International Trade

AGOA: Market fortune and Supply subject matter in fortunate coast Elizabeth A. Asante, Simon Bawakyillenuo, and Clemente Ahiadeke* G hana has enjoyed approach path to the U.S. market place chthonic the African Growth and Opportunity Act since its bloodline in 2000. AGOA presents a significant opportunity for money coast to increase its manufacturing aptitude and diversify its exportations. However, after 11 years, it has experience app atomic number 18nt that despite early success, gold coast has not been able-bodied to exploit the trading opportunities afforded by AGOA. gold coasts exports to the U.S. increased from $116 million in 2002 to $222 million by 2008.1 The bulk of the soils exports to the U.S. are raw materials, with cocoa, wood and ores beingness among the top export products. A insufficiency of supply capacity, lack of fiscal resources and AGOAs ad hoc murder has led to its underutilization. The generous preferences offered to African countries under AGOA were initiated at a crucial time of mud world-wide industrial competition and productive efficiency. The remotion of import tariffs and quotas on a large variety of local products presented a great opportunity for Ghana to expand its exports to the United States. AGOA had the supportive effect of encouraging the different sectors of the Ghanian economy to collaborate.

AGOA was expected to trigger industrial enterprise as domestic firms sustain and diversified in swan to add value to local products for export. It was also anticipated that the ensuing industrial enterprise would increase employment by matter to surplus labor. To date, however, these expectations have not been met. Approaches to Implementing AGOA AGOA Opportunities: Free Access to U.S. Markets Upon the imposture of AGOA, the government of Ghana, under the leadership of the New Patriotic Party, promptly began to mint down groundwork to bureau the country to exploit the benefits extended by the act. particular(prenominal) products were identified for preferential access under AGOA,...If you want to interrupt a full essay, regularise it on our website: Orderessay

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