Ministry Of Commerce: Morocco'S Textile Industry Is Impacted By Egyptian And Turkish Products

The Moroccan Hespress information network reported on February 26 that Moroccan textile industry practitioners were dissatisfied with the current market situation, and appealed on the eve of Egypt's high-level delegation's visit to Morocco to reassess the free trade agreements with Egypt and Turkey, and implement non-tariff measures to deal with unfair competition.

Data shows that Morocco's textile imports from Egypt will be worth US $47.5 million in 2023 and will increase to US $80.4 million in 2024, while its exports to Egypt will decrease from US $1.7 million to US $1.1 million. Anass El Ansari, chairman of the Moroccan Textile and Clothing Industry Association (AMITH), said that the trade deficit between Morocco and Egypt had reached 98%, posing a serious threat to the local textile industry.

Turkish and Egyptian exporters are increasingly controlling the Moroccan market, even holding Turkish textile exhibitions in Casablanca, further squeezing the survival space of local enterprises. Moroccan practitioners called for restrictions on raw materials, certificates of origin and import quantities, and warned that a large number of imported textiles threatened thousands of jobs. The textile industry accounts for 24% of Morocco's industrial labor force, with 238000 officially registered employees. With the unemployment rate as high as 13.6%, this situation may lead to large-scale layoffs.

Moulay Hafid Elalamy, former Minister of Industry and Trade of Morocco, once accused Egypt of restricting the export of Moroccan products through non-tariff measures, while Morocco did not impose similar restrictions on Egyptian products, which aggravated the trade imbalance. Although free trade agreements have lowered prices, Wadie Madih, chairman of the Moroccan Federation of Consumer Associations (FNAC), pointed out that competitiveness should benefit producers and consumers. He called on local enterprises to improve their competitiveness, strengthen import supervision, and protect consumers and local industries.

The sharp increase of textile imports from Egypt and Turkey exposed the defects of the free trade agreement. Moroccan local industries are facing great pressure, and the label "Made in Morocco" is facing severe challenges.