Skip to content Skip to Search
Skip navigation

Morocco reveals $990m plan to support farmers

By Gavin Gibbon
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

Gulf airlines, Gulf airlines conflict, Gulf conflict risk, Gulf flights cancelled rerouted

Conflict risk leads Gulf airlines to cancel regional routes

Gulf airlines are among airlines that have cancelled and rerouted flights across the Middle East as the conflict between Iran and Israel escalates. They are avoiding Iranian airspace and many have cancelled routes entirely following a major missile attack by Iran against Israel on Tuesday. Immediately after the attacks about 80 flights operated by carriers […]

Taaleem's schools offer 'exclusive educational experiences' including access to high-tech equipment profits

Dubai school operator Taaleem increases profit by 55%

Dubai school operator Taaleem has reported revenue of AED945.2 million ($257.3 million) for its 2023-24 financial year – a 15.5 percent year-on-year increase. More student enrolments and the opening of new schools helped Taaleem to increase net profit before tax by 55 percent, to AED182 million, in the financial year ending August. Taaleem’s shares were […]

Shein IPO

Mubadala-backed Shein courts investors before London IPO

Chinese fashion retailer Shein, which is backed by the Abu Dhabi sovereign wealth fund Mubadala, is courting European investors before an initial public offering on the London Stock Exchange. Shein is due to hold informal meetings to answer questions and test the investment appetite of major investors in the coming weeks, before its planned IPO […]

Workers stand on a scaffold in Dubai. Building a high rise in the UAE can be as much as two thirds cheaper than in other major cities

Apartments in UAE among cheapest to build in the world

Building a standard residential high-rise in Dubai or Abu Dhabi is up to two-thirds cheaper than in other major global cities, thanks to land, labour and raw materials all costing much less. Land is up to three times cheaper in the UAE compared with the prices paid in New York, London, Hong Kong and Singapore […]