DUBLIN, July 4, 2011 (BUSINESS WIRE)–Research and Markets (http://www.researchandmarkets.com/research/6f5c63/morocco_agribusine) has announced the addition of the “Morocco Agribusiness Report Q3 2011” report to their offering.
Given its relative importance to Morocco’s economy, agriculture will continue to benefit from substantial levels of investment. In December 2010, Morocco signed a MAD780mn (US$93mn) financing agreement with the EU to support Moroccan agricultural sector policy.
The investment will help back the implementation of the Green Morocco Plan, a package of reforms targeted specifically at rural areas. The programme aims to gradually improve the bovine meat, date palm and olive grove sectors, along with other products including local truffles.
BMI maintains its view that Morocco’s livestock industry – especially the poultry and beef sectors – also offers considerable opportunity for further investment and development.
In recent years, livestock production has already benefited from increased investment as producers look to address growing demand. Demand for poultry has been notably high, with consumption growth reflecting an expanding population and rising GDP per capita.
A growing number of fast food outlets are also boosting demand for processed meats. Although demand for poultry and beef will partially be met through imports, domestic production also stands to benefit.
Value-added dairy products are also seen as offering opportunities for investment. Over the next few years, demand for cheese, butter and yoghurt in particular is expected to show strong growth.
Average annual milk yields are low in Morocco, highlighting investment opportunities in improving dairy production efficiency. Meanwhile, despite concerns about the rising price of major commodities, BMI believes that government interventions in the form of subsidies and stockpiling should help to ensure that consumption demand for basic food products remains steady.
In February 2011, Morocco’s Prime Minister met with majority and opposition party leaders to discuss ways to tackle rising living costs. Following these meetings, the government revealed that it would add MAD15bn (US$1.8bn) to the budget for food and energy in order to reduce the impact of rising basic commodity prices on consumers.
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