U.S.-Moroccan Ag Trade
|Primarily a bulk commodity market, U.S. agricultural exports (mostly wheat and corn) to Morocco reached $91 million in 2001.|
|Agriculture plays a major role in the Moroccan economy accounting for up to 18 percent of GDP and nearly 40 percent of employment.|
|Irrigated lands generate nearly 80 percent of Morocco’s agricultural exports.|
|Although relying heavily on imports for grain and feeds, Morocco is a net exporter of seafood, fruit (citrus) and vegetables (tomatoes and potatoes) largely to the European Union (EU).|
|On March 1, 2001, Morocco implemented a Free Trade Agreement with the EU that does present certain advantages to EU exporters in the Moroccan market.|
|Since its ratification of the WTO agreement in 1994, Morocco has taken several measures to comply with WTO requirements, starting with the elimination of import licensing and reference prices.|
|High tariffs for many
products remain a significant barrier to U.S. exports.
|Morocco and the United
States have a Trade and Investment Framework Agreement (TIFA).
Under this agreement, the U.S. government and Moroccan government
officials meet regularly to discuss trade issues.
A free trade relationship with Morocco could precipitate larger trade
flows as result of tariff reductions and offers opportunities for new
products as well as increased U.S. market share for existing exports.