Skip to content Skip to Search
Skip navigation

Morocco reveals $990m plan to support farmers

Morocco vegetable exports Reuters/Youssef Boudlal
Prices have climbed rapidly during a foreign currency crisis that has triggered three devaluations since March 2022
  • Rural jobs hit by drought and global economic challenges
  • Budget includes allocation to protect animal and plant capital
  • World Bank predicts economic growth will remain strong

Morocco’s government has launched a 10 billion dirham ($990 million) plan to support the country’s farmers, designed to combat the impact of drought and global economic challenges.

A report from the Higher Commission for Planning said 229,000 jobs had been lost in rural parts of the country, where agriculture employs over 30 percent of the workforce.

This is compared to 51,000 jobs lost in urban areas over the same period.

The new framework agreement was signed between the government and officials from the agricultural sector.

Half the budget will be allocated to protect animal capital, subsidising barley and imported feed for livestock and poultry.

A further 4 billion dirham will be earmarked to protect plant capital, providing subsidies for seeds and fertilisers in order to lower production costs for fruit and vegetables.

The remaining 1 billion dirham is reserved for Crédit Agricole bank, to provide financial assistance to farmers.

Drought and cooler temperatures this winter in the North African country caused shortages of fruit and vegetable produce in European supermarkets, particularly in the UK.

Despite the uncertainty, the World Bank predicts that economic growth in Morocco will remain strong overall this year.

It said GDP would grow 3.1 percent in 2023, following a post-pandemic rebound. 

The World Bank said Morocco’s real GDP growth dropped from 7.9 percent in 2021 to an estimated 1.2 percent last year, while the current account deficit increased from 2.3 percent to 4.1 percent of GDP. 

In a bid to reduce the impact of rising costs on poorer Moroccan households, the government has introduced a support package, including general subsidies on food staples, and maintained pre-existing regulated prices.

The government in April scrapped VAT on agricultural inputs to help lower prices of fresh produce and other farmed food products.

Latest articles

Alstom's upgraded passenger transit system will help reduce emissions at King Abdulaziz International Airport

Alstom to upgrade driverless transit system at Jeddah airport

French train maker Alstom will upgrade the automated and driverless passenger transit system at King Abdulaziz International Airport, as the Jeddah airport aims to receive 114 million passengers by 2030. As part of the contract, Alstom will design, engineer, supply, integrate, test and commission a complete system upgrade of its Innovia automated people mover (APM) at the airport’s terminal […]

The Al Dhafra solar PV project. Ewec plans to increase Abu Dhabi’s solar production capacity to 7.6 GW by 2030

Abu Dhabi to generate 50% power from green sources by 2030 

Abu Dhabi plans to generate more than half of its electricity from renewable and clean energy by 2030, a senior Emirates Water and Electricity Company (Ewec) official has said. The state-owned entity is increasing the emirate’s solar energy production plan to 7.6 gigawatts (GW) by 2030, the UAE state-run Wam news agency reported, quoting CEO Othman Juma […]

An Acwa Power solar facility in Saudi Arabia. The Bank Of China loan will help finance its solar projects in Uzbekistan

Acwa Power takes China bank loan in first for Saudi Arabia

Saudi energy major Acwa Power has secured an $80 million loan from the Bank of China as the appeal of the Chinese Renminbi as a trade currency gains traction in the GCC. Acwa Power, the world’s largest private water desalination company and a first mover into green hydrogen, has received the equity bridge loan to […]

Solar power panel

Cost of Xlinks Morocco-UK project balloons by a third

The cost of an ambitious project to deliver green energy from the south of Morocco to power homes in the UK has ballooned by more than a third to $30 billion. Xlinks First is behind the Morocco-UK renewables project, which would construct the world’s longest high-voltage direct current (HVDC) subsea power cable between the North […]