The recent deal struck with the US, which ensures South Africa's continued participation in the African Growth and Opportunity Act (Agoa), will protect jobs in South Africa. The renewed Agoa agreement, as passed by the US Senate, will continue to provide a zero import-tariff rate on thousands of items, which represents billions of dollars in South African exports yearly and employment for hundreds of thousands of South Africans.The US can bestow no greater trade benefit than a zero-tariff rate. And that is what South Africa has enjoyed since 2 000 for all of its exports to the US, with $8.5-billion (about R103-billion) worth of exports entering the US duty-free last year.story_article_left1The greatest benefit of Agoa is that it has spurred South Africa to develop export sectors. The auto industry has been transformed from a sector in decline into an international exporter. Last year's $1.3-billion in car exports to the US kept South African factories competitive, with a host of countries vying to fill that space.South Africa's agricultural and wine sector has expanded, and the citrus export industry has been rescued, by making South African growers competitive with other suppliers, many of which have trade agreements with the US.Agoa is a great deal for South Africa as all these exports translate directly to increased revenue for companies and support jobs. An estimated 30 000 jobs in the auto industry have been created as a result of Agoa, and an additional 85000 jobs in the citrus industry - all linked to the export benefits.The value of access to the US market is not static. The market has grown considerably and continues to expand. Since Agoa was passed in 2 000, the US economy has increased from $11-trillion to $17-trillion, making it the largest single market in the world and the biggest importer of many products, including those from agriculture. The benefits of Agoa for South African exporters only increases as the US market expands.Agoa isn't a reciprocal trade agreement negotiated between the two countries. It is a unilateral trade concession. In return, the US only asks that its imports be treated fairly.In South Africa, the full benefits of the renewed Agoa are limited under "strict terms" over the next 10 years. The stricter terms in part centre on the highly publicised poultry import and export debate.US legislators drafting the Agoa renewal law objected that during the time South Africa enjoyed Agoa's tariff-free benefits, US chicken exports faced an anti-dumping duty, doubling their costs. South Africa has also barred US beef for 11 years and pork for three years, citing concerns over diseases that have not occurred in the US in more than a decade.story_article_right2Presumably, when commentators speak about the costs of Agoa, they might be referring to the demand by US legislators that - for South Africa to remain eligible for Agoa - it must let US companies compete with the myriad other countries already exporting chicken into South Africa. Last year, South Africa imported $300-million worth of chicken.Fortunately, a way forward has been found. An agreement signed between South African and US authorities will allow for 65 000 tons of bone-in chicken to be imported from the US.Losing Agoa would have had devastating costs for South Africa. Just as Agoa helped South Africa develop the vehicle industry, expanding trade and investment in all sectors will grow the economy. South Africa needs to secure its place in the future global economy to counter the increasing number of regional trade blocks including Europe, Asia and the Americas.This is perhaps the most important point. Experience around the world shows reducing trade and investment barriers is by far the best way to generate economic growth and create jobs.If South Africa wants to grow the economy and create jobs, it should develop a broader and stronger economic partnership with the US.The renewal of Agoa is only the first step. The next should be pursuing a free-trade agreement with the US to secure a long-term trade and investment relationship. Far from diminishing advantages, Agoa can lead the US and South Africa to a much stronger and beneficial relationship for both countries.O'Brien is the executive director of the American Chamber of Commerce..