The European Union and Morocco have begun first round of negotiations for finalizing Deep and Comprehensive Free Trade Area (DCFTA) agreement between the two sides, said a press release issued by the European bloc on Monday.
The development comes after European Commission President Jose Manuel Barroso and Moroccan Prime Minister Abdelilah Benkirane officially launched the negotiations on March 1, 2013 in the Moroccan capital Rabat.
The negotiation is aimed at upgrading the existing association agreement between the two sides, which since 2000 has already guaranteed tariff-free trade for many products. The second round of negotiation is scheduled for June-end in Brussels.
The agreement that emerges from the negotiations is expected to deepen existing trade relations in a host of areas not yet covered, such as services and public procurement, as well as to bring better protection for investments and new commitments on competition and intellectual property rights.
“I hope the negotiations with Morocco will progress quickly and encourage other partners in the Southern Mediterranean region to start similar talks very soon. These negotiations show the EU’s strong commitment to further developing its trade and investment ties with Southern Mediterranean partners who are committed to political and economic reforms,” said EU Trade Commissioner Karel De Gucht.
The DCFTA will be an important step towards gradually integrating the Moroccan economy into the EU single market, removing obstacles to trade both at the border and behind the border.
The European Commission got permission to launch negotiations towards DCFTA with Egypt, Jordan, Morocco and Tunisia in December 2011, as part of the EU’s response to the important political changes across the Arab world. Morocco is the first of the four countries to come to the negotiating table, following preparatory discussions last year.
The EU is Morocco’s biggest trading partner, accounting for around 50 percent of the country’s total trade. EU-Morocco trade in goods has continued to grow in recent years, reaching more than EUR 26 billion in 2012. Trade in services are worth EUR 7 billion according to the latest available figures. The total bilateral direct investment stocks approach EUR 29 billion.
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