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The TRADE Initiative


The Trade for African Development and Enterprise (TRADE) Program was launched in October 2001 by President Bush. TRADE is a multi-year trade capacity building initiative that will promote regional integration and regional cooperation by strengthening the ability of African countries and businesses to develop their export trade.

The overarching objectives of the TRADE Initiative are to:

  • Enhance the competitiveness of African products and services

  • Expand the role that trade can play in African poverty reduction strategies

  • Promote U.S.-African business linkages

  • Improve the delivery of public services supporting trade

  • Strengthen African capacity for trade policy formulation and implementation

  • Strengthen the enabling environment for African businesses

The Initiative is coordinated by USAID regional missions and implemented principally by Regional Hubs for Global Competitiveness. Hub staff support country-based activities to facilitate national competitiveness in global markets. Hubs are located in the following countries in which there are USAID regional missions:

  • Gaborone, Botswana serving the Southern African Development Community & the Southern African Customs Union

  • Nairobi, Kenya serving the Community of Eastern & Southern Africa & EAC

  • Accra, Ghana serving the Economic Community of West African States and the West African Economic & Monetary Union.

Close collaboration is maintained with:

  • The State Department

  • The Department of Treasury

  • The Department of Agriculture

  • The Department of Commerce

  • The Office of the U.S. Trade Representative

The anticipated results of the TRADE Initiative are:

  • Sub-Saharan African Nations:
    • Trade capacity development and investment
    • More effective participation in WTO Doha negotiating round
    • Acceleration in implementation of WTO Uruguay round commitments
    • Accelerated WTO-consistent & trade-enhancing regional economic integration
  • African Private sector:
    • Trade business development – in Sub-Saharan Africa and United States
    • Improved channels of communication with public sector on trade issues
    • Increased participation in WTO process
  • United States :
    • Marshalling multiple agency resources in support of African development
    • More effective partners in WTO process
    • Stronger trading partners and increased investment in Africa

USAID/WARP is currently managing the following activities funded under the TRADE Initiative.

The West Africa Trade Hub ( WATH)

WATH works in four key areas:

  • Trade Capacity Building . WATH assists West African nations increase international and intra-regional trade to spur economic development. Key interventions include harmonizing sanitary and phyto-sanitary (SPS) measures, customs harmonization, improving road transportation, and supporting effective participation in the World Trade Organization (WTO).
  • AGOA Export Development. WATH helps West African countries take advantage of AGOA by: (1) strengthening the capacity of cashew, shea butter and hand-loomed textile producers to meet US market requirements; (2) encou­raging the public-sector to create an en­vironment conducive to trade in these products; and (3) expanding the production and export of textiles and agricultural commodities within the continent and to international markets.
  • AGOA Support Services. WATH provides information on AGOA and global trade through AGOA Resource Centers (ARCs) located throughout the region. WATH also provides technical assistance to governments and the private sector on procedural requirements such as how to obtain AGOA textile visas and certifications.
  • Information Dissemination. Through its website, AGOA Resource Centers, press releases, newsletters and an enquiries desk, WATH provides the region with access to information on global trade.

Market Information Systems (MIS)

The objective of this project is to enhance economic growth in West Africa through increased intra-regional trade in agricultural commodities and inputs. This will be accomplished by strengthening networks of market information systems and traders’ organizations. The end result of this effort will be increased regional economic integration in West Africa through closer economic ties and improved food security.

This five-year project started with a design phase in October 2003 and is slated to end in September 2008. The final determination of which organization will implement this project will be made in July 2004.

The ECOTRADE Common External Tariff Project

The ECOTrade project seeks to assist the fifteen-country Economic Community of West African States (ECOWAS) complete its Common External Tariff (CET) regime, a prerequisite of the ECOWAS Customs Union. The goal of establishing a Customs Union was agreed to by the ECOWAS Heads of State in 1975 and reaffirmed in 1993. A Common External Tariff requires that all goods entering into the customs territory of any ECOWAS country will be assessed the same rate of customs duty. Countries that are not members of the existing CET shared by the members of the West African Monetary Union (WAEMU) ( Cape Verde, Ghana, Guinea, Nigeria, Sierra Leone, and the Gambia) are the focus of this project. The ultimate goal is to implement an ECOWAS-wide CET.

This three-year project began in August 2002 and is slated to end in September 2005. The project is being implemented by International Business Initiatives International (IBI) and the Associates for International Resources and Development (AIRD). Project stakeholders include the ECOWAS Executive Secretariat, government ministries (such as the Ministry of Regional Integration and Ministries of Finance) and the private sector (chambers of commerce, manufacturers associations, etc.).

Pest Risk Assessment Advisor

In the latter half of 2004 WARP will acquire the services of a representative of US Department of Agriculture Animal Plant Health Inspection Service (APHIS). This Pest Risk Assessment Advisor will provide assistance to:

  • Accelerate the approval process of the Animal Plant Health Inspection Service’s Pest Risk Assessments;
  • Provide technical input in the design of WARP’s program of providing development assistance to increase West Africans ability to analyze plant health risks;
  • Advise WARP and WATH personnel on national and regional trade capacity building needs and requirements in the area of animal and plant health.

 

 

 
USAID/WARP