Ten years ago, the AGOA tariff preference program was launched by the US: it gives qualifying African countries zero tariff exports for the huge US market - and statistics show the sub-Saharan textile and clothing industry has benefited.

Since 2002, there's been a slow but steady increase of textile and clothing exports from AGOA countries to the US, from US$798mn in 2002 to US$914mn in 2009.

At Source Africa B2B, a three-day conference in Cape Town, South Africa, in April, textile and clothing merchants from around the globe gathered for a series of meetings that paired regional, European Union (EU) and US buyers and retailers with interested African sellers.

Now in its sixth year and sponsored by USAID, the conference has averaged US$10mn (EUR7.4mn) in business annually.

"People don't know what Africa has to offer," said Amanda Hilligas, former AGOA adviser who helped organize the event.

Hilligas said many buyers had never considered using the continent for their manufacturing and buying needs. AGOA has helped change that attitude.

"AGOA has had a massive impact," added Kevin Ashton, South African representative of global garment hanger manufacturer Braiform, who has seen the effects of AGOA, especially in Lesotho, where 60,000 of its 2million residents in the garment industry.

Lesotho is the largest sub-Saharan African exporter of garments to the US, with 80% of its textile and garment shipments going stateside.

South African retailers are the next biggest purchaser of Lesotho-made garments, followed by Canada and the EU. Smaller volumes also go to Dubai, Qatar, Chile, Japan and Taiwan.

Other conferences attendees stressed sub-Saharan Africa, with its poor infrastructure, logistical problems and poor capacity for large-volume orders, would not have been considered an attractive destination for inward investment by foreign textile and clothing companies were it not for AGOA.

AGOA's legislative authority is up for renewal in 2015, and African exporters are concerned their new American buyers will pull out if the program ends.

The problem is manufacturing in Africa still presents buyers and manufacturers with many challenges.

Limited capacity and logistical handicaps are rife. Under-developed, rural nations such as Mozambique and Swaziland suffer from erratic power supplies and unreliable communication networks. And while African workers are enthusiastic, the skill level is often rudimentary.

Many buyers at the conference also cited the difficulty in sourcing quality fabrics from the continent.

From oil to copper to diamonds, Africa is known for its poor oversight of precious commodities. The fabric industry is no exception. Fully 95% of cotton leaves Africa.

To counteract this, AGOA has what it calls a "special rule" in place for lesser developed sub-Saharan African countries (those with a per capita Gross National Product (GNP) under US$1,500 in 1998, which excludes South Africa).

This allows them duty- and quota-free access to fabric originating anywhere in the world, without risking their critical made-in-Africa status under AGOA.

China's one-size-fits-all economy and its cheap labor supply are also major hurdles, particularly for South Africa.
Still, Southern Africa as a whole has a lot to offer overseas and regional buyers.

AGOA benefits aside, the continent's closer proximity to the US and similar time zone to Europe means a rapid response to orders.

African manufacturers also need the work, said Tim Constantine, president of the US-based World Apparel and Design.

The enthusiasm for Africa was palpable at the conference. "There's so much potential in Africa," said Swaziland-based textile manufacturer Hou.