US-Morocco Free Trade Agreement

The blog assignment is to discuss the positive and negative impacts of regional trade agreements this week. My topic is US-Morocco Free Trade Agreement. US-Morocco Free Trade Agreement is a bilateral trade agreement between U.S. and Morocco. It entered into force on January 1, 2006. The purpose of this trade agreement is going to eliminating tariff on more than 95 percent of all goods and services. This trade agreement is good for both of Untied States and Morocco.

"Since the entry into force of the FTA, the U.S. good trade surplus with Morocco has risen to $1.2 billion in 2009, up from $79 million in 2005 (the year prior to entry into force)" (United State Trade Representative, 2012). "Adding to the benefits provided by the FTA, Morocco's economy has been steadily growing at an increasing rate over the past ten years". (export.gov, 2011)

From the fact above, we can see the US-Morocco Free Trade Agreement can be used as a tool to develop trade in developing regions. The US-Morocco Free Trade Agreement will help develop the domestic economic for Morocco. Also, this free trade agreement will create numerous job opportunities for Morocco. It will be attract many investors to open business in Morocco due to the free tariff policy. On the other hand, the United States obtained a lot of advantage as well. The biggest beneficial owner was the agriculture department. The United States export agriculture product to Morocco a lot every year. The major product is corn ,wheat, and soybean. In addition, U.S. want to move forward a step to trade with the Middle East country through the US-Morocco Free Trade Agreement.