-------------------------------------------------------------------------------- DOCUMENT CONTROL (HEADER) -------------------------------------------------------------------------------- Document ID : DARX_BI_REF_SUBSIDIES_001 Title : Moroccan Government Support for the Olive Oil Industry, Comprehensive Reference Report Version : 1.1 Status : ACTIVE Classification : Internal Prepared By : PYB / Daralbeida Reviewed By : (none recorded) Approved By : (none recorded) Approval Date : (pending) Owner : PYB / Daralbeida Date Created : 2026-04-01 Last Revised : 2026-06-13 00:00 UTC Update Cycle : Annual or upon material change to Moroccan agricultural policy, FDA subsidy rates, or MAFTA CVD rulings Next Review Due : 2027-04-01 Annual Review : Yes Retention : 3 years from date of creation Department : BI Style : BPGP Keywords : Morocco, olive oil, subsidies, FDA, MAFTA, aggregation, SARL, tax exemption, Green Generation, EVOO Related Docs : DAB-BP-ADD-MKT-POS-001-v4; DAB-SOP-IMPORT-US-001; 20260501_DARX_BI_MKT_POSITION_001.TXT Supersedes : DARX_BI_MOROCCO_SUBSIDIES_20260401.txt Superseded By : (none, current version) -------------------------------------------------------------------------------- OUTLINE -------------------------------------------------------------------------------- 1. Purpose and Scope 2. Executive Summary 3. Part I, The Fonds de Developpement Agricole (FDA) 3.1 FDA Subsidy 1, Olive Grove Establishment and Rehabilitation 3.2 FDA Subsidy 2, Drip Irrigation, the Flagship Subsidy 3.3 FDA Subsidy 3, Olive Mill / Crushing Unit Equipment 3.4 FDA Subsidy 4, Olive Oil Quality and Certification 4. Part II, Export Subsidies, Order No. 3284-17 4.1 Export Subsidy A, Base Promotion Subsidy for Olive Oil 4.2 Export Subsidy B, Additional Categorical Subsidy (Tier B) 4.3 Critical Constraint, the MAFTA Prohibition 4.4 Temporal Status, the Program Has Expired 4.5 Where the Export Subsidy Remains Legally Available 5. Part III, Law 04-12 Agricultural Aggregation, the Aggregator Model 5.1 Aggregation Subsidy Structure (Joint Order No. 2411-19) 5.2 Aggregation Project Approval Process 5.3 Aggregation, Additional Benefits Beyond Direct Subsidies 5.4 Foreign Ownership of an Aggregator SARL, Eligibility Confirmed 6. Part IV, Tax Exemptions and Fiscal Incentives 6.1 Tax Benefit 1, Corporate Tax (IS), Permanent Exemption 6.2 Tax Benefit 2, Professional Tax, 5-Year Exemption 6.3 Tax Benefit 3, VAT Zero-Rating on Exports and Inputs 6.4 Tax Benefit 4, New Company General IS Exemption 6.5 Tax Benefit 5, Casablanca Finance City (CFC) Status 6.6 Tax Benefit 6, Industrial Acceleration Zone (ZAI) 7. Part V, Subsidized Finance Mechanisms 7.1 Finance Mechanism 1, Tamwil El Fellah 7.2 Finance Mechanism 2, Caisse Centrale de Garantie (CCG) 7.3 Finance Mechanism 3, Credit Agricole du Maroc Credit Lines 7.4 Finance Mechanism 4, ARDI Foundation Microcredit 8. Part VI, Land Access and Infrastructure Concessions 8.1 Land Access 1, State Agricultural Land Concessions 8.2 Land Access 2, Agropoles and Agro-Industrial Parks 9. Part VII, Interprolive Sector Contract and Industry Support 9.1 Interprolive, Sector Interprofessional Body 9.2 Geographical Indications and Labels of Quality (Law 25-06) 10. Part VIII, MAFTA Advantage, the Primary US-Side Benefit 11. Part IX, Comprehensive Subsidy Map by Entity and Timing 11.1 Year 1, Proof of Concept Phase 11.2 Year 2-3, Aggregation Phase 11.3 Year 3-5, Scale Phase 12. Part X, What Is Not Available, Clear Boundaries 13. Sources and Legal References 14. AI Prompts 15. Revision History 16. Acronyms 17. Glossary DOCUMENT CONTROL (FOOTER) -------------------------------------------------------------------------------- ================================================================================ 1. PURPOSE AND SCOPE ================================================================================ This document is a comprehensive reference report covering all Moroccan State financial incentives, tax exemptions, and support mechanisms applicable to the olive oil industry, with specific analysis for three operating contexts. - Context A: Exporting olive oil to the United States. - Context B: Producing olive oil in Morocco. - Context C: Daralbeida Maroc SARL structured as an agricultural aggregator. All subsidy programs are analyzed for MAFTA compliance (subsidy programs that violate MAFTA countervailing duty provisions are explicitly flagged). Data is sourced from official Moroccan government publications, USDA GAIN reports, WTO trade policy reviews, and international accounting firm Morocco summaries. ================================================================================ 2. EXECUTIVE SUMMARY ================================================================================ Morocco operates one of the most comprehensive agricultural support systems in North Africa, built across three successive national strategies: the Green Morocco Plan (Plan Maroc Vert, 2008-2019), the Green Generation Strategy 2020-2030, and the ongoing Interprolive Sector Contract through 2030. The olive sector, Morocco's largest single tree crop, covering 1.2 million hectares, is an explicit priority within all three plans. Support falls into six categories. 1. Production subsidies via the Fonds de Developpement Agricole (FDA). 2. Export promotion subsidies via Order No. 3284-17 (expired for olive oil). 3. Tax exemptions, corporate, professional, and VAT. 4. Subsidized and guaranteed finance via Tamwil El Fellah and CCG. 5. Land access and infrastructure concessions. 6. Investment agreement incentives for private companies. The US-Morocco Free Trade Agreement (MAFTA, in force January 2006) provides Daralbeida's primary structural advantage on the US side: a 0% import duty on extra virgin olive oil (HTS 1509.10.4000) versus the MFN rate of 5 cents/kg + 6.9%. However, the same treaty explicitly prohibits Morocco from applying export subsidies to goods destined for the US market. This distinction is critical throughout this report. Where a subsidy or benefit is legally incompatible with US-bound exports, it is clearly flagged. Where it applies to Moroccan domestic operations regardless of export destination, it is identified as unconditionally available. ================================================================================ 3. PART I, THE FONDS DE DEVELOPPEMENT AGRICOLE (FDA) ================================================================================ Production Subsidies, the Primary Ongoing Mechanism. The Fonds de Developpement Agricole (FDA) is Morocco's central public financing instrument for agricultural investment. It was established under the Green Morocco Plan in 2008, administered by the Ministry of Agriculture through the Agence de Developpement Agricole (ADA), and remained fully operational under the Green Generation Strategy 2020-2030. The FDA co-finances private agricultural investment across planting, equipment, irrigation, and processing infrastructure. Credit Agricole du Maroc (CAM) was mandated in 2012 to manage FDA disbursements. The World Bank documented that between 2008 and 2020 the FDA catalysed USD 7.1 billion in private investment from USD 2.3 billion in public funding, with every 1 MAD of FDA aid generating 2.85 MAD of private investment. For olive oil specifically, FDA subsidies are available across the full production and processing chain. They apply regardless of whether the output is sold domestically or exported, and regardless of who owns the company claiming the subsidy, Moroccan nationals and foreign-controlled Moroccan legal entities are equally eligible. 3.1 FDA SUBSIDY 1, OLIVE GROVE ESTABLISHMENT AND REHABILITATION Legal basis: Green Morocco Plan Pillar II; Green Generation Strategy 2020-2030 planting targets; ADA program contracts. Eligibility: Farmers, cooperatives, agricultural companies registered in Morocco. Rates (per hectare, illustrative published ranges): Item Rate ───────────────────────────────────────────────────────────────────────────── New planting, traditional rain-fed zones 4,000 - 6,000 MAD/ha (contribution to seedlings, preparation) - New planting, drip irrigation from the outset 8,000 - 12,000 MAD/ha (higher rate reflecting water investment) - Rehabilitation of old groves 3,000 - 5,000 MAD/ha (pruning, soil restoration) - Aggregation, olive grove around a crushing unit 675 MAD/ha (flat-rate aggregator contribution component) see Part III schedule Conditions: - Project must be submitted to and approved by the relevant Provincial Directorate of Agriculture (DPA) or Regional Office for Agricultural Development (ORMVA) before commencement. - Trees must be maintained for a minimum period (typically 5 years). - Subsidy is paid post-investment against presentation of invoices and a site inspection confirming planting. Green Generation 2020-2030 target for olive: Morocco committed under this plan to expand olive grove area to 1.4 million hectares (from 1.2 million), rehabilitate 100,000 hectares of degraded production areas, and plant climate-resilient varieties. FDA planting subsidies are the primary financial mechanism backing this target, meaning budget allocations are expected to remain available through 2030. Relevance to Daralbeida: Daralbeida Maroc SARL, structured as an aggregator contracting multiple small producers, becomes the aggregator-of-record and can access the 675 MAD/ha aggregation flat rate on top of any producer-level subsidies flowing to contracted farmers. More strategically, contracted producers who plant new groves or rehabilitate old ones with FDA support reduce their capital costs, which directly improves the FOB price they can offer Daralbeida over the life of a supply contract. 3.2 FDA SUBSIDY 2, DRIP IRRIGATION, THE FLAGSHIP SUBSIDY Legal basis: National Program for Water Saving in Irrigation (PNEEI); FDA; ADA program frameworks. Eligibility: All farmers, cooperatives, and agricultural companies registered in Morocco; aggregation projects receive a preferential rate. This is the most aggressively subsidized item in Moroccan agricultural policy and the one with the highest per-hectare value for olive producers. Standard FDA rates for drip irrigation installation: Project Type Rate ───────────────────────────────────────────────────────────────────────────── Small and medium farms (under 20 ha) Up to 80-100% of conversion cost Larger private farms and aggregation Preferential rate (varies by project projects size and structure; typically 60-80% of equipment cost) The PNEEI target was to convert 555,000 hectares to localized irrigation by 2020. Under the Green Generation Strategy, this target has been extended. By 2025, approximately 500,000+ hectares had been equipped with drip systems, with olive groves explicitly among the priority crops. Why this matters more than any other FDA line item: Converting a contracted olive grove from flood or rainfall-dependent cultivation to drip irrigation increases yield stability by 30-60%, reduces water consumption by 30-50%, and eliminates the extreme year-on-year production volatility that has characterized Moroccan olive output (compare: 190,000 MT record in 2021/22 vs. 90,000 MT drought trough in 2024/25). For Daralbeida, supply security across a multi-year producer contract depends directly on this. Preferential rate for aggregation projects: Agricultural aggregation projects approved under Law 04-12 receive a preferential-rate subsidy for drip irrigation equipment acquisition on top of the flat-rate aggregation bonus. This stacking is legally confirmed in Joint Order No. 2411-19 of October 28, 2019. Conditions: - System must be installed by approved suppliers. - Technical inspection required post-installation. - Equipment must remain operational for minimum 5 years. - For aggregation projects: project must be pre-approved by Ministry of Agriculture under Joint Order No. 2410-19 of October 28, 2019. 3.3 FDA SUBSIDY 3, OLIVE MILL / CRUSHING UNIT EQUIPMENT Legal basis: FDA general agricultural equipment subsidy schedule; Aggregation project preferential rate (Joint Order 2411-19). Eligibility: Farmers with processing facilities; agricultural companies; cooperatives; aggregators. Standard rates: Category Rate ───────────────────────────────────────────────────────────────────────────── Agricultural and agro-industrial machinery 40-60% of investment cost and equipment (standard projects) - Aggregation projects, equipment at the Preferential rate applies to aggregator-controlled level "agricultural and breeding machinery and equipment", confirmed to include olive pressing/crushing equipment when the aggregator operates or manages the unit Context: The flat-rate aggregation subsidy includes a specific mention of "aggregation of the olive tree around a unit of crushing" (675 MAD/ha), confirming that the crushing/milling unit is a recognized component of the aggregation model for olive oil specifically. Relevance to Daralbeida: If Daralbeida Maroc SARL partners with or co-invests in a certified cold-press mill as part of its aggregation structure, the mill equipment investment can attract FDA preferential-rate subsidy, reducing the capital cost of the quality-controlled production infrastructure that Daralbeida's sourcing model depends on. 3.4 FDA SUBSIDY 4, OLIVE OIL QUALITY AND CERTIFICATION Legal basis: World Bank Morocco Transforming Agri-food Systems Program (December 2024, USD 250 million). Eligibility: Indirect benefit, flows through sector infrastructure. In December 2024, the World Bank's Board approved a USD 250 million program specifically including improving olive oil quality control and supporting expansion of organic farming to 25,000 hectares. This funds the following. - ONSSA (Morocco's food safety authority) capacity for testing and certification. - Upgrading of sanitary standards across approximately 1,200 food distribution outlets. - Better market access infrastructure for quality-certified producers. While this is not a direct per-unit cash subsidy, it directly benefits Daralbeida's sourcing model by strengthening the institutional infrastructure that issues quality documentation (lab testing, organic certification, provenance verification) at the producer level, reducing the cost and friction of quality compliance for Daralbeida's contracted producers. ================================================================================ 4. PART II, EXPORT SUBSIDIES, ORDER NO. 3284-17 ================================================================================ Critical Analysis for US-Bound Shipments. Joint Ministerial Order No. 3284-17, signed December 5, 2017 and published in Morocco's Official Gazette on May 3, 2018, is the primary legal instrument governing Moroccan agricultural export subsidies. It was enacted by the Ministers of Agriculture, Economy/Finance, and Interior, and operates under the authority of Decree No. 2-10-015 of March 17, 2010. This order is frequently cited, often inaccurately, as providing a competitive pricing advantage for Moroccan olive oil in the US market. A detailed primary-source analysis of the actual order text reveals a more complex picture with a decisive legal constraint for US-bound exports. 4.1 EXPORT SUBSIDY A, BASE PROMOTION SUBSIDY FOR OLIVE OIL Field Value ───────────────────────────────────────────────────────────────────────────── Legal citation Order 3284-17, Article 1, Section III.1.a Beneficiary The Moroccan exporting company (not the US importer) Rate 2,000 MAD per metric ton of exported olive oil Scope Any category of olive oil EXCEPT Lampante (waste grade) Condition No quantity ceiling; applies to all qualifying exports 4.2 EXPORT SUBSIDY B, ADDITIONAL CATEGORICAL SUBSIDY (TIER B) Field Value ───────────────────────────────────────────────────────────────────────────── Legal citation Order 3284-17, Article 1, Section III.1.b Beneficiary The Moroccan exporting company Campaign cap Each exporting unit limited to 3 campaigns (consecutive or not) during the period 2017-2021 Condition Packaging must be in containers of 5 liters or less Rates by category (combined with Tier A base of 2,000 MAD/MT): Category Additional Combined Total ───────────────────────────────────────────────────────────────────────────── Extra Virgin Olive Oil, Packaged 4,000 MAD/MT 6,000 MAD/MT (<=5L) - - Extra Virgin Olive Oil, Bulk 2,000 MAD/MT 4,000 MAD/MT Virgin Olive Oil, Packaged 3,000 MAD/MT 5,000 MAD/MT Virgin Olive Oil, Bulk 1,000 MAD/MT 3,000 MAD/MT Courante Virgin, Packaged 2,000 MAD/MT 4,000 MAD/MT Refined, Packaged or Bulk 1,000 MAD/MT 3,000 MAD/MT Note on the "750 MAD non-EU bonus" claim: this figure appears in some secondary sources as applying to olive oil destined for non-European markets including the US. The primary source Order text does not support this. The 750 MAD/MT non-EU diversification bonus applies specifically to packaged table olives (Section III.2.b of the Order), not to olive oil. No equivalent non-EU destination premium exists in Section III.1. 4.3 CRITICAL CONSTRAINT, THE MAFTA PROHIBITION The single most important fact about these export subsidies in the context of Daralbeida's US import operations is as follows. The US-Morocco Free Trade Agreement explicitly prohibits the use of agricultural export subsidies by either party on goods destined for the other's market. Source: USDA FAS GAIN Report MO1830 (June 2018), confirmed by CBP MAFTA documentation and 19 CFR Part 10, Subpart M. Consequence: A Moroccan exporter, including a hypothetical Daralbeida Maroc SARL, cannot legally claim the Tier A (2,000 MAD/MT) or Tier B (up to 4,000 MAD/MT additional) subsidies on olive oil shipments declared as destined for the United States. Doing so would violate the FTA, and if discovered, would expose those shipments to denial of the 0% MAFTA preferential tariff rate plus retroactive assessment of the MFN rate (5 cents/kg + 6.9%). 4.4 TEMPORAL STATUS, THE PROGRAM HAS EXPIRED The Tier B additional subsidies were explicitly capped at 3 campaigns per exporting unit "during the period from 2017 to 2021." That window is closed. No publicly documented renewal for olive oil-specific export subsidies beyond the 2021 campaign cycle has been issued as of the date of this report. Furthermore, Moroccan export policy on olive oil since 2022 has moved in the opposite direction. - October 2023: Morocco's Agriculture Ministry approved a decree banning olive oil exports outright to protect domestic supply. - 2023-2024: Export licenses required for all olive oil shipments per Moroccan Customs Administration circular. - 2024-2025: Morocco suspended import duties on EVOO and authorized 30,000 MT of imports from Brazil, Italy, Spain, Tunisia, and Turkey to stabilize domestic prices. The government's posture has been restrictive, not promotional, for olive oil exports across 2022-2025. This does not mean the FDA production subsidies (Part I) have been curtailed, they remain active. It means the specific export-promotion bonus layer is unavailable for olive oil in the current operating environment. 4.5 WHERE THE EXPORT SUBSIDY REMAINS LEGALLY AVAILABLE If Daralbeida Maroc SARL ever exports olive oil to non-US markets (EU, Gulf Cooperation Council, Canada, Japan, sub-Saharan Africa), and if a renewed olive oil export subsidy program is in force at the time of export, Daralbeida Maroc SARL as the registered Moroccan exporting entity would be the lawful claimant of those subsidies. The Moroccan State pays the exporting company in MAD, post-export, against documentation filed with the DPA or ORMVA. There is no restriction on the nationality or ownership structure of the exporting company. This is a structurally valuable optionality argument for establishing Daralbeida Maroc SARL, even if the US export subsidy prohibition means it provides no direct benefit on the primary channel today. ================================================================================ 5. PART III, LAW 04-12 AGRICULTURAL AGGREGATION, THE AGGREGATOR MODEL ================================================================================ Moroccan Law No. 04-12 on Agricultural Aggregation was promulgated to formalize and incentivize "aggregation", a vertically integrated model where a central entity (the aggregator, or aggregateur) contracts with multiple small producers (the aggreges), provides them with technical support, inputs, and market access, and coordinates their production around a shared processing or marketing infrastructure. For olive oil, the canonical aggregation model is: Aggregator (e.g., Daralbeida Maroc SARL) contracts 20-100 small olive farmers, provides agronomic support and guaranteed purchase at agreed prices, organizes quality-controlled pressing at a certified mill (which may be owned by the aggregator, leased, or a partner facility), and exports or markets the consolidated EVOO output. This is precisely the structure Daralbeida is building: a network of contracted producers supplying Picholine Marocaine olives, processed to a defined quality protocol, exported under the Daralbeida brand. 5.1 AGGREGATION SUBSIDY STRUCTURE (JOINT ORDER NO. 2411-19) TIER A, FLAT-RATE AGGREGATION BONUS (for the aggregator). This subsidy is paid to the aggregator as a contribution toward the cost of technical support, agronomic advisory, and coordination services provided to contracted small farmers. For olive oil aggregation: Aggregation Type Rate ───────────────────────────────────────────────────────────────────────────── Aggregation around a crushing/pressing unit 675 MAD/ha Aggregation for olive table production 225 MAD/ha The 675 MAD/ha rate applies to Daralbeida's operating model (export EVOO requiring a pressing unit as the central aggregation node). Project Scale Calculation and Value ───────────────────────────────────────────────────────────────────────────── 500-hectare project (Year 2-3 scale) 675 MAD x 500 ha = 337,500 MAD (~USD 33,750) as a one-time State payment 2,000-hectare project (Year 3-5 scale) 675 MAD x 2,000 ha = 1,350,000 MAD (~USD 135,000) TIER B, PREFERENTIAL RATE SUBSIDY (for investments at the aggregator level). On top of the flat-rate bonus, aggregation projects receive a preferential rate subsidy for the following. - Agricultural and agro-industrial machinery and equipment. - Drip irrigation systems and supplemental irrigation equipment. The preferential rate is higher than the standard FDA rate for non-aggregation projects, and it is designed to encourage the aggregator's investment in shared infrastructure (mills, storage, irrigation networks) that benefits all contracted producers. Note: The exact preferential rate percentages are defined in Joint Order No. 2411-19 of October 28, 2019 and require consultation with the relevant DPA for current figures, as they vary by investment category and project scale. 5.2 AGGREGATION PROJECT APPROVAL PROCESS 1. Aggregation project design. Prepare a full aggregation project dossier including: list of contracted producers (aggreges), total hectarage, production targets, quality protocol, processing infrastructure plan, and marketing plan. 2. Ministry of Agriculture pre-approval. Submit to the relevant DPA or ORMVA under the procedures of Joint Order No. 2410-19 of October 28, 2019. The Ministry must formally approve the project before any subsidy-eligible investment commences. 3. Implementation. Investments are made, drip irrigation installed, equipment acquired, planting undertaken, producers contracted under formal aggregation agreements. 4. Subsidy claim. Post-investment documentation (invoices, inspection reports, producer contract copies) submitted to DPA/ORMVA against a receipt. 5. Disbursement. Competent department issues either an acceptance letter with subsidy amount or an observation note requesting additional documentation. Timeline is typically 6-18 months from claim submission to disbursement. 5.3 AGGREGATION, ADDITIONAL BENEFITS BEYOND DIRECT SUBSIDIES Access to Tamwil El Fellah financing for contracted producers: Small producers enrolled in an approved aggregation project become eligible for Tamwil El Fellah loans (see Part IV) even if they lack collateral for standard bank credit. The aggregation contract itself can serve as a partial credit guarantee mechanism, as the guaranteed purchase commitment demonstrates repayment capacity. Eligibility for Pillar I program contracts: Large-scale aggregation projects become eligible for "contrat programme" frameworks negotiated directly with the Ministry of Agriculture and sector interprofessional bodies (Interprolive). These unlock additional investment co-financing beyond standard FDA rates. ONSSA and quality certification facilitation: Aggregators operating approved projects receive facilitated access to ONSSA certification for their processing facility, which is the prerequisite for legal export of olive oil from Morocco. 5.4 FOREIGN OWNERSHIP OF AN AGGREGATOR SARL, ELIGIBILITY CONFIRMED Moroccan agricultural law does not restrict foreign nationals or foreign-controlled Moroccan entities from acting as aggregators under Law 04-12. A Daralbeida Maroc SARL with a French-Moroccan founder as majority shareholder can be the registered aggregator, enter into aggregation contracts with Moroccan farmers, receive FDA subsidies, and claim Tier A and Tier B benefits, provided the company is legally incorporated in Morocco and the aggregation project is approved by the Ministry of Agriculture in the normal way. ================================================================================ 6. PART IV, TAX EXEMPTIONS AND FISCAL INCENTIVES ================================================================================ 6.1 TAX BENEFIT 1, CORPORATE TAX (IS), PERMANENT EXEMPTION Legal basis: Moroccan General Tax Code (CGI), Article 46 et seq.; Finance Law provisions effective from 2013 onward. Authority: Direction Generale des Impots (DGI). Structure: - Total permanent IS exemption for agricultural income earned by companies whose agricultural turnover is less than 5,000,000 MAD (~USD 500,000 at current rates) per financial year. - Reduced IS rate of 20% (capped, unconditional) for agricultural companies whose agricultural turnover exceeds 5,000,000 MAD. Key point: "Agricultural income" under Moroccan tax law includes the processing of agricultural products carried out by the producer, provided the products maintain their natural state at the end of the process. Conditioning (cleaning, sorting, drying), packaging, storage, and warehousing of agricultural products qualify as agricultural income when carried out by the farmer or an aggregator operating on the agricultural products of its contracted producers. Consequence for Daralbeida Maroc SARL: At Year 1 scale (100-500 units, approximately USD 8,000-50,000 in Moroccan-side revenues), Daralbeida Maroc SARL pays zero Moroccan corporate tax on its agricultural income. At Year 1-3 scale this exemption is effectively permanent, the 5,000,000 MAD (~$500,000) threshold is not reached until significant volume is achieved. Even beyond the threshold, the 20% capped rate compares favorably to standard Moroccan IS rates (converging to 20% for mid-size companies by 2026, and 35% for companies with taxable income exceeding 100 million MAD). 6.2 TAX BENEFIT 2, PROFESSIONAL TAX (TAXE PROFESSIONNELLE), 5-YEAR EXEMPTION Legal basis: Moroccan General Tax Code; corporate registration rules. Authority: Direction Generale des Impots. All newly incorporated Moroccan companies are exempt from the professional tax (taxe professionnelle) for the first five years from the date of commencement of activity. The professional tax is levied on the rental value of business premises, offices, warehouses, and fixed assets. Tax rates range from 10% to 30% of assessed rental value depending on the nature of the business. For Daralbeida Maroc SARL incorporated now: Zero taxe professionnelle for 5 full years on any Moroccan premises, storage facilities, or office space. This applies whether the company rents or owns. The rental value is assessed by tax authorities, not based on actual rent paid. 6.3 TAX BENEFIT 3, VAT ZERO-RATING ON EXPORTS AND INPUTS Legal basis: Moroccan VAT Code; Finance Law 2023 amendments. Standard rate: 20% (general). Agricultural inputs: Zero-rated (exemption with credit). Zero-rated under Moroccan VAT (exemption with right to deduct input VAT): - All exported goods and services (including exported olive oil). - Fertilizers. - Machinery and equipment for exclusively agricultural use. - Investment goods recorded as fixed assets by taxable persons, acquired during the first 36 months from commencement of activity. Practical consequence for Daralbeida Maroc SARL: On EVOO exports: The olive oil shipped to the US is zero-rated for Moroccan VAT. Daralbeida Maroc SARL does not collect or remit Moroccan VAT on its export invoices. Input VAT paid on production inputs (bottles, labels, agricultural materials) can be reclaimed. On equipment acquisition: Any olive oil processing equipment, bottling machinery, laboratory testing equipment, or agricultural machinery purchased in the first 36 months of activity is zero-rated, no VAT cost on capital investment during the launch phase. On packaging materials (bottles, closures, labels) used in export production: These may qualify for the general export-chain VAT treatment depending on how the production flow is documented. 6.4 TAX BENEFIT 4, NEW COMPANY GENERAL IS EXEMPTION Legal basis: Finance Law 2023; Investment incentive for companies incorporating from January 1, 2023. For companies incorporated from January 1, 2023 onward that commit to invest at least 1,500,000 MAD (approximately USD 150,000) over five years under an investment agreement signed with the Moroccan government: Corporate tax (IS) capped at 20% for fiscal years beginning on or after January 1, 2023. Investment must consist of tangible fixed assets retained for at least 10 years. This overlaps with and stacks on the agricultural IS exemption below the 5,000,000 MAD threshold. Above that threshold, it provides a statutory 20% cap that protects against any future rate escalation. Note: The Finance Law 2023 also provides that exporting companies are exempt from corporate tax for the first five years of activity. The interaction between this general exporter exemption and the agricultural IS exemption is governed by the most favorable provision to the taxpayer. 6.5 TAX BENEFIT 5, CASABLANCA FINANCE CITY (CFC) STATUS This is an optional benefit. Companies with CFC status in Casablanca receive the following. - Total IS exemption for 5 years from date of status grant. - Reduced IS rate (8.75%) for 20 years thereafter on non-resident income and certain export income. - Personal income tax for employees capped at 20% for 10 years. CFC status is designed for financial services and holding company structures. It is potentially relevant if Daralbeida Maroc SARL is structured as the Moroccan holding/trading entity that invoices the US operation, though eligibility requires specific activity conditions that a commodity trading/export SARL can potentially meet. This warrants specific legal analysis by Daralbeida's US trade counsel and Moroccan counsel (e.g., a CMS Maroc or Clifford Chance Casablanca partner) before pursuing, as the conditions are specific and the setup costs significant. 6.6 TAX BENEFIT 6, INDUSTRIAL ACCELERATION ZONE (ZAI) This is an optional benefit. Companies established in Zones d'Acceleration Industrielle (ZAI), including agro-processing zones, receive the following. - Total IS exemption for the first 5 consecutive financial years. - Reduced rate of 8.75% for 20 years thereafter. - Exemption from professional tax for 15 years. Morocco has established several ZAI specifically oriented toward agro-processing. For an EVOO bottling operation at meaningful scale (Year 2-3), co-locating the bottling facility within a ZAI could unlock this benefit. This is a medium-term structural consideration, not a Year 1 priority. ================================================================================ 7. PART V, SUBSIDIZED FINANCE MECHANISMS ================================================================================ 7.1 FINANCE MECHANISM 1, TAMWIL EL FELLAH Meso-Credit for Small Producers. Field Value ───────────────────────────────────────────────────────────────────────────── Legal basis Created by Credit Agricole du Maroc Group under Green Morocco Plan mandate; expanded to aggregation projects 2012 Operator Tamwil El Fellah S.A., 100% subsidiary of CAM Group Capital 125,000,000 MAD; backed by government prudential stabilization fund (FSP) covering 60% of potential defaults Purpose: The only Moroccan financial institution authorized to grant agricultural loans to farmers without mortgage collateral. Targets small and medium farms that cannot access standard bank credit, the exact profile of the small producers that an aggregator like Daralbeida Maroc SARL would contract. Loan characteristics: - Coverage: All agricultural, agro-industrial, and rural activities. - Rate range: Approximately 5-10%, typically around 8% (variable by risk profile of borrower). - Amounts: Up to 100,000 MAD per farmer in standard cases; higher for aggregation-enrolled producers with guaranteed purchase contracts. - Simplified procedures: No mortgage required; agricultural activity and aggregation contract can serve as credit basis. - Repayment: Structured around harvest cycles (seasonal rather than monthly). Inclusion in olive groves: Tamwil El Fellah has explicitly financed olive tree plantation projects across multiple Moroccan regions including Larache, Chefchaouen, Tanger, Ouezzane, Tetouan, Marrakech, Taounate, and others. Olive planting is one of its primary agricultural program categories. Relevance to Daralbeida: If Daralbeida Maroc SARL is the approved aggregator, the guaranteed purchase contract it signs with each producer provides those producers with demonstrated income capacity, which Tamwil El Fellah uses as part of its credit assessment. This enables Daralbeida's contracted producers to finance their own grove improvements, irrigation upgrades, and input costs, without Daralbeida needing to advance working capital directly. This is a significant balance sheet benefit for a lean startup structure. 7.2 FINANCE MECHANISM 2, CAISSE CENTRALE DE GARANTIE (CCG) Legal basis: CCG is a public finance institution; various guarantee programs under Ministry of Economy and Finance. Purpose: Loan guarantee funds for investment projects for both Moroccan and foreign investors. Relevant guarantee programs for Daralbeida Maroc SARL: Program Purpose and Relevance ───────────────────────────────────────────────────────────────────────────── Damane Express Guarantees short-term credit for SMEs. Relevant for working capital lines (e.g., financing the purchase of olive oil from producers before the US export sale is received). Damane Istimrar Investment guarantee for fixed capital investments. Relevant for bottling facility, storage, or lab equipment. Agricultural guarantee CCG operates specific agricultural guarantee windows funds that reduce bank collateral requirements for agri-SMEs investing in production or processing infrastructure. Guarantee coverage: Typically 50-80% of loan principal, enabling Daralbeida Maroc SARL to access standard bank credit from CAM or other Moroccan banks at lower collateral requirements than a newly-incorporated company would normally face. 7.3 FINANCE MECHANISM 3, CREDIT AGRICOLE DU MAROC CREDIT LINES CAM is Morocco's primary agricultural bank and manages FDA disbursements. It offers dedicated agri-agro credit products including the following. - Short-term campaign credit (covering input costs, harvest labor). - Medium-term investment credit (equipment, processing infrastructure). - Export trade finance (for international shipments including to the US). - CAM Trade: specialized international trade finance subsidiary. For aggregators, CAM can structure aggregate financing where the aggregator company (Daralbeida Maroc SARL) holds a credit facility and on-lends or pre-finances the contracted producers under the aggregation framework. 7.4 FINANCE MECHANISM 4, ARDI FOUNDATION MICROCREDIT For the smallest contracted producers in Daralbeida's network: ARDI Foundation (created by CAM Group in 2006) provides microcredit to disadvantaged populations excluded from formal banking. Loan amounts are small (typically under 50,000 MAD) but serve the very bottom tier of small olive farmers who may form part of an aggregation network. ================================================================================ 8. PART VI, LAND ACCESS AND INFRASTRUCTURE CONCESSIONS ================================================================================ 8.1 LAND ACCESS 1, STATE AGRICULTURAL LAND CONCESSIONS This is a Public-Private Partnership (PPP) model. Legal basis: Public-Private Partnership framework for state-owned agricultural land (terres guich, terres collectives, terres domaniales); ADA and Ministry of Agriculture concession program. Under the Green Morocco Plan, Morocco made approximately 112,000 hectares of state-owned agricultural land available to private investors under long-term concession agreements (typically 40-year leases at below-market rents) as part of the Pillar I public-private partnership framework. 1,575 such projects were set up, with 720 specifically allocated to small farmers and entrepreneurs in the agricultural sector. Olive and arboricultural projects were a priority allocation. Some concession agreements include investment commitments (the investor must plant, irrigate, and develop the land to defined specifications within a fixed period) in exchange for the preferential lease terms. Access requirements: - Must submit a project file to ADA and the relevant Ministry. - Investment commitment must be formalized. - Foreign-controlled companies are eligible but the process is more complex and typically requires Moroccan co-investment. - This is a medium-to-long-term consideration (Year 3-5+), not appropriate for Daralbeida's current phase. 8.2 LAND ACCESS 2, AGROPOLES AND AGRO-INDUSTRIAL PARKS Morocco has established regional agropoles (agro-industrial parks) that provide co-location benefits for processors and exporters: - Subsidized industrial land and premises. - Shared infrastructure (cold chain, logistics, certification labs). - Preferential utility rates. - Proximity to port and logistics corridors. Relevant agropoles for olive oil: Agropole / Region Significance ───────────────────────────────────────────────────────────────────────────── Meknes Agropole Adjacent to Morocco's primary olive belt Marrakech-Safi region Major olive production zone Casablanca port corridor Export logistics For Daralbeida's bottling and export operations, locating within an agropole region provides infrastructure benefits that reduce per-unit logistics costs and improve cold chain integrity for bottled EVOO. ================================================================================ 9. PART VII, INTERPROLIVE SECTOR CONTRACT AND INDUSTRY SUPPORT ================================================================================ 9.1 INTERPROLIVE, SECTOR INTERPROFESSIONAL BODY Interprolive (Moroccan Interprofessional Olive Oil Federation) is the sector body that negotiates program contracts with the Moroccan government on behalf of olive oil producers, millers, and exporters. The 2030 Investment Program Contract (signed 2022-2023): Total committed investment 16.9 billion MAD (approximately USD 1.7B) by 2030. Program targets: Target Area Goal ───────────────────────────────────────────────────────────────────────────── Olive grove area 1.2M hectares to 1.4M hectares Rehabilitation 100,000 hectares of degraded groves Production 2M tonnes of olives, 200,000 MT of olive oil Processing capacity Modernization Quality certification Expansion (GI, PDO, organic) Daralbeida Maroc SARL as an aggregator can become a member of Interprolive and participate in the negotiated sector support mechanisms, including co-investment in processing capacity, quality certification programs, and sector-level market development activities. Interprolive also serves as a lobbying body that can influence future subsidy program design, which is a long-term governance interest. 9.2 GEOGRAPHICAL INDICATIONS AND LABELS OF QUALITY (LAW 25-06) Morocco's Law No. 25-06 on distinctive signs of origin established a framework for Protected Designation of Origin (PDO), Protected Geographical Indication (PGI), and Label of Quality for Moroccan agricultural products. As of 2026, Morocco's Agriculture Ministry has launched a certification drive to expand GI and protected origin labels, with olive oil listed as a top priority. For Daralbeida: A future PDO or PGI for olive oil from a specific Moroccan origin region, if Daralbeida has contracted estates in that region, provides a defensible terroir narrative that supports premium pricing and directly reinforces the brand positioning. GI registration is a state-supported process with subsidized legal and technical assistance available through the Ministry. Note: Daralbeida's current origin claim policy is "Morocco only", no region, sub-region, mountain range, or coordinates, until a specific contracted estate is verified. This is the correct position for now. GI pursuit is a Year 3-5 strategic optionality, not a current action. ================================================================================ 10. PART VIII, MAFTA ADVANTAGE, THE PRIMARY US-SIDE BENEFIT ================================================================================ While this report focuses on Moroccan-side subsidies, the US-Morocco Free Trade Agreement provides Daralbeida's single most valuable cost advantage in the US market and must be understood as the ceiling above which all Moroccan-side support is additional. Parameter Value ───────────────────────────────────────────────────────────────────────────── MAFTA in force January 1, 2006 Fully phased in January 1, 2023 (all agricultural duty phase-outs done) HTS subheading 1509.10.4000 (extra virgin olive oil, valued over $2/kg, in containers over 18 kg) MFN duty rate 5 cents/kg + 6.9% ad valorem MAFTA duty rate 0% SPI on ACE BH (prefix to HTS subheading on entry summary) MPF NOT exempt, 0.3464% of value applies, minimum $31.67, maximum $614.35 per entry Per-unit savings (0.5L bottle at approximately $10 FOB/unit): Measure Value ───────────────────────────────────────────────────────────────────────────── MFN duty approximately $0.69-0.76 per bottle MAFTA duty $0 Savings per unit approximately $0.69-0.76 At 4,000 units (Year 1 target): Total duty saved approximately $2,760-3,040. This is modest in absolute terms but eliminates a cost that all Spanish, Italian, and Tunisian competitors must pay, and it scales proportionally with volume, becoming materially significant at 10,000+ units per year. The 0% duty is the reason the Moroccan export subsidy prohibition (Part II) imposes no real cost on Daralbeida. There is no duty to eliminate, so the MAFTA subsidy prohibition removes a benefit that was never commercially needed. Tariff note (April 2026 context): The Trump administration imposed 10% additional tariffs on Moroccan goods as part of the April 2025 executive order on reciprocal tariffs. The status of MAFTA's interaction with these additional tariffs requires active monitoring with Daralbeida's US trade counsel. EU-origin olive oil faces 15% additional tariff; Tunisia faces 20-28%. If MAFTA's 0% MFN rate survives the additional tariff layer (as FTA goods typically receive separate treatment), Daralbeida's relative advantage versus European competitors increases materially. Verify current status before each shipment. ================================================================================ 11. PART IX, COMPREHENSIVE SUBSIDY MAP BY ENTITY AND TIMING ================================================================================ The following tables summarize all identified support mechanisms by the entity that captures them and the operational phase at which they become relevant. 11.1 YEAR 1, PROOF OF CONCEPT PHASE (100-500 UNITS LCL) Available NOW (no additional structure required). MAFTA 0% duty on US imports: Field Value ───────────────────────────────────────────────────────────────────────────── Who Daralbeida (US entity) as importer of record Value ~$0.70-0.76/bottle saved vs. MFN competitors Action File SPI "BH" on ACE entry summary; maintain Blanket Declaration per DAB-SOP-MAFTA-001 FDA drip irrigation subsidy (at contracted producer level): Field Value ───────────────────────────────────────────────────────────────────────────── Who Producer, captured indirectly by Daralbeida as reduced input cost / better FOB price negotiating position Value Up to 80-100% of producer's drip irrigation cost Action When selecting producers, prioritize those already enrolled in FDA programs or eligible to enroll IS permanent exemption on agricultural income below 5M MAD: Field Value ───────────────────────────────────────────────────────────────────────────── Who Daralbeida Maroc SARL (when incorporated) Value 0% Moroccan corporate tax on all agricultural income at current and near-term scale Action Incorporate Daralbeida Maroc SARL; structure Moroccan revenues as agricultural income from export activity Professional tax exemption (5 years from incorporation): Field Value ───────────────────────────────────────────────────────────────────────────── Who Daralbeida Maroc SARL Value Zero taxe professionnelle for 5 years on Moroccan premises Action Incorporate Daralbeida Maroc SARL; exemption is automatic VAT zero-rating on exported olive oil: Field Value ───────────────────────────────────────────────────────────────────────────── Who Daralbeida Maroc SARL as exporter Value No Moroccan VAT cost on export invoices; input VAT recovery Action Maintain proper VAT records; file reclaim for any input VAT paid on packaging materials, labels, agricultural inputs 11.2 YEAR 2-3, AGGREGATION PHASE (FDA DIRECTLY CAPTURABLE) Available when Daralbeida Maroc SARL is registered as aggregator. FDA flat-rate aggregation subsidy (Tier A): Field Value ───────────────────────────────────────────────────────────────────────────── Who Daralbeida Maroc SARL (as aggregateur) Rate 675 MAD/ha for olive aggregation around a crushing unit Value 337,500 MAD on 500 ha; 1,350,000 MAD on 2,000 ha Action File aggregation project with Ministry under Law 04-12 and Joint Order No. 2410-19 FDA preferential-rate subsidy on equipment (Tier B): Field Value ───────────────────────────────────────────────────────────────────────────── Who Daralbeida Maroc SARL (as aggregateur) Rate Preferential (higher than standard) percentage of equipment investment cost; exact rate from DPA consultation Value Dependent on equipment investment scale Action Same aggregation project filing; list equipment investments FDA olive planting subsidy (at aggregated producer level): Field Value ───────────────────────────────────────────────────────────────────────────── Who Contracted producers; Daralbeida coordinates access Rate 4,000-12,000 MAD/ha depending on zone and irrigation Value Reduces producer capital cost; improves supply security Action Include planting program in aggregation project design Tamwil El Fellah producer financing: Field Value ───────────────────────────────────────────────────────────────────────────── Who Contracted small producers; Daralbeida as aggregator provides the purchase guarantee that supports eligibility Rate 5-10% interest; no mortgage collateral required Value Off-balance-sheet financing for producer investments Action Partner with CAM/Tamwil El Fellah when designing aggregation contracts 11.3 YEAR 3-5, SCALE PHASE (ADDITIONAL MECHANISMS AVAILABLE) Investment agreement (1.5M MAD commitment over 5 years): Field Value ───────────────────────────────────────────────────────────────────────────── Who Daralbeida Maroc SARL Value IS capped at 20% for fiscal years from 2023 onward Action Sign investment agreement with Moroccan government; document fixed asset investment schedule CCG loan guarantee: Field Value ───────────────────────────────────────────────────────────────────────────── Who Daralbeida Maroc SARL Value 50-80% guarantee on bank credit; reduces collateral needed Action Engage CAM and CCG for working capital and investment credit Agropole co-location: Field Value ───────────────────────────────────────────────────────────────────────────── Who Daralbeida Maroc SARL (bottling/processing operations) Value Subsidized premises, shared infrastructure, ZAI tax benefits Action Evaluate Meknes or relevant regional agropole for Year 3-4 bottling facility location GI / PDO designation pursuit (long-term optionality): Field Value ───────────────────────────────────────────────────────────────────────────── Who Daralbeida Maroc SARL / Interprolive membership Value Premium pricing defense; terroir narrative for US market Action Year 3-5 strategic initiative; requires specific verified contracted estate as prerequisite ================================================================================ 12. PART X, WHAT IS NOT AVAILABLE, CLEAR BOUNDARIES ================================================================================ Export subsidies on US-bound shipments: Prohibited by MAFTA. Claiming them is an FTA violation. Non-negotiable. See Part II. Order 3284-17 Tier B additional subsidies for olive oil after 2021: The 3-campaign cap during 2017-2021 has expired. No renewal confirmed. Do not rely on these as a current cost model assumption. Direct land grants (freehold): Morocco does not grant freehold land title to agricultural investors under these programs. Concessions are leaseholds. Labor subsidies targeting olive oil specifically: No confirmed program as of 2026. General employment incentives (Anapec, youth employment programs) apply to agricultural employment but are not sector-specific to olive oil. Price support for olive oil: Morocco has historically intervened to control consumer prices (banning exports, allowing imports) rather than supporting farmgate prices through direct payments. Producer price support for olive oil does not exist as a structural ongoing program. ================================================================================ 13. SOURCES AND LEGAL REFERENCES ================================================================================ Primary sources: - Joint Ministerial Order No. 3284-17 of December 5, 2017 (official Gazette, May 3, 2018), full text reviewed via USDA GAIN Report MO1830 unofficial translation. - USDA FAS GAIN Report MO1830, Rabat, June 7, 2018. - Joint Order No. 2411-19 of October 28, 2019 (FDA aggregation subsidy rates). - Joint Order No. 2410-19 of October 28, 2019 (aggregation project approval procedures). - Moroccan General Tax Code (CGI), Articles 46, 47. - Finance Law 2023 (Morocco), IS reform provisions. - Finance Law 2024 (Morocco), VAT transition provisions. - WTO Trade Policy Review Morocco, S/453, March 18, 2024. - 19 CFR Part 10, Subpart M, MAFTA implementing regulations. - 19 CFR section 10.763, section 10.764, section 10.765, section 10.768. - CBP MAFTA FAQ, U.S. Customs and Border Protection, 2024 edition. - World Bank Morocco Green Generation Program-for-Results, 2021. - World Bank Morocco Transforming Agri-food Systems Program press release, December 19, 2024. - ADA Morocco government support page (ada.gov.ma). - Interprolive 2030 program documentation. - Wintime.ma: Taxation of the agricultural sector in Morocco, 2024. - EY Global: Morocco Finance Law 2023, key tax measures. - PWC Tax Summaries: Morocco corporate and other taxes, 2025. Regulatory contacts (for current rates and DPA procedures): - Direction Generale des Impots (DGI), IS and VAT treatment. - Agence de Developpement Agricole (ADA), FDA programs. - Relevant Provincial Directorate of Agriculture (DPA), aggregation project approval and FDA subsidy claims. - Credit Agricole du Maroc (CAM), Tamwil El Fellah and trade finance. - Caisse Centrale de Garantie (CCG), guarantee programs. - Interprolive, sector membership and program contracts. Legal counsel: - US trade counsel, US trade and import compliance. - Moroccan legal counsel, SARL incorporation, aggregation contracts, FDA filing, tax optimization, CCG access. ================================================================================ 14. AI PROMPTS ================================================================================ The following copy-paste prompt assists in refreshing or extending this reference report against current published Moroccan and US sources. Replace the editable tokens in [SQUARE_BRACKETS] before running. ================================================================================ START OF PROMPT ================================================================================ You are a trade-policy and agricultural-subsidy analyst supporting Daralbeida, a premium Moroccan extra virgin olive oil venture exporting to the United States. Using only verifiable primary and reputable secondary sources (official Moroccan Official Gazette, ADA.gov.ma, USDA FAS GAIN reports, WTO trade policy reviews, CBP MAFTA documentation, 19 CFR Part 10 Subpart M, and the Big Four Morocco tax summaries), update the reference report on Moroccan government support for the olive oil industry for the period through [TARGET_YEAR]. Cover these dimensions: (1) FDA production subsidies (planting, drip irrigation, mill equipment, certification); (2) export-promotion subsidies under Order No. 3284-17 and any successor instrument, with explicit MAFTA-compliance flagging for US-bound shipments; (3) Law 04-12 aggregation Tier A and Tier B rates; (4) tax exemptions (corporate IS, professional tax, VAT, CFC, ZAI); (5) subsidized finance (Tamwil El Fellah, CCG, CAM, ARDI); (6) land and agropole concessions; (7) Interprolive sector contract and GI/PDO status; (8) the MAFTA 0% duty and current additional-tariff posture for [ENTITY_NAME]. For every figure, cite the exact source and publication date. Flag any value that has changed since 2026-04-01 and any program that has expired, been suspended, or been newly created. Preserve all monetary figures in their original currency (MAD with USD parenthetical). Output as a structured plain text reference report. Confidence threshold for inclusion: [CONFIDENCE_LEVEL]. ================================================================================ END OF PROMPT ================================================================================ ================================================================================ 15. REVISION HISTORY ================================================================================ Version Date Author Summary of Changes ───────────────────────────────────────────────────────────────────────────── 1.0 2026-04-01 PYB Initial issue. 1.1 2026-06-13 PYB Reformatted to BPGP v3.1: added control header and footer, OUTLINE, numbered sections with Bar-Title-Bar headings, U+2500 table separators, AI Prompts, Revision History, Acronyms, and Glossary sections. Content and figures unchanged. ================================================================================ 16. ACRONYMS ================================================================================ ACE Automated Commercial Environment (US CBP entry system) ADA Agence pour le Developpement Agricole (Morocco) ARDI Agence pour la Reconversion et le Developpement des Industries BI Business Intelligence (department code) CAGR Compound Annual Growth Rate CAM Credit Agricole du Maroc CBP US Customs and Border Protection CCG Caisse Centrale de Garantie CFC Casablanca Finance City CGEM Confederation Generale des Entreprises du Maroc CGI Code General des Impots (Moroccan General Tax Code) CVD Countervailing Duties DGI Direction Generale des Impots DPA Provincial Directorate of Agriculture (Direction Provinciale de l'Agriculture) EACCE Etablissement Autonome de Controle et de Coordination des Exportations EVOO Extra Virgin Olive Oil FDA Fonds de Developpement Agricole (Agricultural Development Fund, Morocco) FOB Free On Board FSP Fonds de Stabilisation Prudentielle (prudential stabilization fund) FTA Free Trade Agreement GI Geographical Indication HTS Harmonized Tariff Schedule IS Impot sur les Societes (Moroccan corporate tax) LCL Less than Container Load MAD Moroccan Dirham MAFTA Morocco-America Free Trade Agreement MFN Most Favored Nation MPF Merchandise Processing Fee MT Metric Ton ONSSA Office National de Securite Sanitaire des Produits Alimentaires ORMVA Regional Office for Agricultural Development (Office Regional de Mise en Valeur Agricole) PDO Protected Designation of Origin PGI Protected Geographical Indication PMV Plan Maroc Vert (Green Morocco Plan 2008-2019) PNEEI National Program for Water Saving in Irrigation PPP Public-Private Partnership PYB Internal reference code for the Daralbeida founder SARL Societe a Responsabilite Limitee (Moroccan LLC) SPI Special Program Indicator VAT Value Added Tax WTO World Trade Organization ZAI Zone d'Acceleration Industrielle (Industrial Acceleration Zone) ================================================================================ 17. GLOSSARY ================================================================================ Agricultural Development Fund Moroccan state fund (Fonds de Developpement Agricole, FDA) providing direct subsidies for olive grove establishment, rehabilitation, irrigation, pressing equipment, and quality and certification infrastructure. Main mechanism for on-the-ground producer support under the Green Generation Plan. Aggregation Project A Moroccan agricultural structure in which a private company (aggregator) coordinates production, procurement, and marketing for a group of small farmers. Daralbeida Maroc SARL structured as an aggregator may access enhanced FDA subsidy rates. Countervailing Duty A US import duty imposed to offset foreign government subsidies. Moroccan olive oil subsidies that benefit exported product may be subject to US CVD proceedings if found to confer unfair advantages. MAFTA does not immunize against CVD. Daralbeida Brand name of the premium Moroccan EVOO venture. Always one word. USPTO trademark application filed, Class 29. Daralbeida Maroc SARL The Moroccan operating entity. Structured as an agricultural aggregator to maximize access to Moroccan state support programs. Extra Virgin Olive Oil Highest IOC grade of olive oil (EVOO). FFA 0.8% maximum, cold-extracted without chemical processing. Green Generation Strategy 2020-2030 Morocco's current national agricultural development plan. Succeeds the Plan Maroc Vert (2008-2019). Continues and expands olive sector support programs. Interprolive Morocco's official inter-professional olive oil sector body. Manages the Sector Contract with the Moroccan government, co-finances promotion and quality programs, and represents the industry in regulatory matters. Morocco-America Free Trade Agreement Trade agreement (MAFTA) granting Moroccan-origin EVOO zero import duty under HTS 1509.10.4000. MAFTA compliance rules restrict the types of Moroccan subsidies that can be applied to exported product without triggering US CVD liability. Plan Maroc Vert Green Morocco Plan, 2008-2019 (PMV). Morocco's first comprehensive agricultural modernization strategy. Laid the foundation for the current Green Generation Strategy 2020-2030. -------------------------------------------------------------------------------- DOCUMENT CONTROL (FOOTER) -------------------------------------------------------------------------------- Document ID : DARX_BI_REF_SUBSIDIES_001 Version : 1.1 Status : ACTIVE Last Revised : 2026-06-13 00:00 UTC Update Cycle : Annual or upon material change to Moroccan agricultural policy, FDA subsidy rates, or MAFTA CVD rulings Next Review Due : 2027-04-01 Annual Review : Yes Owner : PYB / Daralbeida Distribution : Internal only Review Triggers : Change to Moroccan agricultural policy, FDA subsidy rates, Order 3284-17 successor instruments, MAFTA CVD rulings, or US additional-tariff posture toward Moroccan goods COMPLIANCE : Subsidy rates and program terms are subject to change. Verify against current ADA.gov.ma publications and the official Moroccan Official Gazette before any subsidy application or investor representation. MAFTA compliance status of individual subsidy programs must be confirmed with US trade counsel before claiming any subsidy that benefits exported product. Revision History: See Section 15 -------------------------------------------------------------------------------- END OF DOCUMENT --------------------------------------------------------------------------------