WORLD TRADE  
ORGANIZATION  G/C/W/509/Rev.2 
17 March 2009 
 (09-1310) 
Council for Trade in Goods Original:   English 
  
 
REQUEST FOR A WAIVER
1 
 
African Growth and Opportunity Act (AGOA)  
 
Revision  
 
  The following communication, dated 12 March 2009, is being circulated at the request of the Delegation of the United States.    
_______________ 
 
 
Special United States Trade Arrangemen ts for Countries of Sub-Saharan Africa
 
 
 Pursuant to Article IX:3 of the Marrak esh Agreement Establishing the World Trade 
Organization (WTO Agreement), the United States he reby requests Members to waive its obligations 
under paragraph 1 of Article  I and paragraphs 1 and 2 of Article XIII of th e General Agreement on 
Tariffs and Trade 1994 (GATT 1994) through 30 Septem ber 2015, to the extent necessary to permit it 
to provide duty-free treatment to eligible products  originating in beneficiary sub-Saharan African 
countries (“beneficiary countries”) designated pursuan t to the African Growth and Opportunity Act 
(AGOA).2  
                                                      
1 The draft decision for this request is contained in G/C/W/612 and Corr.1. 
2 For the purposes of this request, “African Grow th and Opportunity Act” and “AGOA” mean Title I of 
the Trade and Development Act of 2000 (Public Law 106-200) as amended by Section 3108 of the Trade Act of 
2002 (Public Law 107-210), the A GOA Acceleration Act of 2004 (Public  Law 108-274), the Miscellaneous 
Trade and Technical Corrections Act of 2004 (Public Law 108-429), the African Investment Incentive Act of 2006, enacted as Division D, Title VI of the Tax Relief and Health Care Act of 2006 (Public Law 109-432), and 
Section 3 of the Act to Extend the An dean Trade Preference Act and for othe r purposes (Public Law 110-436).   G/C/W/509/Rev.2 
Page 2  
 
   
1. D
ESCRIPTION OF THE MEASURE  
 The AGOA provides for non-reciprocal preferential trade benefits through 30 September 
2015, for certain U.S. imports from sub-Saharan African countries that meet specific eligibility 
criteria.3  The text of the AGOA is attached at Annex I.   
 
 Since 1976, the United States has granted tariff preferences to developing countries under the Generalized System of Preferences (GSP) program.  Section 111 of the AGOA (19 U.S.C. § 2466a) authorizes the President to provide duty-free treatme nt to certain products excluded by statute from 
the GSP program that originate in a beneficiary c ountry.  On 18 December 2000, the President made 
an additional 1,835 such products eligible fo r duty-free treatment.  Section 114 of the AGOA 
(19 U.S.C. § 2466b) extends existing U.S. GSP preferences to beneficiary countries through 
30 September 2015.
4 
  Under the AGOA, beneficiary countries that a dopt certain procedures, listed in section 113 of 
the AGOA (19 U.S.C. § 3722), to prevent illegal tr ansshipment are eligible to receive duty-free 
treatment for textile and apparel products set out  in section 112 of the AGOA (19 U.S.C. § 3721).
5  In 
particular, section 112 of the AGOA provides for duty -free treatment for apparel assembled in eligible 
beneficiary countries from:  (1) fabrics formed in  the United States from U.S. yarns and cut in the 
United States;  (2) components knit-to-shape in the United States from U.S. yarns;  (3) fabrics formed 
in the United States from U.S. yarns, cut in the regi on, and sewn with U.S. thread;  (4) a combination 
of U.S. and regional components, whether from co mponents cut in the United States and the region 
from fabrics formed in the United States from U.S. yarns or components knit-to-shape in the United 
States and the region from U.S. yarn, sewn with U.S. thread;  and (5) fabrics or yarns from third party sources, if those inputs are determined to be in “short supply” in the United States.  The AGOA also 
provides for duty-free treatment for certain sweaters,  handloomed, handmade, and folklore textiles or 
apparel, and ethnic printed fabrics.  Subject to an annual quantitative lim it, the AGOA provides for 
duty-free treatment for apparel assembled from fabric  formed or components knit-to-shape in the 
                                                     
 
3 In accordance with Section 107 of  the AGOA (19 U.S.C. § 3706), “sub-Saharan Africa” refers to the 
following countries or any successor political entities of these countries: Angola, Benin, Botswana, Burkina 
Faso, Burundi, Cameroon, Cape Verde, Central African Republic, Chad, Comoros, Democratic Republic of the 
Congo, Republic of the Congo, Cote d’Ivoire, Djibou ti, Equatorial Guinea, Eritrea, Ethiopia, Gabon, The 
Gambia, Ghana, Guinea, Guinea-Bissau,  Kenya, Lesotho, Liberia, Madagascar, Malawi, Mali, Mauritania, 
Mauritius, Mozambique, Namibia, Niger, Nigeria, Rwanda , Sao Tomé and Principe, Senegal, Seychelles, Sierra 
Leone, Somalia, South Africa, Sudan, Swaziland, Tanzania, Togo, Uganda, Zambia, and Zimbabwe. 
As of 1 January 2009, the President has designated the following countries as beneficiary sub-Saharan 
African countries: Angola, Benin, Botswana, Burkina Faso, Burundi, Cameroon, Cape Verde, Chad, Comoros, 
Democratic Republic of Congo, Djibouti, Ethiopia, Gabon , The Gambia, Ghana, Guinea , Guinea-Bissau, Kenya, 
Lesotho, Liberia, Madagascar, Malawi, Mali, Mauritius, Mozambique, Namibia, Niger, Nigeria, Republic of 
Congo, Rwanda, São Tomé and Principe, Senegal, Seychelles, Sierra Leone, South Africa, Swaziland, Tanzania, 
Togo, Uganda, and Zambia.   
Sections 104 and 111(a)(1) (19 U. S.C. §§ 3703 and 2466a(a)(1)) of the AGOA describe the eligibility 
criteria countries must meet to be de signated as a beneficiary country. 
In general, an article that is otherwise eligible  for preferential treatment  under AGOA will remain 
eligible even if it contains inputs from a country that  ceased to be a beneficiary sub-Saharan African country 
because it entered into a free trade agreement with the United States. 
4 U.S. GSP preferences for other developing countr ies are currently set to terminate on 31 December 
2009. 
5 The beneficiary countries currently eligible for duty-free treatment of certain textile and apparel 
products are: Benin, Botswana, Burkina Faso, Cameroon, Cape Verde, Chad, Ethiopia, The Gambia, Ghana, Kenya, Lesotho, Madagascar, Malawi, Mali, Mauritius,  Mozambique, Namibia, Niger, Nigeria, Rwanda, 
Senegal, Sierra Leone, South Africa, Swaziland, Tanzania, Uganda, and Zambia.  G/C/W/509/Rev.2 
 Page 3 
 
 
  region from U.S. or regional yarns, or both, or apparel formed on seamless knitting machines from 
U.S. or regional yarns.     Through 30 September 2012, duty-free treatment applies to an additional amount of apparel 
made in countries designated “les ser developed” under the AGOA, re gardless of the source of the 
fabric or yarn.
6  Additionally, under the African Investment  Incentive Act of 2006, duty-free treatment 
is authorized for certain textil es and textile articles (non-apparel)7 imported from designated AGOA 
“lesser-developed” countries that ar e made from components that originate in those lesser-developed 
countries.  
 Section 111(a)(2) of the AGOA (19 U.S.C. § 246 6a(a)(2)) requires the President to determine 
annually which beneficiary countries are eligible for benefits.  Under sec tion 111(a)(3) of the AGOA 
(19 U.S.C. § 2466a(a)(3)), the President may terminat e the designation of a beneficiary country under 
certain circumstances.  The AGOA does not alter the benefits the United States provides under its 
GSP program to other developing countries. 
 
2. S
PECIFIC POLICY OBJECTIVES OF THE MEASURE  
 The AGOA is designed to alleviate poverty an d promote stability and sustainable economic 
development in sub-Saharan Africa by fostering increased trade and investment between the United States and beneficiary countries.  The AGOA is also intended to encourage regional economic 
integration and help beneficiary countries partic ipate more fully in the global economy.  It 
complements efforts by other Members to prom ote growth and development in the region. 
 3. C
IRCUMSTANCES JUSTIFYING THE WAIVER  
 Because of the severe and pressing development challenges facing sub-Saharan Africa, these 
policy objectives cannot be fully achieved through measures consistent with U.S. obligations under 
GATT 1994.  More than 310 million people in sub-Saha ran Africa live on less than a dollar a day, and 
regional GNI per capita was less than $860 in 2006.  Average annual GDP growth in the region was 
just six percent in 2006; the World Bank estimates that sub-Saharan African economies must grow by 
seven percent per year on average to achieve the UN’s Millennium As sembly goal to cut poverty in 
half by 2015 and to keep the number of poor from increasing.   
 Sub-Saharan African countries traditionally ha ve been marginalized in international 
commerce, which has caused a steady decline in the re gion’s role in global trade.  The region’s share 
of world exports was 3.1 percent in 1955, but its trade share dropped to 1.2 percent during the 1990s.  Today, Africa’s share of world trade accounts for less than two percent.  Moreover, sub-Saharan 
African countries face the burdens of high debt and pandemic disease.  Sub-Saharan Africa is home to 
33 of the 40 developing countries that are currently classified as Heavily Indebted Poor Countries by 
the World Bank.  About 24.8 million Africans are cu rrently living with HIV/AIDS, and most of the 
countries with the highest HIV infection rates in the world are in sub-Saharan Africa. 
                                                     
 
6 The President has designated the following countries as lesser developed sub-Saharan African 
beneficiary countries: Angola, Benin, Burkina Faso, Burundi, Cameroon, Cape Verde, Chad, Comoros, 
Democratic Republic of Congo, Republic of Congo, Djibouti, Ethiopia, The Gambia, Ghana, Guinea, Guinea-
Bissau, Kenya, Lesotho, Liberia, Madagascar, Malawi, Mali, Mozambique, Niger, Nigeria, Rwanda, São Tomé 
and Principe, Senegal, Sierra Leone, Swaziland, Tanzania, Togo, Uganda, and Zambia.  Congress has 
designated Botswana, Namibia, and Mauritius as lesser developed sub-Saha ran African beneficiary countries. 
7 These articles are classified under chapters 50 th rough 60 or chapter 63 of the Harmonized Tariff 
Schedule of the United States. G/C/W/509/Rev.2 
Page 4  
 
  4. C
ONCLUSION  
 Pursuant to Article IX:3 of the WTO Agreem ent, the United States requests a waiver of its 
obligations under paragraph 1 of Article I and paragraphs 1 and 2 of Article XIII of the GATT 1994 
through 30 September 2015, to the extent necessary to permit it to provide duty-free treatment under 
the AGOA to eligible products origin ating in beneficiary countries.  
 
 The United States requests the Council for Trade in Goods to give this application for a 
waiver expeditious and favourable consideration.  In the meantime, the Unit ed States will promptly 
enter into consultations, on request, with any inte rested Member with respect to any difficulty or 
matter that may arise as a result of the preferential treatment provided under the AGOA. 
 
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  G/C/W/509/Rev.2 
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  ANNEX I.a 
 
PUBLIC LAW 106-200 AS AMENDED BY PUBLIC LAW 107-210 
 
 
CHAPTER 12 - TRADE ACT OF 1974  SUBCHAPTER V - GENERALIZED SYSTEM OF PREFERENCES 
 
Sec. 2466a. Designation of sub-Saharan A frican countries for certain benefits 
 
(a) Authority to designate 
(1) In general Notwithstanding any other provision of law, the President is authorized to designate a country 
listed in section 3706 of this title as  a beneficiary sub-Saharan African country eligible for the benefits 
described in subsection (b) of this section- 
(A) if the President determines that the c ountry meets the eligibility requirements set 
forth in section 3703 of this title, as such requi rements are in effect on May 18, 2000; and 
(B) subject to the authority granted to the President under subsections (a), (d), and (e) 
of section 2462 of this title, if the country otherwise meets the eligibility criteria set forth in section 2462 of this title. 
(2) Monitoring and review of certain countries 
The President shall monitor, review, and report to Congress annually on the progress of each 
country listed in section 3706 of this title in meetin g the requirements described in paragraph (1) in 
order to determine the current or potential eligibilit y of each country to be designated as a beneficiary 
sub-Saharan African country for purposes of this  section. The President's determinations, and 
explanations of such determinations, with specific an alysis of the eligibility requirements described in 
paragraph (1)(A), shall be included in the annua l report required by section 3705 of this title. 
(3) Continuing compliance If the President determines that a beneficiar y sub-Saharan African country is not making 
continual progress in meeting the requirements descr ibed in paragraph (1), the President shall 
terminate the designation of that country as a beneficiary sub-Saharan African country for purposes of 
this section, effective on January 1 of the year fo llowing the year in which such determination is 
made. (b) Preferential tariff treatment for certain articles 
(1) In general The President may provide duty-free treatment for any article described in section 2463 
(b)(1)(B) through (G) of this title that is the growth, product, or manufacture of a beneficiary 
sub-Saharan African country described in subsection (a ) of this section, if, after receiving the advice 
of the International Trade Commis sion in accordance with section 2463 (e) of this title, the President 
determines that such article is not import-sens itive in the context of imports from beneficiary 
sub-Saharan African countries. 
(2) Rules of origin 
The duty-free treatment provided under paragraph (1 ) shall apply to any article described in 
that paragraph that meets the requirements of  section 2463 (a)(2) of this title, except that- 
(A) if the cost or value of materials produ ced in the customs territory of the United 
States is included with respect to that article, an  amount not to exceed 15 percent of the appraised 
value of the article at the time it is entered that is attributed to such United States cost or value may be 
applied toward determining the pe rcentage referred to in subparagraph (A) of section 2463 (a)(2) of 
this title; and 
(B) the cost or value of the materials incl uded with respect to that article that are 
produced in one or more beneficiary sub-Saharan African countries shall be applied in determining 
such percentage. G/C/W/509/Rev.2 
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  (c) Beneficiary sub-Saharan African countries, etc. 
For purposes of this subchapter, the terms "b eneficiary sub-Saharan African country" and 
"beneficiary sub-Saharan African countries" mean a country or countries listed in section 3706 of this 
title that the President has determined is e ligible under subsection (a) of this section. 
 
Sec. 2466b. Termination of benefits  for sub-Saharan African countries 
 In the case of a beneficiary sub-Saharan African c ountry, as defined in section 2466a (c) of this title, 
duty-free treatment provided under this subchapter sh all remain in effect through September 30, 2008.  
 CHAPTER 23 - EXTENSION OF CERTAIN TRADE BENEFITS TO SUB-SAHARAN AFRICA   SUBCHAPTER I - TRADE POLICY  FOR SUB-SAHARAN AFRICA 
 
Sec. 
3701. Findings. 3702. Statement of policy. 3703. Eligibility requirements.  (a) In general.  (b) Continuing compliance. 
3704. United States-Sub-Saharan Africa Trade and Economic Cooperation Forum. 
 (a) Declaration of policy.             (b) Establishment.              (c) Requirements.              (d) Dissemination of information by USIS. 
              (e) HIV/AIDS effect on the sub-Saharan African workforce. 
3705. Reporting requirement. 3706. Sub-Saharan Africa defined.  
SUBCHAPTER II - TRADE BENEFITS 
 3721. Treatment of certain textiles and apparel. 
       (a) Preferential treatment.            (b) Products covered.            (c) Treatment of quotas on te xtile and apparel imports from Kenya and Mauritius. 
            (d) Special rules. 
           (e) Definitions. 
              (f) Effective date. 3722. Protections against transshipment.            (a) Preferential treatment conditioned on enforcement measures.            (b) Customs procedures and enforcement.            (c) Customs Service enforcement. 
        (d) Authorization of appropriations. 
3723. Free trade agreements with sub-Saharan African countries.          (a) Declaration of policy.            (b) Plan requirement.            (c) Reporting requirement. 
3724. Assistant United States Trade Re presentative for African affairs. 
  G/C/W/509/Rev.2 
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  SUBCHAPTER III - ECONOMIC DEVELOPMENT RELATED ISSUES 
 
3731. Sense of the Congress regarding comprehensiv e debt relief for the world's poorest countries. 
              (a) Findings.          (b) Sense of the Congress. 
3732. Executive branch initiatives. 
        (a) Statement of the Congress.          (b) Technical assistance to promote economic reforms and development. 3733. Overseas Private Investme nt Corporation initiatives. 
           (a) Initiation of funds. 
           (b) Structure and types of funds. 
         (c) Overseas Private Investment Corporation. 3734. Export-Import Bank initiatives.         (a) Sense of the Congress.          (b) Sub-Saharan Africa Advisory Committee. 
3735. Expansion of the United States and Forei gn Commercial Service in sub-Saharan Africa. 
           (a) Findings.               (b) Appointments.            (c) Initiative for sub-Saharan Africa. 3736. Donation of air traffic control equipment to eligible sub-Saharan African countries. 
3737. Additional authorities and increased flexibility  to provide assistance under the Development 
Fund for Africa. 
         (a) Use of sustainable developm ent assistance to support further economic growth. 
           (b) Declarations of policy. 3738. Assistance from United States private sector to prevent and reduce HIV/AIDS in sub-Saharan 
Africa. 
3739. Sense of the Congress relating to HI V/AIDS crisis in sub-Saharan Africa. 
         (a) Findings.         (b) Sense of the Congress. 3740. Study on improving African agricultural practices.            (a) In general.            (b) Land Grant Co lleges and not-for-profit institutions. 
3741. Sense of the Congress regarding efforts to co mbat desertification in Africa and other countries. 
         (a) Findings.        (b) Sense of the Congress.  Sec. 3701. Findings 
  
Congress finds that -       (1) it is in the mutual interest of the United States and the countries of sub-Saharan Africa to 
promote stable and sustainable economic grow th and development in sub-Saharan Africa; 
     (2) the 48 countries of sub-Saharan Africa form a region richly endowed with both natural 
and human resources; 
         (3) sub-Saharan Africa represents a region of enormous economic potential and of enduring 
Political significance to the United States;          (4) the region has experienced the st rengthening of democracy as countries in sub-Saharan 
Africa have taken steps to encourage broa der participation in the political process; 
         (5) certain countries in sub-Saharan A frica have increased their economic growth rates, taken 
significant steps towards liberalizing their econo mies, and made progress toward regional economic 
integration that can have pos itive benefits for the region; 
         (6) despite those gains, the per capita  income in sub-Saharan Africa averages approximately 
$500 annually; G/C/W/509/Rev.2 
Page 8  
 
           (7) trade and investment, as the Amer ican experience has shown, can represent powerful tools 
both for economic development and for encouraging broader participation in a political process in 
which political freedom can flourish;          (8) increased trade and investment  flows have the greatest impact in an economic 
environment in which trading partners eliminate ba rriers to trade and capital flows and encourage the 
development of a vibrant private sector that offe rs individual African citizens the freedom to expand 
their economic opportunities and provide for their families;          (9) offering the countries of sub-Saha ran Africa enhanced trade preferences will encourage 
both higher levels of trade and direct investme nt in support of the positive economic and political 
developments under way throughout the region; and 
         (10) encouraging the reciprocal reduction of trade and investment barriers in Africa will 
enhance the benefits of trade and investment  for the region as well as enhance commercial and 
political ties between the United States and sub-Saharan Africa.   Sec. 3702. Statement of policy 
  
Congress supports -          (1) encouraging increased trade and i nvestment between the United States and sub-Saharan 
Africa;          (2) reducing tariff and nontariff barri ers and other obstacles to sub-Saharan African and 
United States trade; 
         (3) expanding United States assistance to sub-Saharan Africa's regi onal integration efforts; 
         (4) negotiating reciprocal and mutually  beneficial trade agreements, including the possibility 
of establishing free trade areas that serve the interest s of both the United States and the countries of 
sub-Saharan Africa;          (5) focusing on countries committed to th e rule of law, economic reform, and the eradication 
of poverty; 
         (6) strengthening and expanding the private sector in sub-Sa haran Africa, especially 
enterprises owned by women and small businesses;          (7) facilitating the development of civ il societies and political freedom in sub-Saharan Africa; 
         (8) establishing a United States-Sub-Sa haran Africa Trade and Eco nomic Cooperation Forum; 
and 
         (9) the accession of the countries in sub-Saharan Africa to the Organization for Economic 
Cooperation and Development (OEC D) Convention on Combating Bribery of Foreign Public 
Officials in International Business Transactions.   Sec. 3703. Eligibility requirements 
  
     (a) In general        The President is authorized to designa te a sub-Saharan African country as an eligible sub-
Saharan African country if the Preside nt determines that the country –  
 (1) has established, or is making continual progress toward establishing -            (A) a market-based economy that prot ects private property rights, incorporates an open rules-
based trading system, and minimizes government in terference in the economy through measures such 
as price controls, subsidies, and gove rnment ownership of economic assets; 
           (B) the rule of law, political pluralis m, and the right to due pro cess, a fair trial, and equal 
protection under the law;            (C) the elimination of barriers to United States trade and investment, including by - 
              (i) the provision of national treatment and measures to create an environment conducive to 
domestic and foreign investment; 
             (ii) the protection of intellectual property; and              (iii) the resolution of bilateral trade and investment disputes;  G/C/W/509/Rev.2 
 Page 9 
 
 
             (D) economic policies to reduce poverty, increase the availability of health care and 
educational opportunities, expand physical infrast ructure, promote the development of private 
enterprise, and encourage the formation of capital markets through micro-credit or other programs; 
           (E) a system to combat corruption and bribery, such as signing and implementing the Convention on Combating Bribery of Foreign Public  Officials in International Business Transactions; 
and 
           (F) protection of internationally rec ognized worker rights, includ ing the right of association, 
the right to organize and bargain collectively, a prohibition on the use of any form of forced or 
compulsory labor, a minimum age for the employment of children, and acceptable conditions of work with respect to minimum wages, hours of work, and occupational safety and health; 
         (2) does not engage in activities th at undermine United States national security or foreign 
policy interests; and          (3) does not engage in gross violations of internationally recognized human rights or provide support for acts of international terrorism and coope rates in international efforts to eliminate human 
rights violations and terrorist activities. 
     (b) Continuing compliance 
       If the President determines that an e ligible sub-Saharan African country is not making 
continual progress in meeting the requirements de scribed in subsection (a)(1) of this section, the 
President shall terminate the designation of the c ountry made pursuant to subsection (a) of this 
section.   
Sec. 3704. United States-Sub-Saharan Afri ca Trade and Economic Cooperation Forum 
       (a) Declaration of policy        The President shall convene annual high-l evel meetings between appropriate officials of the 
United States Government and officials of the gove rnments of sub-Saharan African countries in order 
to foster close economic ties between the United States and sub-Saharan Africa. 
     (b) Establishment        Not later than 12 months after May 18 , 2000, the President, after consulting with Congress 
and the governments concerned, shall establis h a United States-Sub-Saharan Africa Trade and 
Economic Cooperation Forum (in this section referred to as the ''Forum'').      (c) Requirements 
In creating the Forum, the President shall meet the following requirements: 
         (1) The President shall direct the S ecretary of Commerce, the Secretary of the Treasury, the 
Secretary of State, and the United States Trade Representative to host the first annual meeting with their counterparts from the governments of sub-Saha ran African countries eligible under section 3703 
of this title, and those sub-Saharan African count ries that the President determines are taking 
substantial positive steps towards meeting the elig ibility requirements in section 3703 of this title.  
The purpose of the meeting shall be to discuss expa nding trade and investment relations between the 
United States and sub-Saharan Africa and the implem entation of this chapter including encouraging 
joint ventures between small and large businesses.  Th e President shall also direct the Secretaries and 
the United States Trade Representative to invite to the meeting representatives from appropriate sub-
Saharan African regional organiza tions and government officials from other appropriate countries in 
sub-Saharan Africa. 
         (2)(A) The President, in consulta tion with the Congress, shall encourage United States 
nongovernmental organizations to host annual meet ings with nongovernmental organizations from 
sub-Saharan Africa in conjunction with the annua l meetings of the Forum for the purpose of 
discussing the issues described in paragraph (1). 
         (B) The President, in consultati on with the Congress, shall encourage United States 
representatives of the private sector to host annual meetings with representatives of the private sector from sub-Saharan Africa in conjunction with the annual meetings of the Forum for the purpose of 
discussing the issues described in paragraph (1). G/C/W/509/Rev.2 
Page 10  
 
           (3) The President shall, to the extent practicable, meet with the heads of governments of sub-
Saharan African countries eligib le under section 3703 of this title, and those sub-Saharan African 
countries that the President determines are taki ng substantial positive steps toward meeting the 
eligibility requirements in section 3703 of this title, no t less than once every 2 years for the purpose of 
discussing the issues described in paragraph (1). Th e first such meeting should take place not later 
than 12 months after May 18, 2000.  
 (d) Dissemination of information by USIS  In order to assist in carrying out the purpo ses of the Forum, the United States Information 
Service shall disseminate regularly, through multiple  media, economic information in support of the 
free market economic reforms described in this chapter. 
     (e) HIV/AIDS effect on the sub-Saharan African workforce 
       In selecting issues of common interest to the United States-Sub-Saharan Africa Trade and 
Economic Cooperation Forum, the President shall instru ct the United States delegates to the Forum to 
promote a review by the Forum of the HIV/AIDS ep idemic in each sub-Saharan African country and 
the effect of the HIV/AIDS epidemic on economic development in each country. 
     
Sec. 3705. Reporting requirement   The President shall submit to the Congress, not la ter than 1 year after May 18, 2000, and annually 
thereafter through 2008, a comprehensive report on the trade and investment policy of the United States for sub-Saharan Africa, and on the implementa tion of this chapter and the amendments made 
by this chapter. 
   Sec. 3706. Sub-Saharan Africa defined       For purposes of this chapter, the terms ''sub- Saharan Africa'', ''sub-Saharan African country'', 
''country in sub-Saharan Africa'', and ''countries in sub-Saharan Africa'' refer to the following or any 
successor political entities:          Republic of Angola (Angola).          Republic of Benin (Benin).          Republic of Botswana (Botswana).          Burkina Faso (Burkina). 
         Republic of Burundi (Burundi). 
         Republic of Cameroon (Cameroon).          Republic of Cape Verde (Cape Verde).          Central African Republic.          Republic of Chad (Chad). 
         Federal Islamic Republic of the Comoros (Comoros). 
         Democratic Republic of Congo.          Republic of the Congo (Congo).          Republic of CoAE3te d'Ivoire (CoAE3te d'Ivoire).          Republic of Djibouti (Djibouti).          Republic of Equatorial Guinea (Equatorial Guinea). 
         State of Eritrea (Eritrea). 
         Ethiopia.          Gabonese Republic (Gabon).          Republic of the Gambia (Gambia).          Republic of Ghana (Ghana). 
         Republic of Guinea (Guinea). 
         Republic of Guinea-Bissau (Guinea-Bissau).          Republic of Kenya (Kenya).          Kingdom of Lesotho (Lesotho).          Republic of Liberia (Liberia).  G/C/W/509/Rev.2 
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           Republic of Madagascar (Madagascar). 
         Republic of Malawi (Malawi).          Republic of Mali (Mali).          Islamic Republic of Mauritania (Mauritania).          Republic of Mauritius (Mauritius). 
         Republic of Mozambique (Mozambique). 
         Republic of Namibia (Namibia).          Republic of Niger (Niger).          Federal Republic of Nigeria (Nigeria).          Republic of Rwanda (Rwanda). 
         Democratic Republic of Sao Tome AE1 and Principe (Sao TomeAE1 and Principe). 
         Republic of Senegal (Senegal).          Republic of Seychelles (Seychelles).          Republic of Sierra Leone (Sierra Leone). 
         Somalia. 
         Republic of South Africa (South Africa). 
         Republic of Sudan (Sudan).          Kingdom of Swaziland (Swaziland).          United Republic of Tanzania (Tanzania).          Republic of Togo (Togo).          Republic of Uganda (Uganda). 
         Republic of Zambia (Zambia). 
         Republic of Zimbabwe (Zimbabwe).    Sec. 3721. Treatment of certain textiles and apparel   
     (a) Preferential treatment 
       Textile and apparel articles described in subsection (b) of this section that are imported 
directly into the customs territory of the United St ates from a beneficiary s ub-Saharan African country 
described in section 2466a(c) of this title, shall en ter the United States free of duty and free of any 
quantitative limitations in accordance wi th the provisions set forth in s ubsection (b) of this section, if 
the country has satisfied the requirements set forth in section 3722 of this title. 
     (b) Products covered 
       The preferential treatment described in subsection (a) of this secti on shall apply only to the 
following textile a nd apparel products: 
       (1) Apparel articles assembled in one or more beneficiary sub-Saharan African countries 
         Apparel articles sewn  or otherwise assembled in one or more benefici ary sub-Saharan African 
countries from fabrics wholly formed and cut, or fro m components knit-to-shape, in the United States 
from yarns wholly formed in the United States, (i ncluding fabrics not formed from yarns, if such 
fabrics are classifiable under heading 5602 or 5603  of the Harmonized Tariff Schedule of the United 
States and are wholly formed and cut in the United States) that are -            (A) entered under subheading 98 02.00.80 of the Harmonized Tariff Schedule of the United 
States; or 
           (B) entered under chapter 61 or 62 of  the Harmonized Tariff Schedule of the United States, if, 
after such assembly, the articles would have qua lified for entry under subheading 9802.00.80 of the 
Harmonized Tariff Schedule of the United States but for the fact that the articles were embroidered or 
subjected to stone-washing, enzyme-washing, acid washing, perma-pressing, oven-baking, bleaching, 
garment-dyeing, screen printing, or other similar processes. 
       (2) Other apparel articles assembled in one or more beneficiary sub-Saharan African countries 
         Apparel articles sewn  or otherwise assembled in one or more benefici ary sub-Saharan African 
countries with thread formed in the United States fro m fabrics wholly formed in the United States and 
cut in one or more beneficiary sub-Saharan African countries from yarns wholly formed in the United 
States, or from components knit-to-shape in the Un ited States from yarns wholly formed in the United G/C/W/509/Rev.2 
Page 12  
 
  States, or both (including fabrics not formed from ya rns, if such fabrics are classifiable under heading 
5602 or 5603 of the Harmonized Tariff Schedule of the United States and are wholly formed in the 
United States).        (3) Apparel articles from regional fabric or yarns          Apparel articles wholly assembled in on e or more beneficiary sub-Saharan African countries 
from fabric wholly formed in one or more bene ficiary sub-Saharan African countries from yarns 
originating either in the United States or one or more beneficiary sub-Saharan African countries (including fabrics not formed from yarns, if such  fabrics are classified under heading 5602 or 5603 of 
the Harmonized Tariff Schedule of the United Stat es and are wholly formed in one or more 
beneficiary sub-Saharan African countries), or from components knit-to-shape in one or more 
beneficiary sub-Saharan African countries from yarns or iginating either in the United States or one or 
more beneficiary sub-Saharan African countries, or apparel articles wholly formed on seamless 
knitting machines in a beneficiary sub-Saharan African  country from yarns originating either in the 
United States or one or more beneficiary sub-Sa haran African countries, subject to the following: 
         (A) Limitations on benefits 
           (i) In general 
             Preferential treatment under this paragraph shall be extended in  the 1-year period beginning 
on October 1, 2000, and in each of the seven succeeding 1-year periods , to imports of apparel articles 
in an amount not to exceed the applicable percentage  of the aggregate square meter equivalents of all 
apparel articles imported into the United States in  the preceding 12-month period for which data are 
available. 
           (ii) Applicable percentage 
             For purposes of this subparagraph, th e term ''applicable percentage'' means 1.5 percent for the 
1-year period beginning October 1, 2000, increased in  each of the seven succeeding 1-year periods by 
equal increments, so that for the period beginning October 1, 2007, the applicable percentage does not 
exceed 3.5 percent. 
         (B) Special rule for lesser developed countries 
           (i) In general              Subject to subparagraph (A), pr eferential treatment under this paragraph shall be extended 
through September 30, 2004, for apparel articles w holly assembled, or knit-to-shape and wholly 
assembled, or both, in one or more lesser deve loped beneficiary sub-Sa haran African countries 
regardless of the country of origin of the fabr ic or the yarn used to make such articles. 
           (ii) Lesser developed beneficiary sub-Saharan African country 
             For purposes of clause (i), the term ''lesser developed bene ficiary sub-Saharan African 
country'' means -               (I) a beneficiary sub-Saharan Afri can country that had a per capita gross national product of 
less than $1,500 in 1998, as measured by the Inte rnational Bank for Recons truction and Development; 
              (II) Botswana; and 
              (III) Namibia.          (C) Surge mechanism            (i) Import monitoring              The Secretary of Commerce shall m onitor imports of articles desc ribed in this paragraph on a 
monthly basis to determine if there has been a surge in imports of such articles.  In order to permit 
public access to preliminary international trade data  and to facilitate the early identification of 
potentially disruptive import surges, the Director of the Office of Management and Budget may grant an exception to the publication dates established for the release of data on United States international 
trade in covered articles, if the Director notifies Congress of the early release of the data.            (ii) Determination of damage or threat thereof 
             Whenever the Secretary of Commer ce determines, based on the data described in clause (i), 
or pursuant to a written request made by an interested party, that there has been a surge in imports of 
an article described in this para graph from a beneficiary sub-Saha ran African country, the Secretary 
shall determine whether such article from such c ountry is being imported in such increased quantities 
as to cause serious damage, or threat thereof, to the domestic industry producing a like or directly  G/C/W/509/Rev.2 
 Page 13 
 
 
  competitive article.  If the Secretary's determinati on is affirmative, the President shall suspend the 
duty-free treatment provided for such article under this  paragraph.  If the inquiry is initiated at the 
request of an interested party, th e Secretary shall make the determination within 60 days after the date 
of the request.            (iii) Factors to consider 
             In determining whether a domestic i ndustry has been seriously damaged, or is threatened with 
serious damage, the Secretary shall examine the effe ct of the imports on relevant economic indicators 
such as domestic production, sales, market share,  capacity utilization, inventories, employment, 
profits, exports, prices, and investment.            (iv) Procedure 
             (I) Initiation 
              The Secretary of Commerce shall initiate an inquiry within 10 days after receiving a written request and supporting information for an inquiry from an interested party.  Notice of initiation of an 
inquiry shall be published in the Federal Register.              (II) Participation by interested parties 
              The Secretary of Commerce shall establish procedures to ensure participation in the inquiry 
by interested parties.              (III) Notice of determination               The Secretary shall publish the dete rmination described in clause (ii) in the Federal Register. 
             (IV) Information available               If relevant information is not av ailable on the record or any party withholds information that 
has been requested by the Secretary, the Secretar y shall make the determination on the basis of the 
facts available.  When the Secretary relies on inform ation submitted in the inquiry as facts available, 
the Secretary shall, to the extent practicable, corroborate the information from independent sources 
that are reasonably available to the Secretary.             (v) Interested party 
             For purposes of this subparagraph, th e term ''interested party'' means any producer of a like or 
directly competitive article, a certified union or recognized union or group of workers which is 
representative of an industry engaged in the manufac ture, production, or sale in the United States of a 
like or directly competitive article, a trade or bus iness association representing producers or sellers of 
like or directly competitive articles, producers engage d in the production of essential inputs for like or 
directly competitive articles, a certified union or  group of workers which is representative of an 
industry engaged in the manufacture, production, or sale of essential inputs for the like or directly 
competitive article, or a trade or business asso ciation representing companies engaged in the 
manufacture, production, or sale of such essential inputs.        (4) Sweaters knit-to-shape from cashmere or merino wool          (A) Cashmere 
           Sweaters, in chief weight of cashmere , knit-to-shape in one or more beneficiary sub-Saharan 
African countries and classifiable under subhead ing 6110.10 of the Harmonized Tariff Schedule of 
the United States.          (B) Merino wool            Sweaters, 50 percent or more by weight  of wool measuring 21.5 micr ons in diameter or finer, 
knit-to-shape in one or more benefi ciary sub-Saharan African countries. 
       (5) Apparel articles wholly assembled from fabric or yarn not available in commercial 
quantities in the United States          (A) In general            Apparel articles that are both cut (o r knit-to-shape) and sewn or otherwise assembled in one 
or more beneficiary sub-Saharan African countries, from fabric or yarn that is not formed in the 
United States or a beneficiary sub-Saharan African co untry, to the extent that apparel articles of such 
fabrics or yarns would be eligible for preferential tr eatment, without regard to the source of the fabric 
or yarn, under Annex 401 to the NAFTA. G/C/W/509/Rev.2 
Page 14  
 
           (B) Additional apparel articles 
           At the request of any interested part y and subject to the following requirements, the President 
is authorized to proclaim the treatment provide d under subparagraph (A) for yarns or fabrics not 
described in subparagraph (A) if -              (i) the President determines that such yarns or fabrics cannot be supplied by the domestic 
industry in commercial quantities in a timely manner; 
             (ii) the President has obtained advice regarding the proposed action from the appropriate 
advisory committee established unde r section 2155 of this title and the United States International 
Trade Commission;              (iii) within 60 calendar days after the request, the President has submitted a report to the 
Committee on Ways and Means of the House of Re presentatives and the Committee on Finance of the 
Senate that sets forth -               (I) the action proposed to be proclaimed and the reas ons for such action; and 
              (II) the advice obtained under clause (ii);              (iv) a period of 60 calendar days, beginning with the first day on which the President has met 
the requirements of subclauses (I) and (II) of clause (iii), has expired; and 
             (v) the President has consulted w ith such committees regarding the proposed action during the 
period referred to in clause (iii).        (6) Handloomed, handmade, and folklore articles          A handloomed, handmade, or folklore ar ticle of a beneficiary sub-Saharan African country or 
countries that is certified as such by the competent authority of such beneficiary country or countries.  
For purposes of this paragraph, the President, afte r consultation with the beneficiary sub-Saharan 
African country or countries concer ned, shall determine which, if an y, particular textile and apparel 
goods of the country (or countries) shall be trea ted as being handloomed, handmade, or folklore 
articles.        (7) Apparel articles assembled in one or  more beneficiary sub-Saharan African countries from 
United States and beneficiary sub-Saharan African country components 
Apparel articles sewn or otherw ise assembled in one or more beneficiary sub-Saharan African 
countries with thread formed in the United States from components cut in the United States and one or 
more beneficiary sub-Saharan African countries from fabric wholly formed in the United States from 
yarns wholly formed in the United States, or fro m components knit-to-shape in the United States and 
one or more beneficiary sub-Saharan African c ountries from yarns wholly formed in the United 
States, or both (including fabrics not formed from ya rns, if such fabrics are classifiable under heading 
5602 or 5603 of the Harmonized Tariff Schedule of the United States).      (c) Treatment of quotas on textile and apparel imports from Kenya and Mauritius 
       The President shall eliminate the exis ting quotas on textile and appa rel articles imported into 
the United States - 
         (1) from Kenya within 30 days after th at country adopts an effective visa system to prevent 
unlawful transshipment of textile and apparel article s and the use of counterfeit documents relating to 
the importation of the articles into the United States; and          (2) from Mauritius within 30 days after that country adopts such a visa system. The Customs Service shall provide the necessary technical assi stance to Kenya and Mauritius in the development 
and implementation of the visa systems. 
     (d) Special rules 
       (1) Findings and trimmings          (A) General rule            An article otherwise eligible fo r preferential treatment under this section shall not be 
ineligible for such treatment because the article contains findings or trimmings of foreign origin, if the 
value of such findings and trimmings do not exceed 25 percent of the cost of the components of the 
assembled article.  Examples of findings and trimmings are sewing thread, hooks and eyes, snaps, buttons, ''bow buds'', decorative lace trim, elastic stri ps, and zippers, including zipper tapes and labels.  
Elastic strips are considered findings or trimmings only if they are each less than 1 inch in width and 
used in the production of brassieres.  G/C/W/509/Rev.2 
 Page 15 
 
 
           (B) Certain interlinings 
           (i) General rule              An article otherwise eligible for preferential treatment under this section shall not be 
ineligible for such treatme nt because the article contains certain in terlinings of foreign origin, if the 
value of such interlinings (and any findings and trimmings) does not exceed 25 percent of the cost of 
the components of the assembled article. 
           (ii) Interlinings described              Interlinings eligible for the treatme nt described in clause (i) include only a chest type plate, a 
''hymo'' piece, or ''sleeve header'', of woven or weft-inserted warp knit construction and of coarse 
animal hair or man-made filaments. 
           (iii) Termination of treatment 
             The treatment described in this  subparagraph shall terminat e if the President makes a 
determination that United States manufacturers are produc ing such interlinings in the United States in 
commercial quantities.          (C) Exception 
           In the case of an article described in subsection (b)(2) of this section, sewing thread shall not 
be treated as findings or tri mmings under subparagraph (A). 
       (2) De minimis rule          An article otherwise eligible for preferential treatment under this section shall not be 
ineligible for such treatment becau se the article contains fibers or yarns not wholly formed in the 
United States or one or more beneficiary sub-Sahara n African countries if the total weight of all such 
fibers and yarns is not more than 7 per cent of the total weight of the article. 
     (e) Definitions        In this section and section 3722 of this title:        (1) Agreement on textiles and clothing          The term ''Agreement on Textiles and Clothing'' means the Agreement on Textiles and 
Clothing referred to in section 3511(d)(4) of this title. 
       (2) Beneficiary sub-Saharan African country, etc.          The terms ''beneficiary sub-Saharan African country'' and ''benefi ciary sub-Saharan African 
countries'' have the same meaning as such te rms have under section 2466a(c) of this title. 
       (3) NAFTA          The term ''NAFTA'' means the North American Free Trade Agreement entered into between 
the United States, Mexico, and Canada on December 17, 1992. 
     (f) Effective date        This section takes effect on October 1, 2 000, and shall remain in effect through September 30, 
2008.  
Sec. 3722. Protections against transshipment 
       (a) Preferential treatment conditioned on enforcement measures        (1) In general          The preferential treatment under section 3721(a) of this title shall not be provided to textile and apparel articles that are imported from a bene ficiary sub-Saharan African country unless that 
country - 
           (A) has adopted an effective vi sa system, domestic laws, an d enforcement procedures 
applicable to covered articles to prevent unlawfu l transshipment of the articles and the use of 
counterfeit documents relating to the importati on of the articles into the United States; 
           (B) has enacted legislation or pr omulgated regulations that would permit United States 
Customs Service verification teams to have the acce ss necessary to investigate thoroughly allegations 
of transshipment through such country;            (C) agrees to report, on a timely basi s, at the request of the United States Customs Service, on 
the total exports from and imports into that country of covered articles, consistent with the manner in 
which the records are kept by that country; G/C/W/509/Rev.2 
Page 16  
 
             (D) will cooperate fully with the Un ited States to address and take action necessary to prevent 
circumvention as provided in Article 5 of  the Agreement on Textiles and Clothing; 
           (E) agrees to require all producers and exporters of covered ar ticles in that country to 
maintain complete records of the production and th e export of covered articles, including materials 
used in the production, for at least 2 years after the production or export (as the case may be); and 
           (F) agrees to report, on a timely basi s, at the request of the United States Customs Service, 
documentation establishing the country of origin of covered articles as used by that country in implementing an effective visa system.        (2) Country of origin documentation          For purposes of paragraph (1)(F), doc umentation regarding the country of origin of the 
covered articles includes documentation such as pr oduction records, information relating to the place 
of production, the number and identification of the types of machinery used in production, the number 
of workers employed in production, and certification from both the manufacturer and the exporter.      (b) Customs procedures and enforcement        (1) In general 
         (A) Regulations 
           Any importer that claims preferential treatment under section 3721 of this title shall comply with customs procedures similar  in all material r espects to the requirements of Article 502(1) of the 
NAFTA as implemented pursuant to United States la w, in accordance with regulations promulgated 
by the Secretary of the Treasury.          (B) Determination 
           (i) In general 
             In order to qualify for the pref erential treatment under section 3721 of this title and for a 
Certificate of Origin to be valid with respect to an y article for which such treatment is claimed, there 
shall be in effect a determination by the Preside nt that each country described in clause (ii) - 
              (I) has implemented and follows; or 
              (II) is making substantial prog ress toward implementing and following, procedures and 
requirements similar in all materi al respects to the relevant procedures and requirements under chapter 
5 of the NAFTA.            (ii) Country described              A country is described in this clause if it is a beneficiary sub-Saharan African country - 
              (I) from which the article is exported; or 
              (II) in which materials used in the pr oduction of the article originate or in which the article or 
such materials, undergo production that contributes to a claim that the article is eligible for 
preferential treatment.        (2) Certificate of Origin          The Certificate of Origin that othe rwise would be required pursuant to the provisions of 
paragraph (1) shall not be required in the case of an  article imported under sect ion 3721 of this title if 
such Certificate of Origin would not be require d under Article 503 of the NAFTA (as implemented 
pursuant to United States law), if the article were imported from Mexico.        (3) Penalties for exporters          If the President determines, based on sufficient evidence, that an exporter has engaged in 
transshipment as defined in paragraph (4), then th e President shall deny for a period of 5 years all 
benefits under section 3721 of this title to such exporter, any successor of such exporter, and any other 
entity owned or operated by the principal of the exporter.        (4) Transshipment described          Transshipment within the meaning of this subsection has occurred when preferential 
treatment for a textile or apparel article under this chapter has been claimed on the basis of material 
false information concerning the country of origin, manufacture, processing, or assembly of the article 
or any of its components.  For purposes of this paragra ph, false information is material if disclosure of 
the true information would mean or would have m eant that the article is or was ineligible for 
preferential treatment under section 3721 of this title.  G/C/W/509/Rev.2 
 Page 17 
 
 
         (5) Monitoring and reports to Congress 
         The Customs Service shall monitor and the Commissioner of Customs shall submit to 
Congress, not later than March 31 of each year, a re port on the effectiveness of the visa systems and 
the implementation of legislation and regulations described in subsection (a) of this section and on 
measures taken by countries in sub-Saharan Africa  which export textiles or apparel to the United 
States to prevent circumvention as described in Article 5 of the Agreement on Textiles and Clothing. 
     (c) Customs Service enforcement        The Customs Service shall -          (1) make available technical assistan ce to the beneficiary sub-Saharan African countries - 
           (A) in the development and implem entation of visa systems, legislation, and regulations 
described in subsection (a)(1)(A) of this section; and 
           (B) to train their o fficials in anti-transshipment enforcement;  
 (2) send production verification teams to at least four beneficiary sub-Saharan African 
countries each year; and          (3) to the extent feasible, place beneficiary sub-Saharan African countries on the Electronic 
Visa (ELVIS) program. 
     (d) Authorization of appropriations        There is authorized to be appropriated to carry out subsection (c) of this section the sum of 
$5,894,913.  Sec. 3723. Free trade agreements with sub-Saharan African countries 
 
     (a) Declaration of policy        Congress declares that free trade agreem ents should be negotiated, where feasible, with 
interested countries in sub-Saharan Africa, in or der to serve as the catalyst for increasing trade 
between the United States and sub-Saharan Africa  and increasing private sector investment in sub-
Saharan Africa. 
     (b) Plan requirement        (1) In general          The President, taking into account the provisions of the treaty establishing the African Economic Community and the willingness of the gove rnments of sub-Saharan African countries to 
engage in negotiations to enter into free trade ag reements, shall develop a plan for the purpose of 
negotiating and entering into one or more trade agre ements with interested beneficiary sub-Saharan 
African countries.        (2) Elements of plan          The plan shall include the following:            (A) The specific objectives of the United States with respect to negotiations described in 
paragraph (1) and a suggested timetable for achieving those objectives. 
           (B) The benefits to both the Unite d States and the relevant sub-Saharan African countries 
with respect to the applicable fr ee trade agreement or agreements. 
           (C) A mutually agreed-upon timetable for the negotiations.            (D) The implications for and the role of regional and sub-re gional organizations in sub-
Saharan Africa with respect to such free trade agreement or agreements. 
           (E) Subject matter anticipated to be covered by the negotiatio ns and United States laws, 
programs, and policies, as well as the laws of par ticipating eligible African countries and existing 
bilateral and multilateral and economic  cooperation and trade agreements, that may be affected by the 
agreement or agreements.            (F) Procedures to ensure the following: 
             (i) Adequate consultation with the Congress and the private sector during the negotiations. 
             (ii) Consultation with the Congr ess regarding all matters relati ng to implementation of the 
agreement or agreements.              (iii) Approval by the Congress of the agreement or agreements. G/C/W/509/Rev.2 
Page 18  
 
               (iv) Adequate consultations with  the relevant African governme nts and African regional and 
subregional intergovernmental orga nizations during the negotiation of  the agreement or agreements. 
     (c) Reporting requirement        Not later than 12 months after May 18, 2000, the President shall prepare and transmit to the 
Congress a report containing the plan developed pursuant to subsection (b) of this section. 
  
Sec. 3724. Assistant United States Trad e Representative for African Affairs 
        It is the sense of the Congress that -          (1) the position of Assistant United Stat es Trade Representative for African Affairs is integral 
to the United States commitment to increasing United States-sub-Saharan African trade and 
investment;          (2) the position of Assistant United St ates Trade Representative for African Affairs should be 
maintained within the Office of the United States  Trade Representative to direct and coordinate 
interagency activities on United States-Africa trade policy and investment matters and serve as - 
           (A) a primary point of contact in the executive branch for those persons engaged in trade 
between the United States and sub-Saharan Africa; and            (B) the chief advisor to the Unite d States Trade Representative on issues of trade and 
investment with Africa; and          (3) the United States Trade Representati ve should have adequate f unding and staff to carry 
out the duties of the Assistant United States Trad e Representative for African Affairs described in 
paragraph (2), subject to the availability of appropriations. 
  Sec. 3731. Sense of the Congress regarding comp rehensive debt relief for the world's poorest 
countries   
     (a) Findings 
       Congress makes the following findings:          (1) The burden of external debt h as become a major impediment to economic growth and 
poverty reduction in many of the world's poorest countries.          (2) Until recently, the United States Go vernment and other official creditors sought to address 
this problem by rescheduling loans and in some cases providing limited debt reduction. 
         (3) Despite such e fforts, the cumulative debt of many of the world's poorest countries 
continued to grow beyond their capacity to repay.          (4) In 1997, the Group of Seven, the World Bank, and the International Monetary Fund 
adopted the Heavily Indebted Poor Countries Initiati ve (HIPC), a commitment by the international 
community that all multilateral and bilateral credito rs, acting in a coordinate d and concerted fashion, 
would reduce poor country debt to a sustainable level. 
         (5) The HIPC Initiative is currently undergoing reforms to address concerns raised about 
country conditionality, the amount of debt forgiven , and the allocation of savings realized through the 
debt forgiveness program to ensure that the Initia tive accomplishes the goals of economic growth and 
poverty alleviation in the world's poorest countries.      (b) Sense of the Congress 
       It is the sense of the Congress that - 
         (1) Congress and the President should work  together, without undue delay and in concert with 
the international community, to make comprehens ive debt relief available to the world's poorest 
countries in a manner that promotes econom ic growth and poverty alleviation; 
         (2) this program of bilateral and mu ltilateral debt relief should be  designed to strengthen and 
expand the private sector, encourage increased trad e and investment, support the development of free 
markets, and promote broad-scale economic  growth in beneficiary countries;  G/C/W/509/Rev.2 
 Page 19 
 
 
           (3) this program of debt relief should also support the adoption of policies to alleviate poverty 
and to ensure that benefits are shared widely  among the population, such as through initiatives to 
advance education, improve health, combat AI DS, and promote clean water and environmental 
protection;   (4) these debt relief agreements should be d esigned and implemented in a transparent manner 
and with the broad participation of the citizenry of  the debtor country and should ensure that country 
circumstances are adequately taken into account;          (5) no country should receive the benef its of debt relief if that country does not cooperate 
with the United States on terrorism or narcotics enforc ement, is a gross violator of the human rights of 
its citizens, or is engaged in conflict or spends excessively on its military; and 
         (6) in order to prevent adverse impact on a key industry in many developing countries, the 
International Monetary Fund must mobilize its own resources for providing debt relief to eligible 
countries without allowing gold to reach the open mark et, or otherwise adversely affecting the market 
price of gold.   
Sec. 3732. Executive branch initiatives 
       (a) Statement of the Congress        The Congress recognizes that the stat ed policy of the executive branch in 1997, the 
''Partnership for Growth and Opportunity in Africa'' initiative, is a step toward the establishment of a 
comprehensive trade and development policy for sub- Saharan Africa. It is the sense of the Congress 
that this Partnership is a companion to th e policy goals set forth in this chapter. 
     (b) Technical assistance to promote economic reforms and development        In addition to con tinuing bilateral and multila teral economic and development assistance, the 
President shall target technical assistance toward -          (1) developing relationships between  United States firms and firms in sub-Saharan Africa 
through a variety of business associations and networks; 
         (2) providing assistance to the governments of sub-Saharan African countries to -            (A) liberalize trade and promote exports;            (B) bring their legal regimes into compliance with the standards of the World Trade Organization in conjunction with membership in that Organization;            (C) make financial and fiscal reforms; and 
           (D) promote greater agribusiness linkages; 
         (3) addressing such critical agricultura l policy issues as market liberalization, agricultural 
export development, and agribusiness investment  in processing and transporting agricultural 
commodities;          (4) increasing the number of reverse trade missions to growth-o riented countries in sub-
Saharan Africa; 
         (5) increasing trade in services; and          (6) encouraging greater sub-Saharan Afri can participation in future negotiations in the World 
Trade Organization on services and making further commitments in their schedules to the General Agreement on Trade in Services in order to encour age the removal of tariff and nontariff barriers. 
 
Sec. 3733. Overseas Private Investment Corporation initiatives 
      (a) Initiation of funds        It is the sense of the Congress that the Overseas Private Investment Corporation should 
exercise the authorities it has to initiate an equity f und or equity funds in support of projects in the 
countries in sub-Saharan Africa, in addition to the existing equity fund for sub-Saharan Africa created 
by the Corporation.      (b) Structure and types of funds G/C/W/509/Rev.2 
Page 20  
 
         (1) Structure 
         Each fund initiated under subsection (a) of  this section should be structured as a partnership 
managed by professional private sector fund manage rs and monitored on a continuing basis by the 
Corporation.        (2) Capitalization 
         Each fund should be capitalized with a combination of private equity capital, which is not 
guaranteed by the Corporation, and debt for which the Corporation provides guaranties. 
       (3) Infrastructure fund          One or more of the funds, with co mbined assets of up to $500,000,000, should be used in 
support of infrastructure projects in countries of sub-Saharan Africa. 
       (4) Emphasis 
         The Corporation shall ensure that th e funds are used to provide support in particular to 
women entrepreneurs and to innovative invest ments that expand opportunities for women and 
maximize employment opportunities for poor individuals.      (c) Overseas Private Investment Corporation 
       (1) Omitted 
       (2) Reports to Congress          Within 6 months after May 18, 2000, and annually for each of the 4 years thereafter, the 
Board of Directors of the Overseas Private Invest ment Corporation shall submit to Congress a report 
on the steps that the Board has taken to im plement section 2193(e) of title 22 and any 
recommendations of the investment advisory council established pursuant to such section. 
  
Sec. 3734. Export-Import Bank initiatives        (a) Sense of the Congress        It is the sense of the Congress that the Bo ard of Directors of the Bank shall continue to take 
comprehensive measures, consistent with the credit standards otherwise required by law, to promote 
the expansion of the Bank's financial commitment s in sub-Saharan Africa under the loan, guarantee 
and insurance programs of the Bank.      (b) Sub-Saharan Africa Advisory Committee        The sub-Saharan Africa Advisory Co mmittee (SAAC) is to be commended for aiding the 
Bank in advancing the economic partnership betw een the United States and the nations of sub-
Saharan Africa by doubling the num ber of sub-Saharan African count ries in which the Bank is open 
for traditional financing and by increasing by te nfold the Bank's support for sales to sub-Saharan 
Africa from fiscal year 1998 to fiscal year 1999. The Board of Directors of the Bank and its staff shall continue to review carefully the sub-Sahara n Africa Advisory Committee recommendations on the 
development and implementation of  new and innovative policies and programs designed to promote 
the Bank's expansion in sub-Saharan Africa. 
  Sec. 3735. Expansion of the United States and Fo reign Commercial Service in sub-Saharan Africa 
       (a) Findings        The Congress makes the following findings: 
         (1) The United States and Foreign Commer cial Service (hereafter in this section referred to as 
the ''Commercial Service'') plays an important ro le in helping United States businesses identify export 
opportunities and develop reliable sources of info rmation on commercial prospects in foreign 
countries.          (2) During the 1980s, the presence of the Commercial Service in sub-Saharan Africa 
consisted of 14 professionals providing services in eight countries.  By early 1997, that presence had 
been reduced by half to seven professionals in only four countries.          (3) Since 1997, the Department of Co mmerce has slowly begun to  increase the presence of 
the Commercial Service in sub-Saharan Africa, a dding five full-time officers to established posts.  G/C/W/509/Rev.2 
 Page 21 
 
 
           (4) Although the Commercial Se rvice Officers in these countries have regional 
responsibilities, this kind of coverage does not adequately service the needs of United States 
businesses attempting to do business in sub-Saharan Africa.          (5) The Congress has, on several occa sions, encouraged the Commercial Service to focus its 
resources and efforts in countries or regions in Euro pe or Asia to promote greater United States export 
activity in those markets, and similar encouragem ent should be provided for countries in sub-Saharan 
Africa as well.          (6) Because market information is not widely available in many sub-Saharan African 
countries, the presence of additional Commercial Serv ice Officers and resources can play a significant 
role in assisting United States businesse s in markets in those countries. 
     (b) Appointments 
       Subject to the availability of appropr iations, by not later than  December 31, 2001, the 
Secretary of Commerce, acting through the Assistant Secretary of Commerce and Director General of the United States and Foreign Commercial Servi ce, shall take steps to ensure that - 
         (1) at least 20 full-time Commercial Service employees are stationed in sub-Saharan Africa; 
and  
         (2) full-time Commercial Service employ ees are stationed in not less than 10 different sub-
Saharan African countries.      (c) Initiative for sub-Saharan Africa        In order to encourage the export of United States goods and services to sub-Saharan African 
countries, the International Trade Administ ration shall make a special effort to - 
         (1) identify United States goods and services which are the best prospects for export by 
United States companies to sub-Saharan Africa;          (2) identify, where appropriate, tariff and non-tariff barriers that are preventing or hindering sales of United States goods and services to, or the operation of United States companies in, sub-Saharan Africa; 
         (3) hold discussions with appropriate  authorities in sub-Saharan Africa on the matters 
described in paragraphs (1) and (2) with a view to securing increased market access for United States 
exporters of goods and services;          (4) identify current resource allocati ons and personnel levels in sub-Saharan Africa for the 
Commercial Service and consider plans for the de ployment of additional resources or personnel to 
that region; and 
        (5) make available to the public, thr ough printed and electronic means of communication, the 
information derived pursuant to paragraphs (1) thro ugh (4) for each of the 4 years after May 18, 2000. 
 Sec. 3736. Donation of air traffic control equipm ent to eligible sub-Saharan African countries 
  
       It is the sense of the Congress that, to  the extent appropriate, the United States Government 
should make every effort to donate to governments of sub-Saharan African countries determined to be 
eligible under section 3703 of this title air traffic control equipment that is no longer in use, including 
appropriate related reimbursable technical assistance.  Sec. 3737. Additional authorities and increased flexibility to provide assistance under the 
Development Fund for Africa 
       (a) Use of sustainable development assistance to support further economic growth 
       It is the sense of the Congress that su stained economic growth in sub-Saharan Africa depends 
in large measure upon the development of a receptiv e environment for trade and investment, and that 
to achieve this objective the United States Agency for International Development should continue to 
support programs which help to create this environment.  Investments in human resources, development, and implemen tation of free market policies, includi ng policies to liberalize agricultural 
markets and improve food security, and the suppor t for the rule of law and democratic governance 
should continue to be encouraged and e nhanced on abilateral and regional basis. G/C/W/509/Rev.2 
Page 22  
 
       (b) Declarations of policy 
       The Congress makes the following declarations:          (1) The Development Fund for Africa established under chapter 10 of part I of the Foreign Assistance Act of 1961 (22 U.S.C. 2293 et seq.) h as been an effective tool in providing development 
assistance to sub-Saharan Africa since 1988. 
         (2) The Development Fund for Africa will complement the other provisions of this chapter 
and lay a foundation for increased trade and inv estment opportunities between the United States and 
sub-Saharan Africa.          (3) Assistance provided through th e Development Fund for Africa will continue to support 
programs and activities that promote the long term  economic development of sub-Saharan Africa, 
such as programs and activities relating to the following: 
           (A) Strengthening primary and vocati onal education systems, especially the acquisition of 
middle-level technical skills for operating modern  private businesses and the introduction of college 
level business education, including the study of intern ational business, finance, and stock exchanges. 
           (B) Strengthening health care systems. 
           C) Supporting democratization, good governance and civil society and conflict resolution 
efforts.            (D) Increasing food security by prom oting the expansion of agricultural and agriculture-based 
industrial production and produc tivity and increasing real incomes for poor individuals. 
           (E) Promoting an enabling environm ent for private sector-led growth through sustained 
economic reform, privatization programs , and market-led economic activities. 
           (F) Promoting decentralization and local participation in the development process, especially 
linking the rural production sectors and the indus trial and market centers throughout Africa. 
           (G) Increasing the technical and mana gerial capacity of sub-Saha ran African individuals to 
manage the economy of sub-Saharan Africa.            (H) Ensuring sustainable economic growth through environmental protection. 
         (4) The African Development Foundation has a unique congressional mandate to empower 
the poor to participate fully in development a nd to increase opportunities for gainful employment, 
poverty alleviation, and more equitable income distribution in sub-Saharan Africa. The African 
Development Foundation has worked successfully to e nhance the role of women as agents of change, 
strengthen the informal sector with an emphasi s on supporting micro and small sized enterprises, 
indigenous technologies, and mobilizing local fi nancing.  The African Development Foundation 
should develop and implement strategies for pr omoting participation in the socioeconomic 
development process of grassroots and info rmal sector groups such as nongovernmental 
organizations, cooperatives, artisans, and trader s into the programs and initiatives established under 
this chapter.  
 Sec. 3738. Assistance from United States private sector to prevent and reduce HIV/AIDS in sub-
Saharan Africa          It is the sense of the Congress that Un ited States businesses should be encouraged to provide 
assistance to sub-Saharan African countries to preven t and reduce the incidence of HIV/AIDS in sub-
Saharan Africa. In providing such assistance, Un ited States businesses should be encouraged to 
consider the establishment of an HIV/AIDS Resp onse Fund in order to provide for coordination 
among such businesses in the collection and distribu tion of the assistance to sub-Saharan African 
countries.  Sec. 3739. Sense of the Congress relating to HIV/AIDS crisis in sub-Saharan Africa 
  
     (a) Findings        The Congress finds the following:          (1) Sustained economic development in sub-Saharan Africa de pends in large measure upon 
successful trade with and foreign assistance to the countries of sub-Saharan Africa.  G/C/W/509/Rev.2 
 Page 23 
 
 
           (2) The HIV/AIDS crisis has reached epidemic proportions in sub-Saharan Africa, where more 
than 21,000,000 men, women, and children are infected with HIV.          (3) Eighty-three percent of the estim ated 11,700,000 deaths from HIV/AIDS worldwide have 
been in sub-Saharan Africa.          (4) The HIV/AIDS crisis in sub-Saha ran Africa is weakening the structure of families and 
societies. 
         (5)(A) The HIV/AIDS crisis threatens the future of the workforce in sub-Saharan Africa. 
         (B) Studies show that HIV/AIDS in sub-Saharan Africa most severely affects individuals between the ages of 15 and 49 – the age group that provides the most support for the economies of sub-Saharan African countries. 
         (6) Clear evidence demonstrates that  HIV/AIDS is destructive to the economies of sub-
Saharan African countries.          (7) Sustained economic development is critical to creating the public and private sector resources in sub-Saharan Africa necessary to fight the HIV/AIDS epidemic.      (b) Sense of the Congress 
       It is the sense of the Congress that - 
         (1) addressing the HIV/AIDS crisis in  sub-Saharan Africa should be a central component of 
United States foreign policy with respect to sub-Saharan Africa;          (2) significant progress needs to be made in preventing and treating HIV/AIDS in sub-Saharan Africa in order to sustain a mutually bene ficial trade relationship between the United States 
and sub-Saharan African countries; and 
         (3) the HIV/AIDS crisis in sub-Saharan Africa is a global threat that merits further attention 
through greatly expanded public, private, and joint public-private efforts, and through appropriate 
United States legislation.  Sec. 3740. Study on improving African agricultural practices 
  
     (a) In general        The Secretary of Agriculture, in consultation with American Land Grant Colleges and 
Universities and not-for-profit international organizati ons, is authorized to co nduct a 2-year study on 
ways to improve the flow of American farming techniques and practices to African farmers.  The study shall include an examination of ways of improving or utilizing - 
         (1) knowledge of insect and sanitation procedures; 
         (2) modern farming and soil conservation techniques;          (3) modern farming equipment (including maintaining the equipment);          (4) marketing crop yields to prospective purchasers; and          (5) crop maximization practices. 
     The Secretary of Agriculture shall s ubmit the study to the Committee on Agriculture, 
Nutrition, and Forestry of the Senate and the Committee on Agriculture of the House of 
Representatives not later than September 30, 2001.      (b) Land Grant Colleges and not-for-profit institutions 
 In conducting the study under subsection (a) of this section, the Secretary of Agriculture is encouraged to consult with American Land Grant Colleges and not-for-profit international 
organizations that have firsthand knowle dge of current African farming practices. 
  Sec. 3741. Sense of the Congress regarding efforts to combat desertification in Africa and other 
countries   
     (a) Findings 
       The Congress finds that -          (1) desertification affects approximate ly one-sixth of the world's population and one-quarter 
of the total land area;          (2) over 1,000,000 hectares of Africa are affected by desertification; G/C/W/509/Rev.2 
Page 24  
 
           (3) dryland degradation is an underlying cause of recurrent famine in Africa; 
         (4) the United Nations Environment Pr ogramme estimates that desertification costs the world 
$42,000,000,000 a year, not including incalculable costs in human suffering; and          (5) the United States can strengthen its  partnerships throughout Africa and other countries 
affected by desertification, help alleviate social  and economic crises caused by misuse of natural 
resources, and reduce dependence on foreign aid, by taking a leading role to combat desertification. 
     (b) Sense of the Congress        It is the sense of the Congress that the United States should expeditiously work with the 
international community, particularly Africa and other countries affected by desertification, to -          (1) strengthen internationa l cooperation to combat desertification; 
         (2) promote the development of nationa l and regional strategies to address desertification and 
increase public awareness of this serious problem and its effects;          (3) develop and implement national ac tion programs that identify the causes of desertification 
and measures to address it; and          (4) recognize the essential role of lo cal governments and nongovernm ental organizations in 
developing and implementing measures to address desertification.  G/C/W/509/Rev.2 
 Page 25 
 
 
  ANNEX I.b 
 
PUBLIC LAW 108-274 
 
One Hundred Eighth Congress of the 
United States of America 
AT THE SECOND SESSION 
Begun and held at the City of Washington on Tuesday,  
the twentieth day of January, two thousand and four  
An Act  
To extend and modify the trade benefits under the African Growth and Opportunity Act.  
Be it enacted by the Senate and House of Representatives of the United States of America in 
Congress assembled , 
SECTION 1. SHORT TITLE. 
This Act may be cited as the `AGOA Acceleration Act of 2004'. 
SEC. 2. FINDINGS. 
The Congress finds the following: 
(1) The African Growth and Opportunity Act (in this section and section 3 referred to as 
`the Act') has helped to spur economic gr owth and bolster economic reforms in the 
countries of sub-Saharan Africa and has fostered stronger economic ties between the 
countries of sub-Saharan Africa and the United States; as a result, exports from the United States to sub-Saharan Africa reached reco rd levels after the enactment of the Act, 
while exports from sub-Saharan Africa to the United States have increased considerably. 
(2) The Act's eligibility requirements have rein forced democratic values and the rule of 
law, and have strengthened adherence to in ternationally recogni zed worker rights in 
eligible sub-Saharan African countries. 
(3) The Act has helped to bring about substa ntial increases in foreign investment in sub-
Saharan Africa, especially in the textile and apparel sectors, where tens of thousands of 
new jobs have been created. 
(4) As a result of the Agreement on Textiles and Apparel of the World Trade 
Organization, under which quotas maintained by WTO member countries on textile and 
apparel products end on Ja nuary 1, 2005, sub-Saharan A frica's textile and apparel 
industry will be severely challenged by c ountries whose industries are more developed 
and have greater capacity, economies of scale, and better infrastructure. 
(5) The underdeveloped physical and financia l infrastructure in sub-Saharan Africa 
continues to discourage investment in the region. 
(6) Regional integration establishes a foundati on on which sub-Sahara n African countries 
can coordinate and pursue policies grounded in  African interests and history to achieve 
sustainable development. 
(7) Expanded trade because of the Act h as improved fundamental economic conditions 
within sub-Saharan Africa. The Act has helped  to create jobs in the poorest region of the 
world, and most sub-Saharan African countri es have sought to take advantage of the 
opportunities provided by the Act. 
(8) Agricultural biotechnology holds promise for helping solve global food security and 
human health crises in Africa and, according to recent studies, has made contributions to G/C/W/509/Rev.2 
Page 26  
 
  the protection of the environment by reducing the application of pesticides, reducing soil 
erosion, and creating an environm ent more hospitable to wildlife. 
(9) (A) One of the greatest challenges faci ng African countries continues to be the 
HIV/AIDS epidemic, which has infected as many  as one out of every four people in some 
countries, creating tremendous social, political, and economic costs. African countries need continued United States financial and tec hnical assistance to combat this epidemic. 
(B) More awareness and involvement by governments are necessary. Countries like 
Uganda, recognizing the threat of HIV/AIDS, have boldly attacked it through a 
combination of education, public awarene ss, enhanced medical infrastructure and 
resources, and greater access to medical treat ment. An effective HIV/AIDS prevention 
and treatment strategy involves all of these steps. 
(10) African countries continue to need tr ade capacity assistance to establish viable 
economic capacity, a well-grounded rule of law, and efficient government practices. 
SEC. 3. STATEMENT OF POLICY. 
The Congress supports-- 
(1) a continued commitment to increase trade between the United States and sub-Saharan 
Africa and increase investment in sub-Saha ran Africa to the benefit of workers, 
businesses, and farmers in the United States and in sub-Saharan Africa, including by developing innovative approaches to encourage development and investment in sub-Saharan Africa; 
(2) a reduction of tariff and nontariff barriers and other obstacles to trade between the 
countries of sub-Saharan Africa and the United States, with particular emphasis on 
reducing barriers to trade in emerging sectors of the economy that have the greatest potential for development; 
(3) development of sub-Saharan Africa's physical and financial infrastructure; 
(4) international efforts to fight HIV/AIDS , malaria, tuberculosis, other infectious 
diseases, and serious public health problems; 
(5) many of the aims of the New Partners hip for African Development (NEPAD), which 
include-- 
(A) reducing poverty and increasing economic growth; 
(B) promoting peace, democracy, security, and human rights; 
(C) promoting African integration by deepening linkages between African 
countries and by accelerating Africa's economic and political integration into the 
rest of the world; 
(D) attracting investment, debt relief, and development assistance; 
(E) promoting trade and economic diversification; 
(F) broadening global market access fo r United States and African exports; 
(G) improving transparency, good governance, and political accountability; 
(H) expanding access to social services, education, and health services with a 
high priority given to addressing HIV/AIDS, malaria, tuberculosis, other 
infectious diseases, and other public health problems; 
(I) promoting the role of women in social and economic development by 
reinforcing education and training and by  assuring their participation in political 
and economic arenas; and 
(J) building the capacity of governments in sub-Saharan Africa to set and enforce 
a legal framework, as well as to enforce the rule of law;  G/C/W/509/Rev.2 
 Page 27 
 
 
  (6) negotiation of reciprocal trade agreemen ts between the United States and sub-Saharan 
African countries, with the overall goal of expanding trade across all of sub-Saharan 
Africa; 
(7) the President seeking to negotiate, with interested eligible sub-Saharan African 
countries, bilateral trade agreements that pr ovide investment opportunities, in accordance 
with section 2102(b)(3) of the Trade Act of 2002 (19 U.S.C. 3802(b)(3)); 
(8) efforts by the President to negotiate with the member countries of the Southern 
African Customs Union in order to provi de the opportunity to deepen and make 
permanent the benefits of the Act while givi ng the United States access to the markets of 
these African countries for United States goods and services, by reducing tariffs and non-
tariff barriers, strengthening intellectual pr operty protection, improving transparency, 
establishing general dispute settlement mechanis ms, and investor-state and state-to-state 
dispute settlement mechanisms in investment;   
(9) a comprehensive and ambitious trade agre ement with the Southern African Customs 
Union, covering all products and sectors, in  order to mature the economic relationship 
between sub-Saharan African countries and the United States and because such an 
agreement would deepen United States econo mic and political ties to the region, lend 
momentum to United States development effo rts, encourage greater United States 
investment, and promote regional integration and economic growth; 
(10) regional integration am ong sub-Saharan African countri es and business partnerships 
between United States and African firms; and 
(11) economic diversification in sub-Sahara n African countries and expansion of trade 
beyond textiles and apparel. 
SEC. 4. SENSE OF CONGRESS ON RECIPROCITY AND REGIONAL ECONOMIC 
INTEGRATION. 
It is the sense of the Congress that-- 
(1) the preferential market access opportunities for eligible sub-Saharan African countries 
will be complemented and enhanced if t hose countries are implementing actively and 
fully, consistent with any remaining appli cable phase-in periods, their obligations under 
the World Trade Organization, including obligations under the Agreement on Trade-Related Aspects of Intellectual Property, th e Agreement on the Application of Sanitary 
and Phytosanitary Measures, and the Agreem ent on Trade-Related Investment Measures, 
as well as the other agreements described in section 101(d) of the Uruguay Round 
Agreements Act (19 U.S.C. 3511(d));  
(2) eligible sub-Saharan African countries shoul d participate in and support mutual trade 
liberalization in ongoing negotiations under the auspices of the World Trade 
Organization, including by making reciprocal commitments with respect to improving market access for industrial and agricultura l goods, and for services, recognizing that such 
commitments may need to reflect special and differential treatment for developing 
countries; 
(3) some of the most pernicious trade barriers against exports by developing countries are 
the trade barriers maintained by other deve loping countries; therefore, eligible sub-
Saharan African countries will benefit from the reduction of trade barriers in other 
developing countries, especially  in developing countries that represent some of the 
greatest potential markets for African goods and services; and 
(4) all countries should make sanitary and phyt osanitary decisions on the basis of sound 
science. G/C/W/509/Rev.2 
Page 28  
 
  SEC. 5. SENSE OF CONGRESS ON INTERPRETATION OF TEXTILE AND APPAREL 
PROVISIONS OF AGOA . 
It is the sense of the Congress that the executive branch, part icularly the Committee for the 
Implementation of Textile Agreements (CITA), th e Bureau of Customs and Border Protection of 
the Department of Homeland Security, and the Department of Commer ce, should interpret, 
implement, and enforce the provisions of section 112 of the African Growth and Opportunity Act, 
relating to preferential treatment of textile and a pparel articles, broadly in order to expand trade 
by maximizing opportunities for imports of such  articles from eligible sub-Saharan African 
countries. 
SEC. 6. DEFINITION. 
In this Act, the term `eligible sub-Saharan African country' means an eligible sub-Saharan African 
country under the African Growth and Opportunity Act. 
SEC. 7. EXTENSION OF AFRICAN GROWTH AND OPPORTUNITY ACT. 
(a) Generalized System of Preferences- 
(1) Extension of program- Section 506B of the Trade Act of 1974 (19 U.S.C. 2466b) is 
amended by striking `2008' and inserting `2015'. 
(2) Inputs from former beneficiary countries- Section 506A of the Trade Act of 1974 (19 
U.S.C. 2466a) is amended-- 
(A) in subsection (b)(2)(B), by inserti ng `or former beneficiary sub-Saharan 
African countries' after `countries'; and 
(B) in subsection (c)-- 
(i) by striking `title, the terms' and inserting `title-- 
`(1) the terms'; and 
(ii) by adding at the end the following: 
`(2) the term `former beneficiary sub-Saharan African country' means a country that, after 
being designated as a beneficiary sub-Saharan African country under the African Growth 
and Opportunity Act, ceased to be designated as such a country by reason of its entering 
into a free trade agreement with the United States.'. 
(b) Apparel Articles- (1) Section 112(b)(1) of the African Growth and Opportunity Act (19 U.S.C. 
3721(b)(1)) is amended by striking `(includi ng' and inserting `or both (including'. 
(2) Section 112(b)(3) of the African Growth and Opportunity Act (19 U.S.C. 3721 (b)(3)) is 
amended-- 
(A) in the matter preceding subparagraph (A)--    
(i) by striking `either in the United Stat es or one or more beneficiary sub-Saharan 
African countries' each place it appears a nd inserting `in the United States or one 
or more beneficiary sub-Saharan African  countries or former beneficiary sub-
Saharan African countries, or both'; and 
(ii) by striking `subject to the following: ' and inserting `whether or not the apparel 
articles are also made from any of the fabrics, fabric components formed, or 
components knit-to-shape described in pa ragraph (1) or (2) (unless the apparel 
articles are made exclusively from any of the fabrics, fabric components formed, 
or components knit-to-shape described in paragraph (1) or (2)), subject to the 
following:'; and  G/C/W/509/Rev.2 
 Page 29 
 
 
  (B) by striking subparagraphs (A) a nd (B) and inserting the following: 
`(A) Limitations on benefits- 
`(i) In general- Preferential treat ment under this paragraph shall be 
extended in the 1-year period beginn ing October 1, 2003, and in each of 
the 11 succeeding 1-year periods, to imports of apparel articles in an 
amount not to exceed the applicable percentage of the aggregate square 
meter equivalents of all apparel artic les imported into the United States in 
the preceding 12-month period for which data are available. 
`(ii) Applicable percentage- For purpo ses of this subparagraph, the term 
`applicable percentage' means-- 
`(I) 4.747 percent for the 1-year period beginning October 1, 
2003, increased in each of the 5 succeeding 1-year periods by 
equal increments, so that for th e 1-year period beginning October 
1, 2007, the applicable percentage does not exceed 7 percent; and 
`(II) for each succeeding 1-year period until September 30, 2015, 
not to exceed 7 percent. 
`(B) Special rule for lesser developed countries- 
`(i) In general- Preferential treat ment under this paragraph shall be 
extended though September 30, 2007, for apparel articles wholly 
assembled, or knit-to-shape and who lly assembled, or both, in one or 
more lesser developed beneficiary sub-Saharan African countries, regardless of the country of origin of the fabric or the yarn used to make 
such articles, in an amount not to ex ceed the applicable percentage of the 
aggregate square meter equivalents of  all apparel articles imported into 
the United States in the preceding 12- month period for which data are 
available. 
`(ii) Applicable percentage- For purposes of the subparagraph, the term 
`applicable percentage' means-- 
`(I) 2.3571 percent for the 1-year  period beginning  October 1, 
2003; 
`(II) 2.6428 percent for the 1-year  period beginning October 1, 
2004; 
`(III) 2.9285 percent for the 1-year period beginning October 1, 
2005; and 
`(IV) 1.6071 percent for the 1-year period beginning October 1, 
2006. 
`(iii) Lesser developed beneficiary sub-saharan african country- For 
purposes of this subparagraph, the te rm `lesser developed beneficiary 
sub-Saharan African country' means-- 
`(I) a beneficiary sub-Saharan A frican country that had a per 
capita gross national product of less than $1,500 in 1998, as measured by the Internationa l Bank for Reconstruction and 
Development; 
`(II) Botswana; and 
`(III) Namibia.'. 
(3) Section 112(b)(5)(A) of the African Growth and Opportunity Act (19 U.S.C. 3721(b)(5)(A)) is 
amended to read as follows: G/C/W/509/Rev.2 
Page 30  
 
  `(A) In general- Apparel articles that ar e both cut (or knit-to-shape) and sewn or 
otherwise assembled in one or more beneficiary sub-Saharan African countries, to the extent that apparel articles of such  fabrics or yarns would be eligible for 
preferential treatment, without regard to the source of the fabrics or yarns, under 
Annex 401 to the NAFTA.'. 
(c) Handloomed, Handmade, Folklo re Articles and Ethnic Printed Fabrics- Section 112(b)(6) of 
the African Growth and Opportunity Act (19 U.S. C. 3721(b)(6)) is amended to read as follows: 
`(6) Handloomed, handmade, folklore articles and ethnic printed fabrics- 
`(A) In general- A handloomed, handmade, folklore article or an ethnic printed 
fabric of a beneficiary sub-Saharan African country or countries that is certified 
as such by the competent authority of such beneficiary country or countries. For purposes of this section, the President, afte r consultation with the beneficiary sub-
Saharan African country or countries concer ned, shall determine which, if any, 
particular textile and appa rel goods of the country (or countries) shall be treated 
as being handloomed, handmade, or folklore  articles or an ethic printed fabric. 
`(B) Requirements for ethnic printed fabric - Ethnic printed fabrics qualified under 
this paragraph are-- 
`(i) fabrics containing a selvedge on both edges, having a width of less 
than 50 inches, classifiable under subheading 5208.52.30 or 5208.52.40 of the Harmonized Tariff Schedule of the United States; 
`(ii) of the type that contains designs, symbols, and other characteristics 
of African prints-- 
`(I) normally produced for and sold on the indigenous African 
market; and 
`(II) normally sold in Africa by the piece as opposed to being 
tailored into garments before be ing sold in indigenous African 
markets;  
`(iii) printed, including waxed, in on e or more eligible beneficiary sub-
Saharan countries; and 
`(iv) fabrics formed in the United St ates, from yarns formed in the United 
States, or from fabric formed in one or more beneficiary sub-Saharan 
African country from yarn originating in either the United States or one or more beneficiary sub-Saharan African countries.'. 
(d) Regional and U.S. Sources- Section 112(b)(7) of  the African Growth and Opportunity Act (19 
U.S.C. 3721(b)(7)) is amended by inserting `or form er beneficiary sub-Saharan African countries' 
after `and one or more beneficiary sub-Saha ran African countries' each place it appears. 
(e) Special Rules- 
(1) Certain components- Section 112(d) of the African Growth and Opportunity Act (19 
U.S.C. 3721(d)) is amended by adding at the end the following: 
`(3) Certain components- An article otherwi se eligible for preferential treatment under 
this section will not be ineligible for such  treatment because the article contains-- 
I. `(A) any collars or cuffs (cut or knit-to-shape), 
`(B) drawstrings, 
`(C) shoulder pads or other padding, `(D) waistbands, 
`(E) belt attached to the article,  G/C/W/509/Rev.2 
 Page 31 
 
 
  `(F) straps containing elastic, or 
`(G) elbow patches, 
that do not meet the requirements set forth in subsection (b), regardless of the country of 
origin of the item referred to in the appl icable subparagraph of this paragraph.'. 
(2) De minimis rule- Section 112(d)(2) of the African Growth and Opportunity Act (19 
U.S.C. 3721(d)(2)) is amended-- 
(A) by inserting `or former beneficiary sub-Saharan African countries' after 
`countries'; and 
(B) by striking `7 percent' and inserting `10 percent'. 
(f) Definitions- Section 112(e) of the African Grow th and Opportunity Act (19 U.S.C. 3721(e)) is 
amended by adding at the end the following: 
`(4) Former sub-saharan african  country- The term `former sub-Saharan African country' 
means a country that, after being designated as a beneficiary sub-Saharan African country 
under this Act, ceased to be designated as su ch a beneficiary sub-Saharan country by 
reason of its entering into a free trad e agreement with the United States.'. 
SEC. 8. ENTRIES OF CERTAIN APPAREL ARTICLES PURSUANT TO THE AFRICAN 
GROWTH AND OPPORTUNITY ACT. 
(a) In General- Notwithstanding section 514 of the Tariff Act of 1930 (19 U.S.C. 1514) or any 
other provision of law, the Secretary of the Treasu ry shall liquidate or re liquidate as free of duty 
and free of any quantitative restrictions, limitati ons, or consultation levels entries of articles 
described in subsection (d) made on or after Octobe r 1, 2000, and before the date of the enactment 
of this Act. 
(b) Requests- Liquidation or reliquidation may be made under subsection (a) with respect to an 
entry described in subsection (d) only if a request  therefor is filed with the Secretary of the 
Treasury within 90 days after the date of the enactment of this Act and the request contains 
sufficient information to enable the Secretary to locate the entry or reconstruct the entry if it 
cannot be located. 
(c) Payment of Amounts Owed- Any amounts owed by the United States pursuant to the 
liquidation or reliquidation of any entry under subsec tion (a) shall be paid not later than 180 days 
after the date of such liquidation or reliquidation. 
(d) Entries- The entries referred to in subsection (a) are entries of apparel articles that meet the 
requirements of section 112(b) of the African Growth and Opportunity Act, as amended by 
section 3108 of the Trade Act of 2002 and this Act. 
SEC. 9. DEVELOPMENT STUDY AND CAPACITY BUILDING. 
(a) Reports- The President shall, by not later than 1 year after the date of the enactment of this 
Act, conduct a study on each eligible  sub-Saharan African country, that-- 
(1) identifies sectors of the economy of that  country with the greatest potential for 
growth, including through export sales; 
(2) identifies barriers, both domestically and in ternationally, that are impeding growth in 
such sectors; and 
(3) makes recommendations on how the United St ates Government and the private sector 
can provide technical assistance to that count ry to assist in dismantling such barriers and 
in promoting investment in such sectors. 
(b) Dissemination of Information- The President shall disseminate information in each study 
conducted under subsection (a) to  the appropriate United States agencies for the purpose of 
implementing recommendations on the provision of technical assistance and in identifying 
opportunities for United States investors, businesses, and farmers. G/C/W/509/Rev.2 
Page 32  
 
  SEC. 10. ACTIVITIES IN SUPPORT OF IN FRASTRUCTURE TO SUPPORT INCREASING 
TRADE CAPACITY AND ECOTOURISM. 
(a) Findings- The Congress finds the following: 
(1) Ecotourism, which consists of-- 
(A) responsible and sustainable travel and visitation to relatively undisturbed 
natural areas in order to enjoy and appreciate nature (and any accompanying 
cultural features, both past and present) and animals, including species that are 
rare or endangered, 
(B) promotion of conservation and provisi on for beneficial involvement of local 
populations, and 
(C) visitation designed to have low negative impact upon the environment, 
is expected to expand 30 percen t globally over the next decade. 
(2) Ecotourism will increase trade capacity by sustaining otherwise unsustainable 
infrastructure, such as road, port, water, energy, and telecommunication development. 
(3) According to the United States Depart ment of State and the United Nations 
Environment Programme, sustainable tourism, such as ecotourism, can be an important 
part of the economic development of a re gion, especially a region with natural and 
cultural protected areas. 
(4) Sub-Saharan Africa enjoys an interna tional comparative advantage in ecotourism 
because it features extensive protected areas that host a variety of ecosystems and 
traditional cultures that are major attractions for nature-oriented tourism. 
(5) National parks and reserves in sub-Sahara n Africa should be considered a basis for 
regional development, involving communities living within and adjacent to them and, 
given their strong international recognitio n, provide an advantage in ecotourism 
marketing and promotion. 
(6) Desert areas in sub-Saharan Africa represent complex ecotourism attractions, 
showcasing natural, geological, and archaeological features, and nomad and other 
cultures and traditions. 
(7) Many natural zones in sub-Saharan Africa cross the political borders of several 
countries; therefore, transboundary cooperation is fundamental for all types of ecotourism 
development. 
(8) The commercial viability of ecotourism is enhanced when small and medium 
enterprises, particularly microenterprises, su ccessfully engage with the tourism industry 
in sub-Saharan Africa. 
(9) Adequate capacity building is an essentia l component of ecotourism development if 
local communities are to be real stakeholders that can sustain an equitable approach to 
ecotourism management. 
(10) Ecotourism needs to generate local community benefits by utilizing sub-Saharan 
Africa's natural heritage, parks, wildlife reserves, and other protected areas that can play a significant role in encouraging local econom ic development by s ourcing food and other 
locally produced resources. 
(b) Action by the President- The President shall develop and implement policies to-- 
(1) encourage the development of infrastructur e projects that will help to increase trade 
capacity and a sustainable ecotourism industry in eligible sub-Saharan African countries; 
(2) encourage and facilitate transboundary cooperation among sub-Saharan African 
countries in order to facilitate trade;  G/C/W/509/Rev.2 
 Page 33 
 
 
  (3) encourage the provision of technical assi stance to eligible sub-Saharan African 
countries to establish and sustain adequate trade capacity development; and 
(4) encourage micro-, small-, and medium-siz ed enterprises in eligible sub-Saharan 
African countries to participate in the ecotourism industry. 
SEC. 11. ACTIVITIES IN SUPPORT OF TRANSPORTATION, ENERGY, AGRICULTURE, AND 
TELECOMMUNICATIONS INFRASTRUCTURE. 
(a) Findings- The Congress finds the following: 
(1) In order to increase exports from, and trade among, eligible sub-Saharan African 
countries, transportation systems in those countries must be improved to increase 
transport efficiencies and lower transport costs. 
(2) Vibrant economic growth requires a developed telecommunication and energy 
infrastructure. 
(3) Sub-Saharan Africa is rich in exportable  agricultural goods, but development of this 
industry remains stymied because of an underdeveloped infrastructure. 
(b) Action by the President- In order to enhance tr ade with Africa and to bring the benefits of 
trade to African countries, the President shall develop and implement policies to encourage investment in eligible sub-Saha ran African countries, particularly with respect to the following: 
(1) Infrastructure projects that support, in pa rticular, development of land transport road 
and railroad networks and por ts, and the continued upgrading and liberalization of the 
energy and telecommunications sectors. 
(2) The establishment and expansion of modern information and communication 
technologies and practices to improve the ability of citizens to research and disseminate 
information relating to, among other things, the economy, education, trade, health, 
agriculture, the environment, and the media. 
(3) Agriculture, particularly in processing and capacity enhancement. 
SEC. 12. FACILITATION OF TRANSPORTATION. 
In order to facilitate and increase trade flows be tween eligible sub-Saharan African countries and 
the United States, the President shall foster improved port-to-port and airport-to-airport relationships. These relatio nships should facilitate-- 
(1) increased coordination between customs serv ices at ports and airports in the United 
States and such countries in orde r to reduce time in transit; 
(2) interaction between customs and technical staff from ports and airports in the United 
States and such countries in order to in crease efficiency and safety procedures and 
protocols relating to trade; 
(3) coordination between chambers of comme rce, freight forwarders, customs brokers, 
and others involved in conso lidating and moving freight; and 
(4) trade through air service between airports in the United States and such countries by 
increasing frequency and capacity. 
 
SEC. 13. AGRICULTURAL TECHNICAL ASSISTANCE. 
(a) Identification of Countries- The President sha ll identify not fewer than 10 eligible sub-Saharan 
African countries as having the greatest potential to  increase marketable exports of agricultural 
products to the United States and the greatest need  for technical assistance, particularly with 
respect to pest risk assessments a nd complying with sanitary and phytosanitary rules of the United 
States. G/C/W/509/Rev.2 
Page 34  
 
  (b) Personnel- The President shall assign at least 20 full-time personnel for the purpose of 
providing assistance to the countries identified unde r subsection (a) to ensure that exports of 
agricultural products from those countries meet  the requirements of United States law. 
SEC. 14. TRADE ADVISORY COMMITTEE ON AFRICA. 
The President shall convene the trade adviso ry committee on Africa established by Executive 
Order 11846 of March 27, 1975, under section 135(c) of the Trade Act of 1974, in order to 
facilitate the goals and objectives of the African Gr owth and Opportunity Act and this Act, and to 
maintain ongoing discussions with African trade and agriculture ministries and private sector 
organizations on issues of mutual concern, incl uding regional and international trade concerns and 
World Trade Organization issues. 
 
Speaker of the House of Representatives.  
Vice President of the United States and  
President of the Senate.  
  
  G/C/W/509/Rev.2 
 Page 35 
 
 
  ANNEX I.c 
 
PUBLIC LAW 108-429 
 
Miscellaneous Trade and Technical Corrections Act of 2004 
 
Sec. 2004 
(j) RETROACTIVITY FOR CERTAIN AGOA PROVISIONS- 
II. (1) IN GENERAL- Section 8(d) of the AGOA Acceleration Act of 2004 (Public Law 
108-274) is amended by striking `sectio n 112(b)' and inserting `section 112'. 
(2) APPLICABILITY- 
(A) IN GENERAL- The amendment made by paragraph (1) shall take effect as if 
included in the enactment of section 8 of the AGOA Acceleration Act of 2004. 
(B) REQUESTS FOR RETROACTIVE APPLICATION- Section 8(b) of the 
AGOA Acceleration Act of 2004 shall be a pplied with respect to the amendment 
made by paragraph (1) by substituting `90 da ys after the date of the enactment of 
the Miscellaneous Trade and Technical Co rrections Act of 2004' for `90 days 
after the date of the enactment of this Act'. 
(k) MAURITIUS - 
(1) IN GENERAL- Section 112(b)(3)(B) of th e African Growth and Opportunity Act (19 
U.S.C. 3271(b)(3)(B)) is amended by adding at the end the following new clause: 
`(iv) SEPARATE LIMITATION FOR MAURITIUS - For the 1-year 
period beginning October 1, 2004-- 
`(I) the term `lesser developed be neficiary sub-Saharan African 
country' includes Mauritius ; and 
     `(II) the applicable percentage with respect to Mauritius  
    shall be 5 percent of the applicable percentage described in  
    clause (ii)(II).'.   G/C/W/509/Rev.2 
Page 36  
 
  ANNEX I.d 
 
PUBLIC LAW 109-432 
 
African Investment Incentive Act of 2006 
 
SEC. 6001. SHORT TITLE. 
This title may be referred to as the `A frica Investment Incentive Act of 2006'. 
SEC. 6002. PREFERENTIAL TREATMEN T OF APPAREL PRODUCTS OF LESSER 
DEVELOPED COUNTRIES. 
(a) In General- Section 112 of the African Gr owth and Opportunity Act (19 U.S.C. 3721) is 
amended-- 
(1) by redesignating subsections (c) th rough (f) as subsections (d) through (g); 
(2) in subsection (b)-- 
(A) in the matter preceding paragraph (1), by striking `The' and inserting 
`Subject to subsection (c), the' ; and 
(B) by striking subparagraph (B) a nd redesignating subparagraph (C) as 
subparagraph (B); and 
(3) by inserting after subsection (b) the following new subsection: 
`(c) Lesser Developed Countries- 
`(1) PREFERENTIAL TREATMENT OF PRODUCTS THROUGH SEPTEMBER 
30, 2012- 
`(A) PRODUCTS COVERED- In addition to the products described in 
subsection (b), and subject to paragr aph (2), the preferential treatment 
described in subsection (a) shall a pply through September 30, 2012, to 
apparel articles wholly assembled, or kn it-to-shape and wholly assembled, or 
both, in one or more lesser devel oped beneficiary sub-Saharan African 
countries, regardless of the country of origin of the fabric or the yarn used to 
make such articles, in an amount not to  exceed the applicable percentage of 
the aggregate square meter equivalents of all apparel articles imported into 
the United States in the preceding 12-month period for which data are 
available. 
`(B) APPLICABLE PERCENTAGE- For purposes of subparagraph (A), the 
term `applicable percentage' means-- 
`(i) 2.9285 percent for the 1-year period beginning on October 1, 
2005; and 
`(ii) 3.5 percent for the 1-year period beginning on October 1, 2006, 
and each 1-year period thereafte r through September 30, 2012. 
`(2) SPECIAL RULES FOR PRODUCTS IN COMMERCIAL QUANTITIES IN 
AFRICA- 
`(A) PETITION PROCESS- Upon a petition filed by an interested party 
(which may include a foreign manufacturer), the Commission shall determine 
whether a fabric or yarn produced in beneficiary sub-Saharan African 
countries is available in commercial quantities for use by lesser developed 
beneficiary sub-Saharan African countries. 
`(B) EFFECT OF AFFIRMATIVE DETERMINATION- 
`(i) DETERMINATION OF QUAN TITY AVAILABLE- If the 
Commission determines under subparagr aph (A) that a fabric or yarn 
produced in beneficiary sub-Saharan African countries is available in 
commercial quantities for use by lesser developed beneficiary sub-
Saharan African countries, the Commission shall determine the  G/C/W/509/Rev.2 
 Page 37 
 
 
  quantity of the fabric or yarn th at will be so available in lesser 
developed beneficiary sub-Saharan African countries in the 
applicable 1-year period beginning  after the determination is made. 
`(ii) DETERMINATIONS- In each case in which the Commission 
determines that a fabric or yarn is available in commercial quantities 
under subparagraph (A) for an a pplicable 1-year period, the 
Commission shall determine, before the end of that applicable 1-year 
period-- 
`(I) whether the fabric or yarn produced in beneficiary sub-
Saharan African countries will be available in commercial 
quantities in the succeeding applicable 1-year period; and 
`(II) if so, the quantity of the fabric or yarn that will be so 
available in that succeeding 1-y ear period, subject to clause 
(iii). 
`(iii) DETERMINATION REGARDING IMPORTED ARTICLES- 
After the end of each applicable 1-year period for which a 
determination under clause (i) is in effect, the Commission shall 
determine to what extent the quantity of the fabric or yarn determined 
under clause (i) to be available in  commercial quantities for use by 
lesser developed beneficiary sub-Sa haran African countries was used 
in the production of apparel article s receiving preferential treatment 
under paragraph (1) that were ente red in that applicable 1-year 
period. To the extent that the quantity so determined was not so used, 
then the Commission shall add to the quantity of that fabric or yarn 
determined to be available in the next applicable 1-year period the 
quantity not so used in the preceding applicable 1-year period. 
`(C) DENIM- Denim articles provided for in subheading 5209.42.00 of the 
Harmonized Tariff Schedule of the Unite d States shall be deemed to have 
been determined to be in abundant supply under subparagraph (A) in an 
amount of 30,000,000 square meter equivalents for the 1-year period 
beginning October 1, 2006. 
`(D) PRESIDENTIAL AUTHORITY TO RESTRICT IMPORTS- 
`(i) IN GENERAL- Subject to clause (ii), the President may by 
proclamation provide that apparel articles otherwise eligible for 
preferential treatment under paragraph (1) that contain a fabric or 
yarn determined to be available in commercial quantities under 
subparagraph (A) may not receive such preferential treatment in an 
applicable 1-year period unless-- 
`(I) the fabric or yarn in such articles was produced in 1 or 
more beneficiary sub-Saharan African countries; or 
`(II) the Commission has determined  that the quantity of the 
fabric or yarn determined unde r subparagraph (B) (or (C), as 
the case may be) to be available in lesser developed 
beneficiary sub-Saharan African countries for that applicable 
1-year period has already been used in the production of 
apparel articles receiving preferential treatment under 
paragraph (1) that were entere d in that applicable 1-year 
period. 
`(ii) MANDATORY RESTRICTION- If a fabric or yarn is 
determined to be available in commercial quantities under 
subparagraph (A) in an applicable 1-year period, and for 2 
consecutive applicable 1-year periods  the quantities determined to be 
so available are not used in the production of apparel articles G/C/W/509/Rev.2 
Page 38  
 
  receiving preferential treatment under paragraph (1) that were entered 
during those 2 applicable 1-year periods, then beginning in the 
succeeding applicable 1-year period, apparel articles containing that 
fabric or yarn are ineligible  for preferential treatment under 
paragraph (1) in any succeeding app licable 1-year period unless the 
Commission has determined that the quantity of the fabric or yarn 
determined under subparagraph (B) (o r (C), as the case may be) to be 
available in lesser developed be neficiary sub-Saharan African 
countries for that applicable 1-year  period has already been used in 
the production of apparel articles receiving preferential treatment 
under paragraph (1) that were ente red in that applicable 1-year 
period. 
`(E) PROCEDURES- The Commission sha ll use the procedures prescribed in 
subsection (b)(3)(C)(iv) for the Secretary of Commerce in making 
determinations under this paragraph. 
`(3) REMOVAL OF DESIGNATION OF FABRICS OR YARNS NOT 
AVAILABLE IN COMMERCIAL QUANTITIES- If the President determines that-- 
`(A) any fabric or yarn described in pa ragraph (2)(A) was determined to be 
eligible for preferential treatment, or 
`(B) any fabric or yarn described in paragraph (2)(B) was designated as not 
being available in commercial quantities, 
on the basis of fraud, the President may remove the eligibility or designation (as the 
case may be) of that fabric or yarn with resp ect to articles entered after such removal. 
`(4) APPLICABILITY OF OTHER PROVISIONS- Subsection (b)(3)(C) applies to 
apparel articles eligible for preferential tr eatment under this subsection to the same 
extent as that subsection applies to apparel articles eligible for preferential treatment 
under subsection (b)(3). 
`(5) DEFINITIONS- In this subsection: 
`(A) APPLICABLE 1-YEAR PERIOD- The term `applicable 1-year period' 
means each of the 12-month periods begi nning on October 1 of each year and 
ending on September 30 of the following year. 
`(B) COMMISSION- The term `Commission' means the United States 
International Trade Commission. 
`(C) ENTER; ENTRY- The terms `enter' and `entry' refer to the entry, or 
withdrawal from warehouse for consumpti on, in the customs territory of the 
United States. 
`(D) LESSER DEVELOPED BENEFICIARY SUB-SAHARAN AFRICAN 
COUNTRY- The term `lesser developed beneficiary sub-Saharan African 
country' means-- 
`(i) a beneficiary sub-Saharan Afri can country that had a per capita 
gross national product of less than $1,500 in 1998, as measured by 
the International Bank for R econstruction and Development; 
`(ii) Botswana; and 
`(iii) Namibia.'. 
(b) Additional Preferential Treatment- Section 112( b) of the African Growth and Opportunity 
Act (19 U.S.C. 3721(b)) is amended by adding at the end the following new paragraph: 
`(8) TEXTILE ARTICLES ORIGINATING ENTIRELY IN ONE OR MORE 
LESSER DEVELOPED BENEFICIARY SUB-SAHARAN AFRICAN 
COUNTRIES- Textile and textile articles cla ssifiable under chapters 50 through 60 or 
chapter 63 of the Harmonized Tariff Schedule of the United States that are products 
of a lesser developed beneficiary sub-Sahara n African country and are wholly formed 
in one or more such countries from fibers, yarns, fabrics, fabric components, or 
components knit-to-shape that are the product of one or more such countries.'.  G/C/W/509/Rev.2 
 Page 39 
 
 
  (c) Technical Amendment- Section 112(e)(3) of the African Growth and Opportunity Act (as 
redesignated by subsection (a)(1) of this section)  is amended by striking `subsection (b)' and 
inserting `subsections (b) and (c)'. 
SEC. 6003. TECHNICAL CORRECTIONS. 
Section 112 of the African Growth and Opportunity Act (19 U.S.C. 3721) is amended as 
follows: 
(1) Subsection (b)(5) is amended by adding at the end the following new 
subparagraph: 
`(C) REMOVAL OF DESIGNATION OF FABRICS OR YARNS NOT 
AVAILABLE IN COMMERCIAL QUANTITIES- If the President 
determines that any fabric or yarn was determined to be eligible for 
preferential treatment under subparagr aph (A) on the basis of fraud, the 
President is authorized to remove that  designation from that fabric or yarn 
with respect to articles entered after such removal.'. 
(2) Subsection (f), as redesignated by section 6002(a)(1), is amended by adding at the 
end the following: 
`(5) ENTER; ENTERED- The terms `enter' and `entered' refer to the entry, or 
withdrawal from warehouse for consumption, in the customs territory of the United 
States.'. 
SEC. 6004. EFFECTIVE DATE FOR AGOA. 
Subsection (g) of section 112 of the African Growth and Opportunity Act (19 U.S.C. 3721), 
as redesignated by section 6002(a)(1), is amende d by striking `2008' and inserting `2015'. 
 G/C/W/509/Rev.2 
Page 40  
 
  ANNEX 1.e 
PUBLIC LAW 110-436 
 
To extend the Andean Trade Preference Act, and for other purposes. 
 
SEC. 3. AFRICAN GROWTH AND OPPORTUNITY ACT. 
(a) In General- Section 112 of the African Gr owth and Opportunity Act (19 U.S.C. 3721) is 
amended-- 
(1) in subsection (b)(6)(A), by striking `e thic' in the second sentence and inserting 
`ethnic'; and 
(2) in subsection (c)-- 
(A) in paragraph (1), by striking `,  and subject to paragraph (2),'; 
(B) by striking paragraphs (2) and (3); 
(C) in paragraph (4)-- 
(i) by striking `Subsection (b)(3)(C)' and inserting `Subsection 
(b)(3)(B)'; and 
(ii) by redesignating such para graph (4) as paragraph (2); and 
(D) by striking paragraph (5) and inserting the following: 
`(3) DEFINITION- In this subsection, the term `lesser developed beneficiary sub-
Saharan African country' means-- 
`(A) a beneficiary sub-Saharan African country that had a per capita gross 
national product of less th an $1,500 in 1998, as measured by the International 
Bank for Reconstruction and Development; 
`(B) Botswana; 
`(C) Namibia; and 
`(D) Mauritius.'. 
(b) Applicability- The amendments made by subsection (a) apply to goods entered, or 
withdrawn from warehouse for consumption, on or  after the 15th day after the date of the 
enactment of this Act. 
(c) Review and Reports- 
(1) ITC REVIEW AND REPORT- 
(A) REVIEW- The United States International Trade Commission shall 
conduct a review to identify yarns, fa brics, and other textile and apparel 
inputs that through new or increased investment or other measures can be 
produced competitively in beneficiary sub-Saharan African countries. 
(B) REPORT- Not later than 7 months after the date of the enactment of this 
Act, the United States International Trade Commission shall submit to the 
appropriate congressional committees and the Comptroller General a report 
on the results of the review carri ed out under subparagraph (A). 
(2) GAO REPORT- Not later than 90 days after the submission of the report under 
paragraph (1)(B), the Comptroller Gene ral shall submit to the appropriate 
congressional committees a report that, based on the results of the report submitted 
under paragraph (1)(B) and other available information, contains recommendations 
for changes to United States trade preferen ce programs, including the African Growth 
and Opportunity Act (19 U.S.C. 3701 et seq.)  and the amendments made by that Act, 
to provide incentives to increase investment  and other measures necessary to improve 
the competitiveness of beneficiary sub-Saha ran African countries in the production of 
yarns, fabrics, and other textile and appa rel inputs identified in the report submitted 
under paragraph (1)(B), including changes to requirements relating to rules of origin 
under such programs.  G/C/W/509/Rev.2 
 Page 41 
 
 
  (3) DEFINITIONS- In this subsection-- 
(A) the term `appropriate congressional committees' means the Committee on 
Ways and Means of the House of Representatives and the Committee on 
Finance of the Senate; and 
(B) the term `beneficiary sub-Sahara n African countries' has the meaning 
given the term in section 506A(c) of the Trade Act of 1974 (19 U.S.C. 
2466a(c)). 
(d) Clerical Amendment- Section 6002(a)(2 )(B) of Public Law 109-432 is amended by 
striking `(B) by striking' and inserting `(B) in paragraph (3), by striking'. 
 
__________