.S.-COMESA trade, implementation of the
African Growth and Opportunity Act (AGOA), the WTO Doha negotiations,
trade capacity building activities, infrastructure issues, and
investment. Deputy U.S. Trade Representative Karan Bhatia and Assistant
U.S. Trade Representative Florizelle Liser led the discussions for the
U.S. side during different parts of the half-day meeting. The COMESA
delegation was led by Secretary-General Erastus J. O. Mwencha and
included leaders of several Eastern and Southern African farmers’
organizations.
“The United States enjoys an active and
wide-ranging trade and investment partnership with COMESA,” said
Ambassador Schwab. “Two-way trade between the United States and the 20
members of COMESA is strong and growing, exceeding $23 billion in the
first eleven months of 2006. COMESA has been a constructive partner,
helping to make the most of our successful AGOA trade preferences
program. Our regular consultations under the TIFA also help us to
identify shared objectives in the Doha talks and to enhance our trade
capacity building activities in the COMESA regional organization.”
Background:
COMESA is the largest regional economic organization in Africa, with 20
member states. It is advancing regional economic integration among its
members via a Free Trade Area established in 2000 and by harmonizing
members’ policies in areas such as customs, investment, public
procurement, and telecommunications.
The United States and
COMESA signed a Trade and Investment Framework Agreement (TIFA) in
October 2001 and have held four high-level meetings under the TIFA
since then, including the meeting that took place February 13.
Total
two-way trade between the United States and the member countries of
COMESA was valued at $23.1 billion in the first eleven months of 2006,
up 28 percent from the same period in 2005, reflecting a 30 percent
increase in U.S. imports and a 24 percent increase in U.S. exports to
the COMESA regional organization. The leading U.S. exports to the
COMESA regional organization are aircraft, machinery, and cereals. U.S.
imports from COMESA countries include oil, apparel, iron and steel,
precious stones, and coffee. Fourteen of the 20 COMESA countries are
eligible for benefits under the African Growth and Opportunity Act. In
the first eleven months of 2006, U.S. imports from COMESA countries
under AGOA, including its GSP provisions, were valued at $11.2 billion,
a 32 percent increase over the same period in 2005.
U.S. trade capacity building assistance for the COMESA regional organization totaled $369 million from FY04 through FY06.
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