White House issues new deadline for South Africa poultry deal
Story Date: 1/13/2016

 

Source: Chris Scott, MEATINGPLACE, 1/13/16


The Obama administration is giving South Africa until March 15 to comply with requirements that opened the door for U.S. poultry imports and other meat products as outlined in the African Growth and Opportunity Act (AGOA).


President Obama officially will suspend South Africa’s trade benefits in 60 days unless that nation reassesses health issues that would restrict U.S. farm exports as called for in the agreement, which was formalized last month. South Africa officials are concerned about the potential spread of avian influenza that killed 50 million U.S. birds last year. The deadline, however, puts pressure on South Africa to resolve the poultry health issue before losing the protection from tariffs on goods shipped to the United States.


The potential removal of duty-free benefits linked to more than 7,000 South African products shipped to U.S. markets like oranges, macadamia nuts and wine could cost the nation as much as $7 million, according to a report from Reuters. South Africa’s trade ministry also told Reuters it is working with U.S. officials to make sure the first poultry shipment will happen, believing that the suspension will be removed as soon as products are in local stores.


President Obama could reinstate the duty-free provisions if South Africa meets the terms of the AGOA agreement before the March 15 deadline.

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