RESTRICTEDWORLD TRADE
ORGANIZATIONWT/TPR/G/116
19 May 2003
(03-2523)
Trade Policy Review Body Original:   French
TRADE POLICY REVIEW
KINGDOM OF MOROCCO
Report by the Government
Pursuant to the Agreement Establishing the Trade Policy Review Mechanism
(Annex 3 to the Marrakesh Agreement Establishing the World Trade
Organization), the policy statement by the Government of Morocco is attached.
Note:  This report is subject to restricted circulation and press embargo until the end of the meeting of
the Trade Policy Review Body on Morocco.Morocco WT/TPR/G/116
Page 3
TABLE OF CONTENTS
Page
I. INTRODUCTION 5
II. MACROECONOMIC PERFORMANCE 5
(1) E CONOMIC GROWTH 5
(2) I NVESTMENT 5
(3) G OVERNMENT FINANCE 6
(4) I NFLATION 6
(5) E MPLOYMENT 6
(6) F OREIGN TRADE 6
(i) Trade in goods 7
(ii) Trade in services 7
(iii) Private current transfers 7
III. TRADE POLICY OBJECTIVES AND INSTRUMENTS 7
(1) T ARIFF REFORM 8
(2) F OREIGN TRADE PROCEDURES 10
(3) C USTOMS VALUATION 10
(4) C OMPETITION 10
(5) I NTELLECTUAL PROPERTY 11
(i) Industrial property rights 11
(ii) New varieties of plants 11(iii) Copyright and related rights 11
(6) G
OVERNMENT PROCUREMENT 12
(7) C OMMERCIAL COURTS 12
(8) I NVESTMENT PROMOTION 12
(9) P RIVATIZATION 13
(10) B ILATERAL AND REGIONAL TRADE AGREEMENTS 13
(i) Free-trade agreements 13(ii) Other preferential arrangements 15(iii) Conventional bilateral trade agreements 16
IV. MOROCCO AND THE MULTILATERAL TRADING SYSTEM 16
(1) A
GRICULTURE 16
(2) S ERVICES 17
(3) M ARKET ACCESS FOR NON-AGRICULTURAL PRODUCTS 17
(4) I NTELLECTUAL PROPERTY 17
(5) R ULES 17
(6) T RADE FACILITATION 18
(7) T ECHNICAL ASSISTANCE 18
V. CONCLUSION 18Morocco WT/TPR/G/116
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I. INTRODUCTION
1. Following its second trade policy review conducted in 1996, Morocco set about strengthening
the rule of law and democracy and pursued the implementation of its economic and trade
liberalization policy.  The long-term goal is sust ainable human development, while the short- and
medium-term objective is to generate strong, employment-generating economic growth by upgrading
the economy, promoting investment and rural development and diminishing social and regionaldisparities.
2. Trade policy being one of the cornerstones of economic policy, Morocco has stepped up the
process towards openness and liberalization initiated in the 1980s, by further reducing tariff protection
and simplifying foreign trade procedures, eliminating non-tariff measures, creating a propitious
environment for the expansion of business and investment, broadening and diversifying its trade andeconomic relations by concluding free-trade agreements with its main bilateral or regional trading
partners, and contributing to the consolidation of the multilateral trading system.
3. Measures have also been taken to bring domestic legislation into line with the WTO
principles and rules, to overhaul the legal fram ework for business, and to enhance institutional
facilities for cooperation with the private sector, inter alia  through the establishment of the National
Foreign Trade Council and by strengthening the private sector's important role in economic
development.
II. MACROECONOMIC PERFORMANCE
(1) E
CONOMIC GROWTH
4. Overall, the Moroccan economy recorded varying but satisfactory trends over the period
1996-2001.  The country displayed sustained economic growth despite three years of adverse climatic
conditions, and the macroeconomic balances were maintained and consolidated.
5. Average annual growth has been of the order of 3.9 per cent over the past six years, with
average primary production rising by nearly 6.2 per cent and non-agricultural GDP by around
3.6 per cent.  Expansion in the secondary and tertiary sectors was underpinned mainly by mining,
construction and public works, new technologies, transport, communications and tourism, stimulated
by government efforts to attract foreign investors and tourists.
(2) INVESTMENT
6. Investment has increased by an average of 6.1 per cent per year, from 61.9 billion dirhams
(DH)1 in 1996 to DH87.4 billion in 2001, i.e. from 19.4 per cent in 1996 to 22.3 per cent in 2001.
This upward trend concerns mainly equipment and tools, and public works.
7. Privatization and concessions have sharply boosted revenue from foreign private investment
and loans.  Earnings soared from around DH5 billion in 1995 to DH33.3 billion in 2001, mainly as a
result of direct investment, which accounted that year for 97.7 per cent of total revenue.
                                                     
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(3) GOVERNMENT FINANCE
8. The main thrust of Morocco's budget policy in recent years has been to contain the budget
deficit, inter alia  by improving revenue service performance, rationalizing government spending and
modernizing the Treasury's financing instruments.
9. Performance in recent fiscal years has been wholly consistent with the overall budget policy
objectives, as shown by the key indicators emerging from application of the Finance Laws since 1996.
10. Implementation of this policy has brought the budget deficit down to almost 3 per cent,
perceptibly reducing the Treasury's debt ratio from almost 83 per cent in 1995 to around 70 per cent
by year's end 2002.
11. Foreign borrowing in the public sector has recorded sharp negative flows, thereby reducing
the stock of foreign debt from US$22.6 billion in 1995 to US$14 billion in 2001.
12. Foreign exchange assets rose from US$4 billion in 1995 (covering four months of imports of
goods and services) to US$8.6 billion in 2001 (covering 8.6 months of imports).
13. Total foreign debt service has dropped consistently, standing at DH28.3 billion in 2001
against DH29.1 billion in 1995.  The total debt service ratio to goods and services revenues also
underwent a sharp decline from 37.7 per cent in 1995 to 22.4 per cent in 2001, representing a morethan 12-point fall relative to current revenues (i.e. 16.5 per cent against 29.1 per cent).
(4) I
NFLATION
14. The cost-of-living index appears to indicate that inflation was contained over the period 1996-
2001 and brought down to a level sufficiently sustainable to contribute towards economic revival.
The inflation rate fell by 1.0 per cent between 1996 and 1997 and by 0.6 per cent between 2000 and
2001, i.e. an average annual variation of 1.4 per cent.
(5) EMPLOYMENT
15. Between 1999 and 2001, urban and rural unemployment fell close to 1.5 points, from
14 per cent to 12.5 per cent.  Despite this encouraging trend, economic action is needed in order to
further improve the situation.
(6) FOREIGN TRADE
16. Relatively positive foreign trade performance was recorded over the period 1995-2001,
despite an occasionally unfavourable international environment and the impact of drought in the
country.  Foreign trade over that six-year period displayed the following salient features:
− Slight deepening of the trade deficit as a result of a more rapid growth in imports
(+6.6 per cent) due to rising cereals and energy prices (in spite of an average5.5 per cent increase in exports between 1995 and 2001);
− strong performance in the tourism industr y, with earnings more than doubling in
six years despite the slowdown record ed in 2001 following the events of
11 September;Morocco WT/TPR/G/116
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− a more than twofold increase during the period under report in transfers by Moroccans
living abroad;
− a major influx in foreign direct investment, accounting for close to DH65 billion in
six years, including the granting of the second GSM licence (DH10.6 billion), the
transfer of 35 per cent of the capital of Maroc Telecom  (DH23.3 billion), and debt-
investment swaps (US$3 billion);  the rema inder concerned mainly the industrial and
banking sectors.
(i) Trade in goods
17. Morocco has increasingly opened up to foreign trade in recent years (54 per cent in 2001
against 45 per cent in 1996).
18. Imports have grown by an average of 6.6 per cent per year, their value rising from
DH84.9 billion in 1995 to DH124.7 billion in 2001.  The increase concerned mainly crude oil and
cereals.
19. There has also been appreciable progress in export performance.  Annual growth averaged
5.5 per cent, with export revenues rising from DH58.4 billion in 1995 to DH80.6 billion in 2001.  The
most significant increases concerned seafood (crustaceans, molluscs and shellfish, preserved fish,etc.), electronic components (transistors), electric wires and cables, and phosphates and phosphate
products.
20. The European Union (EU) remains Morocco's main trading partner for imports and exports,
accounting for 63 per cent of trade in 2001.
(ii) Trade in services
21. At year's end 2001, trade in services showed a balance-of-payments surplus of
DH21.6 billion, against DH2.4 billion in 1995.  The upswi ng is mainly related to travel operations,
with a surplus rising from DH8.59 billio n in 1995 to some DH24.8 billion in 2001.
(iii) Private current transfers
22. Current transfers essentially involve revenue relating to funds remitted by Moroccans living
abroad.  The balance-of-payments surplus under this heading soared from DH19.6 billion in 1995 to
DH40.8 billion in 2001.
III. TRADE POLICY OBJECTIVES AND INSTRUMENTS
23. Morocco's trade policy pursues a strategy geared towards further liberalizing foreign trade,
developing and promoting exports, integrating the Moroccan economy more effectively in the world
economy, and contributing to the consolidation of the multilateral trading system.
24. The objectives of this policy are enshrined in Foreign Trade Law No. 13-89.  The principles
underpinning this Law are the liberalization of imports and exports, the elimination of quantitative
restrictions and the use of the customs tariff as the principal means of protecting domestic production.
25. This Law and its implementing texts have been amended since 1996 to align them with
Morocco's commitments under the Agreements on Agriculture and Safeguards, undertakings made
with regard to protection of the ozone layer, as provided in the Montreal Protocol, and those relatingWT/TPR/G/116 Trade Policy Review
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to control of trade in substances that could be used  for the production of chemical weapons, as defined
in the Chemical Weapons Convention.
26. To enhance the country's business and investment environment, the Government has
undertaken a series of reforms and adopted or revised legislation governing economic matters, in
particular:
− the Customs and Indirect Taxation Code;
− the legislative and regulatory instruments implementing the Framework Law
establishing the Investment Charter;
− the Commercial Code;
− the regulations pertaining to government procurement;
− the Law on pricing freedom and competition;
− the Law establishing commercial courts;
− the Law on the protection of industrial property;
− the Law on copyright and related rights;
− the Law establishing the Moroccan Industrial and Commercial Property Office;  and
− the Law on new varieties of plants.
(1) TARIFF REFORM
27. The customs tariff is the country's main trade policy instrument, especially for the purposes of
economic protection.  Since 1996, Morocco has advanced in the process of simplification,
transparency and rationalization of customs duties, inter alia  by adopting the following measures:
− Reduction of the number of import duty rates on non-agricultural products from nine
to seven;
− elimination of columns G and U from the import tariff in 1996 and introduction of the
Fiscal Import Levy (PFI) into the tariff in 2000;
− incorporation of the tariff provisions of Framework Law No. 18-95 establishing the
Investment Charter into the customs tariff;
− tax reduction on unlawfully traded products (smuggling);
− consolidation of the economic role of customs duties by cutting and harmonizing the
tariff on raw materials and inputs.
28. In the agricultural sector, Morocco has liberalized the import and marketing of agricultural
staples, in particular by:Morocco WT/TPR/G/116
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− Liberalizing the cereals, sugar and oilseeds subsectors;
− applying tariff equivalents on some primary products (cereals, oilseeds, sugar beet
and cane and their by-products) and dismantling import duties on agriculturalproducts, including staples, at a rate of 2.4 per cent per year, in accordance with
Morocco's commitments under the WTO Agreement on Agriculture;
− abolishing the monopoly of the National Interprofessional Cereals and Pulses Board
(ONICL).
29. In addition to the tariff equivalents on agricultural staple products, in 2001 the weighted
average import duty on non-agricultural products amounted to 22.5 pour cent, with a floor rate of
2.5 per cent and a ceiling rate of 50 per cent  (including the PFI).  The current tariff structure is as
follows:
− 2.5 per cent on capital goods (Investment Charter);
− 10 per cent on spare parts and accessories for capital goods (Investment Charter),
some non-locally produced raw materials and products likely to be smuggled;
− 17.5 per cent on non-locally produced raw materials;
− 25 per cent on locally produced raw materials, semi-processed products and some
non-locally manufactured processed products;
− 32.5 per cent and 40 per cent on locally manufactured semi-processed products;  and
− 50 per cent on locally manufactured processed products.
30. The anticipated objectives in applying these various duties are to:
− Comply with Morocco's WTO commitments;
− promote investment by applying a minimu m or reduced rate on capital goods and
components and spare parts thereof;
− increase the competitiveness of the Moroccan economy by reducing either the
purchase price of imported products and raw materials or domestic production costs;
− alleviate the effects of the drought on the rural sector by cutting tariffs on certain
staple foodstuffs, in particular animal feed;
− improve the supply on the home market of socially sensitive food products during
high-consumption periods;
− combat smuggling.
31. Under the present tariff structure, import duties are strictly ad valorem .  There are no specific
or mixed duties, or seasonal tariffs.WT/TPR/G/116 Trade Policy Review
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(2) FOREIGN TRADE PROCEDURES
32. Customs procedures have undergone significant improvements since 1996.  The clearance of
goods is now completed in less than one hour (compared to five days prior to 1997), as is the
processing of over 90 per cent of all customs declarations.  This drastic reduction in customs
clearance time was achieved by abandoning the systematic physical inspection of goods in favour of a
simple verification of documents – a procedure which applies to 90 per cent of declarations.
33. These improvements are the result of the reform of the Customs Code, which came into effect
in 2000 and has further simplified procedures, in line with the development of international customs
rules and standards.  The key measures adopted included streamlining customs declaration
procedures, introducing simpler declarations, encouraging the use of advance declarations, easing
security deposit requirements, adopting a customs valuation system consistent with the relevant WTOprovisions, and establishing an automated customs clearance process based on risk assessment
methods, in order to combat fraud and increase the transparency of procedures.
34. Customs clearance is now speedy and reliable thanks to the use of new information and
communication technologies.  With the introduction of Electronic Data Interchange (EDI), air and sea
cargo manifests are now transmitted electronically.
35. As regards foreign trade procedures, efforts have focused on standardizing import and export
documents in accordance with the United Nations Layout Key, abolishing registration procedures and
formalities for entry in the foreign trade operators' register and providing those concerned with a
foreign trade operator's guide, and increasing the electronic circulation of information on all foreign
trade legislation and regulations via the website for trade operators.
(3) C
USTOMS VALUATION
36. Morocco acceded to the Agreement on Implementation of Article VII of the GATT in 1993
and has been applying its provisions, as incorporated in the Customs and Indirect Taxation Code,
since 5 October 1998.
37. Pursuant to Morocco's commitments under this Agreement, minimum dutiable values were
eliminated on 1 August 2002.
(4) COMPETITION
38. The principle of pricing freedom and pricing based on free competition is enshrined in Law
No. 06-99.  The principle is restricted, however, by exceptions that give the State the right to
intervene in the case of monopolies, ongoing supply difficulties, legislative or regulatory provisions,
large-scale disaster or abnormal market situations, and excessive price fluctuations.  Prices may be
subject to approval at the request of professi onal organizations or by Government decision.
39. The Law sets out the rules on transparency and prohibits practices that restrict relations
among economic operators.  Restrictive practices are deemed to be those having an impact on the
consumer (the Law makes it compulsory to inform consumers, and prohibits refusal to sell a product
or provide a service, sales or services contingent upon the purchase of another product or service, and
sales or services with a premium);  those restricting trade relations among professionals (obligation toprovide an invoice and to publish price lists and terms of sale;  ban on compulsory minimum resale
prices, discriminatory practices, refusal to meet buyers' requests, and tied sales);  and those relating to
the storage of goods (the Law combats smuggling and speculation by prohibiting "clandestine
storage").Morocco WT/TPR/G/116
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40. The Law prohibits any concerted action, agreements, understandings or collusive action and
abuse of a dominant position when the objective is to prevent, restrict or distort competition.
Exceptions are provided in the case of practices that stem from the application of a legal or regulatory
text and/or make a sufficient contribution to "economic progress" to offset the restrictions and give
users a fair share of the profits.  In assessing the contribution to economic progress, the Competition
Council takes into account the enterprise's competitiveness.
(5) INTELLECTUAL PROPERTY
41. Morocco is a Member of the World Intellectual Property Organization (WIPO).  It is party to
the following conventions or arrangements:  Pa ris Convention for the Protection of Industrial
Property;  Berne Convention for the Protection of Literary and Artistic Works;  Universal Copyright
Convention;  Patent Cooperation Treaty;  Madrid Arrangement and Protocol relating to theInternational Registration of Marks;  Hague Arrangement concerning the International Registration of
Industrial Designs;  Brussels Convention relating to the Distribution of Programme-Carrying Signals
Transmitted by Satellite;  and the Nairobi Treaty on the Protection of the Olympic Symbol.
42. Since its second trade policy review, Morocco has thoroughly overhauled its intellectual
property legislation by adopting three new laws on the protection of industrial property (LawNo. 17.97), copyright and related rights (Law No. 2- 00), and new varieties of plants (Law No. 9-94).
The Law on industrial property will enter into force six months after the adoption of its implementing
texts.
43. These three laws have been reviewed by the Council for Trade-Related Aspects of Intellectual
Property Rights (TRIPS) and found to be consiste nt with the TRIPS Agreement.  Morocco was
congratulated by the WTO Members on the remarkable efforts it had made, as a developing country,
in this sphere.
(i) Industrial property rights
44. Law No. 17.97 on the protection of industrial property was adopted in March 2000.  Its
implementing texts have not yet been issued.   The Law covers patents, layout-designs of integrated
circuits, industrial designs, trademarks and service marks, trade names, indications of source and
appellations of origin, and provides for the repression of unfair competition.   It supplements theprevious legislation inter alia  by protecting patents for the invention of pharmaceutical products.
(ii) New varieties of plants
45. Morocco is not yet a member of the International Union for the Protection of New Varieties
of Plants (UPOV).  Nevertheless, in April 1997 it adopted Law No. 9-94 on the protection of new
varieties of plants.  This Law has been reviewed by the UPOV Council and found to be consistentwith the Acts of 1978 and 1991.  Morocco is curr ently in the process of acceding to the Union.
(iii) Copyright and related rights
46. Literary and artistic works protected under Law No. 2-00 include:  Written works;  computer
programs;  musical, dramatic, choreographic, audi ovisual, architectural and photographic works;
works of fine art;  works of applied art;  expressions of folklore;  designer's sketches for the clothingindustry;  and databases.  Protection covers the author's lifetime and extends for 50 years after his
death.  The Law also confers moral rights, unlimited in time, on authors to claim authorship of their
works, to remain anonymous or to use a pseudonym, and, in general, to object to any derogatory
action in relation to their works that might be prejudicial to their honour or reputation.  As regardsWT/TPR/G/116 Trade Policy Review
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related rights, the Law protects performances and phonograms for a period of 50 years and broadcasts
for 25 years.
(6) GOVERNMENT PROCUREMENT
47. Morocco has updated the legal and regulatory framework for the award of government
procurement contracts and the provisions on their administration and control.  Decree No. 2-98-482
on government procurement (which entered into fo rce on 1 July 1999) defines the requirements and
methods for awarding contracts for works, supplies or services on behalf of the State.
48. These reforms seek to:
− Ensure transparency in the administration of government procurement;
− guarantee free competition in the award of government procurement contracts;
− protect bidders' rights;
− establish ethical standards for the administration of government procurement;
− simplify procedures and rules for the administration of government procurement.
49. The same regime applies to local authorities and public enterprises and establishments.  Its
scope does not include government procurement regulated by special provisions (international
agreements and conventions) and contracts which the State must conclude according to the proceduresand rules of ordinary law.
50. Preferential treatment may be accorded to domestic enterprises, in which case tenders by
foreign enterprises are increased by an amount not exceeding 15 per cent.
(7) C
OMMERCIAL COURTS
51. Law No. 53-95 establishing commercial courts gives these courts exclusive jurisdiction to
hear trade disputes and sole competence to examine industrial property disputes, whatever the nature
of the parties.
(8) INVESTMENT PROMOTION
52. The Government's objective is to promote investment in order to stimulate the country's
economic growth and development.  Since its last  trade policy review, Morocco has applied the
Investment Charter and the implementing legislation and regulations adopted with a view to
improving investment conditions, such as Dahir No. 1-95-213 of 14 Jumada II 1416(8 November 1995) enacting Framework Law No. 18- 95 establishing the Investment Charter and
Decree No. 2-00-895 of 6 Kaada 1421 (31 January 2001) implementing Articles 17 and 19 of the
Framework Law.
53. As part of the move to simplify investment procedures and promote regional economic
development, Regional Investment Centres (CRIs) have been set up mainly to foster the creation ofenterprises and provide support for investors.Morocco WT/TPR/G/116
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(9) PRIVATIZATION
54. Morocco launched its privatization programme in 1993.  By late 2001, the portfolio of State
holdings comprised 704 public enterprises and establishments.  Law No. 39-89 on privatization
provides for the transfer of 112 entities (including 37 hotels and 75 companies) to the private sector.
The deadline for completion of the privatization programme was extended from 31 December 1995 to
31 December 1998.
55. En 1999, a new Law (No. 34-98) abolished the deadline for completion of the programme and
removed from the list enterprises facing major legal and financial difficulties.
56. This Law defines three methods of privatization, i.e. through the financial market (Casablanca
Stock Exchange), through invitations to tender, or by direct sale.
57. A total of 63 entities (including 26 hotels) have been privatized since the programme began,
producing DH40 billion in revenue.  Of these 63 entities, 18 companies and five hotels have been
wholly or partly sold to foreign buyers.
58. The Law allows a maximum of 10 per cent of the equity of enterprises scheduled for
privatization to be reserved for employees when the enterprise is sold, and 20 per cent of the shares up
to a limit of 10 per cent of the equity when shares are sold.
(10) BILATERAL AND REGIONAL TRADE AGREEMENTS
59. As part of its overall strategy towards openness and liberalization, Morocco has taken steps in
recent years to update the legal framework governin g trade relations with its bilateral or regional
trading partners.
(i) Free-trade agreements
60. In addition to the Association Agreement with its main partner, the European Union, Morocco
has concluded free-trade agreements with EFTA and Members of the Arab League at both bilateraland regional level (Arab free-trade area) and has entered into preferential agreements with several
African and Arab countries.
(a) Morocco/EU Association Agreement
61. The Association Agreement between Morocco and the European Union was signed on
26 February 1996 and entered into force on 1 March 2000.  It provides for the gradual establishmentof an industrial free-trade area by 2012 and progressive liberalization of trade in agriculture.
Industrial products
62. The Agreement provides for free access for Moroccan industrial products in exchange for the
phased dismantling, over a period of 12 years, of duties on EU products, according to lists drawn up
on the basis of product sensitivity.
Agro-industrial products
63. Separation of the agricultural component from the industrial component, and phasing out of
the industrial component.WT/TPR/G/116 Trade Policy Review
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Agricultural products
64. For Moroccan exports, the Agreement provides for exemption from customs duties with or
without quota limits;  exemption from customs duties subject to reference quantities or agreed
reduced entry prices within quota limits;  and exemptions from customs duties not subject to quota
limits.
65. For EU agricultural products, Morocco's concessions are duty reductions within quota limits.
66. The Agreement contains an appointment clause to provide for more extensive liberalization in
agricultural trade.  These negotiations are under way.
(b) Free-Trade Agreement between Morocco and the European Free Trade Association
67. On 19 June 1997, Morocco signed a free-trade agreement with EFTA (Iceland, Liechtenstein,
Norway and Switzerland), which came into force on 1 March 2000 and provides for the following:
Industrial products
68. Exemption from customs duties and charges having equivalent effect for products originating
in Morocco, as from the date of the Agreement's entry into force.
69. Dismantling of tariffs, over a period of 12 years, on EFTA-originating industrial products,
starting on the date of the Agreement's entry into force (phasing out according to the scheme laid
down for EU-originating industrial products).
Fisheries products
70. For Morocco:  Total exemption on most exports.
71. For EFTA:  List of products exempt from cust oms duties and charges having equivalent effect
as from the date of the Agreement's entry into force;  and lists of products to be progressively
liberalized over a period of four, six and nine years.
Agro-industrial products
72. Separation of the agricultural component from the industrial component, and timetable for
phasing out the industrial component.
Agricultural products
73. Mutual concessions under bilateral arrangements.
(c) Arab free-trade area
74. Morocco has put into effect the programme for implementing the Agreement on Facilitation
and Development of Trade among Arab Countries, signed on 19 February 1997, which aims to
establish an Arab free-trade area over a period of 10 years.
75. The programme came into force on 1 January 1998 and provides for the gradual dismantling
of customs duties at a rate of 10 per cent per year over a decade.Morocco WT/TPR/G/116
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(d) CEN-SAD
76. Morocco is a Member of the Community of Sahel and Saharan States (CEN-SAD).
(e) Other free-trade agreements
77. Free-trade agreements have been concluded with the following countries:
− Egypt:  Signed on 27 May 1998;  entered into force on 29 April 1999.
− Jordan:  Signed on 16 June 1998;  entered into force on 21 October 1999.
− Tunisia:  Signed on 16 March 1999;  entered into force on the date of signature.
These three agreements provide for the establishment of a free-trade area within a maximum
of 12 years (postponement of the dismantling process for agricultural products, with the exception of
those listed as exempt as from the date of entry into force).
− United Arab Emirates:  Signed on 25 June 2001;  has not yet entered into effect.
78. On 11 January 2003, Morocco, Egypt, Jordan and Tunisia signed a quadripartite free-trade
agreement, which provides for the gradual elimination of customs duties on industrial products
according to the following timetable:
− 65 per cent on the date of signature;
− 80 per cent by 1 January 2004;
− 90 per cent by 1 January 2005;
− 100 per cent by 1 January 2006.
79. Agricultural products:  Implementation of timetables and phasing out according to the scheme
laid down by the Arab League.
(ii) Other preferential arrangements
80. Trade and tariff conventions have been concluded with the following two countries:
− Guinea:  Signed on 12 April 1997;  came into force on the date of signature;
− Chad:  Signed on 4 December 1997;  has not yet entered into effect.
81. Implementation of the Moroccan initiative in favour of least-developed African countries.
Under the WTO Work Programme, on 1 July 2000 Morocco began granting tariff preferences oncertain products originating in and coming from African LDCs.  The preferences were initially limited
to tariff cuts but have now been expanded.  Since 1 January 2001, Morocco has been granting full
exemption for an extended list of products originating in and coming from those countries.WT/TPR/G/116 Trade Policy Review
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(iii) Conventional bilateral trade agreements
82. Morocco has entered into conventional trade agreements with a number of developed and
developing countries on the African, Amer ican, Asian and European continents.
83. These agreements do not grant preferences on bilaterally traded products but provide for trade
on a most-favoured-nation (MFN) basis.
IV. MOROCCO AND THE MULTILATERAL TRADING SYSTEM
84. Morocco joined the WTO on 1 January 1995.  It accords MFN treatment to all its trading
partners.
85. Morocco reaffirms its attachment to the multila teral trading system and trade liberalization,
which it considers beneficial for growth, developmen t and prosperity.  Nonetheless, it underscores the
urgent need for the benefits to be equitably distributed among all countries.
86. Morocco emphasizes the necessity to regulate the trade liberalization process to make it more
orderly and well-considered, and above all more diversified and flexible so that both developed and
developing economies can find responses suited to their domestic concerns.
87. Morocco notes that so far the results of the negotiations have proved limited and patchy and
are therefore hardly commensurate with the levels of ambition stated at the Doha Conference.  Furtherefforts should be made to address all implementation-related issues in an appropriate and effective
manner.
88. The transition periods under certain Agreements have not allowed the developing countries to
honour and comply with their WTO commitments.
89. Morocco highlights the importance of differential and special treatment as a fundamental
component of the negotiations.  Several S&D provis ions contained in the WTO Agreements are vague
and imprecise.  Some of them have rarely been implemented – if at all.
(1) A
GRICULTURE
90. Morocco honours its commitments with regard to the implementation of the Agreement on
Agriculture.  It reaffirms its will to work towards a broader opening up of agricultural markets, while
stressing that Moroccan foreign trade in agriculture – especially on the export side – has not improved
to the extent anticipated.
91. In order to support the developing countries in their efforts towards sustainable development,
Morocco is committed to the principle of reducing or even ultimately abolishing export subsidies and
domestic subsidies that generate unfair trade.
92. Morocco also embraces the proposals aimed at significantly expanding access to developed
country markets for products originating in the developing countries.
93. It also considers it advisable to allow greater flexibility for the developing countries to
undertake tariff and subsidy reduction commitments under the special and differential treatment
provisions.Morocco WT/TPR/G/116
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(2) SERVICES
94. In the Uruguay Round negotiations on trade in services, Morocco presented a schedule of
commitments covering a broad range of sectors, including financial, insurance and re-insurance,
tourism, transport and basic telecommunications services.
95. Again, Morocco considers it important that the ongoing round of negotiations should continue
to be conducted in such a manner as to further the interests of all participants on a mutuallyadvantageous basis.  The process of liberalization in services should take into account the national
policy objectives and the level of development of individual Members, under an approach geared
towards progressive liberalization.
96. One of the obvious imbalances in the General Agreement on Trade in Services is the
treatment of labour and capital.  In the negotiations on services, more extensive liberalization ofmovement of natural persons would be crucial in promoting market access in sectors and modes of
supply of interest to the developing countries.
97. In Morocco's opinion, autonomous liberalization should be recognized as an equally
important issue if credit is to be provided in the ongoing negotiations for countries that have
unilaterally taken liberalization measures in key economic sectors.
(3) M
ARKET ACCESS FOR NON-AGRICULTURAL PRODUCTS
98. Morocco attaches prime importance to the Doha Round negotiations on non-agricultural
products.
99. It is convinced that although past rounds have led to substantial reductions in customs duties,
other improvements are necessary.
100. Morocco believes that the WTO Members should not all apply the selected tariff reduction
formula in the same way and that different levels of reduction should be determined for thedeveloping countries.
101. Substantial efforts also need to be made regarding non-tariff measures.  Morocco welcomes
the steps being taken to identify such measures a nd considers that this stage should be followed by
intensive work with a view to their elimination.
(4) I
NTELLECTUAL PROPERTY
102. To limit unfair practices, Morocco believes that it has now become necessary for the
additional protection for geographical indications for wines and spirits to be extended to other
products.  It welcomes the adoption of a separate Ministerial Declaration on intellectual property and
public health (access to medicines) and considers that the Members should have reasonable and
sufficient leeway for adopting measures, such as compulsory licensing, in pursuit of national health
objectives.
(5) RULES
103. Morocco attaches considerable importance to the ongoing negotiations on rules.  It considers
that in the process of improving and clarifying the rules and disciplines of the Anti-Dumping
Agreement and the Agreement on Subsidies and Countervailing Measures, care should be taken toWT/TPR/G/116 Trade Policy Review
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maintain the effectiveness of the instruments wh ich these Agreements provide for combating unfair
trade practices.
104. As regards the negotiations on regional arrangements, Morocco believes that trade
liberalization under these arrangements supplements the ongoing multilateral process.
(6) TRADE FACILITATION
105. Morocco attaches the utmost importance to trade facilitation as a means of boosting
international trade flows and of removing unjustified barriers that hamper international trade
operators.  It intends to increase cooperation in order to speed up the process of simplification and
rationalization of both national and multilateral procedures.
(7) TECHNICAL ASSISTANCE
106. Morocco considers that technical assistance should be both sustainable and suited to needs.
To ensure its effectiveness, it would be necessa ry to include parameters such as specialization,
regionalization and the need to supplement the provision of theoretical knowledge with practical
training.
V. CONCLUSION
107. In recent years, Morocco's trade policy has been directed at further opening up the national
economy through the implementation of domestic reforms and commitments made under trade
agreements.
108. With this in mind, the Government has taken all requisite measures to consolidate the trust
and credibility it has built up, to enhance the country's business environment and business support
services, in particular for small- and medium-sized enterprises, and to provide more attractive
conditions for investment, so as to achieve sustained growth capable of revitalizing the labour market,
reducing unemployment and raising the standard of living of the Moroccan people.
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