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Over 40 companies at the high-level Spanish-Algerian Economic Forum: New economic directions, new opportunities

While trade with Algeria has picked up in recent months, Spain has emerged as a serious contender in the face of increasingly stiff competition from Algeria, which is now more a partner than a customer.

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Over 45 companies and institutions from Algeria and Spain attended between June 15 and 17 the high-level Algerian-Spanish Economic Forum, organized by the Algerian-Spanish Circle of Commerce and Industry (CCIAE), in collaboration with the Alicante Chamber of Commerce and the Spanish-Algerian Circle of Commerce and Industry (CCIHA).

"The event was attended by a dozen Spanish companies from many sectors, including industry, the maritime sector, agriculture, services and engineering. There were a lot of contacts, and I noted a lot of interest on both sides", said Djamel Eddine Bouabdallah, President of the Algerian-Spanish Business Circle.

The Algerian Investment Promotion Agency (AAPI) attended the forum, whose representatives explained new investment opportunities in Algeria to the Spanish operators present.

Spanish economic operators are intent on recovering their market share, jeopardised by two years of disruption caused by diplomatic tensions between Algiers and Madrid, which are now history.

CCIAE President Djamel Eddine Bouaballah is optimistic about the future of trade relations between Algeria and Spain.

The 2 countries look to the future.

"I think we can speak of total standardization. The event was an opportunity to strengthen economic exchanges in industry and technology. We're off to a good start," explained Bouabdallah.

With its dynamic economy, Algeria is now looking for partners rather than suppliers, with the operator-to-customer relationship of the past. According to Djamel Eddine Bouabdallah, Spanish economic operators are well aware of this new reality.

Spain is therefore seeking a prime position in the new Algerian economy, much coveted by foreign investors. Despite political tensions, countries such as Italy, China, Qatar and even France are vying for market share in several sectors.

For Djamel Bouabdallah, today's Spain is the fruit of the economic reforms that followed the 2008 crisis. Spain has thus been able to diversify its economy and explore new horizons.

According to the President of the CCIAE, Spain has worked hard on technology. Its automotive customers include Mercedes-Benz and BMW, which outsource their research and development to Bilbao.

Spain has a wealth to offer, and so Algeria does, notes Bouabdallah.

"Spanish operators ready to relocate to Algeria".

Algeria is attractive to investors. Concerning production costs, we can place Algeria among the best on the Mediterranean scene in terms of comparative advantages. Having spoken with Spanish operators, many of them are interested in relocating to Algeria, provided the current momentum continues", announced the President of the Algerian-Spanish Commercial and Industrial Circle, who predicts Spain will have "an honourable place" in the Algerian market.

Djamel Eddine Bouabdallah believes that there are several sectors in which Spain can aspire to do well, despite the stiff competition in Algeria, citing agriculture, pharmaceuticals, automobiles, spare parts and all types of industry and engineering.

"And then, what's interesting, is the technological follow-up, which is continuous development. They've made that a policy after the crisis. On the Algerian side, we should be thinking about how to take advantage of these new opportunities with the Spaniards, and how they too can adapt to our new reality, which is one of partnership rather than traditional trade", analyzes the President of the CCIAE.

Djamel Eddine Bouabdallah sees great opportunities and proposals to strengthen trade with Spain. For him, the exorbitant cost of food processing in Spain makes Algeria (with its advantages in production costs) a natural alternative for Spanish operators.

He proposes free trade zones with Spain. "Why not free points? An operator could set up a factory in a port with tax exemptions, but with requirements to export from Algeria with an Algerian workforce. He recommended, "This would earn foreign currency and benefit employment".

The President of the CCIAE predicts an increase in trade between Algeria and Spain without limits, even mentioning the possibility for Algerian producers to use Spain as a springboard for Latin American markets.

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Over 40 companies at the high-level Spanish-Algerian Economic Forum: New economic directions, new opportunities

While trade with Algeria has picked up in recent months, Spain has emerged as a serious contender in the face of increasingly stiff competition from Algeria, which is now more a partner than a customer.

Algeria Invest

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