Assistance for Small and Medium Enterprises in Sub-Saharan African Countries Act of 2005 - Amends the Foreign Assistance Act of 1961 to authorize the Overseas Private Investment Corporation (OPIC) to provide technical assistance to small and medium enterprises in sub-Saharan African countries.
Authorizes the President, through the United States Agency for International Development (USAID), to provide assistance to small and medium enterprises in such countries for: (1) financial sector improvement; (2) financial institution lending programs; (3) technology and information resources; (4) rural and peri-urban business development; (5) small business development in post-conflict states; (6) youth entrepreneurship programs; (7) intellectual property rights protection; and (8) anti-corruption initiatives.
Directs: (1) the U.S. Trade Representative to develop a comprehensive plan to expand agricultural trade between sub-Saharan African countries and the United States under the African Growth and Opportunity Act; (2) the Secretary of State to undertake actions to strengthen internationally recognized labor rights and standards in sub-Saharan African countries; (3) the Secretary of Labor to undertake activities to promote social dialog among business, government, labor, and nongovernmental organizations; (4) the Secretary of Health and Human Services, through the Food and Drug Administration (FDA), to provide training and technical assistance to producers to ensure that their exports meet U.S. requirements; (5) the Secretary of Agriculture, through the Foreign Agriculture Service, to undertake activities to improve market access for U.S. agricultural products in sub-Saharan African countries; (6) the President, through USAID, to provide technical assistance to eligible sub-Saharan countries to meet African Growth and Opportunity Act eligibility requirements, and to provide such countries with transportation and communications infrastructure; and (7) the Administrator of the Small Business Administration to conduct trade training programs for U.S. small businesses which convey basic information on selling goods to foreign markets, including markets in sub-Saharan African countries.
[Congressional Bills 109th Congress]
[From the U.S. Government Publishing Office]
[H.R. 4319 Introduced in House (IH)]
109th CONGRESS
1st Session
H. R. 4319
To provide assistance for small and medium enterprises in sub-Saharan
African countries, and for other purposes.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
November 15, 2005
Mr. Lantos (for himself and Mr. Smith of New Jersey) introduced the
following bill; which was referred to the Committee on International
Relations, and in addition to the Committee on Ways and Means, for a
period to be subsequently determined by the Speaker, in each case for
consideration of such provisions as fall within the jurisdiction of the
committee concerned
_______________________________________________________________________
A BILL
To provide assistance for small and medium enterprises in sub-Saharan
African countries, and for other purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE; TABLE OF CONTENTS.
(a) Short Title.--This Act may be cited as the ``Assistance for
Small and Medium Enterprises in Sub-Saharan African Countries Act of
2005''.
(b) Table of Contents.--The table of contents of this Act is as
follows:
Sec. 1. Short title; table of contents.
Sec. 2. Findings.
Sec. 3. Sense of Congress; declaration of policy.
Sec. 4. Activities of the Overseas Private Investment Corporation to
strengthen financial institutions in sub-
Saharan African countries.
Sec. 5. Assistance for small and medium enterprises in sub-Saharan
African countries.
Sec. 6. Actions to improve trade between sub-Saharan African countries
and the United States.
Sec. 7. Definitions.
SEC. 2. FINDINGS.
Congress finds the following:
(1) According to the Organization for Economic Co-operation
and Development (OECD), the economies of sub-Saharan African
countries have registered their highest overall growth in eight
years--more than five percent in 2004--due to rising global
commodity prices, the expansion of production in oil-producing
sub-Saharan African countries, and prudent macro-economic
policies.
(2) While economic liberalization has reduced the
involvement of governments of sub-Saharan African countries in
the economic sector, it has not resulted in improved credit
delivery to finance domestic businesses, particularly small and
medium enterprises in sub-Saharan African countries, in the
private sector.
(3) Despite the privatization of over 2,273 businesses in
sub-Saharan African countries and $9.1 billion raised, private
sector investment still lags behind Asia, in large part due to
inadequate infrastructure, including electricity, water, roads,
and commerce facilities, and a risk-averse retail banking
sector.
(4) Sub-Saharan Africa countries hold billions of
uninvested capital in central banks and financial holding
institutions. In the eight-nation West African Economic and
Monetary Union the amount of excess capital in the central bank
recently peaked at almost $2 billion.
(5) Excess reserves of uninvested capital in sub-Saharan
African countries have often been illicitly diverted or
invested in economically inefficient enterprises and other
purposes, often for the benefit of politically-connected
persons or entities.
(6) Nigerian President Olusegun Obasanjo recently estimated
that corrupt leaders of sub-Saharan African countries have
stolen at least $140 billion from their citizens in the four
decades since independence. This theft contributes to the fact
that the people of sub-Saharan African countries owe
unsustainably large public and foreign debts, face high rates
of extreme poverty, and have enjoyed little basic economic
development.
(7) Increasingly, governments of sub-Saharan African
countries are making concerted efforts to investigate such
activities, prosecute corrupt officials, and recover public
funds through the creation of agencies such as the Economic and
Financial Crimes Commission in Nigeria, the Serious Fraud
Office in Ghana, the Federal Ethics and Anticorruption
Commission in Ethiopia, and the Anticorruption Commission in
Zambia.
(8) These efforts will require technical assistance and law
enforcement cooperation from the international community,
including the United States.
(9) A major challenge for sub-Saharan African countries is
to productively invest their own capital to expand domestic
business ownership and create employment, particularly for
youth, in order to promote broad and sustainable economic
growth.
(10) While the microenterprise movement has shown itself to
be an important generator of self-employment, research and
experience throughout sub-Saharan Africa also have proven that
small and medium enterprises are the greatest catalyst for job
creation, skills transfer, and wealth creation in sub-Saharan
Africa.
(11) Although small and medium enterprises in sub-Saharan
African countries make up the largest portion of the formal
economy in sub-Saharan African countries, the average annual
contribution of investments of such small and medium
enterprises to growth in the gross domestic product of sub-
Saharan African countries by proportion declined from an
average of 14 percent in the 1970s, to 13 percent in the 1980s,
and to 12 percent in the first half of the 1990s, while during
the same period, the proportion of gross domestic product
investment by small and medium enterprises in other developing
regions increased.
(12) Investments in small and medium enterprises in sub-
Saharan African countries also have declined, in part because
an estimated 37 percent of personal wealth in sub-Saharan
African countries is held in assets and cash located outside of
sub-Saharan African countries, even though the global region
with the highest return on capital investment is sub-Saharan
Africa.
(13) Many retail banks avoid lending to small and medium
enterprises in sub-Saharan African countries or engage in
predatory lending practices, considering such small and medium
enterprises as presenting a high credit default risk and as
costly to administer, and instead concentrate on providing
credit to larger local or international firms or on holding
high-yield government bonds.
(14) This approach harms the prospects for sustainable
private sector development by ignoring the necessity of a
bottom-up capital formation--a key factor in creating jobs
which is necessary to reduce poverty and income inequalities.
(15) Governments of sub-Saharan African countries must
develop the fiscal policies, economic institutions, legal
frameworks, labor market protections, commercial
infrastructures, and lending practices to create and manage
competitive business environments for investors in small and
medium enterprises in sub-Saharan African countries. Further,
small and medium enterprises in sub-Saharan African countries
must acquire the business skills, expertise, and capital
financing necessary to manage successful businesses.
SEC. 3. SENSE OF CONGRESS; DECLARATION OF POLICY.
(a) Sense of Congress.-- It is the sense of Congress that in an
increasingly competitive global environment driven by transformations
in technology, communications, transportation, finance, production,
labor markets, and markets for goods and services, sub-Saharan African
countries should develop the private sector, particularly small and
medium enterprises, and human capital, goods and services, banking and
finance systems, and create markets to be full participants in the
global economy.
(b) Declaration of Policy.--It shall be the policy of the
Government of the United States to make available for private sector
development in sub-Saharan African countries professional, technical,
and other resources for capacity-building for finance ministries,
central and retail banks, and small and medium enterprises to promote
entrepreneurship, expand the formal sector, and increase trade under
the African Growth and Opportunity Act (19 U.S.C. 3701 et seq.) of
exports from Africa to the United States.
SEC. 4. ACTIVITIES OF THE OVERSEAS PRIVATE INVESTMENT CORPORATION TO
STRENGTHEN FINANCIAL INSTITUTIONS IN SUB-SAHARAN AFRICAN
COUNTRIES.
Section 240 of the Foreign Assistance Act of 1961 (22 U.S.C. 2200)
is amended by adding at the end the following:
``(c) Support for Financial Institutions in Sub-Saharan African
Countries.--
``(1) Support.--The Corporation is commended for its
activities in support of the development of small and medium
enterprises, and is encouraged to exercise its authorities to
promote United States investments in financial institutions
that are duly incorporated in sub-Saharan African countries, to
the extent that the purpose of such investments is to expand
investment and lending opportunities to small and medium
enterprises in sub-Saharan African countries that are engaged
in domestic commerce in areas that are responsible for
significant job creation.
``(2) Consideration.--In making a determination to provide
insurance and financing to financial institutions referred to
in paragraph (1), the Corporation should take into
consideration the extent to which a project establishes and
implements a nondiscrimination in lending policy to prohibit
discrimination based on ethnicity, sex, color, race, religion,
physical disability, marital status, or age, and a policy
against predatory lending practices.
``(3) Technical assistance.--In supporting a project
referred to in paragraph (1), the Corporation may provide
technical assistance to--
``(A) improve the quality of management of
financial institutions referred to in paragraph (1) to
ensure the safety and stability of such institutions;
``(B) create in such financial institutions
effective credit risk management systems to improve the
quality of the assets of such institutions and the
ability of such institutions to research and assess the
overall credit risk of critical industries in the
domestic economy;
``(C) support effective credit risk management by
developing internal credit rating systems and credit
assessment tools that improve the ability of such
financial institutions to evaluate individual credit
worthiness and measure the overall amount of risk posed
by the total number of borrowers; and
``(D) establish comprehensive collateral management
programs to control borrower assets against default and
exposure as part of the risk management process.
``(4) Definitions.--In this subsection:
``(A) Small and medium enterprises in sub-saharan
african countries.--The term `small and medium
enterprises in sub-Saharan African countries' has the
meaning given the term in section 496A(e)(2) of this
Act.
``(B) Sub-saharan african countries.--The term
`sub-Saharan African countries' means the countries
specified in section 107 of the African Growth and
Opportunity Act (19 U.S.C. 3706).''.
SEC. 5. ASSISTANCE FOR SMALL AND MEDIUM ENTERPRISES IN SUB-SAHARAN
AFRICAN COUNTRIES.
(a) In General.--Chapter 10 of part I of the Foreign Assistance Act
of 1961 (22 U.S.C. 2293 et seq.) is amended by inserting after section
496 the following new section:
``SEC. 496A. ASSISTANCE FOR SMALL AND MEDIUM ENTERPRISES IN SUB-SAHARAN
AFRICAN COUNTRIES.
``(a) Authorization.--The President, acting through the
Administrator of the United States Agency for International
Development, is authorized to provide assistance, on such terms and
conditions as the President may determine, for small and medium
enterprises in sub-Saharan African countries.
``(b) Activities Supported.--Assistance provided under subsection
(a) shall, to the maximum extent practicable, be used to carry out the
following activities:
``(1) Effectiveness of financial sectors.--Activities to
improve the effectiveness of the financial sectors of sub-
Saharan African countries to promote increased business and
employment opportunities for small and medium enterprises in
sub-Saharan African countries. Such activities may include
providing technical assistance relating to--
``(A) tax policy and administration;
``(B) government debt issuance and management;
``(C) policies and regulation of financial
institutions;
``(D) prevention, detection, and prosecution of
financial crimes;
``(E) regulatory systems;
``(F) innovative services and specialized
institutions to serve the small and medium enterprise
market; and
``(G) compliance with international financial
standards.
``(2) Lending programs of financial institutions.--
Activities to promote the establishment of lending programs of
financial institutions for small and medium enterprises in sub-
Saharan African countries by--
``(A) improving the quality of management of such
financial institutions to ensure their safety and
stability;
``(B) establishing effective credit risk management
systems to improve the quality of the assets of such
financial institutions and the ability of such
financial institutions to research and assess overall
credit risk;
``(C) supporting effective credit risk management
systems described in subparagraph (B) by developing
internal credit rating systems and credit assessment
tools that improve the ability of such financial
institutions to evaluate individual credit worthiness
and measure the overall amount of risk posed by the
total number of borrowers; and
``(D) establishing comprehensive collateral
management programs to control borrower assets against
default and exposure as part of the risk management
process.
``(3) Technology and information resources.--Activities to
improve the technology and information resources of financial
institutions and small and medium enterprises in sub-Saharan
African countries. Such activities may include--
``(A) developing computer programs and networking
capabilities to provide connectivity between domestic
and international banking sectors;
``(B) increasing access by finance ministries and
central banks to information management systems and
high-speed Internet connectivity; and
``(C) promoting the development of Internet service
providers.
``(4) Business development in rural and peri-urban areas.--
Activities to promote the development of small and medium
enterprises in sub-Saharan African countries that are located
in rural and peri-urban areas. Such activities may include--
``(A) carrying out short- and long-term training in
entrepreneurship, such as the `Business Opportunity
Centers' program of the United States Agency for
International Development in the Republic of Zimbabwe;
``(B) providing training in entrepreneurship,
including basic business management, accounting,
bookkeeping, marketing, risk management, and computer
skills;
``(C) providing assistance to meet international,
particularly United States, quality control standards;
``(D) providing business services on a fee-for-
service basis, such as telephone, fax, email, e-
learning, and money transfer services, based on the
cost recovery model of the `Business Opportunity
Centers' program in Zimbabwe;
``(E) carrying out capacity-building activities for
microenterprise business associations and microfinance
networks; and
``(F) providing training in internationally
recognized labor rights and core labor standards.
``(5) Small business development in post-conflict states.--
Activities to promote small business development in post-
conflict sub-Saharan African countries. Such activities may
include--
``(A) providing rural agriculture entrepreneurship
training to aid displaced persons, particularly youth,
with the purpose of helping such persons return to
rural areas and re-engage in agricultural activities;
``(B) adopting more productive and profitable
production systems such as conservation farming
technologies, biotechnologies, biosafety technologies,
and increasing the marketability of the surplus
production of such systems;
``(C) providing assistance to add commercial value
to agricultural goods and to sell such goods to local
and regional markets; and
``(D) encouraging agricultural entrepreneurship and
the formation of cooperatives and marketing
associations and providing such associations with
organizational and technical assistance.
``(6) Youth entrepreneurship programs.--Activities to
establish youth entrepreneurship training programs in schools
or through community partnerships with business and youth
organizations in sub-Saharan African countries to promote
economic skills, ethics, integrity, and healthy life skills
among youth in such countries. Such activities may include
providing assistance through United States and international
youth organizations located in sub-Saharan African countries
and ministries of education, local schools, businesses, and
youth groups to--
``(A) teach basic concepts of business economics
and free enterprise and the relevance of education for
such youth to improving the quality of their lives;
``(B) teach basic concepts of good governance, the
rule of law, human rights, and citizenship as they
relate to national development;
``(C) assist youth to make decisions about their
educational and professional future and develop
communication skills that are vital to succeed in the
domestic, regional, and international business world;
``(D) develop a specialized curriculum for youth in
rural and peri-urban areas and utilize, whenever
possible, business and community volunteers to deliver
such curriculum; and
``(E) organize student-led enterprises.
``(7) Intellectual property rights protection.--Activities
to introduce and strengthen laws, regulations, and enforcement
mechanisms to protect national and international intellectual
property rights and to protect the people and industries of
sub-Saharan African countries against imported counterfeit
consumer and other goods.
``(8) Anti-corruption initiatives.--Activities that combat
corruption, improve transparency and accountability, and
promote other forms of good governance and management in sub-
Saharan African countries. Such activities may include--
``(A) providing technical assistance to governments
of sub-Saharan African countries that are implementing
the United Nations Convention against Corruption,
including assistance to combat anti-competitive,
unethical, and corrupt activities, including protection
against actions that may distort or inhibit
transparency in market mechanisms and impair the
development of small and medium enterprises.
``(B) providing assistance to develop a legal
framework for commercial transactions that fosters
business practices that promote transparent, ethical,
and competitive behavior in the economic sector, such
as commercial codes that incorporate international
standards and protection of national and international
intellectual property rights and core labor standards;
and
``(C) providing training and technical assistance
relating to drafting of anti-corruption, privatization,
and competitive statutory and administrative codes, and
providing technical assistance to ministries and
agencies implementing anti-corruption laws and
regulations.
``(c) Consideration.--In making a determination to provide
assistance to financial institutions referred to in subsection (b), the
President should take into consideration the extent to which a project
establishes and implements a nondiscrimination in lending policy to
prohibit discrimination based on ethnicity, sex, color, race, religion,
physical disability, marital status, or age, and a policy against
predatory lending practices.
``(d) Acceptance and Use of Gifts, Devises, Bequests, and Grants.--
In accordance with section 635(d) of this Act, the President may accept
and use in furtherance of the purposes of this section, money, funds,
property, and services of any kind made available by gift, devise,
bequest, grant, or otherwise for such purposes.
``(e) Report.--
``(1) In general.--Not later than January 31 of each year,
the President shall transmit to the appropriate congressional
committees a report that contains a detailed description of the
implementation of this section for the prior fiscal year.
``(2) Contents.--The report required by paragraph (1) shall
contain a description of the number of grants, contracts,
cooperative agreements, or other form of assistance provided
under this section with a detailed description of--
``(A) the amount of each grant, contract,
cooperative agreement, or other form of assistance; and
``(B) the name of each recipient and each country
with respect to which projects or activities under the
grant, contract, cooperative agreement, or other form
of assistance were carried out.
``(3) Availability to the public.--The report required by
this subsection shall be made available to the public on the
Internet website of the United States Agency for International
Development.
``(f) Definitions.--In this section:
``(1) Appropriate congressional committees.--The term
`appropriate congressional committees' means--
``(A) the Committee on International Relations of
the House of Representatives; and
``(B) the Committee on Foreign Relations of the
Senate.
``(2) Small and medium enterprises in sub-saharan african
countries.--
``(A) In general.--The term `small and medium
enterprises in sub-Saharan African countries' means
corporations and other legal entities that meet the
requirements of this subparagraph. A legal entity meets
the requirements of this subparagraph if it--
``(i) is organized under the laws of a sub-
Saharan African country and has its principal
place of business within such country;
``(ii) is owned or controlled by natural
persons who are citizens of the sub-Saharan
African country referred to in clause (i); and
``(iii) has fewer than 50 employees.
``(B) Owned or controlled.--In subparagraph (A),
the term `owned or controlled' means--
``(i) in the case of a corporation, the
holding of at least 50 percent (by vote or
value) of the capital structure of the
corporation; and
``(ii) in the case of any other kind of
legal entity, the holding of interests
representing at least 50 percent of the capital
structure of the entity.
``(3) Sub-saharan african countries.--The term `sub-Saharan
African countries' means the countries specified in section 107
of the African Growth and Opportunity Act (19 U.S.C. 3706).
``(g) Authorization of Appropriations.--There are authorized to be
appropriated to the President to carry out this section $30,000,000 for
each of the fiscal years 2007 and 2008.''.
(b) Conforming Amendment.--Section 497 of the Foreign Assistance
Act of 1961 (22 U.S.C. 2294) is amended in the second sentence by
adding at the end before the period the following: ``or section 496A''.
SEC. 6. ACTIONS TO IMPROVE TRADE BETWEEN SUB-SAHARAN AFRICAN COUNTRIES
AND THE UNITED STATES.
(a) Actions of the United States Trade Representative.--
(1) Plan.--The United States Trade Representative, in
consultation with the Administrator of the United States Agency
for International Development and the Secretary of Agriculture,
shall develop a comprehensive plan for the expansion and
diversification of agricultural trade between sub-Saharan
African countries and the United States under the African
Growth and Opportunity Act (19 U.S.C. 3701 et seq.).
(2) Elements.--The plan required by paragraph (1) shall--
(A) identify the major agricultural products that
are exported between sub-Saharan African countries and
the United States;
(B) analyze critical constraints to agricultural
trade between sub-Saharan African countries and the
United States and efforts to remove such constraints;
(C) increase capacity building for research and
development for local, regional, and international
markets, agricultural export products, quality
improvement, and international food standards;
(D) strengthen infrastructure and communication
networks to reduce marketing and transaction costs, in
collaboration with the United States Agency for
International Development;
(E) increase access to market information (such as
information relating to prices, product quality and
demand, input quality and costs, and customs rules and
regulations) for smallholder farmers, farmer groups and
cooperatives, and relevant government ministries of
sub-Saharan African countries;
(F) establish and strengthen public-private
partnerships in sub-Saharan African countries to
enhance agricultural trade between such countries and
the United States;
(G) establish consultation mechanisms between the
five United States Agricultural Technical Advisory
Committees and counterpart groups in sub-Saharan
African countries and regional economic organizations;
and
(H) support ongoing discussions with agricultural
government ministries of sub-Saharan African countries
and private sector agricultural organizations in sub-
Saharan African countries on issues of mutual concern
in the context of World Trade Organization (WTO)
agricultural negotiations.
(3) Report.--Not later than one year after the date of the
enactment of this Act, the United States Trade Representative
shall submit to Congress a report that contains--
(A) a detailed description of the plan required by
this subsection; and
(B) recommendations for legislation, administrative
actions, or other actions that the Trade Representative
considers appropriate to implement the plan.
(b) Actions of the Department of State.--
(1) Activities to strengthen fundamental labor rights.--
(A) Sense of congress.-- It is the sense of
Congress that sustained economic growth and development
in sub-Saharan Africa will depend on building strong,
effective enforcement of international labor standards
and democratic trade unions that can responsibly
represent workers' interests at the workplace and with
their governments in sub-Saharan African countries.
(B) Activities.--The Secretary of State shall
undertake activities to strengthen internationally
recognized labor rights and standards in sub-Saharan
African countries by--
(i) ensuring that governments and
businesses in sub-Saharan African countries are
aware of their obligations (through membership
in the International Labor Organization (ILO)
as well as under United States trade preference
programs such as the generalized system of
preferences and the African Growth and
Opportunity Act) to respect, promote, and
realize the international labor standards
established by the ILO;
(ii) monitoring the enforcement of labor
laws in sub-Saharan African countries,
including labor laws relating to workers'
rights to free association, prohibitions on
child labor, forced labor, and discrimination,
safety in the work environment, workplace
standards laws regulating minimum wage and
hours of work, and collective bargaining,
through ensuring, among other things, that
reporting on labor rights at United States
missions is a priority; and
(iii) providing technical assistance to
enhance enforcement of labor laws in sub-
Saharan African countries and for institutional
capacity building of trade unions to increase
their capabilities to represent workers at
workplaces and with their governments.
(2) Activities to promote dialogue among business,
government, labor, and nongovernmental organizations.--The
Secretary of State shall undertake activities to promote social
dialogue among business, government, labor, and nongovernmental
organizations, including all types of negotiations,
consultations, or exchanges of information between, or among,
representatives of business, government, labor, and
nongovernmental organizations, on issues of common interest
relating to economic and social policy.
(c) Actions of the Food and Drug Administration.--The Secretary
Health and Human Services, acting through the Food and Drug
Administration--
(1) shall provide training to agricultural producers in
sub-Saharan African countries to ensure that exports of such
producers meet United States food safety standards;
(2) should provide technical assistance and capacity
building to agricultural producers in sub-Saharan African
countries to ensure such producers meet phytosanitary standards
in planting, cultivating, harvesting, and processing
agricultural products for export, with particular attention to
institutions serving smallholder producers, small-scale rural
businesses, and cooperatives; and
(3) should provide assistance to strengthen agricultural
research and extension capacity to disseminate relevant
information on pests and diseases to smallholder farmers in
sub-Saharan African countries, as well as successful, cost
efficient and environmentally sound solutions.
(d) Actions of the Foreign Agriculture Service.--The Secretary of
Agriculture, acting through the Foreign Agriculture Service, should
improve market access for United States agricultural products in sub-
Saharan African countries by--
(1) in conjunction with the Secretary of Commerce,
strengthening the capacity of agricultural producer
organizations in sub-Saharan African countries to identify
agricultural equipment and supply needs;
(2) working with United States financial institutions to
increase the number of such financial institutions that
cooperate with the Supplier Credit Guarantee Program;
(3) working with financial institutions in sub-Saharan
African countries to remove obstacles that inhibit fuller
implementation of the Export Credit Guarantee and Intermediate
Export Credit Guarantee programs; and
(4) facilitating access for ports of entry and warehouse
facilities in sub-Saharan African countries to the Facilities
Guarantee Program.
(e) Actions of the United States Agency for International
Development.--
(1) Technical assistance relating to agoa eligibility.--The
President, acting through the Administrator of the United
States Agency for International Development, shall provide
technical assistance to eligible sub-Saharan African countries
under the African Growth and Opportunity Act (19 U.S.C. 3701 et
seq.) to assist such countries to continue to meet the
eligibility requirements under such Act, including eligibility
requirements relating to political and economic reforms.
(2) Technical assistance relating to agoa benefits.--The
President, acting through the Administrator of the United
States Agency for International Development, shall provide
technical assistance to eligible sub-Saharan African countries
under the African Growth and Opportunity Act to enable small
and medium enterprises in sub-Saharan African countries,
including agricultural producers, processors and traders, to
maximize benefits under such Act (and the amendments made by
that Act), including--
(A) specific training for business owners on
expanding access to the benefits of the African Growth
and Opportunity Act (and the amendments made by that
Act) and other trade preference programs;
(B) capacity building for entrepreneurs on
production strategies, quality standards, formation of
cooperatives, market research, and market development;
(C) capacity building to promote diversification of
products and value-added processing; and
(D) capacity building and technical assistance for
businesses and institutions to help them comply with
United States counter-terrorism laws.
(3) Transportation and communications.--
(A) Findings.--Congress finds the following:
(i) A major impediment to trade between
sub-Saharan African countries and the United
States is inadequate direct and regular
transport, for products and people, between
such countries and the United States.
(ii) This transport deficit has reduced the
competitiveness of products of sub-Saharan
African countries, hindered the people of sub-
Saharan African countries from expanding
exports of perishable items, such as cut
flowers or fresh fruits and vegetables, limited
the ability of sub-Saharan African countries to
increase tourism, and limited the overall
volume of trade between sub-Saharan African
countries and the United States.
(B) Sense of congress.--It is the sense of Congress
that there should be an expansion of port-to-port
relationships between sub-Saharan African countries and
the United States. Such relationships should
facilitate--
(i) increased coordination between land,
sea, and airports to reduce time in transit and
thus freight charges;
(ii) interaction between technical staff
from land, sea, and airports in sub-Saharan
African countries and the United States to
increase efficiency and safety procedures and
protocols;
(iii) coordination between chambers of
commerce, freight forwarders, customs brokers,
and others involved in consolidating and moving
freight; and
(iv) joint negotiations with shipping
companies and airlines on direct shipping and
flights between land, sea, and airports in sub-
Saharan African countries and the United States
to increase frequency and capacity.
(C) Assistance.--The President, acting through the
Administrator of the United States Agency for
International Development and the Global Development
Alliance of the Agency, shall facilitate trade between
sub-Saharan African countries and the United States by
encouraging public-private partnerships involving
businesses in sub-Saharan African countries and the
United States, national and local governments,
bilateral donors, and international financial
institutions, to create needed transportation and
communication infrastructure for products and people
between rural areas and markets (such as ``farm-to-
market'' roads), and between sub-Saharan African
countries.
(f) Actions of the Small Business Administration.--The
Administrator of the Small Business Administration should conduct trade
training programs for small businesses in the United States, such as
the Export Trade Assistance Program, which convey basic information on
selling goods to foreign markets, including markets in sub-Saharan
African countries.
(g) Authorization of Appropriations.--
(1) General activities.--There are authorized to be
appropriated to carry out this section (other than subsection
(b)) $5,000,000 for each of the fiscal years 2007 and 2008.
(2) Activities of the department of state.--There are
authorized to be appropriated to carry out subsection (b)
$3,000,000 for each of the fiscal years 2007 and 2008.
(3) Availability.--Amounts appropriated pursuant to the
authorization of appropriations under paragraphs (1) and (2)
are authorized to remain available until expended.
SEC. 7. DEFINITIONS.
In this Act:
(1) Small and medium enterprises in sub-saharan african
countries.--The term ``small and medium enterprises in sub-
Saharan African countries'' has the meaning given the term in
section 496A(e)(2) of the Foreign Assistance Act of 1961 (as
added by section 5(a) of this Act).
(2) Sub-saharan african countries.--The term ``sub-Saharan
African countries'' means the countries specified in section
107 of the African Growth and Opportunity Act (19 U.S.C. 3706).
<all>
Introduced in House
Introduced in House
Referred to the Committee on International Relations, and in addition to the Committee on Ways and Means, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
Referred to the Committee on International Relations, and in addition to the Committee on Ways and Means, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
Referred to the Committee on International Relations, and in addition to the Committee on Ways and Means, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
Referred to the Subcommittee on Africa, Global Human Rights and International Operations.
Subcommittee Consideration and Mark-up Session Held.
Forwarded by Subcommittee to Full Committee by Voice Vote .
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