Morocco Defense Market Size and Trends, Budget Allocation, Regulations, Key Acquisitions, Competitive Landscape and Forecast, 2022-2027

The defense budget in Morocco is valued at $0.02 billion in 2020. The market is expected to grow at a CAGR of over 5% during the forecast period 2021-2026. Over the historic period, defense expenditure has been driven by the ongoing rivalry with neighboring Algeria, the conflict in Western Sahara, and security concerns related to both the drugs trade and terrorism. Morocco is the fourth largest defense spender in the African region. The country’s increasing military expenditure is reflected in its ongoing modernization drive due to security challenges and the government’s steps to combat internal and external terrorist attacks. The most attractive sectors in Morocco’s defense market are military fixed-wing, military rotorcraft, and military infrastructure.

Overview of the defense market in Morocco

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Military doctrine, modernization goals, and Morocco’s national defense strategy

The Royal Armed Forces of Morocco consist of the Royal Moroccan Army, Royal Moroccan Navy, Royal Moroccan Air Force, and the Royal Gendarmerie. The mission of the armed forces is to defend the national territory, issue internal security and constitute the largest group of disciplined and trained manpower in the country. The Moroccan Armed Forces have a good capability to enforce internal security. In addition to performing the usual defense and security missions, they participate in civic action work too. Morocco has maintained its regional stability despite instability in the MENA region, Tunisia’s violent democratic transition, protests in Egypt, and uncertainty in Libya. Morocco and the US have developed a close relationship, with the US emerging as a key ally for Morocco.

How has COVID-19 affected Morocco’s defense spending?

The COVID-19 pandemic impacted the country’s economy. In Morocco, from January 3, 2020, to April 23, 2021, there have been 507,938 confirmed cases of COVID-19, with 8,976 deaths, according to the WHO. As of April 19, 2021, a total of 8,841,456 vaccine doses have been administered. The Central Bank of Morocco has announced a series of measures to increase three-fold the financial capabilities of banks to enable them to counter the impact of COVID-19 on the local economy. The economic impacts of COVID-19 are expected to dampen the rate of defense expenditure growth over the forecast period.

What are the segment classifications in Morocco’s defense market?

The defense market in Morocco is segmented into multi-role aircraft, attack helicopter, platform based MDS, diesel electric submarine, and others. Multi-role aircraft is the largest segment of Morocco’s defense market followed by attack helicopter and platform based MDS.

Defense market in Morocco, by segment

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What are the import and export market dynamics in Morocco’s defense market?

During 2016-2020, the US-dominated as the largest arms supplier to Morocco, accounting for 90% of its imports, followed by France and the UK. Morocco obtains most of its defense equipment from the US under the Foreign Military Financing (FMF) program and a Free Trade Agreement (FTA). Due to the procurement of 12 F-16 Fighting Falcons and the procurement of AH-64E Apache Guardian helicopters, the US’s percentage share of total defense imports is anticipated to grow over the forecast period.

Morocco’s domestic defense industry is not developed. Therefore, the country does not export any arms to other countries. However, the Moroccan government has made a conscious effort to develop its domestic industrial capabilities as a means to mitigate its dependence on imports for defense equipment. Morocco is negotiating with the US, France, and Spain to set up a local arms industry through the creation of joint ventures.

Who are the major market players in Morocco’s defense market?

Major companies in Morocco’s defense market include The Boeing Co., Lockheed Martin, and Raytheon Technologies Corp.

Defense market in Morocco, by key players

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Market report scope

This report provides a comprehensive analysis of the defense market in Morocco and contains an in-depth analysis of the following:

• Morocco defense budget: Detailed analysis of the “Morocco FY2021” defense budget broken down into market size and market share. This is coupled with an examination of key current and future acquisitions.
• Regulation: The procurement policy and the process is explained. This is coupled with an analysis of Morocco’s military doctrine and strategy to provide a comprehensive overview of Morocco’s military regulation.
• Security environment: Political alliances and perceived security threats to Morocco are examined; there help to explain trends in spending and modernization.
• Import and export dynamics: Analysis of prevalent trends in the country’s imports and exports over the last five years
• Competitive landscape and strategic insights: Analysis of the competitive landscape of the Morocco defense industry.

Reasons to Buy

• Determine prospective investment areas based on a detailed trend analysis of the Morocco defense market over the next five years
• Gain an in-depth understanding of the underlying factors driving demand for different defense and internal security segments in the Morocco market and identify the opportunities offered.
• Strengthen your understanding of the market in terms of demand drivers, market trends, and the latest technological developments, among others
• Identify the major threats that are driving the Morocco defense market providing a clear picture about future opportunities that can be tapped, resulting in revenue expansion
• Channel resources by focusing on the ongoing programs that are being undertaken by the Morocco government
• Make correct business decisions based on in-depth analysis of the competitive landscape consisting of detailed profiles of the top defense equipment providers in the country. The company profiles also include information about the key products, alliances, recent contract awarded, and financial analysis, wherever available