Tunisia, Libya, Algeria Seek to Increase Trade Ties

The 6th Annual Tunisia-Libya-Algeria Investment Forum, organized by the Supreme Council of Tunisian and Libyan Businessmen, concluded on Sunday 29 September.

The forum, whose theme was ‘Investment prospects in neighboring countries’, was held on the Tunisian island of Djerba, where representatives of business organizations, private companies, public administrations and political representatives from the three North African countries met.

The main objectives of this forum, now in its sixth year, are, on the one hand, to exploit the logistical capacities of the three countries by establishing land, sea and air links to facilitate trade exchanges, and on the other hand, to seek effective mechanisms to ensure the opening of the markets of the three countries to each other by protecting trademarks and designations of origin.

All this with a view to strengthening the three economies and improving their trade figures over the coming years, which could be considerably improved. It is hoped that the holding of these forums will serve to unblock pending issues between the three countries, such as the need to open more border crossings between Tunisia and Algeria, or to revitalize the Tunisia-Libya economic zone project, which has been frozen for some time.

According to the latest available figures, trade between Tunisia and Libya has increased by 10.8% in the last two years, exceeding 1 billion dollars a year for the first time. Both governments are aiming for a figure of 1.7 billion dollars a year in the medium term.

For its part, the value of trade between Tunisia and Algeria rose to 1.3 billion dollars in 2023, an increase of 24% over the previous year's figure.

Trade between Libya and Algeria is in a worse state, barely 65 million dollars a year, although it should be borne in mind that the economies of both countries, both OPEC members, are based on oil and natural gas exports, so it is logical that trade between the two countries is smaller.

Concrete proposals
The meeting served to put concrete proposals on the table. Among these measures is, for example, the opening of one of the border crossings between Tunisia and Libya, that of Mashhad Saleh, which was closed, along with that of Ras Jdeir, following the border crisis caused by the influx of sub-Saharan immigrants.

The Ras Jdeir crossing point was opened last July, following an agreement between the Tunisian and Libyan governments, but the Mashhad Saleh crossing point remains closed, affecting trade between the two countries.

On the other hand, during the two sessions of the 6th Annual Investment Forum, the creation of a new maritime line linking the city of Zarzis, in the southeast of Tunisia, with Tripoli, the capital of Libya, was proposed.

In addition, there is also a proposal to establish direct airlines between Djerba airport (Tunis) and various destinations in Libya and Algeria.

According to Abdul Hafeez Al-Sakroufi, president of the Supreme Council of Tunisian and Libyan Businessmen, organizer of the forum, ‘any cooperation will contribute to providing more job opportunities and establishing joint projects that will advance the economies of these countries and benefit from the opportunities and capabilities available in each country’.

For his part, Abdul Muttalib Ali Baqis, a member of the Supreme State Council in Libya, considered the forum an opportunity to promote investment, discuss obstacles to overcome and create an encouraging economic environment between the three countries by providing an appropriate legislative environment, as well as incentives and privileges to investors.

On the Algerian side, Khaled Bulbul, President of the Algerian Confederation of Entrepreneurs, pointed out that the forum is an opportunity to expand social networks, exchange experiences and knowledge, further activate partnerships, unify visions, cooperate and support investments.

Maysar Al-Baroudi, from the Tunisian Business Federation, stressed the need for joint cooperation between Tunisian, Libyan and Algerian business organizations in order to make progress in the vocational training sector, a strategic axis for the development of human resources.

Tripartite cooperation
The investment forums that bring together the three countries are a response to the need to intensify trade relations between the three countries, in order to constitute an economic bloc that channels foreign investment to the rest of the African continent.

This objective was put on the table during a meeting last April between the heads of the three countries: Tunisian President Kais Saied, Algerian President Abdelmadjijd Tebboune and the head of Libya's Presidential Council, Mohamed Menfi.