Free Trade Agreement Between Algeria And Eu

Free Trade Agreement Between Algeria And Eu

In addition, the new European green deal will consistently use all policy levers: regulation and standardisation, investment and innovation, national reforms, dialogue with social partners and international cooperation that will have a positive impact on all future negotiations with EU trading partners. Prime Minister Abdelaziz Djerad promised on 19 August that the government would review future agreements to check for possible damage to the Algerian economy, without explicitly mentioning the EU agreement. Algiers has repeatedly called for renegotiating the terms of the agreement. Algeria has depended for years on the export of hydrocarbons to Europe and the world, while it stifles much of the private sector under the guise of bureaucracy and corruption. Today, shaken by the pandemic of coronavirus, social unrest, graft and depreciation of hydrocarbons, which began in 2014, Algeria is trying to renegotiate the terms of the agreement while deploring the lack of significant European investment in the Algerian economy. With the free trade agreement so weak, Algeria fears devastating consequences. The Association Agreement between the EU and Algeria was signed in April 2002 and came into force in September 2005. This agreement establishes a framework for EU-Algeria relations in all areas, including trade. Politicians and business leaders have strongly criticized the proposal for full implementation of the free trade area and see it largely at the expense of Algeria. Despite years of preparation, the free trade agreement is bogged down and risks being put on hold, as more and more Algerians insist that the package be renegotiated under better conditions. “Business representatives and experts will be involved in in-depth consultations to evaluate the agreement before deciding whether to continue the creation of a free trade area between Algeria and the European Union,” said Algerian Trade Minister Kamel Rezig. “It`s up to the government to make the decision.

We will look at all aspects of free trade and its implications. But be sure that we will defend Algeria`s interests. Algeria is back in its free trade agreement with the EU. Bilateral trade between the two partners is mainly based on Algerian oil and gas exports. Algeria is the EU`s third largest natural gas supplier after Russia and Norway. According to Ali Bey Nasri, president of the National Exporters Association, Algeria imported 240 billion euros worth of goods from the EU between 2005 and 2017, while exports, mainly of petroleum products, reached only 10 billion euros. Algeria has asked the EU to freeze a free trade agreement that is expected to be signed this year because of the length of customs reforms, an EU official said.

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