Virtual Magazine of Morocco on the Web
Morocco Week in Review 
October 13, 2007

IDB earmarks $189m for power project in Morocco.
08/10/2007
The Islamic Development Bank (IDB) has allocated $189 million for a turbine gas power station in Mohammadia, Morocco, KUNA quotes a bank statement as saying on Saturday (October 6th). The project aims at supporting sustainable economic and social development in the region and to contribute to power efficiency throughout the country, the statement said. http://www.magharebia.com/cocoon/awi/xhtml1/en_GB/features/awi/newsbriefs/general/2007/10/08/newsbrief-04
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Morocco to build themal power plant.
by Wael Mahdi on Monday, 08 October 2007

Morocco on Saturday signed an agreement with Jeddah-based Islamic Development Bank (IDB) to finance the construction of a new thermal power plant to meet rising energy consumption in the North African country. Younes Kamal Maamar, General Manager of Office National de l'Etlectricite (ONE), Morocco’s primary utility company, signed the $189 million project financing agreement in Jeddah following approval of the project last month by the IDB Executive Board, reported Saudi state news agency SPA.

ONE is using the finances for the construction of a 300-megawatt gas-fired power plant at Mohammedia. The plant will be the utility firm’s seventh, it already operates six gas-fired power plants in Morocco generating 615 megawatts of electricity.

The increased use of gas for electricity is part of the country’s continued move away from coal, which Morocco’s two largest power plants are still fuelled by. However, Morocco produces only a small amount of coal and most of it has to be imported from South Africa. Morocco's electricity consumption is increasing rapidly due to rapid population and economic growth.

Power shortages and a desire to control public spending have led the Moroccan government looking to the private sector to meet the country's power demands.

Morocco received an $820,000 grant from the US government last year to liberalise and restructure its power sector. According to the US Energy Information Administration, the state's share of electricity generation will likely decline to 40% by 2020. Nevertheless, ONE will continue to monopolise distribution and transmission of electricity in Morocco.

Currently, ONE is runs a 350 to 400-megawatt combined-cycle power plant in Tahaddart in partnership with Spanish energy firm Endesa, which owns 32% of the plant, and German energy firm Siemens, which owns 20%. ONE has also awarded Endesa the development rights to a two-unit, 800-megawatt gas-fired power station in the Sidi Kacem Province, which is expected to be completed next year.

http://www.arabianbusiness.com/501745-morocco-to-build-themal-power-plant
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Millennium Challenge Corporation calls for investment in Morocco.
12/10/2007

Speaking at the US-Africa Infrastructure Conference held Tuesday (October 9th) and Wednesday in Washington, Ambassador John J. Danilovich, Chief Executive Officer of the Millennium Challenge Corporation (MCC) hailed Morocco’s commitment to liberalising its economy. He called on investors to seize business opportunities in the country, in light of the positive performance of the Moroccan economy, characterised by transparency and good governance. Recently, the MCC approved $697.5m to support economic growth and reduce poverty in the country over a five-year period. The grant targets five major projects, including fruit-tree growing, small-scale fisheries, handicrafts and the medina in Fez, financial services and SME support, and is expected to increase Morocco's GDP by some $118m annually and directly benefit 600,000 families, MAP reported. http://www.magharebia.com/cocoon/awi/xhtml1/en_GB/features/awi/newsbriefs/general/2007/10/12/newsbrief-05
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Morocco's Eid al-Fitr traditions place financial strain on families.
By Sarah Touahri 11/10/2007

During Eid al-Fitr, many Moroccans carry on traditions inherited over generations from their ancestors. The purchase of new clothes for children is an essential part of this feast day, even if it strains parents' budgets. With the approach of Eid ul-Fitr, business booms for many Moroccan retailers. Each year on the eve of the feast, clothing shops are crowded from morning to night with parents eager to buy new garments for their children.

Demand has increased for children's and traditional clothing, with many families making significant financial sacrifices to maintain their traditions and please their children. This year's purchases have been particularly difficult given the holiday season's overlap with the start of the new school year and a general rise in prices. In order to create a festive atmosphere and indulge in the traditional gift-giving, some Moroccans have even gone into debt.

Such is the situation of Bensalem Hamdane, a worker. As a father, he felt he could not deprive his children of happiness during the festival. "I don’t have enough money, because I spent it all during the holidays and at the start of the new school year. Fortunately, I know a shopkeeper and I’ll be repaying him in monthly instalments. I had to buy new clothes for my two children. That’s the tradition."

Each year the marketplace is dominated by frenetic buying over the last four days of Ramadan. Ready-to-wear clothing shop owners are eager for the high numbers of customers and cannot wait for the arrival of the Eid.

Samira Zainabi, 29, works in a large clothing store in Rabat. "We’re very busy. We are always rushed off our feet during this period. Profit margins are great, because customers are aware how high the demand is and don't haggle much." A sales assistant in one of the capital's downtown shops told Magharebia, breathlessly: "Work is getting busier and busier. This is the most flourishing period of the year."

Business in Rabat's old medina is also red hot. A feeling of joy and bliss can be seen on children’s faces: "I’m really happy. My mum’s bought me my Eid clothes. All I need now are the shoes and I’ll be looking beautiful on feast day," said 6-year-old Nisrine, her eyes twinkling with happiness.

Sociologist Ahmed Chaabouni told Magharebia it is impossible to change people's mindsets. "Moroccans from all social classes try to keep up the customs they inherited from generations back. For them, this is the only way to have a good time at the feast. Without a doubt, their children’s happiness becomes their own," he said.

To maintain customs, traditional dress is de rigueur during this holy period. Men and women, young and old, flock in increasing numbers to specialty shops. "I want a new djellaba for Eid, but I don’t have much time. I’d rather buy a ready-made one, even though it’s more expensive," one girl said, admiring the clothes on display in a city-centre shop window.

The rush to buy things as Eid approaches applies not only to clothing, but also to all kinds of cakes and treats. Moroccans spare no expense in their pursuit of happiness during the feast. It is also a time to visit family, to set differences aside and to start a new page in life. http://www.magharebia.com/cocoon/awi/xhtml1/en_GB/features/awi/features/2007/10/11/feature-02
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UNEP honours Moroccan professor Mohamed Besri.
11/10/2007

The United Nations Environment Program (UNEP) presented Moroccan professor Mohamed Besri with the "UNEP Champion Award" for his efforts to promote environmental protection over the past 20 years, MAP said on Wednesday (October 10th). Besri is a professor of plant pathology and integrated production and protection management at the Hassan II Agronomy and Veterinary Institute in Rabat and the University of Nancy, France. He has published more than 110 papers in international and national journals, mostly on the protection of the ozone layer. http://www.magharebia.com/cocoon/awi/xhtml1/en_GB/features/awi/newsbriefs/general/2007/10/11/newsbrief-06
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Free-Trade Agreements Not Yet in Favor of Morocco.
09-27-2007

It has been nearly eight years since Morocco signed the Arab free-trade zone agreement, its first in a series, and the results are disappointing. In all, six trade zones have been established since 1999 and all but one resulted in a trade deficit for Morocco. The only market where Morocco exports more than it imports is Jordan, but within the Arab zone, the total deficit reached the record of MAD 16.77 billion in 2005, compared to MAD 11.45 billion in 2001. 2007 data are not available yet but Morocco is looking at ways to make changes to the rules of engagement so it will remain behind.

The same can be said about Morocco’s free trade with the European Union (EU) and the European Free Trade Association (EFTA), a grouping of four European countries, Island, Liechtenstein, Norway and Switzerland.

Trade deficits with these zones have been a constant factor, reaching MAD 7.5 billion and MAD 1.17 billion, respectively in 2005. The bad news for the Moroccan trade balance with its free-trading partners goes on. Whether it is Tunisia, Egypt or the United Arab Emirates, these trade agreements put Morocco in a tough position. The question therefore is why Morocco is in so much of a competitive disadvantage? There are several explanations, many related to country-specific conditions.

Observers in Morocco argue that in the case of the European Union, the agreement turned out in favor of European companies precisely because Moroccan firms already had preferential access before the agreement was inked, while their European counterparts did not benefit from reciprocity. The agreement fixed that discrepancy, allowing European companies to catch up, but also to expand their sales into Morocco at a faster pace.

In the case of Arab countries, in particular, the agreements and the negotiations leading to them, failed to recognize the gap that existed (and still does) between Morocco and its partners in the areas of fiscal policy and overall economic fundamentals. These gaps did not favor Morocco, which needed first to overhaul its economic structures. Now that Morocco knows that, will it do something about it? Movements in Rabat signal that changes are likely to happen.

Almost two years since the free-trade agreements Morocco inked with the United States and Turkey and the benefits of such deals remain uncertain. For now, official data indicates that trade has not exploded in ways that many business leaders anticipated. Moroccan exporters have not been pushing as hard as they could, in particular among businesses operating in sectors said to be the most promising such as garment and textile, leather, auto parts, and fish products. The conclusion that many make is that Moroccan businesses' adaptation to the changes and their ability to grab opportunities will take longer than expected. The learning curve is indeed steep.

For some textile professionals, the industry is doing relatively well given the free-trade agreement with the United States opened new opportunities in a market that was not previously targeted. Marketing their products through trade shows such as the Las Vegas Magic Show, textile companies from Morocco managed to grow their exports to the United States by as much as 30% year on year as of 2006. Moroccan businesses have also been active seeking to expand their sales into Turkey, in particular as products using Turkish raw materials benefit from higher priority. It is also expected that Turkish companies will soon begin to relocate their manufacturing activities in Morocco and are likely to raise their purchases there.

In contrast, the leather industry remains lethargic and its leaders have not been rushing to conquer the American market. The industry says it currently lacks support and a special export assistance program is in the offing. But the industry’s federation says its members are well equipped to handle the demanding and mature American market.

The bulk of their work thus far with respect to the American market occurs in form of contract manufacturing on behalf of European companies. In other words, leather products can already be found in U.S. retailers but they carry European brand names. As such, they expect that at some point competition for the U.S. consumers could actually be with their European clients. And in this context, the Moroccan hold a competitive advantage given their sales to the United States are paid in U.S. dollars, instead of the Euro as practiced by the Europeans. In addition, production cost in Morocco is 30% lower than in Europe. As for Turkey, the biggest benefit is the Moroccan businesses' ability to purchase their raw materials are reduced cost.

In the automotive sector, businesses are still in the process of analyzing the U.S. market and working with the industry ministry to establish an export strategy that works. The focus is on a series of extremely competitive products often imported from China, ranging from dashboards to gearboxes, and from windshields to radiators.

But Morocco is not just thinking about export only. It is working to convince American small and medium-size businesses to use it as a platform for their exports to Europe. They are using the case of some small American companies that have establish operations in Morocco to establish their value proposition and lure other US companies.

For the Turkish market, the agreement as it stands today has essentially benefited Turkish companies instead, despite some cases of Moroccan successes such as Plastex, Siprof, and Detroit Industries, three companies that managed to establish a presence in Turkey and sell their products there.

In the fisheries sector, exports witnessed a slight increase in value. This is attributed to the rise in the sale of tuna and mackerel generating some MAD 300 million last year, compared to MAD 215 million in 2005. The export of canned sardine rose by some MAD 4 million to a total revenue figure of MAD 59 million. In this sector, fish products, with the exception of untreated sardines have been exonerated from import taxes by the Americans. Although the removal of tax barrier bodes well, there is still however a major problem and that is 98% of Morocco’s canned sardine actually do not benefit from tax exoneration given it is processed. This requirement imposed by U.S. trade negotiators is essentially meant to protect the few sardine companies still operating in the United States.

As for the Turks, canned fish is not of interest to them. Instead they have imported some 5,000 tons of Moroccan frozen sardines in 2006. In the electrical component sector, Moroccan industries are finding difficult accessing the U.S. market. The main culprit is neither quality nor the industry's will but standards. Morocco is lined up with European standards, which are often different than American standards. This means the Moroccan electrical component industry will have to think hard on a strategy for a North American expansion.
http://www.north-africa.com/news/csNews.cgi?database=aa.db&command=viewone&op=t&id=133&rnd=429.2481762856846 --------------------------------------------------------------------

New Commerce Group launches the first English language, Multimedia Magazine in Morocco.
Press release from:/news/archiv/24466/New-Commerce-Group.htmlPR Agency: New Commerce Group
(openPR)

New Commerce Group (NCG), an e-Business consulting company based in Tangier Morocco, today announced the launch of Morocco Newsline, the first online, English language multimedia magazine.
Over the past 15 years, Morocco has made a strong commitment to join the world economy. The country is undergoing dynamic changes which are opening new business opportunities as well an increasing demand for tourism. Since the early 1990’s, it has adopted a series of reforms in its quest to encourage economic growth and stability through the promotion of its private sector.
Morocco Newsline’s mission is to help its readership get a better understanding on the rapidly changing Morocco. The publication will feature sections on business and finance, politics, travel, real estate, culture as well as video and audio/slideshow reports. A special “In Focus” section will feature research and case study reports on the economy and an overview of investments of business opportunities in Morocco.

“Our magazine is directed towards an international readership interested in visiting, living or doing business in Morocco. We believe this new multimedia magazine will fill an important editorial and commercial niche” says Karim Zouiyen, president of New Commerce Group and editor of Morocco Newsline.
For additional information about advertising in “Morocco Newsline” please visit www.morocconewsline.com or contact Karim Zouiyen at +33 6 09 03 06 93 or by email paris at newcommercegroup.com

New Commerce Group
Royale off shore
Tanger Morocco
90 000
Tel in Paris +33 6 09 03 06 93
Tanger Morocco +212 65 23 39 39
email: Paris@newcommercegroup.com

New Commerce Group (NCG), an e-Business consulting company based in Tangier Morocco.
Morocco Newsline, a new online multimedia magazine, delivers the latest news and information on the latest top stories, weather, business, entertainment, politics - Morocco Newsline.
http://www.openpr.com/news/29714/New-Commerce-Group-launches-the-first-English-language-Multimedia-Magazine-in-Morocco.html
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Moroccans still venerate marabouts.
05/10/2007 By Sarah Touahri

Though not customary for most Muslims, the tradition of marabouts, or saints, and intercessory prayer continues to be observed in Morocco. People seeking healing, aid or enlightenment visit the tombs of such notables to gather in prayer.

Morocco's marabouts, or "saints", still occupy a special place in the lives of many Moroccans. The temples that house the marabouts' tombs are found in all regions of the Cherifian Kingdom and continue to be visited en masse, by young and old alike. Although it is not customary in Islam to pray to these saints, the ancestral practice still holds sway for those who come to pray or seek a favour.

The marabouts – also called walis, cherifs or saints – are usually buried in small chapels. Inside the marabout’s tomb, you will always find the same scene: pilgrims – both men and women – sitting around the tomb while others cover their heads with the holy man’s flag and remain motionless, as though confessing their sins. While there are innumerable marabouts’ tombs in Morocco, those that are well known draw masses of visitors. Sidi Belyout in Casablanca, situated at the heart of the economic capital, is one example.

The entrance to the marabout's dome is sculpted with arabesques. A palm tree has grown there and a hole had to be made in the roof to accommodate it. The woman who guards the tomb and sells candles to the visitors said, "These people come to make their intercession to God. Each has their own worries. They pray and God answers their prayers."

Many of the visitors which flock to Sidi Belyout are girls who come to reveal their troubles to the wali. Khadija B., 36, lives in Casablanca's old medina. "I believe that these saints really do bring good fortune," she said. "When I was still little, my mother took me all over Casablanca to meditate at the tombs of the various saints. Each week, I come to Sidi Belyout, where I meet several women. If I stay away too long, the holy man comes to see me in my dreams to tell me I must visit him."

Khadija is not the only faithful visitor to the marabout. "In fact, it’s a sort of spiritual relief," said Ilham Boughaba, a law student. "After my weekly visit, I feel peace in my inner being and I can then go about my normal business in total peace. Over time, my visits have become an essential part of my routine."

The marabouts graves are also a regular meeting place. The poor come flocking in every Friday to eat the couscous served by benefactors and annual festivals, such as the moussem, continue to attract hundreds of thousands of people. In addition to praying and requesting blessings, the moussem also provides an opportunity to meet up with friends and family who live far away. Some people take advantage of the event to find a husband or wife for their unmarried children.

Those who come to meditate at the saints' temples harbour a thousand and one hopes and implore the marabout for luck. "If I go to the marabout, it’s so that he will act as a go-between for me and God," said El Hajja Tamou, who is in her sixties and has been visiting Morocco's walis since her earliest childhood. "I know he’s just a human being like we are, but he’s a cherif."

Tamou's "consultation" changes according to what she hopes to get out of it and her requests change from visit to visit. "I beg them that my husband will not remarry, that my son will get himself a good job, and that my thirty-five-year-old daughter will find a husband," she declared, with her eyes full of hope. In Morocco, each marabout is believed to have a particular area of influence which sets him apart from the others, Tamou said. Each saint is judged on his "miracles" and mystic stories about him. It is this wondrous aspect alone which is capable of providing satisfaction for a certain category of people whose cultural nourishment clearly comes from the imaginary world.

Sociologist Jamil Maaroug explains to Magharebia that in many cases, the marabout plays the role of a psychiatrist. Faced with expensive psychiatric care services, some people prefer to take their loved ones who are suffering from mental illness to the saints. The best-known example in Morocco is that of Bouya Omar in Kalâat Seraghna, where dozens of mentally ill people are chained up, waiting for the marabout’s luck to heal them.

Dr. Driss Moussaoui spoke of the myth of Bouya Omar, or the "spirit trainer", as he is known; he said it also exists in Greece. "At the time, the mentally ill were locked up in the basements of hospitals, waiting for Asclepios, the god of medicine, to appear to them in a dream and give them the key to free them from their illness," he said. "This has nothing to do with religion, nor with Morocco. It’s something which has come to us from the Mediterranean region, where different civilisations have met, each with its beliefs which live on in one way or another."

Moussaoui also said that today, people often resort to a combination of both traditional methods and modern medicine. "Although some patients go to a psychiatrist, they continue to call on the skills of a traditional healer, and use traditional methods of dealing with psychological trouble, [which include] pilgrimages to marabouts and trances... This can have a beneficial effect for people affected by mild disturbances and who believe in the virtues of the saints, but for others, this is not the case," he said.

The practice of seeking blessings from marabouts seems far from disappearing in the short term. In his book Rites and Secrets of Casablanca's Marabouts, Dr. Akhmisse Mustapha stresses that people still turn to and are addicted to some incomprehensible practices. The country's elite condemns them and religion fights them; but nothing can get rid of them. "They will continue for years to come because this is in fact the product of a deep-rooted aspect of childhood: the holiness with which the marabout is identified. The wali remains a haven of peace for the suffering soul which can find none," he explained.
http://www.magharebia.com/cocoon/awi/xhtml1/en_GB/features/awi/reportage/2007/10/01/reportage-01
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