Big Four Security firms and AGOA threats
Much commentary, debates and discussions have taken place in the public discourse especially in business section of our newspapers of late about the imminent threat of South Africa losing AGOA status or benefits.
What is AGOA?
Formally the US says that the African Growth and Opportunity Act (AGOA) is a Trade Act, enacted on 18 May 2000 as Public Law 106 of the 200th Congress. US Treasury department states that the act has objective of expanding U.S. trade and investment with sub-Saharan Africa, to stimulate economic growth, to encourage economic integration, and to facilitate sub-Saharan Africa's (SSA) integration into the global economy.
To qualify for AGOA, South Africa and other countries of Sub Saharan Africa (SSA) are basically asked to compromise their national priorities and have market based economy that protect and promote private property. In short SSA countries must pursue neoliberal policies
Washington's interests in the Private Security Regulation Amendment Bill
Songezo Zibi of the Business Day argues that local producers can't produce enough to meet domestic demand for chicken, Washington chicken is cheap and so on. He then urges that we must open our poultry market for the US. His hot air sounds reasonable to unsuspecting individuals.
It apparent that the big four security firms, i.e. USA based ADT, UK based Chubb, Sweden's Securitas and the notorious G4S are behind the AGOA bullying and threats of economic embargo by the USA. SA Private Security industry is higher more than the army and police force combined and these big four multinationals stand to lose the most, should the Private Security Regulation Amendment Bill be signed into law. The strategy of sanctions, bullying adopted by these companies are similar to Dutch Royal Shell Company, who with the help Nigeria government executed Ken Saro-Wiwa, via a sham trial by the military junta of Sani Abacha. Saro-Wiwa was a well-known opponent of Shell's environmental pollution in the Niger Delta. Modern day Sani Abacha's of our times are in the form of South African Chamber of Commerce and Industry (SACCI), some sections of the media and Democratic Alliance and Royal Shell Company are the Big Four security firms.
AGOA as a foreign policy instrument of expansionism
AGOA is also being used as a US foreign policy instrument to control and curtail BRICS influence. This strategy of AGOA is similar to the reaction in the US in the late 1940s. When fearing the influence and the growth of communism in Europe and elsewhere in the world after the Second World War, Washington approved billions of dollars' worth of aid. This 'Recovery Program' was referred to as Marshal Plan. One the eligibility criterion to AGOA, a country is required not to be engaged in activities that undermine United States national security or foreign policy interests. It is no secret that our close and improved relations with China and Russia is a bitter pill to swallow for Washington and that's the reason we are being punished.
It is this context that one concludes that, no amount of begging and concessions by South Africa will ever be enough, because this threat of economic embargo is not really about trade nor investment but is the 'Big Four' security firms, our participation in BRICS that threatens the US expansionist ambitions and hold over Africa.
As the YCLSA we have a task of leading popular mobilization and organization of the South African working class youth to fight against imperialist bullying and fight threats of illegal economic embargo by US.
This article by Sandile Dayi, Provincial Chairperson of the Young Communist League of SA, Moses Mabhida Province, first appeared in Bottom Line, an electronic publication of YCL SA, 12 November 2015
