US-Africa trade declines

Trade levels between Africa and the United States have been on a decline, dropping to $27.1 billion in 2015 from $32.8 billion in 2011, according to data from the United States Census Bureau. Key African economies such as South Africa, Nigeria, and Kenya have experienced reductions in their exports to the U.S. Over the years, South Africa saw a 28% decrease in exports, Nigeria a 46% drop, and Kenya's exports plummeted by 50% in the first eight months of 2016. To shed light on the importance of the private sector in revitalizing trade and business relations between the U.S. and Africa, Myron Brilliant, Executive Vice President and Head of International Affairs at the U.S. Chamber of Commerce, joined CNBC Africa for a discussion. The conversation touched on various key aspects that impact trade relations between the two regions. Myron Brilliant emphasized the far-reaching effects of trade beyond short-term fluctuations. Despite challenges like low commodity prices, he emphasized the need for a long-term perspective, given Africa's population of 1.2 billion. Brilliant highlighted the importance of the Africa Business Center, a platform created to enhance trade and investment connections with Africa, focusing on sectors like infrastructure, ICT, health, and agri-food. He underlined the necessity of recognizing and leveraging opportunities for growth in trade and investment across the continent, highlighting countries like Kenya that have effectively diversified their economies. Addressing concerns about potential shifts in trade policies under new political leadership, Brilliant expressed the U.S. Chamber's commitment to promoting open trade and combating protectionism. He stressed the significance of maintaining openness to trade and investment to foster economic growth and global partnerships. The discussion also touched on the African Growth and Opportunity Act (AGOA) and its role in supporting African economies. Brilliant acknowledged AGOA's importance as both an economic and political tool and advocated for its full utilization by eligible countries to drive trade and economic development. Looking ahead, Brilliant urged for a broader perspective beyond AGOA, emphasizing the need for new strategies to enhance trade ties with Africa. He highlighted initiatives like President Obama's Power Africa program and called for increased commercial engagement with regions like East Africa through trade agreements and investment treaties. Brilliant emphasized the potential for growth and diversification in Africa, stressing the importance of collaboration to overcome barriers and promote sustainable economic practices. He outlined key areas of focus, including ICT growth, educational services, financial inclusiveness, and infrastructure development, all aimed at bolstering trade relations and fostering long-term prosperity. The discussion provided valuable insights into the role of the private sector in driving trade relations between the U.S. and Africa, emphasizing the importance of partnership, innovation, and sustainable practices to revitalize and strengthen economic ties between the two regions.