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The value of pushing for AGOA renewal in South Africa’s agriculture

The value of pushing for AGOA renewal in South Africa’s agriculture

Some, understandably, criticised the value of AGOA as the “Liberation Day” tariffs eroded its benefits. Without AGOA, South African products exported to the U.S. would typically face an additional 3.4% tariff on top of the “Liberation Day” tariffs, which were 30%, bringing the total to 33.4%.

Now that the tariffs are down to 10% (and may increase to 15% at some point), we are at the same level as our competitors in South America, including Chile and Peru. This places South Africa in a better position than the second half of 2025. We can compete fairly. 

We are approaching the citrus export season and have ample wine supplies. If the tariffs remain at these levels for some time, we may have a better export season to the U.S. 
Had we not been included in the AGOA extension, we would now be facing a 13.4% tariff (10% plus the MFN tariff of 3.4%). 

Therefore, with all the headaches that came with its push for renewal, it was a key matter, and we congratulate the folks at DTIC, business, and other stakeholders who pushed for it, and for South Africa’s continued inclusion. 
Of course, this is not the end of the road; the idea is to have a formal trade agreement with the U.S. post these uncertain times. 

For South Africa’s agriculture, the U.S. remains an important market, accounting for 4% of our agricultural exports.

In 2025, our agricultural exports to the U.S. totalled US$504 million, down 3% from the previous year. This slight annual decline doesn’t suggest that the previous 30% “Liberation Day tariffs” didn’t have a negative impact on our agricultural sector; we benefited from substantial exports in the second quarter, where there was a 90-day pause, and we have plenty of citrus products to export.

South African agricultural exports to the U.S. include citrus, berries, grapes, wine, fruit juices, apples, pears, apricots, and nuts.