Assistance and support :CHIMIE PARACHIMIE

Aide et accompagnement

1. Support for the sector’s ecosystems

Integrated and innovative support measures have been implemented to benefit the chemical industry’s companies organised into ecosystems, such as:

  1. support for investment, through the Industrial Development Fund (IDF), at a rate between 15% and 30% of the total amount invested, support for competitiveness of TPME (very small, small and medium-sized enterprises) and the self-entrepreneurs, support companies in the conclusion of performance contracts, access to property at affordable prices (39.6 hectares reserved for the organic chemistry ecosystem and 60 hectares reserved for the green chemistry ecosystem), attract top class international companies to accelerate the development of the ecosystems. setting up training to benefit the 12,430 future direct employees generated in the chemicals sector by 2020. It will be implemented at the level of the professional and engineering training establishments (OFPPT, Ecole Mohammadia d’Ingénieurs, Ecole Hassania des Travaux Publics, Ecole Nationale de l’Industrie Minérale) with special emphasis on increasing the training capacity for process engineering. access to bank financing through the development of an integrated offer dedicated to funding of investment and operations, support companies in the process of signing agreements with the Moroccan Foundation for Advanced Science, Innovation and Research (MAScIR) to facilitate access to R&D

    2. Investment Promotion Fund (FPI)

    • Under the Investment Charter, the FPI offers partial coverage by the Government of certain expenses related to the acquisition of property (up to 20% of the cost of land), external infrastructure (up to 5% of the total amount of the investment programme, or 10% in the case of an investment in the sector of spinning, weaving or finishing) and vocational training (up to 20% of the cost of the training).
    • These contributions may be combined as long as the total contribution of the state does not exceed 5% of the total investment programme; or 10% in the case of investment in the sector of spinning, weaving or finishing; or when the investment project is located in a suburban or rural area.

    Eligibility criteria:

    The investment project must meet at least one of the following five criteria:

    • Represent an amount of 200 million dirhams or more over a 3-year period;
    • To be located in one of the provinces or prefectures mentioned in Decree No. 2-98-520 dated 5 Rabii I 1419 (30 June 1998);
    • Create a minimum of 250 stable jobs over 3 years;
    • Provide technology transfer;
    • Contribute to the protection of the environment.

    3. Hassan II Fund for Economic and Social Development

    As part of the Industrial Acceleration Plan, aid from the Hassan II Fund has been extended to include the chemicals and para-chemicals industries (ICP).

    The Fund provides a financial contribution of up to 15% of the total amount of the investment, capped at 30 million dirhams, detailed as follows:

    The investment file must include the following documents:

    4. Tax incentives

    Tax incentives are provided for by article 123-22°-a) of the General Tax Code and Article 7.1 of finance law No. 12-98 for the 1998/9 budget year as amended and supplemented by the following:

    5. Support for SMEs

    SMEs in the sector may benefit from special support within the programmes developed by MAROC PME:

    6. Free zone status

    A free trade zone (ZFE) is a specified area of land devoted to export activities for industrial purposes and related service activities. Each free zone is created and delimited by a decree that determines the nature and business activities that can be established there.

    The operational free trade zones are located at Tangier (Tanger Free Zone – TFZ and Tanger Automotive City – TAC), at Kenitra (Atlantic Free Zone – AFZ), at Casablanca (Midparc), at Rabat (Technopolis) and at Oujda (Technopole d’Oujda).

    To obtain free zone status under law No. 19-94, companies must have obtained authorization from the local commission of the free export zone, which is presided over by the wali or governor of the region, and must make at least 70% of their turnover from exports.

    Free zone status allows for the exemption of foreign trade and exchange controls, as well as access to the following state aid:

    Tax incentives resulting in:

    Customs benefits:

    Administrative facilitations:

    • 10% of the cost of commercial buildings (excluding any other state contribution given for the acquisition of land and/or construction of professional buildings);
    • 20% of acquisition cost of new capital equipment (excluding any other state contribution given for the acquisition of capital equipment).
    • To benefit from the funds, new investment projects (creation or expansion) must have a total investment before import duty and taxes of 10 million dirhams, with the condition that the investment in new or used capital equipment exceeds 5 million dirhams before import duty and taxes and that the investors are companies in a sector relevant to one of the following activities:
      • the manufacture of cosmetic products and natural extracts;
      • the recycling of local metal and plastic waste;
      • the enhancement of phosphates.
      • The statutes of the company;
      • A detailed description of the investment project;
      • The references of the investor;
      • The cost of the project and the number of jobs created;
      • The method of financing the project;
      • The architectural plans of the buildings;
      • Surveying certificate;
      • A list of new equipment to purchase, with quotes;
      • Installation plans with all equipment shown to scale, with the designation of all equipment (in line with the aforementioned list of equipment); The project schedule;
      • A completed application form requesting assistance from the Hassan II Fund.
      • The exemption from import duty on capital equipment, materials and tools necessary for the implementation of an investment project with a total cost greater than 200 million dirhams during 36 months after the signing of the investment agreement; this exemption is extended to parts, replacement parts and accessories imported at the same time as the aforementioned equipment;
      • The exemption from VAT on imports of capital equipment, materials and tools necessary for the implementation of an investment project with a total cost greater than 200 million dirhams until 36 months after the start of activity by the company or from the date of issuance of the building permit, and which may be extended by six months in the event of force majeure (renewable once); this exemption is extended to parts, replacement parts and accessories imported at the same time as the aforementioned equipment.
      • Exemption from income tax (IR) during the first 5 years, and then a reduction of 80% of tax on gross earned income during the following 20 years;
      • Exemption from corporation tax (IS) for the first 5 years, and then a rate of 8.75% for the following 20 years;
      • Exemption from professional tax for the first 15 years;
      • Exemption from urban tax for the first 15 years;
      • Exemption from participation in national solidarity;
      • Exemption from tax on income from corporate rights, dividends and similar income for non-residents and a reduction in tax to 7.5% for residents;
      • Exemption from import duties, and simplified customs procedures;
      • Unlimited exemption from value added tax in respect of products delivered and services supplied to the free export zones and from the subjected territory;
      • Exemption from registration fees and stamp duty on instruments of incorporation or increases in the capital of the company, as well as on land acquisitions;
      • The establishment of a one-stop service to the investor.