Publication:
The Africa Growth and Opportunity Act and its Rules of Origin : Generosity Undermined?

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dc.contributor.authorMattoo, Aaditya
dc.contributor.authorRoy, Devesh
dc.contributor.authorSubramanian, Arvind
dc.date.accessioned2014-08-01T19:02:57Z
dc.date.available2014-08-01T19:02:57Z
dc.date.issued2002-10
dc.description.abstractThe African Growth and Opportunity Act (AGOA), signed into American law on May 18, 2000, is a major plank of U.S. initiatives toward the African continent. The Act aims broadly at improving economic policymaking in Africa, enabling countries to embrace globalization, and securing durable political and economic stability. As an incentive for Africa to adopt the necessary policy reform, AGOA offers increased preferential access for African exports to the United States. This paper describes the provisions of AGOA and assesses its quantitative impact on African exports, particularly in the apparel sector. Its main conclusions are: 1) AGOA will provide real opportunities to Africa. Even on conservative estimates about Africa's supply response, Africa's non-oil exports could be increased by about 8-11 percent. 2) However, the medium-term gains could have been much greater if AGOA had not imposed certain conditions and not excluded certain items from its coverage. The most important condition is the stringent rule-of-origin, that is, the requirement that exporters source certain inputs from within Africa or the United States. Estimates suggest that the absence of these conditions would have magnified the impact nearly five-fold, resulting in an overall increase in non-oil exports of US$0.54 billion compared with the US$100-US$140 million increase that is expected in the presence of these restrictions. These restrictions, particularly on apparel, will come at a particularly inopportune time, as Africa will be exposed to competition from other developing countries when the quotas maintained on the latters' exports under the Multi-Fiber Arrangement (MFA) are eliminated. Africa's apparel exports will be lower by over 30 percent with the dismantling of the MFA. If, on the other hand, AGOA had provided unrestricted access, the negative impact of the dismantling could be nearly fully offset.en
dc.identifierhttp://documents.worldbank.org/curated/en/2002/10/2040835/africa-growth-opportunity-act-rules-origin-generosity-undermined
dc.identifier.doi10.1596/1813-9450-2908
dc.identifier.urihttps://hdl.handle.net/10986/19212
dc.languageEnglish
dc.language.isoen_US
dc.publisherWorld Bank, Washington, DC
dc.relation.ispartofseriesPolicy Research Working Paper;No. 2908
dc.rightsCC BY 3.0 IGO
dc.rights.urihttp://creativecommons.org/licenses/by/3.0/igo/
dc.subjectAGRICULTURAL MARKETS
dc.subjectAGRICULTURAL PRODUCTS
dc.subjectAGRICULTURE
dc.subjectAPPAREL
dc.subjectAPPAREL EXPORTS
dc.subjectAPPAREL MARKET
dc.subjectAPPAREL PRODUCTS
dc.subjectAPPAREL SECTOR
dc.subjectAPPAREL TRADE
dc.subjectAVERAGE TARIFF
dc.subjectAVERAGE TARIFFS
dc.subjectBENCHMARK
dc.subjectBENCHMARKS
dc.subjectCOMPARATIVE ADVANTAGE
dc.subjectCUSTOMS
dc.subjectDEMAND CURVE
dc.subjectDEVELOPED COUNTRIES
dc.subjectDEVELOPMENT
dc.subjectDUTY FREE
dc.subjectECONOMIC EFFECTS
dc.subjectECONOMIC IMPACT
dc.subjectECONOMIC POLICY
dc.subjectELASTICITIES
dc.subjectELASTICITY
dc.subjectEQUILIBRIUM
dc.subjectEXPLOITATION
dc.subjectEXPORT GROWTH
dc.subjectEXPORT QUOTAS
dc.subjectEXPORT SUPPLY
dc.subjectEXPORT TAX
dc.subjectEXPORT TAX EQUIVALENTS
dc.subjectEXPORTERS
dc.subjectEXPORTS
dc.subjectFREE ACCESS
dc.subjectFREE TRADE
dc.subjectFREE TRADE AREAS
dc.subjectGDP
dc.subjectGENERALIZED SYSTEM OF PREFERENCES
dc.subjectGLOBAL TRADE
dc.subjectGLOBAL TRADE ANALYSIS
dc.subjectGNP
dc.subjectHIGH TARIFFS
dc.subjectIMPORTS
dc.subjectINDUSTRIAL PRODUCTS
dc.subjectLABOR COSTS
dc.subjectMARKET ACCESS
dc.subjectOIL
dc.subjectOIL EXPORTS
dc.subjectPREFERENTIAL ACCESS
dc.subjectPREFERENTIAL ARRANGEMENTS
dc.subjectPRIMARY FACTORS
dc.subjectPRIMARY FACTORS OF PRODUCTION
dc.subjectQUOTAS
dc.subjectRULES OF ORIGIN
dc.subjectSUPPLY CURVE
dc.subjectTARIFF BARRIERS
dc.subjectTARIFF EQUIVALENT
dc.subjectTARIFF PREFERENCES
dc.subjectTARIFF RATE
dc.subjectTRADE
dc.subjectTRADE DIVERSION
dc.subjectTRADE LIBERALIZATION
dc.subjectTRADE PROMOTION
dc.subjectTRADE PROMOTION AUTHORITY
dc.subjectTRADE RESTRICTIONS
dc.subjectTRANSPORT COSTS
dc.subjectUNSKILLED LABOR
dc.subjectURUGUAY ROUND
dc.subjectVALUE ADDED
dc.subjectZERO TARIFF ECONOMIC GROWTH
dc.subjectPREFERENTIAL TRADE AGREEMENTS
dc.subjectTRADE LIBERALIZATION
dc.subjectLEGISLATIVE ENACTMENT
dc.subjectTEXTILE INDUSTRY
dc.subjectCLOTHING INDUSTRY
dc.subjectMARKET ACCESS
dc.subjectIMPORT RESTRICTIONS
dc.subjectRULES OF ORIGIN
dc.subjectMULTIFIBER ARRANGEMENTS
dc.subjectINPUTS
dc.subjectAGRICULTURAL EXPORTS
dc.subjectECONOMIC GROWTH
dc.subjectZERO TARIFF
dc.titleThe Africa Growth and Opportunity Act and its Rules of Origin : Generosity Undermined?en
dspace.entity.typePublication
okr.crossref.titleThe Africa Growth and Opportunity Act and its Rules of Origin: Generosity Undermined?
okr.date.disclosure2002-10-31
okr.date.doiregistration2025-04-10T07:23:34.888326Z
okr.doctypePublications & Research::Policy Research Working Paper
okr.doctypePublications & Research
okr.docurlhttp://documents.worldbank.org/curated/en/2002/10/2040835/africa-growth-opportunity-act-rules-origin-generosity-undermined
okr.globalpracticeTrade and Competitiveness
okr.guid813021468742840812
okr.identifier.doi10.1596/1813-9450-2908
okr.identifier.externaldocumentum000094946_02102904035022
okr.identifier.internaldocumentum2040835
okr.identifier.reportWPS2908
okr.language.supporteden
okr.pdfurlhttp://www-wds.worldbank.org/external/default/WDSContentServer/WDSP/IB/2002/11/11/000094946_02102904035022/Rendered/PDF/multi0page.pdfen
okr.region.administrativeAfrica
okr.region.geographicalAfrica
okr.sectorIndustry and trade :: Agricultural marketing and trade
okr.sectorIndustry and trade :: Petrochemicals and fertilizers
okr.topicInternational Economics and Trade::Free Trade
okr.topicInternational Economics and Trade::Trade Policy
okr.topicAgribusiness and Markets
okr.topicEconomic Theory and Research
okr.topicInternational Economics and Trade::Export Competitiveness
okr.topicEnvironmental Economics and Policies
okr.unitTrade, Development Research Group
okr.volume1
relation.isSeriesOfPublication26e071dc-b0bf-409c-b982-df2970295c87
relation.isSeriesOfPublication.latestForDiscovery26e071dc-b0bf-409c-b982-df2970295c87
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