Controversy Intensifies Over Tax Exemption for Livestock Importers in Morocco

Rabat– Nabil Benabdellah, Secretary-General of the opposition party of Progress and Socialism (PPS), has disclosed that tax exemptions granted by the Akhannouch government to sheep and cattle importers from 2022 to 2024 amounted to approximately MAD 13.3 billion (USD 1.38 billion).

Citing an official government document, Benabdellah stated on the social media platform X that 277 importers benefited from these exemptions. He clarified that the figures come from “data and additional information requested by parliamentary groups and political parties in the House of Representatives.” 

According to him, the PPS had sought clarification from the government in October 2024 during discussions on the 2025 finance bill.

Benabdellah’s claims that the real figures are far higher than the government’s official estimate of MAD 300 million (USD 31.15 million) This amount had been  announced by Rachid Talbi Alami, Speaker of the House of Representatives and a senior member of the National Assembly of Independents (RNI) party.

He clarified that the suspension of import taxes on, approximately, 120,000 calves, from October 21, 2022, to December 31, 2024, had cost the state MAD 7.3 billion (USD 758 million). Furthermore, Benabdellah stated that the state covered value-added tax (VAT) on cattle imports from February 3, 2023, to October 22, 2024, amounted to MAD 744 million (USD 77.25 million). Only 133 importers benefited from these exemptions, according to the statement.

When it comes to sheep imports, Benabdellah said that the  suspension of customs duties from February 2023 to October 18, 2024, amounted to MAD 3.86 billion (USD 400.83 million). The VAT exemption on sheep imports during the same period reportedly reached MAD 1.16 billion (USD 120.54 million).

The figures have sparked controversy among Moroccans and within opposition ranks. In fact, before Benabdellah’ revelation, the Party of Justice and Development (PJD) had already requested in February the Court of Auditors to launch an investigation into the matter.

On March 30, PJD lawmaker Abdessamad Haiker called for the formation of a parliamentary inquiry commission under Article 67 of Morocco’s 2011 Constitution. According to this provision, such commissions can be created at the initiative of the King or upon request of one-third of the members of the House of Representatives or the House of Councillors.

However, for the inquiry to proceed, the PJD must rally the support of 131 deputies. A great hurdle given the party’s past failure in securing enough backing to investigate Russian diesel imports in 2023.