Throughout 2023, AEM has been engaging global stakeholders on the economic and environmental benefits of the MAC Protocol, an international commercial treaty that, if successfully adopted and ratified, will make it easier and less expensive for farmers and workers in many markets across the globe to acquire more efficient, sustainable, and modern mining, agriculture and construction equipment.
Covering over $100 billion a year in global trade of mining, agriculture and construction equipment, the successful adoption and ratification of the MAC Protocol is a top policy priority for the global equipment manufacturing industry. Governments, manufacturing companies, leasing and financing institutions, as well as multilateral development organizations all have a vital role to play in making the MAC Protocol an economic and environmental reality. Turning stakeholders into advocates has been a central theme in AEM’s efforts to build global support for the MAC Protocol.
AEM has engaged multilateral institutions, especially those organizations focused on promoting sustainable economic growth and reducing poverty. The Annual Meetings of the Africa Development Bank Group (AfDB), which were held in Egypt, provided an excellent opportunity to discuss the MAC Protocol with executive-level decision-makers and stakeholders from across 54 African countries as well as leading financial institutions, NGOs, civil society, and the private sector. AfDB’s focus on sustainability, improving agricultural products, and electrification across the continent ties in with the MAC Protocol’s ability to help lower the cost of these types of projects. AEM also participated in the Annual Meetings of the World Bank and IMF in Morocco to further connect our industry with senior decision makers at leading development organizations working in markets across the globe.
This year, the United States hosted the Asia- Pacific Economic Cooperation (APEC) meetings and AEM, in partnership with the U.S. State Department, U.S. Department of Commerce, international legal experts, industry representatives, and academics, organized a 90-minute policy dialogue entitled Improving Access to Credit in the Asia Pacific through asset-based-finance- the Cape Town Convention and its Mining, Agricultural, Construction (MAC) Protocol. The 90-minute presentation provided senior government officials from twenty-one economies across the Asia-pacific region an extensive and in-depth overview of the MAC Protocol and its positive economic benefits to these economies.
Advocating for the successful adoption and ratification of an international commercial treaty requires help from industry partners across the globe. The Committee for European Construction Equipment (CECE), Argentine Chamber of Agriculture Machinery Manufacturers (CAFMA), Equipment Leasing and Finance Association (ELFA), and Indian Construction Equipment Manufacturers Association (ICEMA) are working to educate government stakeholders and collaborating on future industry engagement to highlight the economic benefits of the MAC Protocol. AEM is encouraging additional industry trade associations to join the global effort, as well as member company representatives with a background in finance, legal and international sales.
AEM is grateful to the U.S. State Department, U.S. Department of Commerce, the U.S. Export- Import Bank, the U.S. Treasury Department, the Office of Management and Budget, the U.S. Agency for International Development, and Power Africa for the close partnership in promoting the MAC Protocol and our global efforts on development and sustainability. Equipment manufacturers will continue to develop technologies that transform the lives of billions of people across the globe. Governments have a role to help facilitate greater access to these innovative technologies and removing unnecessary obstacles to adoption. In the years ahead, we hope other governments and institutions join our efforts in ratifying the MAC Protocol, helping us achieve a more prosperous and sustainable world.
To learn more about the MAC Protocol, please contact AEM’s Senior Advisor, Global Public Policy, Alex Russ at aruss@aem.org or (202) 898 9006.
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