Morocco’s trade deficit shrinks 5.1% y/y to USD 13.5bn in Jan-July 2013 on lower energy imports

By bne IntelliNews August 16, 2013

Morocco's foreign trade gap narrowed 5.1% y/y to MAD 113.2bn (USD 13.5bn) in January-July 2013 mainly on falling energy and food imports which offset and a mild drop in exports, preliminary data from the Office de Change showed. Exports fell 1.7% y/y to MAD 107.4bn and imports shrank 3.5% to MAD 220.6bn over the period.

Energy purchases declined 9.0% y/y to MAD 57.5bn on favourable seasonal factors and lower oil prices mainly in the first five months of the year. Food imports also fell 7.1% to MAD 22.4bn in January-July. A strong harvest output that boosted mainly grain stocks cut purchases over the period. Declining consumption goods purchases, mainly those of passenger cars (down 13% y/y to MAD 5.3bn) and apparels (down 25% to MAD 946mn) also weighed on imports.

Phosphates and derivatives exports shrank 18% y/y to MAD 23.3bn in January-July on slower EU demand and lower basic commodity prices. Sales of the value-added textile and leather fell 3.8% to MAD 19.6bn. Agriculture-related exports increased 5.4% y/y to MAD 20.3bn over the period given the high local stock.

A recovering services sector, a narrowing trade gap and anticipated foreign grants and soft loans receivables will likely help improve Morocco’s external position by end-2013.

The current account deficit will likely narrow to 7.0% of GDP in 2013 from 9.6% the year before, the IMF said in its April World Economic Outlook.

Related Articles

Survival of Iran nuclear deal appears far less likely under US Secretary of State Mike Pompeo

The odds on the Trump administration attempting to kill the Iran nuclear deal substantially shortened on March 13 with the firing-by-tweet of US Secretary of State Rex Tillerson and his replacement ... more

Billion-dollar petrochemical facility to be built in Turkey by Algeria's Sonatrach

Algerian national energy company Sonatrach has struck a deal with Turkey's Ronesans and Bayegan to build a petrochemical plant worth $1bn in Turkey, Turkish President Recep Tayyip Erdogan said on ... more

Romania’s Hidroconstructia starts overseas push with $115mn Jordan contract

Romanian civil engineering company Hidroconstructia has won a $115mn contract with Jordan’s Arab Potash Company, the world’s eighth largest potash producer. Hidroconstructia was founded in ... more