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Morocco's Customs Revenue Experiences Modest Growth in Early 2025

Morocco's Customs Revenue Experiences Modest Growth in Early 2025
Thursday 13 - 11:20 By: Dakir Madiha
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Morocco’s treasury reports that customs revenues have demonstrated resilience in the early months of 2025, with net receipts reaching MAD 14.735 billion ($1.47 billion) by the end of February. This figure marks a 1.3% increase compared to the same period last year, showcasing the stability of Morocco’s economic landscape amid global uncertainties.

According to the Kingdom’s General Treasury (TGR), customs revenue is primarily derived from three key sources: customs duties, Value Added Tax (VAT) on imports, and the Domestic Consumption Tax (TIC) on energy products. Adjustments for tax refunds, relief, and restitutions amounted to MAD 8 million ($0.8 billion) during this period, highlighting the impacts of fiscal policies on revenue collection.

Gross customs revenues reflected a similarly positive trend, reaching MAD 14.742 billion ($1.47 billion) by February’s end, up 1.2% from the previous year. Such figures indicate a promising trajectory for Morocco's fiscal health as it navigates ongoing economic challenges.

Despite the overall increase, the performance of various revenue streams varied considerably. Notably, net customs duties witnessed a decline of 5.9%, totaling MAD 2.632 billion ($0.26 billion) compared to MAD 2.797 billion ($0.27 billion) collected last year. This decline underscores the need for targeted reforms in customs duty collection mechanisms.

In contrast, VAT on imports emerged as the strongest performer, with net receipts reaching MAD 9.243 billion ($0.92 billion). This represents a 4.8% rise from MAD 8.822 billion ($0.88 billion) garnered by February 2024. However, performance within this category was mixed, as VAT on energy products experienced an 11.4% decrease, while VAT on other imported goods rose by 8.5%, reflecting market adaptations to changing consumption patterns.

The Domestic Consumption Tax on energy products also saw a slight downturn, with net revenues declining by 2.4% to MAD 2.86 billion ($0.28 billion) from MAD 2.929 billion ($0.29 billion) in the previous year. This calculation includes tax refunds and relief of MAD 4 million ($0.4 million), reduced from MAD 15 million ($1.5 million) a year prior. Gross TIC receipts for energy products similarly decreased by 2.7%, totaling MAD 2.864 billion ($0.28 billion).

These figures suggest that Morocco's customs system continues to generate steady revenue despite fluctuations in individual tax categories. The rise in import VAT has effectively compensated for declines observed in other areas, reflecting a robust adaptation of the country's fiscal strategies in a dynamic global environment.

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