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Musings From Abroad

US expels Burkina Faso from African Growth Opportunity programme. Here’s why

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The recent military incursion in the political leadership of Burkina Faso has cost it its place as the US has dropped the West African country from its AGOA trade preference programme.

The United States Trade Representative’s (USTR) office said on Sunday the decision was based on deep concerns over “unconstitutional change” in government in the West African country.

Since August 2020, the West Africa sub-region has been rocked by two coups in Mali, one in Guinea, and one in Burkina Faso which had another coup in 2022 to make a count of two coups in eight months.

Burkina Faso’s foreign affairs ministry has maintained its November statement that the timetable for a return to democracy had not changed.

The U.S. African Growth and Opportunity Act (AGOA) provides sub-Saharan African nations with duty-free access to the United States if they meet certain eligibility requirements, such as eliminating barriers to US trade and investment and making progress toward political pluralism.

The USTR’s office said Burkina Faso had failed to meet the requirements of the AGOA statute and would be given “clear benchmarks” for a pathway toward reinstatement to the trade program, adding that Washington would work with the Burkinabe government.

The military administrations in the West African sub-region have characterised by a strained relationship with the international community. Last month, the military junta in Burkina Faso declared the United Nations coordinator in the country, Italian Barbara Manzi, “persona non grata” and “asked to leave the country.”

Burkina’s neighbour Mali, also caught up in a serious security crisis, expelled Olivier Salgado, the spokesman for the United Nations Mission in Mali (Minusma), for publishing “unacceptable information” the day after the arrest of 49 Ivorian soldiers in Bamako.

Musings From Abroad

Brazilian meatpacker JBS invests $2.5 billion in Nigeria, builds six facilities

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Brazilian meatpacker JBS says it has inked a memorandum of understanding with the Nigerian government for a $2.5 billion investment plan that will include the construction of six new plants in the African nation.

Three of the plants would deal in poultry, two in beef, and one in pork, according to a statement from JBS.

In accordance with the memorandum of understanding, JBS stated that it would develop a five-year investment plan in Nigeria, which would include budget estimates, feasibility studies, and an action plan for the development of the local supply chain.

The Nigerian government would then guarantee the sanitary, regulatory, and economic conditions required for the project’s viability, JBS continued.

 

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Musings From Abroad

China’s Xi meets with Morocco’s Crown Prince

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Morocco’s official media reports that Chinese President, Xi Jinping, visited Morocco briefly on Thursday.

According to Morocco’s MAP, Crown Prince Moulay El Hassan welcomed Xi in Casablanca. The visit demonstrated the close ties of camaraderie, collaboration, and solidarity between the Moroccan and Chinese peoples, it said.

China’s official broadcaster, CCTV, said that Xi and Hassan had a “cordial conversation” at the airport after being received by the Crown Prince and Moroccan Prime Minister Aziz Akhannouch.

After attending the G20 Summit in Brazil, Xi paid the visit.

In recent years, China has increased its investments in Morocco’s rail and infrastructure. Morocco is desirable for Chinese electric car battery manufacturers because of its proximity to Europe, free trade agreements with important EU and US markets, and an established automotive sector.

Morocco was chosen by Chinese EV battery company Gotion High Tech in June to establish Africa’s first gigafactory, which will cost $1.3 billion in total.

 

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