Cape Town, April 5 — Agriculture Minister John Steenhuisen has warned that South Africa is facing a serious risk of being excluded from the United States’ African Growth and Opportunity Act (AGOA), a preferential trade arrangement that has long benefited the country’s agricultural exports.
Speaking during a question session in the National Assembly on Thursday, Steenhuisen said that “the writing is on the wall” ahead of AGOA’s scheduled review in September. He added that decisions in Washington appear to be based on misinformation, which is creating unnecessary tension and risk for South Africa’s economy.
“It is a serious threat on the horizon to our agriculture sector,” said Steenhuisen. “I don’t want to underplay it, but we need to start building resilience in a post-AGOA world.”
His remarks came just a day after former U.S. President Donald Trump imposed a 30% tariff on South African goods, escalating trade tensions and compounding fears about the country’s future standing in U.S. markets.
Exploring Alternatives
In response to the growing uncertainty, Steenhuisen said he was casting a wide net to secure alternative markets for South African agricultural products. He confirmed he had held talks with a Russian delegation over the weekend and was engaged in ongoing discussions with key Asian economies, including Japan, Thailand, and Vietnam.
“There’s nowhere I wouldn’t travel to find new markets for our produce,” Steenhuisen emphasized, amid speculation over the stability of his position in President Cyril Ramaphosa’s Government of National Unity.
He also revealed that his department is reviewing existing trade agreements — notably those with the European Union — to strengthen and expand trade ties as part of a broader strategy to reduce over-reliance on any single partner.
Concerns Over Misinformation
When asked by Freedom Front Plus MP Wynand Boshoff whether the lobby group AfriForum had helped prevent South Africa from losing its AGOA privileges through its diplomatic efforts in Washington, Steenhuisen declined to speculate on the group’s intentions.
However, he noted with concern that “decisions are being made at a very high level in Washington based on an incorrect version of what’s truly happening in South Africa,” suggesting a need for more proactive and accurate diplomatic engagement.
Preparing for a Post-AGOA Era
AGOA, which was first enacted in 2000, provides eligible Sub-Saharan African countries with duty-free access to U.S. markets for thousands of products. The possible loss of these benefits could hit South Africa’s agricultural sector particularly hard, potentially threatening jobs, exports, and rural livelihoods.
Despite this, Steenhuisen said his department was adopting a pragmatic approach: “We’re hoping for the best but preparing for the worst.”
The Department of Agriculture, Land Reform and Rural Development is expected to present a detailed trade diversification plan to Parliament in the coming weeks.