The amendment of the Morocco-Turkey Free Trade Agreement has come into effect, upon its approval by both Rabat and Ankara, on August 24, 2020.

Under the amended agreement, a five-year customs duty is to be imposed on a number of Turkish industrial products, amounting to 90% of the latters’ value.

The new agreement stipulates that “the Moroccan-Turkish joint committee should convene 3 months before the end of the first five-year period, to assess whether there is a need for an additional 5-year extension”, provided that the latter can only be activated by joint consensus. The terms of the agreement also require the joint committee – 6 months upon the agreement’s entry into force – to conduct an annual assessment of the Moroccan-Turkish bilateral trade, ensure the implementation of this agreement with the aim of reducing the value for certain products, and make the necessary adjustments upon mutual consent.

By virtue of this agreement, Article 17 of the Free Trade Agreement between Morocco and Turkey has been amended to enable both countries to take temporary evaluation measures for a limited period, in the form of an increase in customs duties, provided that these measures only concern emerging industries, the industries that are currently subject to restructuring, and industries facing serious difficulties.

It is noteworthy that Rabat had initiated a request to amend the agreement (in force since 2006), for it was deemed harmful to the national economy, especially in sectors such as textile and clothing, due to Turkey’s exportation policy, which causes the target markets to plummet.

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