Tunisia-Algeria trade falls short of potential

Tunisia-Algeria trade falls short of potential
Port of Oran, Algeria (FILE). Photo: AFP

Trade between Tunisia and Algeria remains weak despite geographic and cultural proximity, according to the Tunisian Institute of Competitiveness, as reported in The Arab Weekly. From 2011 to 2021, Tunisia accounted for just 3% of Algeria’s imports while importing 6% of its goods—mainly natural gas—leading to a persistent trade deficit. Structural issues such as limited product diversification, weak North African integration, and competition from China, Turkey, and EU countries hinder Tunisian export growth.

The report calls for streamlined customs procedures, stronger trade agreements, and incentives to boost Tunisian business presence in Algeria. Recommendations include joint trade fairs, diplomatic support, and targeted bilateral forums, as well as leveraging frameworks like the African Continental Free Trade Area.

Despite recent narrowing of the trade gap, the report warns that without high-level political coordination and policy reforms, the two countries risk missing opportunities for deeper economic integration and shared growth.

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