|
|
 |
|
Viewing report
|
|
|
|
Morocco Mining Report Q1 2012
Business Monitor International, Dec 2011, Pages: 50
Business Monitor International's Morocco Mining Report provides industry professionals and strategists, corporate analysts, mining associations, government departments and regulatory bodies with independent forecasts and competitive intelligence on Morocco's mining industry.
Morocco's mining sector looks set for steady growth over BMI's forecast period from 2011 to 2015, with average real growth of 3.1% year-on-year (y-o-y) and the industry is forecast to reach a value of US$1.55bn by 2015. State activity will remain the major driver of growth within the sector, particularly in terms of phosphate production. However, BMI also notes increased opportunities for foreign operators in areas such as base metals, tin, gold and diamonds with a number of exploration projects taking place across the country.
Phosphate Squeeze Continues
According to reports released in November 2011, Morocco's ministry of finance and economy expects the current supply squeeze being undertaken by phosphate producers to continue into 2012, despite a recent rise in global prices. Moroccan phosphate exports are estimated to have contracted by 7% during January to September 2011, resulting in a 42% rise in price over the period. The reduction in export volumes by producers sought to create a tighter balance between supply and demand following a slump in demand from farmers in major importing nations such as India. While the ministry expected supply to remain tight over the next few months, it added that the country's production levels were expected to grow over the year ahead with increased supply set to be observed by increased demand from Indian importers following a strong harvest. Morocco is the second-largest supplier of Diammonium Phosphate (DAP) to India after the US, supplying 20% of total imports of the commodity.
Business Environment
Morocco has a well-developed mining industry. However, the majority of the industry remains under state control, which acts as a major limitation on potential opportunities for foreign investors. In addition, an inefficient tax regime and under-developed labour infrastructure also act as constraints on growth. Given these constraints, Morocco currently ranks last in BMI's Business Environment Ratings for the African mining industry, with a score of 31.5 out of 100.
On the positive side, energy and transport infrastructure is improving, following recent investments. Furthermore, the state provides mining investors with a safe operating environment alongside security of investment. Also there are a number of incentives for mining companies. These include a 50% reduction in tax for miners that export their products. There are also exemptions on customs duties and some tax exemptions for imported equipment.
Key Players
Mining activity in Morocco is dominated by state-run Office Cherifien de Phosphate (OCP) and other state-run concerns such as ResidInvest and Managem. Managem subsidiary Société Metallurgique d'Imiter (SMI) operates the Imiter silver mine, the ninth-largest silver mine in the world. However, there is also a burgeoning private sector with foreign players leading the way in exploration for tin, gold, diamonds and other smaller mineral groups. The most important operators include Kasbah Resources, Maya Gold & Silver and Metalex Ventures.
Product samples
A sample for this product is available. Please Login/Register to download this sample.
|
|
|
|
