In an unexpected development, the State Minister of Foreign Affairs, Henry Okello Oryem, has embraced an optimistic perspective in response to the recent suspension of Uganda from the African Growth and Opportunity Act (AGOA).
Speaking during an interview with NTV on Friday, the Minister urged Ugandans not to view this suspension as a setback but as an opportunity to further enhance Uganda’s exports and minerals trade.
The minister’s perspective sheds light on the potential for diversification and expansion of the nation’s economic horizons through increasing exports on already existing export routes such as coffee, cotton and vegetable plus minerals.
Uganda’s suspension from AGOA, which was announced on Monday by US President Joe Biden due to violation of human rights, raised concerns about the country’s export prospects and trade relationships with the United States.
However, Minister Oryem’s optimistic outlook offers a fresh perspective on the matter. He believes that this suspension should not be a cause for alarm but rather a chance to reevaluate and augment the country’s export strategy. As he underlines, it presents an opening for Uganda to expand its market presence beyond AGOA and explore new avenues for trade and growth.
“We are not in a state of panic. We remain stable, resolute, and undeterred by the United States government’s declaration. As we look towards the future, it’s important to note that AGOA has been contributing a modest sum, not exceeding USD 10 million to our economy. In comparison to countries like South Africa, where AGOA contributes a substantial USD 251 million, our situation is different. Therefore, there’s no need for alarm. We have a clear solution to bridge this gap by encouraging our coffee, tea, and other product producers to elevate their efforts. Furthermore, we intend to enhance the utilization of our mineral resources, leaving no room for any deficiencies. We are confident that we will not only compensate for this small gap but also make substantial improvements. While this situation is unfortunate, it may serve as a wake-up call, pushing us to enhance other sectors,” he stated.
Minister Oryem’s statements come at a time when many are contemplating the consequences of Uganda’s AGOA suspension. With the potential to impact various sectors of the country’s economy, including textiles, agricultural products, and minerals, Oryem’s call to view this suspension as an opportunity to diversify and strengthen trade relations highlights the resilience and adaptability of Uganda’s leadership in the face of economic challenges.
He, however, warned that many suspensions may be on their way because that is why the USA does when it wants an independent country to move on their orders.
“We are used to America’s behaviour, they don’t see Uganda as special even they don’t see European countries as special. These are friends of convenience. They become friends to you as long as their interests are protected,”
Human Rights violation
During Monday’s announcement, President Biden responded to what he characterized as ‘severe breaches’ of internationally recognized human rights by the Central African Republic and Uganda. The President emphasized that these nations have not succeeded in establishing or consistently advancing the principles of political pluralism and the rule of law.
In response, the Minister countered by asserting that the United States cannot claim the moral high ground when it comes to human rights violations. He stated, “Who has declared Americans as champions of human rights? They are not! In fact, in the United States, the mortality rate for young black individuals dying on the streets is significantly higher compared to our youth here. They should not hide behind the banner of human rights; we are well aware of their contentious stance, particularly regarding the Homosexuality Act that we’ve passed.”
He went on to say, “While we acknowledge our shortcomings in the realm of human rights, the United States has its own share of failures. Nevertheless, they have assumed the role of global human rights enforcers. Yet, if we carefully scrutinize the human rights situation in their own country, the revelations would be astounding.”
AGOA was initiated in 2000, providing qualifying countries with tariff-free access to the U.S. market. Originally set to conclude in September 2025, ongoing deliberations are now focused on whether to prolong it and the duration of any potential extension.
African governments and industry associations are actively advocating for an early 10-year extension with no alterations, aiming to provide stability and confidence to businesses and prospective investors who may be apprehensive about AGOA’s future.
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