
Local industries have an opportunity to improve their fortunes under the new AGOA – a unilateral preferential trade arrangement extended by the US government to sub-Saharan African countries, which has eluded them for the pasy 16 years. Since inception in May 2000, only one local company – Carapparel Botswana – has accessed AGOA, despite the availability of over 6 400 products for duty-free export to the US. Botswana exports to the US stood at $7.5 million in 2015, down from $9 million in 2014. Botswana's export to the US in 2014 was dominated by diamonds at 94% of total exports. Carapparel Botswana Managing Director Sam Lin is quick to point out the challenges they have encountered over the years and denies finding success in AGOA. His company produces 100-200 000 items per month of casual wear for men and women exclusively for export to the US through AGOA. From a workforce of 1 200 employees at factories in Gaborone West Industrial and Block 3 industrial, Lin says they have had to reduce workers to just 700 in 2014 and further to 370 in 2015 due to several challenges. The drastic reduction in production led to dwindling profits from around USD70…