Brussels denounces Algerian “obstacles” to investment and importing goods from the EU.
Brussels wanted a response from Algiers by June 24 at the latest, and the Algerian response came at the end of this deadline, announcing a hardening of the standoff between Algeria and the European Union. On June 14, the Trade Directorate of the European Commission referred, using a verbal note that Le Point Afrique could consult, the Association Council concerning “a dispute” between Algiers and Brussels.
The dispute, in this case, arose in 2021 when Algeria began to introduce a series of measures by which the Algerian authorities imposed certain obstacles to exports and investments from the European Union in Algeria,” begins this diplomatic document. Brussels has since sent several missives to the Algerian Ministry of Commerce. In vain. The dispute, in this case, arose in 2021, when Algeria began to introduce a series of measures by which the Algerian authorities imposed certain obstacles to exports and investments from the European Union in Algeria,” begins this diplomatic document. Brussels has since sent several missives to the Algerian Ministry of Commerce. In vain.
The last note verbale lists a series of measures taken by Algeria in its import and foreign investment policy. For example, requiring importing companies to have a certificate obtained from the National Agency for the Promotion of Foreign Trade (Algex certificate), “issued after a non-transparent procedure”, for each bank domiciliation operation; the ban on the importation of marble and ceramic products; integration rates that are a handicap for imports; restrictions on shareholding for importers; obstacles to imports from Spain following the crisis between Algiers and Madrid over Western Sahara…
An arbitrator to be appointed
More generally, the EU stresses that Algerian measures for “balancing the trade balance, pursuing a policy of development independent of oil revenues and import substitution” appear to be contradictory to the association agreement. Brussels has therefore invited Algiers to participate in consultations, either in Brussels or in Algiers, within thirty days of receipt of the verbal note and to “respond to this proposal no later than 24 June”.
Otherwise, the European Commission is considering initiating a dispute settlement procedure and “reserves the right to raise additional measures and allegations regarding trade barriers”.
On June 24, Algiers responded via its Minister of Commerce, Tayeb Zitouni, in an interview on public television, on the sidelines of the Algiers International Fair: “Algeria is a sovereign country, which has no external debt and does not tolerate any diktat.”
Algeria has rationalized imports and has not stopped them, which would be inconceivable,” he added. “Algeria has not stopped imports, but what we produce, we will not import.” The minister cited Algeria’s self-sufficiency this year in durum wheat, reducing the import bill by $1.2 billion. According to his figures, Algeria’s annual imports are estimated at $45 billion, including more than $22 billion from the European Union.
“Protectionist barriers”
Algiers wants the revision of the association agreement, considered more favorable to the EU with trade imbalances to the detriment of the Algerian economy. And denounces, in particular, difficulties of access to European markets and the weakness of the flow of direct European investments to Algeria.
On June 20, the EU ambassador to Algiers, Thomas Eckert, told local media Maghreb Émergent that he hoped the two sides would engage “in a constructive dialogue” and that they could “negotiate jointly to overcome these protectionist barriers” to avoid an escalation that “would be detrimental to both sides.” This is not a good start!
