Overview and empirical analysis of the free trade agreement between the United States and Morocco
New Medit, vol 7, n. 2, (June 2008), pp. 41-49
Jel classification: Q170, F130
Trying to reduce its trade dependence on the European Union (EU) and to diversify its suppliers and clients, Morocco opted to sign trade agreements with other trading partners from Africa, Asia and America. Following this strategy, in 2004, Morocco signed a free trade agreement (FTA) with the United States of America (USA). The FTA went into force on 1 January 2006. This agreement was supposed to boost trade between the two countries. During 2006, trade between Morocco and the USA increased of 43.89 %: Morocco’s import from the USA increased by 66.78 % whereas its export did not rise beyond 16.94 %. Furthermore, cereals import increased. Hence, in the short run, the FTA seems to be advantageous for the USA and detrimental to Moroccos agriculture.
free trade agreement, agricultural products, Morocco, United States