Morocco Imposes Tariffs on Egyptian Canned Tomatoes to Protect Local Producers

Morocco has imposed temporary anti-dumping tariffs on canned tomato imports from Egypt following an investigation launched by the Ministry of Trade and Industry in response to a complaint from the National Federation of Food Industries last year.

Rabat – Morocco has imposed temporary anti-dumping tariffs on canned tomato imports from Egypt following an investigation launched by the Ministry of Trade and Industry in response to a complaint from the National Federation of Food Industries last year.

The investigation revealed that Egyptian producers were dumping tomatoes into the Moroccan market at unfairly low prices.

The complaint was submitted on behalf of three companies that represent 96% of Morocco’s national production. It prompted the ministry to investigate under Law 15.09, which addresses trade protection measures.

The ministry’s Directorate of Trade Protection and Regulation began the investigation on August 7, 2023. On May 31, 2024, it introduced a temporary anti-dumping tariff on imports of Egyptian-origin canned tomatoes, including prepared and preserved tomato paste, packaged in sealed containers like boxes and cups.

According to the ministry, Egyptian producers did not cooperate during the investigation. As a result, the dumping margin was set at 29.93%, determined using data that was already available. The ministry compared the export price of Egyptian tomatoes with their regular production cost at the factory level to reach this figure.

The ministry’s findings indicated a significant increase in the volume of Egyptian tomato imports during the review period. This rise impacted both Morocco’s local production and consumption.

The investigation revealed that Egyptian imports had a noticeable effect on the prices of Moroccan tomatoes, leading to consistent price reductions throughout the study period.

This situation has caused substantial harm to Morocco’s domestic production sector. The negative effects include a drop in the share of local production in national consumption, stagnation in employment levels within the industry, and instability in investment returns for local producers.

The ministry noted that the national production sector remains vulnerable and faces economic harm due to the influx of cheaper, dumped Egyptian imports.

While additional factors also negatively impacted the local industry, the dumping practices were deemed a primary issue.