Market News

RABAT (Reuters) – Morocco paused tomato exports to African markets on Thursday to ensure steady domestic supply and help lower prices at home, the head of the Moroccan fresh produce exporters federation FIFEL and a government source said.

Tomato prices surged on the domestic market due to lower productivity in the country’s main producing region of Souss Massa, as well as higher fertiliser and fuel costs.

Morocco is the second-largest tomato exporter to the EU, but its African market is relatively small.

Exporters serving African markets were informed of the decision, FIFEL head Lahoucine Aderdour told Reuters by phone, without providing further details.

The halt is “temporary” and aims to help organise the market, said a government source, who requested anonymity, adding that exports “would resume soon.”

More expensive tomatoes shipped to European markets were exempt from the decision, the source said.

Morocco has in previous years restricted exports of some fresh produce to prioritise domestic consumption.

Government spokesman Samir Belfquih did not directly answer a question on Thursday about the export halt but said the government gives priority to “food sovereignty”.

Last week, Finance Minister Fouzi Lekjaa said the government would regulate food exports to help bring down prices.

The government has maintained transport subsidies to help keep food prices stable and plans to establish regional distribution companies to reduce intermediaries and lower food costs.

Agricultural exports rose 4.3% year-on-year to 33.1 billion dirhams ($3.4 billion) in the first nine months of this year.