Ceuta Seeks Economic Growth Beyond Moroccan Tourism

Due to its geographical position, Ceuta is a strategic city for Spain. The autonomous city shares its southern border with Morocco and is bounded to the north by the Strait of Gibraltar. In 2019, it welcomed 76,400 tourists, mostly Moroccans, attracted by the many tourist sites it has, such as the al-Mansura walls, La Almina, the San Amaro park or the royal walls.

To read: Morocco’s Economic Strategy Threatens Spanish Enclaves Ceuta and Melilla

Morocco has ended the passage of people and goods through Ceuta by unilaterally closing the Tarajal II border post in October 2019, shortly after the commissioning of the port of Tanger Med; which has resulted in the end of cross-border trade and the loss of 25% of the region’s GDP, informs El Español. The kingdom’s objective was to develop the north of the country by attracting tourists there. With the onset of the Covid-19 pandemic, Morocco unilaterally closed its land borders with Ceuta on March 13, 2020.

This situation has in fact affected the import of coffee, tea, mate, spices, shoes, machinery, electrical equipment or ready-made textile articles in Ceuta, an activity on which a large part of the inhabitants of the region live. According to data from the Directorate General of Trade, the city imported goods for 67.8 million euros in the first half of 2021, compared to 139.3 million euros in the same period two years earlier. In terms of exports, on the other hand, Ceuta has gone from 3.2 million euros to nearly eight million in the first half of 2021, due to the increase in the price of natural gas.

To read: Ceuta’s Economy Struggles as Border Closure Halts Smuggling and Tourism

Looking closely, the economic situation of Ceuta is critical. Severely affected by the health crisis with its corollary being the closure of borders, the autonomous city has recorded a collapse in retail trade, a drop in port traffic due to the cancellation by Morocco, for the second consecutive year, of the Marhaba Operation, leading to the closure of around fifty businesses and a dozen hotels. This economic situation worries the Chamber of Commerce and the entrepreneurs of the region who, for years, have been working, alongside the city government, to implement an emergency plan to improve the economic and social fabric of the city.

The economic forum organized by El Espagñol-Invertia will discuss all these issues. It will be launched by the government delegate in Ceuta, Salvadora Mateos, and the president of the Governing Council of the autonomous city, Juan Jesús Vivas. Several personalities will participate, such as the Secretary of State for the European Union of the Ministry of Foreign Affairs, Juan González-Barba, the Secretary of State for Tourism, Fernando Valdés, the president of the Spanish Chamber, José Luis Bonet, etc.