(Ecofin Agency) - In Morocco, the government is considering removing the subsidies it allocates to the national sugar sector. The executive intends to ultimately save some three billion dirhams which will be rerouted towards the health sector, among others.

According to Medias 24 which obtained this exclusive news on good authority, the measure, which will be effective at the start of the coming year, falls within the framework of the 2016 finance law. The news website indicates that it does not yet know whether the cuts will be gradual or sudden. In the latter case, the Moroccan consumer will have to spend at least an extra two dirhams per kilogram of sugar.

At the end of the 2014/2015 season, Morocco had produced 478,000 metric tonnes of sugar. However, this good crop did not allow the country to cover its internal demand on its own and the kingdom had to resort to imports to make up for its sugar deficit. If in 2014, the country could only cover 40% of its consumption, it is working at moving this statistic to 55% within five years.