Rabat Aims to Offset $3 Billion Deficit Driven by Turkish Fabric Imports, Seeks Greater Investment
By: TPA News Desk | editor@thepointafricanews.com RABAT – Morocco is poised to review its existing trade agreement with Turkey and actively push for increased Turkish investment, aiming to mitigate a burgeoning trade deficit that is largely attributed to significant imports of Turkish fabric. The move highlights Morocco’s growing concerns over the economic imbalance between the […]
RABAT – Morocco is poised to review its existing trade agreement with Turkey and actively push for increased Turkish investment, aiming to mitigate a burgeoning trade deficit that is largely attributed to significant imports of Turkish fabric. The move highlights Morocco’s growing concerns over the economic imbalance between the two nations, which sees Turkey as Morocco’s sixth-biggest trading partner.
Sources close to the matter informed Reuters on Tuesday, June 17, 2025, that Omar Hjira, a Moroccan cabinet member in charge of trade, is scheduled to visit Turkey soon. The purpose of this visit will be to discuss measures to address the widening $3 billion trade deficit.
The current trade agreement between Morocco and Turkey, initially signed in 2004, underwent amendments five years ago. These changes included the imposition of a 90% tariff on Turkish textile and clothing imports, a measure intended to safeguard Moroccan manufacturers and preserve local jobs. Despite these tariffs, Moroccan companies continue to import substantial volumes of Turkish fabric to meet the demands of their apparel sector, contributing significantly to the deficit.
Official data indicates that Morocco’s overall trade deficit expanded by 22.8% to 109 billion dirhams ($12 billion) in the first four months of this year. In the previous year, the total deficit increased by 7% to 306 billion dirhams. Morocco’s trade deficit with Turkey stands as its third-largest, following those with the United States and China.
Moroccan authorities have also voiced concerns regarding the perceived lack of Turkish investments in the Kingdom, especially when compared to other key trade partners like the European Union and the United States. While EU investments constitute over 71% of foreign investments in Morocco, and US investments account for 6%, Turkish investments currently represent less than one percent of the total. Rabat’s upcoming discussions will therefore seek not only to rebalance trade flows but also to encourage more substantial direct Turkish investment into the Moroccan economy.
