WeCount Team
05 July 2021
To attract foreign investment and promote its economic activity, Morocco has recently developed export processing zones named Industrial Acceleration Zones. These fertile, job-creating areas are scattered throughout the country. They are home to some of the world's largest industrial and service operators—a map of Industrial Acceleration Zones in Morocco.
Formerly known as industrial free trade zones, the Industrial Acceleration Zones became industrial acceleration zones in the wake of the 2020 Finance Law. In addition to being a semantic seduction operation, this nomenclature summarizes the strategic vision of Morocco, which seeks better to position itself on the continental and regional scene.
This new configuration also argues for a cause defended by operators installed in the Industrial Acceleration Zones regarding tax positioning.
Indeed, in addition to tax optimization, they would be motivated by other financial indicators such as the final profitability linked to the business plan and the cash flow generated.
Therefore, this new denomination responds to many preconceived ideas about these spaces reserved for companies specialized in export, otherwise, among the champions of transformation and creation of jobs and values.
Before looking at the most critical acceleration zones in Morocco, let's take a moment to discuss the advantages of these export platforms briefly.
When we talk about free trade zones and the desire to set up a business in Morocco, the first indicator we think of is undoubtedly the tax advantages. In the case of Morocco, they are worth the detour. 15%!
If this figure doesn't ring a bell, it's the corporate tax rate in the Industrial Acceleration Zones. Initially set at 8.75%, the corporate tax rate has risen to 15% after the five-year exemption period. The government made this change in the wake of the 2020 finance law.
The objective for Morocco has been to align itself more closely with international standards in terms of taxation while remaining attractive for new companies.
Companies located in industrial acceleration zones are required to export their production.
But since 2018, tolerance has been introduced in the free trade zone regime. Allowing companies based on the free trade zone to sell, on the Moroccan market, their semi-derived products and goods and services up to 15% of the turnover achieved in export during the previous year.
Industrial Acceleration Zones offer a wide range of services to companies wishing to locate in these prime areas. Turnkey buildings, rental offices, Etc. are added to this real estate offer for investors, along with a wide range of services, from operating services (maintenance, management, security, Etc.) to general services (banking, catering, telecoms, Etc.) to business services (recruitment support) and logistics.
However, this is not enough to make an industrial park a unique platform. This is why the Industrial Acceleration Zones, which mobilize the CRI, the CNSS, the Customs, and the municipalities, also offer administrative services (through a one-stop-shop) by bringing together various essential government services and administrative procedures for investors.
While most of these services are available in the various free trade zones operating in Morocco, the platforms often have unique features.
Morocco has 12 industrial acceleration zones, but not all of them are yet operational. However, among those that are operational, a few stand out.
A zone dedicated to the aeronautics and space industries, Midparc is a mecca for consolidating a sector with great potential. In addition to aeronautical and space companies, it is also home to the giants of defense and security and the industries of the future, particularly in the medical and embedded electronics fields.
Located just a few kilometers from Morocco's main air gateway, Mohamed V International Airport, the hub enjoys a unique logistical position that provides direct access to the rest of Africa and Europe. In addition, the platform has a port, rail, road, and air infrastructure of excellent quality. Adjacent to Mohamed V airport, the country's leading hub is serving more than 70 destinations worldwide. As a result, Midparc has everything it takes to appeal to exporting companies.
If you are looking for a competitive local workforce, Midparc is the place to be. In addition to being numerous and well-trained, human resources in the Casablanca region are available at a very competitive cost. They are 6 to 8 times cheaper than in Europe. Each year, 2,000 young people are trained on-site. The icing on the cake is that companies can benefit from a training subsidy of between 2,000 and 6,000 euros per person.
One of the first integrated platforms to emerge in the wake of the National Pact for Industrial Emergence, Atlantic Free Zone is also one of the largest African platforms dedicated to exporting companies. Spread over nearly 350 hectares, authorities recently expanded the free trade zone by 9 hectares to accommodate more investors as demand is high. However, the secret of this rush to this up-and-coming industrial area lies in the advantages offered by AFZ.
AFZ is a favorite playground for multinationals, especially in the automotive and electronics sectors. For example, the Renault Morocco ecosystem and the American Adient, and the Chinese Citic Dicastal have their roots in Kenitra.
Located a few kilometers away from Rabat, the Kingdom's administrative capital, and Casablanca, the economic prosperity, AFZ is strategically positioned for exporting companies. The two major cities are linked to the rest of the country and to the rest of the world by the most complex networks in Morocco.
Located near the country's administrative capital, Technopolis enjoys a strategic location. This advantage makes the park an ideal place for companies specializing in exports.
Technopolis is located close to the motorway axis. The park straddles two airports, namely the Rabat-Salé international airport and the gigantic Casablanca air hub. Home to some of the country's best training schools, Rabat is an absolute wealth of competitive and abundant human resources. All of these advantages make Technopolis a workshop where the cost of production defies all market laws.
The big cities Rabat, Tangier, and Casablanca do not have a monopoly on industrial acceleration zones. Smaller towns like Oujda also have their industrial parks.
The cleantech is located only 12 km from Oujda. It offers advantages that enable companies to become more competitive in this part of the country, namely good quality, low-cost local workforce, and up-and-coming export opportunities.
Only 120 km from the port of Nador Beni Nsar, the platform also enjoys a unique geographical location. Located at the crossroads of Africa, Europe, and the Maghreb, the park offers significant opportunities to exporting companies. In terms of service infrastructure, the promised land of industrialists is at the center of a very dense connectivity network.
If there is an industrial acceleration zone very close to Europe, it is Tangier. Inaugurated in 1999, the park is located at the gateway of Europe while remaining open to the rest of the world.
Spread over 400 hectares, Tangier Free Zone would make any economic zone green with envy due to its strategic location, among other assets. Therefore, it is not surprising to see the high development of this hub. Its combines service offerings and a suitable marketing model, especially in the rental of ready-to-use warehouses and the sale of land for industrial use.
The zone, which has many companies, is dedicated to the aeronautical, textile, agri-food, logistics, and service sectors. Adjacent to the international airport of the city of the Strait, the TFZ is full of highly qualified workers.
There are more than a dozen industrial acceleration zones in Morocco. While most of them are operational, many platforms are still under construction. In addition, the government plans to create new spaces dedicated to companies specializing in exports to welcome more investors looking for fertile ground. This proves once again the attractiveness of Morocco because the demand has never been this high.
Do not hesitate to contact us if you wish to be accompanied by your installation in Morocco's industrial acceleration zones.
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