Moroccan Transport Unions Demand Fuel Subsidy Reinstatement from Prime Minister Akhannouch
Moroccan Transport Unions Demand Reinstatement of Fuel Subsidies
Facing unprecedented hardship due to soaring fuel prices, Moroccan transport unions are calling for the government to reinstate fuel subsidies for their industry.
The National Coordination of Road Freight Transport Unions recently penned a letter to Prime Minister Aziz Akhannouch, pleading for the return of fuel subsidies. They argue that the current situation is pushing many transport companies towards bankruptcy, with potentially devastating social consequences.
The unions highlight that Morocco has some of the highest fuel prices in both Africa and the Arab world. They claim this is partly due to a suspected cartel controlling the fuel market, allowing companies to amass “exorbitant and illegitimate profits,” as indicated by official reports.
This situation echoes global trends, where the fuel industry has come under scrutiny for record profits amidst a cost-of-living crisis. For example, in the first quarter of 2023, ExxonMobil reported a record profit of $11.4 billion, highlighting the global disparity between energy giants and struggling consumers.
The Moroccan unions argue that the government’s previous attempt to alleviate the situation in early 2022, by introducing fuel subsidies, was poorly implemented. They claim the support was characterized by delays and suspensions without justification. This year, they report receiving only three installments of the subsidy, the last one being in May. Many are still waiting for previous payments.
Adding to their frustration, the unions point to a promise made by Fouzi Lekjaa, Minister Delegate to the Minister of Economy and Finance, in charge of the Budget. During a meeting on March 14, 2022, attended by the unions and the Minister of Transport and Logistics
