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Morocco to renegotiate free trade pact with Turkiye amid trade deficit concerns

Friday 20 June 2025 - 18:20
Morocco to renegotiate free trade pact with Turkiye amid trade deficit concerns
By: Dakir Madiha
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Morocco is preparing to reassess its free trade agreement (FTA) with Turkiye as it seeks to address a growing trade deficit, which has reached alarming levels due to significant imports of Turkish textiles and fabrics. According to sources close to the matter, Moroccan officials aim to push for increased Turkish investment and fairer trade conditions to mitigate the imbalance.

The FTA, originally signed in 2004 and implemented in 2006, was revised in 2020 to introduce a 90% tariff on Turkish textile and clothing imports. This measure was intended to protect Morocco’s domestic industries and safeguard jobs. However, despite these efforts, Moroccan companies continue to rely heavily on Turkish fabrics to meet the demands of the local and export-oriented apparel sector.

Trade deficit prompts action

Morocco’s trade deficit with Turkiye has ballooned to MAD 30 billion ($3 billion), making Turkiye the country’s sixth-largest trading partner. Overall, Morocco’s trade deficit widened by 22.8% in the first four months of 2025, reaching MAD 109 billion ($10.9 billion). In 2024, the deficit stood at MAD 306 billion ($30.6 billion), with Turkiye ranking as Morocco’s third-largest trade deficit contributor after the United States and China.

Moroccan Minister Delegate for Trade Omar Hjira is expected to visit Turkiye soon to discuss measures aimed at addressing this imbalance. According to reports, the discussions will focus on three key objectives:

1- Expanding Moroccan export access: Rabat is seeking better access for Moroccan goods, particularly in the fishing and agro-industrial sectors, to the Turkish market.

2- Encouraging local sourcing: Morocco will urge Turkish companies operating domestically to increase their procurement of Moroccan-made products. A notable precedent is the 2022 partnership with BIM Maroc, a Turkish retail chain, which committed to sourcing 80% of its agri-food products locally by 2025.

3- Adjusting the FTA product list: Officials will explore revisions to the list of goods excluded from the FTA, including products already subject to trade defense measures, such as Turkish electric ovens, which currently face anti-dumping duties.

Broader trade strategy

The review of the Morocco-Turkiye FTA is part of Rabat’s broader approach to recalibrate its trade agreements. In recent months, Morocco has also focused on renegotiating terms with Egypt, introducing a “Fast Track” mechanism designed to facilitate Moroccan exports, particularly in the automotive sector.

This strategy reflects Morocco’s efforts to strike a balance between fostering market openness and protecting its industrial sectors from unfair competition. Analysts note that poorly balanced trade agreements can disproportionately harm local industries, underscoring the importance of revising terms to ensure mutual benefits.

As Morocco navigates these complex negotiations, the government remains committed to reducing its trade deficit while strengthening its economic partnerships and promoting local industries.


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