/ 17 April 2000

US TO EXTEND AFRICAN TRADE PRIVILEGES

US leaders have reached a tentative agreement to extend new trade privileges to Africa, the Caribbean and Central America. Final passage of the legislation after years of negotiations will give a much-needed boost to President Bill Clinton’s free-trade agenda, set back by the collapse in December 1999 of World Trade Organisation talks in Seattle. Under the tentative accord, House and Senate leaders agreed to extend duty-free access to apparel made from African as well as U.S. fabrics. But those imports would be subject to a cap, congressional aides said. Previously, the Senate had insistedthat US fabric be used. For the poorest countries in Africa, there would be no restrictions on the source of the fabric for four years, the aides said.