FOM Newsletter April 2003
Morocco Week in Review 
April 26 2003

The unemployment rate in Morocco for 2002 is estimated at 11.6%, against 12.5% the previous year, recording a 0.9% drop, the statistics direction said. The number of unemployed persons went down from 1,275,000 in 2001 to 1,203,000 in 2002, the source says, adding that men's unemployment increased during this period to reach 11.3%, while women's remained stable (12.5%). In cities, the phenomenon decreased from 19.5% to 18.3%, and from 4.5% to 3.9% in rural areas.  The active population aged 15 and above reached 10,379 in 2002, scoring a 1.5% rise as compares to the previous year.  The Moroccan economy generated 221,000 jobs in 2002, including 169,000 in cities, the source said.

RABAT, April 21 (Reuters) - Morocco's cereals harvest in the current farmingmcycle is expected to reach between 7.6 million and 8.1 million tonnes, a state-owned fund said on Monday. Compared to its level last year, the estimates made by farmers fund Credit Agricole (CNCA) will be at least 50 percent above last year's production of 5.0 million tonnes, of which around half was soft wheat. CNCA said in a report that the condition of 56-66 percent of total cereal-planted areas is good, 24-29 percent is average, 9-12 percent is eak, while 1-3 percent is lost. ((Reporting by Souhail Karam, editing by Duncan Shiels; Rabat newsroom, +212-37 720065 fax +212-37 722499, rabat.newsroom@reuters.com ))

RABAT, Apr.22 - Morocco remains a "secure destination" even during war on Iraq compared to other countries that have "enormously suffered" particularly in the tourism sector, Chief Executive Officer of the Moroccan branch of French hotel group Accor, Marc Thepot said. In an interview published this Tuesday by a Moroccan daily, Thepot said Morocco is "politically stable and has a genuine tourism policy that is reassuring for hotel investments," underlining that the country has shown a strong resistance to the impact of war.  According to him, many factors have positively affected the Moroccan tourism sector, particularly France's opposition to war on Iraq and the normalization of Morocco-Spain relations. mAs to the ten-year program set by the group in 1997, the group CEO pointed out that Accor Maroc has created 2,977 rooms (21 hotels) out of the planned 7,000, stressing that the one-year delay caused by 9/11 events will be compensated by other projects. Accor Maroc projects include a US $100 million Casa Center City, in which the hotel component represents US $65 million, and a project in Agadir to cost US $15 million, said Thepot. A thalassotherapy project will be created to "develop therapy installations in collaboration with Morocco's state-owned fund-managing group (CDG) in two Atlantic cities, he added.

Anti industrial pollution project unveiled in Morocco

Morocco's Secretary of State in charge in Environment, M'hamed El Morabit, on Tuesday unveiled an anti industrial pollution project devised by his department, following a series of studies conducted on the matter. Taking the floor during question time at the House of Advisers, he said the study concerns chemical industry pollution and the pollution of several Moroccan basins, and proposes solutions to this issue. The Moroccan official recalled that his department devised, along with the concerned sectors and professionals, a set of water quality norms and determined rejection amounts of liquid wastes produced by polluting industries. He noted in this respect that the implementation of these liquid waste norms depends on the adoption of a draft decree on storm and waste water. He added that his department has concluded partnership conventions with several industrial firms, including the phosphates company (OCP), the electricity board (ONE), cement plants and the Moroccan enterprise federation (CGEM). The Moroccan official also recalled endeavours made for the control of the Mediterranean Sea pollution, adding that his department has set up a control and inspection body that will enforce environment related legal laws and regulations as well as a fund to extend aid and loans to help enterprises cut polluting waste and respect environment-preservation norms.

RABAT, Apr.21 - Morocco's Communication Minister and Government Spokesman, Nabil Benabdellah, said the government is committed to holding local elections by next October, brushing aside some press reports that hinted recently to a delay. In an interview carried Monday by Arab daily "Acharq Al Awsat", Benabdellah stressed the government's "firm will" to complete the electoral process "so that the Chamber of Advisers carries out its role in conformity with the constitution." The Chamber of Advisors is elected at the indirect suffrage by colleges comprising local councils, trade unions and professional associations. The Moroccan official said that registration applications in the electoral rolls have reached by mid-April 966,000 out of the forecast 1,5 million, noting that the new registration deadline (April 18-24) "will be judiciously used." He further called on youths to take part in managing public affairs as a contribution to the democratization process in the country.

Moroccan February inflation up 0.5 pct yr/yr

RABAT, April 22 (Reuters) - Morocco's inflation rate, as measured by the Consumer Price Index (CPI), rose 0.5 percent in February compared to its level a year earlier, the state Statistics Directorate said on Tuesday. In February, the CPI rose 0.6 percent compared to January after a 1.1 percent rise in foodstuff prices. It had fallen 0.6 percent in January compared to December 2002. Inflation in 2002 stood at 2.8 percent, exceeding government forecasts. The finance ministry foresees a 2.0 percent rate for 2003. Analysts said the rise in foodstuff prices was mainly due to speculation ahead of an anticipated bumper agricultural output for the 2002/2003 season. Foodstuff accounts for around 45 percent of CPI's basket weighting. ((Rabat newsroom, +212-37 720065 fax +212-37 722499, rabat.newsroom@reuters.com ))

Morocco earmarks us$ 2 million to promote publishing, reading

Minister of culture, Mohammed Achaari, announced that his department earmarked 20 million Dirhams (US$ 2 million) to promote publishing and reading in Morocco. An amount of $1.7 million will be used to reinforce reading spaces, and the remaining $0.3 million to support publishing houses, Achaari said at a meeting held here Wednesday with professionals of the sector on the world book and copyright day (April 23). These measures are part of the department's policy to encourage publishing and promote reading, he said, adding that the bi-annual international book fair, will become an annual event and will be held in February. Reading should be seen as a national priority as important as fighting literacy or poverty, the minister said, adding that his department is elaborating a program to upgrade a number of libraries and provide new forms of support to young entrepreneurs in the field.

Morocco industrial production index posts 2.9% growth in 2002

Morocco's industrial production index posted a 2.9% growth in 2002, compared to 2001, says the statistics department. The growth was reported mainly in the industries of leather (14.3%), wood (13.7%), paper and publishing (14.6%), processing of quarry mineral materials, metal works, and electric and electronic equipment. Meanwhile, negative performances were reported in the textile industries (0.8%), ready-to-wear (1.5%), equipment machinery and equipment (1.6%), transport machinery (6%) and other processing industries (5.9%).

Moroccan government committed to reform communication sector, official says

Morocco's Communication minister and Government Spokesman, Nabil Benabdellah, stressed on Monday the government's commitment to reform the communication sector and engrain media pluralism. Opening a conference on: "Media, democracy and development: the stakes of reform," Benabdellah reiterated the government's firm intention to carry out a full-fledged reform of the media sector "as stipulated in the (Prime minister's) general declaration before the parliament." Given the fact that media sector is one of the levers of the democratization under way in the Kingdom, the Moroccan official introduced the audience to the outline of the reform project geared toward upgrading media sector in consultation with related organizations. The project, he went on, remains open to input from the entire media spectrum, praising the Kingdom's commitment to accompany deep changes taking place worldwide in the information and communication sector. The media sector has witnessed "remarkable progress" in an environment marked by democratic evolution based on the society's fundamental choices of political pluralism, rule of law, respect of the institutions and freedom of opinion and expression, he went on. Touching on the Maghreb Arab Press Agency (MAP), the Moroccan official said that MAP needs to carry on its upgrading program, underlining the need to grant it the necessary financial resources for its development in order to extend its correspondents' network and diversify its products. The government's plan revolves around reforming the audio-visual sector, upgrading the competitiveness of press enterprises, restructuring and developing the advertisement sector, promoting the cinema industry, consolidating the role of the Moroccan intellectual property board, training human resources, redefining the role and attributions of the communication ministry and revamping the government's communication.

Morocco moves to eradicate unhealthy housing in northern areas

Moroccan authorities in the northern cities of Tangiers and Tetouan have selected 45,000 households to benefit a program to fight unhealthy housing program over the next eight years. The $ 173.3-million program, to be co-financed by the state, local councils and recipients, targets 37,000 households living in under-equipped districts and 8,000 shanty-towns dwellers.

Chairman of the Moroccan human rights Consultative Council (CCDH), Omar Azziman, upheld the setting in place of a jurisdiction specialized in corruption and public funds embezzlement cases, arguing that Morocco needs such a court. In an interview with Arabic daily "Al Alam," the former justice minister said the present situation in the country requires the creation of a jurisdiction specialized in financial crimes and, more generally, in fighting embezzlement and corruption. Morocco already has a special court of justice that handles cases of financial crimes, but there was recently a controversy that these crimes should be examined by the regular judiciary system. He said the present structure (the special court of justice) should not be kept in its state, nor should it be merely dismantled because Morocco needs this type of court. There are two options, he went on, the creation of a specialized court in financial crimes that will offer all guarantees provided for by the common law jurisdictions, or creating, within courts of appeal, a specialized body. Azziman was however reserved on the second option given the diversity of cases examined by regular judiciary courts, which would made it difficult to probe criminal crimes in depth and deliver pertinent sentences. He further explained that the specialized jurisdiction is made even more necessary, owing to Morocco's Islamic values and social ethics that ban public funds embezzlement and corruption and to the kingdom's commitment to consolidate the rule of law, consecrate democracy and the defense of human rights. In addition to these considerations, Azziman cited political and economic reasons that require that Morocco reconsiders its anti-corruption and mis-management legislation. Worth noting in this regard that some countries, in order to avoid having specialized courts, use a unified general court system, with judges who have or acquired expertise in handling special cases, in order to avoid having a multitude of specialized courts for corruption, business, science issues etc. and the problems such divisions cause in administration and lack of uniformity in administration and standards.

Morocco - sub-Saharan trade reach $440 million

Morocco's trade exchanges with sub-Saharan countries reached an annual average of 4.4 billion Dirhams (US$ 440 million) between 1996 and 2002, the foreign trade department said Wednesday. These countries received 4% of Morocco's exports during the same period. Imports make up $ 130 million, which is less than 3% of the kingdom's overall exports, and exports 270 million, i.e. 2.2% of total exports, an executive from the trade ministry told MAP. Morocco's exports to sub-Saharan countries are mainly made of food, semi-finished products, phosphate products, industrial goods and equipment, canned foods, fish flour and garments. It imports oil products, cotton, wood, coffee and coal. In order to make up for the low level of trade exchanges with sub-Saharan countries, Morocco has adopted recently a set of encouraging legal texts meant to increase partnership ties between Moroccan and African business operators, he said recalling the initiative taken by King Mohammed VI in April 2000 to exempt imports from these countries from customs duties and the conclusion of a package of trade agreement to consolidate the most-favored nation principle with 15 African countries. He also announced that Morocco and Gabon are projecting to sign a free trade agreement.

Moroccan experts work in African countries part of SPFS program (official)

Five Moroccan engineers and 34 technicians currently work in Burkina Faso and Niger part of the FAO's Special Program for Food Security (SPFS), director of vegetable production in the agriculture and rural development ministry, Moha Margui, said on Wednesday. In a presentation made during a national conference on the New Partnership for Africa's Development NEPAD held in Rabat by the Ministry of Foreign Affairs and Cooperation in collaboration with the UN organization for Food and Agriculture (FAO), Marghi said the experience that is in its 4th year in Burkina Faso and second year in Niger was so fruitful that the two African countries requested an increase in the Moroccan assistance teams. These teams work in water control, land development, sustainable vegetable production, diversification of small breeding projects, apiculture and agro-forestry. "Moroccan assistance has brought simple and practical technologies that helped improve productivity," said the Moroccan official, adding that as a result of the success of this experience, other African countries are planning to use Moroccan cooperation, particularly Mauritania, Chad, Guinea, Cameroon and Gambia. The Republic of Central Africa and Djibouti have already made an official request for Morocco's assistance, he added. Burkina Faso, where 3 engineers and 26 technicians currently work asked Morocco to provide it with another team of 28 technicians and one engineer, whereas Niger where 2 engineers and 8 technicians operate requested a reinforcement of 5 engineers and 20 technicians, explained Margui. The success of South-South cooperation between Morocco and the two African countries is in line with NEPAD's main objective to encourage mutual assistance between African countries through the exchange of experts. During the World Food Summit held in Rome in June 2002, the technical assistance extended by Morocco to Burkina Faso and by Vietnam to Senegal was cited by FAO as two successful experiences, recalled Marghi.

Representatives of travel agencies and tourism operators working in Saudi Arabia and tourism Officials from Agadir (south Morocco) met Tuesday to screen the appropriate means to promote this city's destination in the Saudi market. The meeting is part of a trip organized by the delegation of the Moroccan National Office of Tourism and RAM airliner's representation in Jeddah in collaboration with a Saudi tour operator. Participants in this get-together underscored the weakness in the number of Saudi tourists in Morocco, asserting that the country annually attracts 33,000 Saudi tourists, i.e. 1 per cent out of the 4 million Saudis who travel abroad. In the same regard, the meeting examined opportunities offered by Morocco's first sea resort to promote family tourism that is a promising niche in the Saudi market according to officials of travel agencies operating in Saudi Arabia who stressed the importance to build leisure infrastructures for children and make programs at attractive prices. Representatives of travel agencies said they are ready to commercialize the destination of Morocco in Gulf markets to encourage inter-Arab tourism and make Arab states profit from tourism receipts.

Participants to a conference held in Rabat under the theme: "Media, democracy and development: the stakes of reform" this Apr.21-22 highlighted the need to develop media public service and promote human rights and information rights. The event that unfolded in two separate workshops: print and audio-visual press recommended the adoption of "participation and partnership principles" across the media spectrum. Participants put forward a train of proposals covering aspects  related to the written press, audio-visual sector, training, online press and regional one. The audio-visual liberalization strategy, reforms of media public sector and moves to support the written press by upgrading press enterprise and its human resources outlined by Communication minister and Government Spokesman, at the opening ceremony, were welcome by participants. The written press workshop brought out the necessity to review the terms whereby the state grants subsidies to the press by ending the privilege enjoyed by papers of political parties. On audio-visual sector, the conference pleaded for the creation of a network of regional TVs to pave the way for competition and the sector's projected liberalization.

GCC to organize 1st industrial fair in Morocco

The Gulf Cooperation Council (GCC) will organize its first fair of industrial products on July 21-24 in Casablanca, assistant director of the Kuwaiti Trade and Industry Chamber, Hamad El Omar, announced Tuesday. "Morocco was chosen to host this event because of its geographical position, infrastructures and qualification of its human resources," El Omar told a press conference held in Kuwait, underlining that Morocco is a promising country thanks to its environment that encourages investment. This event aims to give heart to the commercialization of Gulf states' products in Morocco and neighboring countries, said the chairman of fairs' section at the Kuwaiti Trade and Industry Chamber. El Meligi, Chief Executive Officer of the fairs' organization company "Itlala," said the organizers expect this fair to attract up to 13,000 visitors, including 3,000 professionals. Kuwait is the fourth leg of this fair's promotion campaign in Gulf states after Bahrain, UAE and Oman, he added.

Moroccan local polls to be delayed to September: Newspapers report mixed reasons behind postponement: fear of PJD's success, voters' obligations during June.  

RABAT - Morocco's local elections have been postponed from their scheduled June date to September, after "bargaining" between Prime Mininster Driss Jettou and political parties, several papers reported Thursday. According to the Economiste newspaper, the date of September 12 has been retained in principle for the elections, which were being put back from their June date "because it is feared the Islamist Justice and Development Party (PJD) could run away with the elections and carry many cities." The communications ministry said Monday, without going into detail, that the government wanted to hold local elections "before October." The ministry has not confirmed reports that the vote has been delayed.  The PJD trebled the number of seats it has in parliament in last year's legislative election, establishing itself as the leading opposition grouping and the third largest single party in the assembly. A PJD leader, Saad Eddine Othmani, said in an interview with Le Matin newspaper Tuesday that his party could forge alliances for the local elections - "even with the USFP (ruling socialist party) ... if doing so will allow a town to be better managed." He also "refuted" the use of the word "Islamist" to describe his party. "It's a word coined in Europe. I prefer to say that the PJD is not an Islamist party but a political party with Islamic reference points," Othmani said. Another paper, Aujourd'hui Le Maroc, said Thursday the postponement was already official, but gave as the reason that delaying it would allow more voters to register. Jettou met Tuesday night with the leaders and representatives of the parties that, with the Socialist Union of Popular Forces (USFP), form the majority in parliament. Following that meeting, Ismail Alaoui, the leader of the Party of Progress and Socialism (PPS), which holds nine seats in parliament, said: "We discussed ... the constraints and obligations that would face urban and rural voters, if the original date of June is maintained." "June is the month of exams, of holidays and of harvests. It appeared clear to us that people would have other worries besides going out to polling stations and fulfilling their civic obligations," he said. Just over half - 52 percent - of Morocco's registered voters turned out to cast their ballots in September's parliamentary election, according to official figures.

The Moroccan government is determined to accelerate the process of opening up new sectors to competition and carry on the program of privatizing public enterprises, Moroccan premier Driss Jettou said Thursday in Rabat. Speaking at the international symposium organized under the theme "State, regulation and independent authorities," Jettou said several sectors in Morocco have already been privatized, including telecommunications, electricity production and distribution and public transport. The government will prepare other sectors for competition since their liberalization will help Morocco reap dividends, attract further foreign investment and highly improve the quality of services, he went on, adding that public industrial and trade services run by the state or local collectivities will be progressively "transferred to the private sector whenever this will draw profit in terms of investments, job opportunities and quality.."  According to the minister, this strategy will also be applied to the construction of new infrastructures, water distribution networks, electricity and sanitation, waste collection and public transport that willngradually be transferred to the private sector. The state will however retain its regulation authority in most sectors that will be opened to competition in order to follow up their evolution, security and the continuous flow of investments for national and foreign economic operators. The objective of this symposium that will last until Friday is to debate the concept of regulation, its implementation and the mechanisms allowing the opening of some sectors which remained so far controlled by the public sector.

The promotion of Moroccan investments in Africa needs a joint public-private body, recommended participants in a conference held here on Wednesday on the New Partnership for African Development (NEPAD) by the Foreign Affairs and Cooperation ministry. The meeting identified snags that hamper the promotion of Moroccan investments in Sub-Saharan Africa, mainly poor communication and governmental support to businessmen willing to invest in this part of the continent. Participants also recommended the creation of an information system that inventories investment opportunities in Africa and tenders, as well as the opening of air routes to promote commercial exchanges thus encouraging Moroccan concerns to go international. Touching on good economic governance preached by NEPAD, participants unanimously underlined the need for a sound and transparent management of public funds and available resources. They called for the consolidation of cooperation in education realms, promotion of scientific research and use of the new information and communication technologies. The conference's recommendations also stressed the need for a full-fledged professional integration of women, promotion of fishing sector as a pillar of food security and upgrading of African economies' competitiveness. NEPAD, adopted in July 2001, is based on three conditions for Africa to progress: political governance that includes peace, security, and democracy, better economic governance and regional cooperation and integration. Among NEPAD target sectors figure infrastructure, ICTs, human development including vocational. training based on health and education, as well as the promotion and diversification of production and exports. Experts representing different departments, Food and Agricultural Organization (FAO) and ambassadors of several African countries participated to this conference.

BRUSSELS, Apr.24 - Morocco and the European Union signed here this Thursday a scientific and technological cooperation agreement. Under the agreement, Morocco will be able to integrate the European scientific research space by tapping on existing possibilities in development-related research and using the potential for cooperation between the scientific communities of Morocco and Europe. The agreement revolves around four major axes: promoting the society of knowledge, reciprocal access to scientific research and technological development programs, trading information and regular contacts between researchers.

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