[Congressional Record (Bound Edition), Volume 158 (2012), Part 12]
[Senate]
[Pages 16646-16647]
[From the U.S. Government Publishing Office, www.gpo.gov]




                       GREATER EXPORTS TO AFRICA

  Mr. DURBIN. Mr. President, I have visited Africa many times. When I 
have, I have left with an amazing impression of this great continent 
and all that it contains. It really does lure one and draw you back to 
the different places in Africa that offer such a rich history but also 
offer great opportunity.
  What I find in Africa today is that China has an increasing presence 
on that continent. China has a plan when it comes to the future of 
Africa. America does not. That is why I am going to offer as an 
amendment to the TAG bill which is currently pending before the Senate 
the American Jobs Through Greater Exports to Africa Act. My partners on 
the bill are Senators Chris Coons, Ben Cardin, John Boozman, and Mary 
Landrieu, as well as support in the House from Representative Chris 
Smith.
  At the heart of this bill is the creation of jobs in America. 
Exporting more goods to Africa will help create jobs here. Every $1 
billion in exports supports over 5,000 jobs. I believe we can increase 
exports from the United States to Africa by 200 percent in real dollars 
over the next 10 years, and we cannot wait any longer.
  If there are some who say that Africa is so backward and so far 
behind, what is it in the United States they can afford to buy if they 
even wanted to, that is old thinking. Let me give you some new reality. 
In the past 10 years, 6 of the world's fastest growing economies are in 
Sub-Saharan Africa, and in the next 5 years Sub-Saharan Africa will 
boast seven of the top fastest growing economies in the world. The 
number of Africans with access to the Internet has increased over the 
last 10 years fourfold to 27 percent. From 1998 to today, the number of 
mobile phones on the continent have grown from 4 million to 500 
million, and 78 percent of Africa's rural population has access to 
clean water. These are signs of a growing middle class.
  China sees it. We have to see it. China is insinuating itself into 
the economy of major Africa nations. They are offering concessional 
loans, and they are offering their contractors, their engineers, and 
their investment in Africa. We are not. We are going to rue the day. 
Africa is a great opportunity for us, and this bill addresses it.
  I sincerely hope my colleagues in the Senate will consider supporting 
this greater exports to Africa trade bill. This is something we can do 
to increase jobs in America, increase trade with Africa, and really 
build those countries that share our values. The difference between the 
United States, China, and other countries? We come to the marketplace 
with values, and we have to make certain those values are protected and 
encouraged. We can only do that if we are honest traders and we are 
actively engaged in expanding the markets for our goods and services.
  Over the years and during my travels, I have heard from African 
leaders and American businesses the same story--the U.S. has fallen 
woefully behind other countries in its commercial engagement with 
Africa. And our government does not have a coordinated strategy to help 
match the aggressive efforts of other nations trying to invest in 
Africa. In endorsing this bill, the U.S. Chamber of Commerce has 
written that, ``Congress has an opportunity to reverse this decline.''
  But why would U.S. businesses and groups representing them, groups 
like the U.S. Chamber of Commerce and the Corporate Council on Africa, 
think this effort is so important? As I have said, in the past 10 
years, 6 of the world's fastest growing economies are in Sub-Saharan 
Africa, and in the next 5 years Sub-Saharan Africa will boast 7 of the 
top 10 fastest economies.
  From 2000 to 2009, the number of Africans with access to the internet 
has increased four-fold to 27 percent.
  From 1998 to today, the number of mobile phones on the continent has 
grown from 4 million to more than 500 million, and 78 percent of 
Africa's rural population has access to clean water.
  These are signs of a growing middle class and what the World Bank has 
called ``the brink of an economic take-off'' for Africa. U.S. 
businesses must be a part of that take-off, and our government must 
provide a cohesive system of support and a coherent national strategy 
to enable it. That is what this bill does, and it does so at almost no 
cost. It would develop a comprehensive strategy to coordinate the work 
of several U.S. government agencies that help U.S. businesses export 
American products and services to Africa.
  The bill creates a Special Africa Export Strategy Coordinator to 
ensure that these government agencies are working together efficiently, 
and in a way that businesses of all sizes can navigate easily. It is 
smart, low cost, and it creates enormous returns on investment in jobs, 
diplomatic influence, and engagement.
  Meanwhile, other countries are positioning themselves to be there for 
the coming African economic boom--countries like Brazil, India, and you 
guessed

[[Page 16647]]

it, China. China has aggressively moved in. In fact, today, China is 
Africa's largest trading partner. China has pumped billions of dollars 
into Africa, often in the form of concessional loans--loans below 
market rates that have favorable payback options. These loans are hard 
to resist for developing countries, and they're hard for American 
companies to compete with.
  Between 2008 and 2010, China provided more financing to the 
developing world than the World Bank--loans totaling more than $110 
billion. This money buys China access to markets, natural resources, 
consumers, and political influence. A recent story on CNN.com, entitled 
``Chinese Media Make Inroads into Africa,'' shows the kind of 
aggressive engagement we are up against.
  This past January, state-owned Chinese Central Television opened its 
first broadcast hub outside of Beijing. Where did they put it? Mumbai? 
London? Rio? Try Nairobi. Another Chinese state-run news organization 
has more than 20 bureaus on the African continent, part of what is 
called the China Africa News Service. According to the article, it's 
all part of an effort ``to win the hearts and minds of people in the 
continent and create a more fertile business environment.'' And it's at 
our expense. It should make us take a hard look at what the U.S. 
Government is doing to promote and support our own businesses. And that 
is what this bill does.
  But this bill is not just good for American interests, it is also 
good for Africa--something our competitors are not always concerned 
with. While the Chinese may offer sweetheart deals that buyers can't 
resist, the price of doing business with China is much higher than just 
the cost of repaying loans.
  To calculate the real price you have to add to the sum the precious 
natural resources that China gobbles up for its growing economy back 
home and the environmental devastation that comes from its general lack 
of concern for environmental standards. You have to add the cost of 
Africans losing out on work when the Chinese ship in their own labor to 
build the projects they are bankrolling. And when Africans do get the 
jobs you have to consider the cost of the poor labor standards and 
working conditions they have to endure. And lastly you have to consider 
China's indifference to democracy, corruption, and human rights 
standards.
  A recent New York Times article illustrated an even greater cost--a 
far more deadly side of Chinese involvement in Africa. It dealt with 
the resurgence of ivory poaching in Uganda and Kenya and the DRC. It is 
a resurgence that has resulted in tens of thousands of elephants being 
slaughtered over the past several years and, get this, it is a 
resurgence fueled by Chinese demand--as much as 70 percent of the ivory 
is smuggled to China. In fact, the article goes on to say that there is 
growing evidence that ivory poaching actually increases in elephant-
rich areas where Chinese construction workers are building roads.
  Now, I said this was a deadly consequence of Chinese involvement in 
Africa, but I didn't mean just for elephants. Much of the money from 
this Chinese-fueled increase in the ivory trade ends up in the hands of 
international fugitive Joseph Kony and his band of murdering thugs. It 
is widely believed that Kony's Lord's Resistance Army has embraced 
ivory poaching to fund its reign of terror.
  The U.S. Government should seek a level of engagement with our 
African partners that makes American companies and American products 
competitive alternatives to what China has to offer. That's what this 
bill does. It would establish a minimum number of commercial Foreign 
Service officers to be stationed at U.S. embassies in Africa and the 
multi-lateral investment banks. It would increase the Export Import 
Bank staff presence on the ground in Africa. That means better support 
for U.S. businesses on the continent and better interface with African 
governments. The bill would also formalize the training economic and 
commercial officers receive, so they are fully aware of all the tools 
available for export promotion and financing--a benefit to businesses 
who want to do business in Africa, or anywhere in the world. And 
finally, it would equip the U.S. government to counter the aggressive 
concessional--or below market--loans that many African nations cannot 
resist.
  The Increasing American Jobs through Greater Exports to Africa Act 
has something for everyone to support. It is good for the American 
economy. It helps U.S. businesses create jobs here at home by tapping 
into a burgeoning overseas market hungry for our products. It is good 
U.S. foreign policy. It positions America to maintain our global 
leadership in a shifting geopolitical landscape. And it is good for the 
people of the African continent. Superior American products and 
business practices would become more competitive and financially 
accessible to them.
  That is why the Senate Foreign Relations Committee unanimously 
approved this common sense bill. Now the full Senate has a chance to do 
the same. I urge all of my colleagues to support this critical effort. 
We must commit today that the United States will not be left behind in 
Africa. Every day we wait, countries such as China expand their 
economic, political, and diplomatic footprint on the continent.
  The ACTING PRESIDENT pro tempore. The Senator from Colorado is 
recognized.

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