Born2Invest By Jeremy Whannell
Trade between Morocco and the rest of Africa grew at an average annual rate of 6.1 percent between 2009 and 2019. Export growth was higher than import growth. In detail, Morocco’s exports to Africa, by sector, are not limited to food products, says the review, which notes that other products constitute the national export offer, including sales of products of the chemical industry.
Trade between Morocco and the rest of the African continent is doing well. That is confirmed by the 66th issue of Al Maliya magazine, published every four months by the Ministry of Economy, Finance, and Administrative Reform. Trade transactions between Morocco and the rest of Africa increased by 6.1 percent for the 2009-2019 period. Based on data from the Exchange Office, the document highlights that the share of this trade in Morocco’s overall trade volume is 5.1 percent in 2019.
According to the same source, during this period, trade was marked by a structural change as of 2015, the year from which Morocco’s trade balance became in surplus.
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This result is due to a higher increase in exports than in imports
Thus, sales of goods to Africa have almost tripled over the last ten years to reach $2.43 million (21.6 MMDH) in 2019, while imports amounted to $2 million (17.9 MMDH) compared to $1.54 million (13.7 MMDH) in 2009. As for the trade balance of this trade, it recorded a surplus in favor of Morocco, standing at $410,000 (3.7 MMDH) in 2019 against a deficit of $610,000 (5.5 MMDH) recorded in 2009, the document notes. The coverage rate also improved by 60.6 points to 120.8% in 2019, reaching its highest level in 2017 with 145.6%.
The review also indicates that Moroccan exports to Africa have recorded an average annual growth rate of 10% over the last decade. These sales are characterized by a diversification of destination markets and exported products. In addition, analysis of Morocco’s main customers on the African continent shows a diversification of destination markets for Moroccan exports. SEE ALSO US local governments upgrade public transportation
“In 2019, Djibouti and Senegal are the first customers of the kingdom in the African continent with a value of $230,000 (2.1 MMDH) each followed by Mauritania $210,000 (1.9 MMDH), Côte d’Ivoire $202,000 (1.8 MMDH) and Algeria $168,000 (1.5 MMDH),” according to data from Al Maliya. In 2019, Moroccan exports to these countries accounted for 43.5% of Morocco’s overall export volume to Africa.
In detail, Morocco’s exports to Africa, by sector, are not limited to food products, says the review, which notes that other products constitute the national export offer, including sales of products of the chemical industry (up to 30, 1% of total exports in 2019) and those of agriculture, forestry, hunting (up to 3.2%), to the detriment of exports of food industry products (down to 25.1%), automotive industry (down to 4.1%) and metallurgy (down to 2.1%). Concerning imports, these have recorded an average annual growth rate of 2.7% between 2009 and 2019. Thus, Egypt is Morocco’s leading supplier at the continental level with 36.2% of total imports from Africa, followed by Algeria with 27.6% and Tunisia with 13.2%. These three countries alone account for 77% of the total.
By sector, the structure of imports from Africa in 2019 is increasingly diversified. “Several sectors have begun to gain weight such as the manufacture of other non-metallic mineral products (4.5% in 2019 against only 2% in 2009). Imports of coal mining, lignite, peat declined to 16.2% in 2019 and the refining of oil and other energy products to 22.4%,” notes the magazine. In addition, it should be recalled that trade between Morocco and the rest of Africa has experienced remarkable growth in recent years. They recorded an average increase of 5% between 2007 and 2017. They reached $1.3 million (11.7 MMDH) in 2010 against $404,000 (3.6 MMDH) in 2000, three times more in a decade.SEE ALSO 7 traits every successful real estate agent owns
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First published in LesEco.ma, a third-party contributor translated and adapted the article from the original. In case of discrepancy, the original will prevail.
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Jeremy Whannell loves writing about the great outdoors, business ventures and tech giants, cryptocurrencies, marijuana stocks, and other investment topics. His proficiency in internet culture rivals his obsession with artificial intelligence and gaming developments. A biker and nature enthusiast, he prefers working and writing out in the wild over an afternoon in a coffee shop.
