The Africa Growth and Opportunity Act (AGOA) that gives Ghanaian and other African exporters access to the American market, has been extended to 2025.

The American Ambassador to Ghana, Stephanie Sullivan, disclosed this to Joy Business.

The reason for the renewal and extension, according to the US Ambassador, is due to the high demand of Ghanaian goods and also the resolve by the US government to grant Ghanaian exporters some certainty in their exports to the US.

“AGOA is in force till 2025. That gives us predictability and certain. There are 18 products that can be exported through the West African Trade Hub. We have done some capacity building to help them meet those standards. One other issue is packaging of which we are dealing with. There is a huge market for Ghanaian products and my team and I are eager to work this out,” She told host of Joy News Market Place, Charles Ayitey.

Renewed confidence in the African Growth and Opportunity Act (AGOA) has resulted in an upward trend, with the country’s trade under the programme registering a total of $748million last year, according to the Ghana National Chamber of Commerce and Industry (GNCCI).

The surge in performance reflects the collective efforts by government and other stakeholders including the chamber in strengthening the country’s exports.

After reaching its peak in 2011 with exports earnings of $779 million and subsequent decline in 2012, when it recorded $292 million.

Ghana’s performance under AGOA has been sustained by its broadly diversified exports to the USA in the areas of textiles and apparel, energy-related products, agricultural products, footwear, and minerals and metals.

AGOA is a non-reciprocal trade preference programme that provides duty-free and quota-free treatment for exports of over 6,400 products into the US market from eligible Sub-Saharan African countries.

The goal is to encourage export-led growth, economic development and improve U.S. economic relations with Africa. Since its enactment in 18 May 2000 by President George Bush, the Act has gone through many amendments to enable AGOA beneficiaries take advantage of it.

As part of the efforts to increase the awareness and build the capacity of exporters and potential exporters, the chamber entered into a letter of collaboration in 2015 with the USAID West Africa Trade Hub.

The AGOA Trade Resource Centre (ATRC) was established at the chamber to engage the private sector for regional and global assistance via trade intelligence, export development, business promotion, and trade facilitation.

A number of sensitization and capacity building workshops have been organised in Accra, Kumasi and Takoradi to enable business men and women utilize AGOA.

Some of the topics treated in these workshops included US customs and regulations on AGOA, productivity, exports financing-risk and access to finance, financing export contracts and payment, packaging and food technology.