International Trade

AGOA: Market Opportunity and Supply Capacity in money coast Elizabeth A. Asante, Simon Bawakyillenuo, and Clemente Ahiadeke* G hana has enjoyed access to the U.S. market place infernal the African Growth and Opportunity Act since its bloodline in 2000. AGOA presents a significant opportunity for gold coast to append its manufacturing competency and diversify its exportations. However, after 11 years, it has become homely that despite early success, gold coast has not been able-bodied to ferment the trading opportunities afforded by AGOA. Ghanas exports to the U.S. increase from $116 million in 2002 to $222 million by 2008.1 The majority of the changes exports to the U.S. are raw materials, with cocoa, wood and ores being among the fall export products. A lack of supply capacity, lack of pecuniary resources and AGOAs ad hoc implementation has led to its lowutilization. The generous preferences offered to African countries under AGOA were initiate d at a crucial time of staunch world-wide industrial competition and productive efficiency. The removal of import tariffs and quotas on a large variety of local products presented a peachy opportunity for Ghana to expand its exports to the United States. AGOA had the positive transaction of encouraging the different sectors of the Ghanaian economy to collaborate.

AGOA was expected to origination industrialization as domestic firms grow and diversified in order to add value to local products for export. It was also judge that the ensuing industrialization would increase employment by delightful surplus labor. To date, however, these expectations have not been met. Appr oaches to Implementing AGOA AGOA Opportun! ities: Free Access to U.S. Markets Upon the imposture of AGOA, the government of Ghana, under the leadership of the New Patriotic Party, cursorily began to take down groundwork to position the country to exploit the benefits extended by the act. particular(prenominal) products were identified for preferential access under AGOA,...If you want to agitate a full essay, order it on our website: OrderEssay.net

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