FOM Newsletter May 2002
Morocco Week in Review May 4, 2002 

The schooling rate of Moroccan children aged between 6 and 11 will reach 97% next fall, minister of education, Abdellah Saaf, said. The minister launched Monday an operation of social mobilization for schooling support.  The generalization of schooling towards which Morocco has been striving since the forties will be achieved as of next year, he said.The education department took several measures to increase the number of pupils registered in the primary to 4,686,000 and achieve a 6-11 children schooling rate of 94%, in addition to 2,746 extra classes.

Over the past week, Morocco's King Mohammed has been holding high profile meetings in Washington with US President George W. Bush and Secretary of State Collin Powell. Powell briefed the Moroccan monarch on his latest Middle East tour and asked the King for his views on the next steps in diplomatic efforts to curb Israeli-Palestinian violence. Among the ideas discussed was a regional peace conference to be attended by Arab and Israeli leaders. For the Moroccan leader, the Israeli-Palestinian conflict has become a central domestic issue. Earlier this month, a crowd of roughly one million people gathered in the capital city of Rabat, chanting slogans and waving Palestinian flags and banners. This official protest, backed by all of the country's political parties, followed scores of unofficial demonstrations and strikes by high-school students throughout the country over the previous two weeks. However, in spite of the priority placed on diplomatic efforts to resolve the Israeli-Palestinian conflict, the Moroccan monarch has more pressing socio-economic concerns to resolve back home. 

Thus, the greatest achievement of the King's visit to Washington is no doubt the announcement made by President Bush that the US will work to enact a free trade agreement (FTA) with Morocco. Following congressional approval, the FTA would phase out tariffs on Moroccan goods and award American exports preferential treatment in the North African state. Difficult conditions in the tourism and agricultural sectors, both of which are labor-intensive, are another cause of concern for Morocco's leadership. The tourism industry, which employs over 600,000 locals, has felt the impact of September 11. Tourism receipts fell to 1.19 billion Moroccan dirhams ($102 million) in January, down 43 percent from the Dh2.1 billion ($179 million) figure recorded in January 2001. Prior to last September, the tourism sector had been experiencing a two-year boom, with revenues rising 28 percent in 2001 to reach Dh27.8 billion ($2.38 billion). Meanwhile, only 21 percent of Morocco's agricultural land is in good condition, with the remainder afflicted by drought. Such conditions raise fears of a third consecutive year of production shortfalls in the sector, which makes up 20 percent of the country's Gross Domestic Product (GDP) and employs roughly half of its 10.3 million workforce.  

As these two sectors continue to languish, Morocco's recently released budget has been the target of widespread criticism. A group of 97 parliamentarians has lobbied the Constitutional Council to annul the budget, which has drawn heavy criticism from opposition parties and business groups. In addition, Standard & Poor's disputes the financial assumptions underpinning the budget. According to the US ratings agency, Morocco's budget deficit will be close to six percent, twice the level forecast by the government. Moreover, privatization receipts are predicted to be much lower in 2002. Although the government plans to sell stakes in tobacco firm Regie de Tabacs, car assembly plant Somaca and Banque Centrale Populaire (BCP), privatization revenues are still expected to fall by over 41 percent from the record Dh25.33 billion ($2.2 billion) of last year. Currently, 18 percent of the population lives below the poverty line of one dollar per day, and this number is rising as the tourism and agricultural sectors continue to suffer. While public protests now focus on the Israeli-Palestinian conflict, they could soon switch to more localsocio-economic concerns. -- (menareport.com)

Moroccan globe trotter, Adil Qatine, left New Delhi on Monday to resume his Asian tour on foot.  Qatine left the Indian capital city for Calcutta, from where he will head to Dacca,mBangladesh. The adventurer had come to New Delhi from Islamabad (Pakistan) via Lahore. He crossed the borders and walked through Amristar in the Punjab. Qatine, 30, had started his march for peace and entente among peoples last November from Rabat, Morocco's capital city. After crossing the Arab Maghreb countries, Qatine walked around Egypt, Jordan, Syria, Turkey, Lebanon, Iraq, Iran before reaching Pakistan and India. The Ibn Batouta of the modern times will make a break in Dacca, before heading for Myanmar, Thailand, Vietnam, China, North Korea and South Korea, Japan and Russia.  He will afterwards walk around Scandinavia and Europe before going back to Morocco in July 2003.

BASF: Pilot project aims to improve the textiles industry in Morocco BASF and U.N. organizations plan to make dye works more eco-efficient.

(M2 PRESSWIRE via COMTEX) -- BASF is conducting a pilot project with two U.N. organizations - UNIDO (United Nations Industrial Development Organization) and UNEP (United Nations Environmental Program) - to investigate the eco-efficiency of several textile dye works in Morocco. The results are then to be implemented in the form of improvements to production processes. The study will use the eco-efficiency analysis - a tool developed and used worldwide by BASF. The eco-efficiency analysis aims to achieve a balance between environmental and economic factors: In other words to manufacture cost-effective products with the smallest possible amount of raw materials and energy, and to minimize emissions. BASF has developed a software package in French that will be provided free of charge to Moroccan companies. The program uses key technical data to calculate how the manufacturing process can be improved. As a result, scarce resources can be conserved and the burden on the environment reduced. 

The pilot project is part of BASF's active involvement in the Global Compact initiative under the leadership of United Nations Secretary General Kofi Annan. In this initiative, global organizations and companies commit themselves to promote fundamental principles worldwide in the areas of human rights, labor standards and environmental protection. BASF is one of around 50 major companies as well as non-governmental organizations involved in employment, human rights, environment and development that support the Global Compact initiative. "The aim is to provide companies in Morocco with an effective tool for Sustainable Development. In this way, companies in the textiles industry can set a course toward products and processes that make both business sense and are environmentally friendly," explains Dr. Andreas Kicherer from BASF's Environment, Safety & Energy division. In the course of a visit to Morocco Kicherer visited selected dye works and established in Morocco initial contacts.  

The textiles industry with its 200,000 employees plays an important role in Morocco's economy and accounts for 40 percent to exports. In September 2002, BASF and the United Nations plan to present the results of their project jointly in a case study on the official agenda of UNEP's World Summit on Sustainable Development in Johannesburg. Further information on BASF's eco-efficiency is available on the Internet at www.basf.de/en/umwelt/oekoeffizienz. BASF is the world's leading chemical company. It aims to increase and sustain its corporate value through growth and innovation. BASF offers its customers a range of high-performance products, including chemicals, plastics, coatings systems, dispersions, agricultural products, fine chemicals as well as crude oil and natural gas. BASF's distinctive approach to integration, known in German as "Verbund," is its strength. It enables the company to achieve cost leadership and gives it a decisive competitive advantage in the long term. BASF acts in accordance with the principles of Sustainable Development. In 2001, BASF had sales of EUR 32.5 billion (circa $29 billion) and over 90,000 employees worldwide. BASF shares are traded on the stock exchanges in Frankfurt (BAS), London (BFA), New York (BF), Paris (BA) and Zurich (BAS). Further information on BASF is available on the Internet at www.basf.com. M2 Communications Ltd disclaims all liability for information provided within M2 PressWIRE. Data supplied by named party/parties. Further information on M2 PressWIRE can be obtained at http://www.presswire.net on the world wide web. Inquiries to info@m2.com.  (C)1994-2002 M2 COMMUNICATIONS LTD

Morocco is projecting no increase in minimum wages for the time being, announced Moroccan employment minister, Abbas El Fassi on the eve of Labor Day celebrated this May 1st. El Fassi told the Moroccan second TV channel 2M that the employers' Association and trade unions agreed that it was difficult to increase wages for the time being and that in view of the fragility of Moroccan economy, enterprises cannot bear such an increase.  Agreement was reached to conduct case-by-case negotiations between trade unions and enterprises, he added insisting on the need to take into account the country's economy. In another statement to the Moroccan first TV channel RTM, El Fassi said unemployment in Morocco decreased by 100,000 in 2001. The official said the present Moroccan government scored progress in several fields, despite a difficult juncture. He cited, in this connection, the increase in the number of subscribers to social security (156,000 new subscribers in 2001) and the promotion of employment through self-employment mechanisms.  He announced that a United Arab Emirates enterprise will employ 30,000 Moroccans, with the help of US and European firms, instead of the initially proposed 20,000. The UAE firm, which organizes cruises, has opted for Moroccan manpower instead of its traditional Pakistani, Indian and Kenyan staff.

The future of economic and commercial relations between Morocco and Britain is promising, said Digby Jones, director general of the British Investments Council. Jones, who was lecturing Tuesday in Casablanca, said his Council played a key role in making of Morocco a target market for British investors for 2001-2003. Britain chose Morocco as a target country alongside 14 other nations. He noted that British investments in Morocco increased tangibly over the past few years and trade exchanges tripled, putting Britain in the second rank of foreign investors in the Kingdom. Jones stressed that business rules require greater transparency, a better visibility and easier administrative procedures. The Moroccan government showed commitment regarding political change, exchange liberalization and social development, Jones said, adding that Morocco can be more attractive to investors and increase its share in international trade. Britain is Morocco's third trade partner after France and Spain.  British exports to Morocco tripled during the past 10 years. In 2000, trade increased by 15 percent to reach 14 billion dirhams in 2001.

The Moroccan spiritual capital city of Fez will host the 8th edition of its Sacred Music Festival May 28 through June 11 under the generic theme of "Paths of Wisdom." Evening concerts will be held at Bab Al-Makina, a 14th century weapon factory turned into a festivities square, while afternoon shows will be staged in the sumptuous Palace of Dar Bat'ha. H'madcha, or Sufi drummers of Fez, will perform their highly spiritual music in the Roman ruins of Volubilis and its 300 B.C. Arc of Triumph, as a backdrop. The festival will open by the Turkish "Voyage Nocturne Ensemble," directed by Kudsi Erguner featuring Sacred chants and music of the Ottoman era. Leading musicians from Bulgaria, Chechnya, Egypt, France, Iran, Iraq, Lebanon, Mauritania, Morocco, Pakistan, Syria, Switzerland, and the United States will be present at this annual rendez-vous.The complete program is posted on the festival website, www.morocco-fezfestival.com.

A new party, the Environment and Sustainable Development Party (PEDD), has seen the light of day in Morocco last week. The PEDD elected a secretary general, namely Ahmed Alami, at a constitutive assembly. The new political organization seeks to "face up the danger of pollution threatening the environment." Its creation comes as a materialization of the hopes of many academics, citizens and ngos, aware of the necessity to work together for the protection of the deteriorating environment," Ahmed Alami told Moroccan first channel, TVM. The party counts on the harmonized efforts of several associations operating in the field, to create a front for environment protection, he added.Alami is a former health minister.

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