By Miriam Humbe, Abuja
The Minister of Industry, Trade and Investment, Otunba Richard Adeniyi Adebayo has received the report of the technical committee on the utilization of African Growth and Opportunity Act (AGOA).
The report was expected to develop a streamlined six month work-plan with a target of $500million export volume to the United States.
Director Press and Public Relations in the Ministry said this in a statement signed on Wednesday.
Otunba Adeniyi said: “The Technical Committee was saddled with the responsibility of providing quick impact intervention on AGOA implementation work-plan expected to create more opportunities, generate wealth and prosperity for the nation and the citizenry through increased non-oil export which is a top priority of the present administration”.
He was optimistic that Nigeria would take advantage of improving the country’s prospect of benefiting from the AGOA scheme in the remaining two years before the expiry of the scheme.
Director of Trade Department in the Ministry and co-chairman of the Technical Committee, Mr Suleiman Audu said that the committee was set up due to the fact that Nigeria had not fully utilized the opportunities embedded in the AGOA Act, despite the positive contribution of AGOA to manufactures and exporters.
He said that the Small and Medium Enterprises (SMEs) were challenged with supply side constrains, ranging from standards requirement to labelling and packaging among others.
Audu said: “In fulfillment of the Terms of Reference, the committee identified six focal sector/products which are Agro products such as cosmetic based on shea butter and coconut oil extract, textile garment, processed food and beverages, leather and leather products, and art and craft
He said that the justification of the selection was based on the increasing demand for them in the US market, huge production capacity and could also easily be sourced .
He said that the products were covered under the AGOA eligiblity products which were facilitated by US Trade Facilitation Agencies which have gained acceptability in the US market.
The committee called on the Minister to approve the recommendations and use his good office to explore all the available options to provide funds for the implementations of the work plan.
“It is hoped that the recommendation will address the perennial challenges confronting AGOA as well as boost Nigeria’s competitiveness in short and long run”.
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