- Nearly half of the world’s population still lives on less than $2 a day.
- The 50 Least Developed Countries account for a mere 0.5 percent of U.S. non-oil imports and 0.8 percent of world trade.
- In China, international trade has been a major force in lifting 400 million people out of poverty in the last 20 years by creating jobs and investment.
- U.S. policies discriminate against many of the products that poor countries produce competitively, such as textiles, apparel and agricultural products.
- Poor countries face high barriers to accessing markets, such as a lack of transportation and communication infrastructure, ability to meet product standards, skills, finance, technology, etc.
Poor Countries Face Higher U.S. Tariffs Than Rich Countries
|Country||Tariffs Paid ($)||Imports ($)||Per Capita Income ($)|
|Bangladesh||496 million||3.3 billion||440|
|United Kingdom||430 million||53.5 billion||37,600|
|Cambodia||367 million||2.2 billion||380|
|France||367 million||36.8 billion||34,810|
2006 figures (Source: Progressive Policy Institute; calculated from Dataweb ITC)
The Poorest Countries Are Still Subject to U.S. Trading Quotas (E.g.: Sugar)
|U.S. Sugar Quota||Per Capita Income|
|Malawi||150,003 mt||12,817 mt||160|
|Ethiopia||79,446 mt||No Quota||160|
Source: Trade Moves, LLC; U.S. Harmonized Tariff Schedule, World Bank
Poor Countries Are Benefiting Little from U.S. Preferences
|Utilization of GSP Preferences by Bangladesh||2 percent|
|Utilization of GSP Preferences by Nepal||5 percent|
Source: World Bank
U.S. Subsidies are a Big Blow to Farmers in Poor Countries
|Agricultural Subsidies to U.S. Farmers||More than $20 billion a year|
|Agricultural Labor Force in the U.S.||4% of total|
|Agricultural Labor Force in Africa||Average 60-70% of total|
|Loss to West Africa from U.S. Subsidies||$250 million/yr|
Sources: Environmental Working Group, World Bank
Africa Faces High Barriers to Trade
|Cost of shipping a car from Japan to Cote d’Ivoire||$1,500|
|Cost of shipping a car from Cote d’Ivoire to Ethiopia||$5,000|
|Average number of days needed for customs clearance in Estonia||1 day|
|Average number of days needed for customs clearance in Ethiopia||30 days|
Source: Commission for Africa