In 2005, Morocco ranked 89th in U.S. dollars among U.S. trade importers and 79th among U.S. exporters. This represents U.S. trade with Morocco of less than 0.1% of its total imports and exports. In 2003, Morocco exported about 2.9% of its total exports to the United States, while it imported about 4.1% of its total imports from the United States. These figures show that U.S. trade with Morocco is almost nil compared to Moroccan trade with the United States.
As a result, the USMFTA could have a much greater impact on the Moroccan government. In 2004, Morocco signed the Agadir Agreement with Jordan, Egypt and Tunisia. This has forced all parties to remove all tariffs on trade between them and to harmonize their legislation on customs standards and procedures. The Agadir agreement came into force in July 2006 and is implemented by the Agadir technical unit in Amman. Article 12 provides for the non-discriminatory application of the provisions in the areas of plant health and protection and prevents the contracting parties from introducing new measures that cause excessive obstruction of trade. Agricultural trade is the responsibility of three bilateral agricultural agreements negotiated between the EFTA state (Iceland, Norway and Switzerland/Liechtenstein) and Morocco. They provide for significant concessions on both sides, taking into account the respective sensitivities. Each agreement contains specific rules of origin, usually based on “fully preserved” criteria. Intellectual property protection provisions include, among other things, patents, trademarks, copyrights and geographical indications. The level of protection in some areas goes beyond the level of protection established by the WTO agreement on trade-related aspects of intellectual property, taking into account the principles of treatment of the most favoured nation and national treatment.
The advantages of the Moroccan government, businesses and consumers of the USMFTA are access to a vast and rich American market. With an influx of U.S. direct investment, they will be able to put in place much-needed infrastructure. Similarly, the development of activities with the United States “expands and diversifies” trade options for Morocco and opens up opportunities for technology transfer and “commercial know-how.” If U.S. companies decide to open factories in Morocco, it will create jobs and boost employment in the country. The United States and Morocco signed a free trade agreement on June 15, 2004. The agreement entered into force on January 1, 2006. The U.S.-Morocco Free Trade Agreement is a comprehensive agreement that supports the important economic and political reforms underway in Morocco and provides better trade opportunities for U.S. exports to Morocco by removing and removing trade barriers. Consultations are the fundamental mechanism for resolving disputes between the partners of the free trade agreement. The agreement requires the parties to work to resolve any differences between them regarding the interpretation and implementation of the agreement through direct consultations and, where appropriate, consultations within the joint committee. In cases where consultations do not result in a satisfactory solution, the parties may return to arbitration.
Appendix VIII governs the Constitution and the functioning of the Tribunal. The agreement contains a Protocol A on processed agricultural products, which sets out the current rules (price compensation system) in this area. The underlying principle is that the tariffs reflect the difference between the domestic price and the world price of the basic agricultural component of the product.