Madagascar intends to take advantage of the latest developments surrounding the African Growth and Opportunity Act (AGOA) to seek a much longer extension of the U.S. trade preference program. Following the U.S. House of Representatives’ approval of legislation providing for the continuation of AGOA until December 31, 2028, the Malagasy government now wants to step up its efforts to secure a ten-year extension.
For Madagascar, the issue goes far beyond simply renewing a preferential trade arrangement. AGOA is an important instrument for Malagasy exporters, providing eligible products with preferential access to the U.S. market. A ten-year extension would give businesses greater visibility, particularly in export-oriented sectors, allowing them to plan investments, production capacity and commercial strategies over a much more stable period.
The Ministry of Trade and Consumer Affairs considers that such long-term visibility could also help strengthen investor confidence. Stable access to the U.S. market is particularly important for companies that must make substantial investments several years before they can fully assess their profitability. A ten-year perspective could therefore encourage new investors to establish operations in Madagascar while prompting existing companies to expand their production capacity.
The initiative comes as Madagascar has been working to defend its economic interests with U.S. authorities. The country had already undertaken advocacy efforts to preserve preferential access for its products to the American market after AGOA expired in September 2025. A temporary extension subsequently helped maintain the arrangement, before the U.S. Congress moved toward extending the program through 2028.
The new 2028 deadline therefore represents both relief and an additional opportunity for Madagascar. The Malagasy government intends to use this period to continue discussions with U.S. officials and put forward its case for a longer-term commitment. The objective is to demonstrate that greater stability in the trade framework could benefit both sides by strengthening commercial exchanges and deepening economic relations between Madagascar and the United States.
For Malagasy companies, the issue is also closely linked to international competitiveness. Preferential access to the U.S. market can be a decisive factor for international buyers when deciding whether to maintain or increase orders from Madagascar. Continued uncertainty over the future of AGOA, by contrast, can make it more difficult to secure long-term contracts and may encourage some investors and buyers to consider alternative sourcing destinations.
The extension through 2028 must still complete the necessary U.S. legislative process before it becomes fully effective. The Malagasy authorities are nevertheless viewing the congressional move as a positive signal that could reassure investors and economic operators.
Madagascar does not intend to wait until the next deadline to begin preparing for the future. The country wants to start advocating for a ten-year extension now, with the aim of transforming AGOA into a sufficiently predictable framework to support exports, encourage investment and strengthen the presence of Malagasy products in the U.S. market.
This strategy represents a significant economic priority for Madagascar, as expanding export opportunities and diversifying international markets remain essential to strengthening private-sector growth, supporting employment and attracting greater levels of foreign investment.