The Foreign Service Journal, May 2004

F O C U S M A Y 2 0 0 4 / F O R E I G N S E R V I C E J O U R N A L 47 increased, but so has the range. For example, all the BMW Series 3 cars and Mercedes C Class cars bought in the U.S. are manufactured in South Africa. In addition, both the South African apparel and textile industries have benefited substantially from AGOA, with over 50,000 new jobs created, according to South African industry associations. Moreover, South African compa- nies are establishing manufacturing and sourcing pres- ences in other African countries to supply the U.S. mar- ket. A fourth factor is the administrative culture of any given African country. Kenya, South Africa and Mauritius worked diligently to inform their private sector of the opportunities AGOA presents, while other coun- tries have not even concluded their visa arrangements four years after passage. Finally, apart from AGOA itself, many African coun- tries have governance and efficiency problems that severely hamper their ability to supply products to a glob- al marketplace driven by supply-chain efficiencies. Building on AGOA’s Achievements AGOA has clearly brought about an increase in Africa’s involvement with the global economy. (See table, p. 45.) It has also helped serve U.S. foreign policy inter- ests in pursuing the global WTO trade agenda and even in combating terrorism. However, more needs to be done on a variety of fronts to ensure that this progress is not lost, especially in a climate of increased competition from Asia, especially China. More generous market access for goods Africa can produce competitively is one part of the solution. Another would be rapid reform of the agricultural provi- sions of the WTO; currently, agricultural export credits and subsidies in OECD countries total $300 billion a year. The U.S. government has already instituted the broadest and deepest commitment of any country in the world toward solving Africa’s health crisis, but much more needs to be done. As part of that effort, U.S. com- panies and nongovernmental organizations are launching

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