Minister in the Presidency Khumbudzo Ntshaveni has played down the risk that South Africa may lose the benefits it accrues from the AGOA trade agreement with the United States due to its non-aligned stance on the Russia-Ukraine conflict.
Some western countries have questioned whether South Africa is in fact supporting Russia.
This follows a letter by a number of US lawmakers to Secretary of State Anthony Blinken earlier this month proposing that Pretoria be punished for what they believe is a pro-Russian stance after allegations made of South Africa providing weapons to Russia and its participation in naval war games with that country and China.
Russia invaded Ukraine 16 months ago.
AGOA grants duty-free access to the US market to goods from certain sub-Sharan African nations, including South Africa with the country having exported about $3 billion worth of goods in 2022.
Ntshaveni says there are still engagement with the US through diplomatic channel.
“We appreciate that they continue to engage with us through formal diplomatic channels and government to government relations and we have a very good relationship with the US government. The Minister of Trade, Industry and Competition if he has to travel to the US for one reason or another the necessary announcement will be made and the briefing of that trip will be provided. What we know is that the envoys will start to embark on their trips to engage with the G7 countries on their mandate, to explain South Africa’s peace position and also to give an update on the African Leaders’ Peace Initiative.”
Naha Advisory Managing Director, Dr Thabi Leoka explains the significance of AGOA to SA and implications of the possible losing the benefits thereof:
