Two years after a diplomatic crisis between Algeria and Spain related to the issue of Western Sahara, a delegation from the Port of Castellón traveled to Algeria to attempt to relaunch commercial exchanges. This mission, organized by the Port Authority of Castellón, concluded on December 18th. This is the first initiative of its kind since the lifting in November of last year of the commercial blockade imposed by Algeria since June 2022, according to Spanish media.
Before the blockade, Algeria was a key partner for the Port of Castellón, especially for ceramic product exports. In 2022, these exports were worth over 300 million euros. In 2018, the port recorded an annual volume of one million tonnes of goods exchanged with Algeria, mainly enamels and ceramic-related equipment.
It’s worth noting that in January 2024, the Algerian government decided to ban the import of finished ceramic and marble products. This decision was made to develop its national production and reduce the country’s import bill.
With the resumption of commercial relations, Spanish operators hope to reconnect with the pre-crisis dynamic. The president of the Port Authority, Rubén Ibáñez, emphasizes that “the objective is to restore” relations with Algerian companies and identify new opportunities. According to him, Algeria “represented one of the most important markets for the Port of Castellón.”
Ibáñez also explains that “the main objective is to act as a bridge between the representatives of the port community accompanying us and the main actors of the Algerian business fabric who have interests in our hinterland after more than two years of blockade.”
The Spanish delegation met with economic and institutional representatives in Algeria as well as local businesses. These exchanges aim to persuade Algerian partners to resume their orders from Spanish shipping companies.
Fernando Fabra, president of Esmaltes, expressed optimism about obtaining import permits for Spanish products. Meanwhile, the Spanish embassy in Algeria played a crucial role in organizing discussions, facilitating cooperation between economic actors of both countries.
In addition to ceramics, agriculture was also a central topic of this mission. The growing needs for modernization in Algeria’s agricultural sector offer opportunities for Castellón companies specializing in agricultural technologies and innovative materials.
Rubén Ibáñez highlights the strengths of the Port of Castellón, such as its ability to handle various types of goods and its strategic positioning in the Mediterranean. Port actors believe that 2025 will be crucial for sustainably relaunching trade. Shipping companies plan to assess the market and plan new routes to Algerian ports.
In 2019, Spain exported goods to Algeria worth 3 billion euros. This figure decreased to 1.88 billion euros in 2021 due to COVID-19 restrictions. The decline linked to the political crisis began in the summer of 2022 after Algeria suspended the Treaty of Friendship, Cooperation, and Good Neighborliness, which had tied it to Spain since 2002, followed immediately by a freeze on trade, except for hydrocarbons.
In 2022, Spanish exports to Algeria amounted to 1.02 billion euros, a 45.9% decrease from 2021. In 2023, they dropped sharply to 331.8 million euros, a 67.5% decrease from the previous year, according to figures from the Spanish Ministry of Commerce cited by Spanish media. Signs of the crisis ending began to appear in November 2023 with Algeria’s decision to appoint a new ambassador to Madrid after a year and a half vacancy.
The first lifting of restrictions occurred two months later, in January 2024, initially concerning chicken and meat imports from Spain. Since then, the recovery has been gradual. By May, there was already a partial restart of Spanish exports to Algeria, according to the Spanish Ministry of Commerce.
Figures show that trade between the two countries truly restarted at the beginning of 2024. During the first two months of the year, Spanish exports to Algeria reached 163 million euros, including 133 million in equipment goods, a significant increase from the meager 17 million euros in January and February 2023. However, trade remains well below pre-crisis levels. In January and February 2022, Spain exported goods worth 334 million euros to Algeria.
Throughout 2024, the recovery of exchanges has not been uniform but has progressively included certain products like commercial vehicles, automotive components, and beef. Later, the recovery expanded to include clothing and cosmetics.
According to the Spanish Ministry of Commerce, transport equipment exports have already reached 126 million euros this year, compared to zero in 2023 and 4 million in 2022. Automotive sector exports have even surpassed pre-crisis levels, reaching 11 million euros in 2024, compared to 2 million in 2023 and 5 million in 2022.
