Economy and Trade:
Weak
Performance for the Moroccan Export Sector in 1H05. Exports
Down 5.5% Year on Year
The
first half of 2005 was a tough period for the Moroccan export
sector. With the exception of a favorable phosphate global
market, other areas suffered from a lackluster of export activity,
further reducing Moroccan global competitiveness. From
textiles to food, and even the emerging electronic component
exports, have all witnessed negative results in 1H05. The
agency that tracks export data, the Office des Changes says
exports generated MAD 42 billion in the first six months of
2005, a decrease of 5.5% compared to the same period of last
year. The worst performer was the textile industry, which
is essentially blaming competition from the Chinese as the
main culprit. The Moroccans say Chinese exports to Europe
have reduced their share of that market, a trend that could
continue in the future. Despite this negative outlook, the
Moroccan textile industry says it sees hope from the improvements
that will come from the implementation of the free trade agreements
with both the United States and Turkey. It also believes that
the implementation of the recommendations put forward by the
consulting firm McKinsey would greatly expand its ability
to compete efficiently in the world market. [read
here]
Algeria-E.U.
Partnership:
Implementation
to Begin Next Month Amid Fear Over its Impact in Algeria
The
implementation of an Algerian-E.U. partnership agreement focusing
primarily on trade is expected to start in September this
year. While many are excited about the long-term prospects
of the agreement, which will result in the establishment of
a free-trade zone, many in Algeria predict that important
disruptions will occur in the short and mid-terms. Thousands
of jobs are at stake, they say. [read
here]
Profile:
The
End of Tunisia's Inesfood
Unable
to pay its debt, the Tunisian private company Inesfood filed
for bankruptcy and is now under receivership under the responsibility
of administrator Salah Dhibi. The current phase will be critical
to the future of the company, if it seeks to resume its activities.
Inesfood was founded by its CEO Jallel Ben Aissa, who left
the company and Tunisia to reside in a foreign country. A
move to receivership was inevitable as the company's main
shareholders say they were no longer willing to help it out
of its troubles. To face its debt repayment, the company began
to sell its assets. It started with its Maghreb Food subsidiary
that it sold to Groupe Bellagha, whose main unit is the Appétissante
Company, known for the Tom cookies. The sale of Maghreb Food
was not enough to cover the debt, and two other business units
went up for sale. They were the Société Centrale Laitière
Tunisienne and the Arab Food Industrie for which tenders were
launched last May. [read
here]
Politics and Diplomacy:
U.S.
Diplomacy Helps Secure the Release of Moroccan Prisoners Held
by the Polisario Front
U.S.
Senator Richard Lugar, the Chairman of the Senate Foreign
Relations Committee, has traveled to Algeria at the request
of President Bush and facilitated the release of 404 Moroccan
prisoners held by the Algerian-backed Polisario movement,
according to a statement from the White House on August 18.
"Their release is the product of quiet and intense diplomatic
efforts among the United States, Morocco, and Algeria," the
White House said. [read
here]
