Morocco Imposes Customs Duties on Turkish Ovens

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Morocco has decided to impose customs duties on electric ovens imported from Turkey, following the flooding of the local market and the losses suffered by local producers.

The Ministry of Industry and Commerce made this decision, published before Wednesday, May 15, 2024, on its website. Temporary anti-dumping customs duties of 34% were therefore imposed on the Turkish product “Itmat” and 62% on other Turkish imports into Morocco.

This measure follows a complaint filed by a Moroccan company representing 100% of local production. Which denounced the massive importation of electric ovens after the activation of the free trade agreement between Morocco and Turkey. The complaint indicates that the prices of Turkish electric ovens on the Moroccan market are lower than those in Turkey, causing harm to local production.

The high manufacturing costs of Moroccan products, due to customs duties on imported components, have led the Moroccan company to reduce its working days to three per week and reduce its staff. A ministry investigation confirmed an increase in Turkish exports of electric ovens, negatively influencing the prices of local products and deteriorating the economic and financial indicators of Moroccan production.

Before the free trade agreement, tariffs of up to 82.5% were imposed. Their removal led to an increase in imports from $500,000 to $12 million last year. The Moroccan company, which also exports to European countries despite strict standards, found that dumping margins reach 34.05% for the “Itmat” company and 71.43% for other Turkish producers and exporters. The customs duties of 62.07% aim to limit the impact on consumers.

Bouazza El Kharati, president of the Moroccan Consumer Rights League, confirmed that this decision complies with the rules of the World Trade Organization (WTO). These allow countries to protect their local market against dumping. It highlights the need to develop local industries to meet domestic demand at competitive prices. This is particularly important in the event of a disruption in imports, as observed during the health crisis.

Trade relations between Morocco and Turkey, governed by a free trade agreement, have been unbalanced according to local producers, particularly in the textile sector, who have been calling for the implementation of preventive measures since 2018. Thus, five years ago, Morocco and Turkey agreed to reconsider this agreement to resolve the controversial points. The former Minister of Industry and Trade, Hafid Elalamy, confirmed that trade losses with Turkey reached two billion dollars per year.