Morocco: A Pharmaceutical Hub for German Laboratories

Morocco is capturing the attention of German pharmaceutical companies due to its regulatory environment, distribution network, and industrial capabilities. According to an analysis published on October 15 by Germany Trade & Invest (GTAI), the federal German agency responsible for promoting foreign trade and investment, the kingdom has significant advantages for developing local drug production and boosting exports to African markets.

The study compares the opportunities presented by Morocco, Algeria, and Tunisia, distinguishing between three activities: importing finished medicines, manufacturing for the domestic market, and production for export. The authors note that Morocco allows for a diversity of industrial and commercial partnerships, particularly due to the presence of local manufacturers and pre-established distribution channels.

A Pharmaceutical Market Worth 25.9 Billion Dirhams

Morocco’s pharmaceutical market reached 25.9 billion dirhams in 2024, approximately 2.4 billion euros, according to competition council data cited by GTAI.

Pharmaceutical product imports totaled 10.6 billion dirhams, compared to 1.6 billion dirhams in exports. This disparity highlights a trade deficit of about nine billion dirhams, underscoring the potential for developing national production.

At that time, the sector included 56 pharmaceutical manufacturing establishments, 66 wholesalers, and over 14,000 pharmacies. For foreign laboratories, this infrastructure serves as a foundation for considering partnerships with established companies, without necessarily starting with the construction of new production facilities.

GTAI specifically mentions Sothema, Cooper Pharma, and Maphar as manufacturers present in Morocco. These companies could serve as potential partners for licensed manufacturing operations or subcontracting, subject to regulatory approvals and compatibility of equipment with the relevant medicines.

Germany, a Major Supplier to the Moroccan Pharmaceutical Sector

Trade relations between Germany and Morocco in the pharmaceutical field are already significant. According to United Nations international trade statistics utilized by GTAI, Germany ranked first among the kingdom’s suppliers for all products under customs classification chapter 30 in 2024, accounting for nearly 18% of the value of imports.

This position is primarily due to the delivery of vaccines and blood products. For finished medicines, France held the top spot, indicating that the distribution of suppliers varies by product category.

The expansion of health insurance coverage also contributes to supporting domestic demand, according to the German analysis. However, regulated prices and the significant market share of generic medicines limit manufacturers’ pricing potential and increase competition in the domestic market.

Access to the market is also governed by Moroccan approval procedures. GTAI emphasizes that importing medicines must go through a licensed pharmaceutical establishment in Morocco and obtain authorization from the Moroccan Agency for Medicines and Health Products (AMMPS).

For German laboratories, establishing a presence in Morocco thus requires considering regulatory requirements, marketing conditions, and characteristics of the relevant products.

Morocco, Algeria, Tunisia: Three Distinct Pharmaceutical Models

GTAI’s comparison highlights significant differences among the three leading economies of the Maghreb. Each presents unique characteristics in terms of local production, importation, regulation, and access to foreign markets.

In Morocco, partnerships with existing manufacturers and the distribution network allow for various strategies, ranging from importing finished medicines to local manufacturing. The kingdom also offers potential for production targeting other African markets, provided that applicable requirements in each destination country are met.

Algeria’s industrial strategy is more focused on substituting imports with domestic production. The country has 233 pharmaceutical production establishments, including 138 medicine manufacturers. As of February 2026, the National Agency for Pharmaceutical Products estimated that local production met 83% of domestic needs.

This approach is accompanied by restrictions on importing products when a local equivalent is available. Importers must have the required approvals, register medicines, and obtain approval for their importation plans.

According to GTAI, Algerian authorities also suspended, at the end of April 2026, the submission of new import approval requests for medicines and medical devices. This measure was still in effect at the end of September, according to information reported by the German agency.

Despite these constraints, Algeria retains potential for innovative medicines, complex products, active ingredients, and technology transfers. In this context, local production or industrial partnerships may serve as pathways for foreign companies to access the market.

Tunisia Has a Generic-Focused Industry

Tunisia presents a different model, with a pharmaceutical industry consisting of around forty factories. According to data cited by GTAI, local production covers approximately 80% of national needs by volume and 60% by value.

The manufacturing primarily focuses on generic medicines, while high-value-added products continue to make up a portion of imports. The country also has experience in exporting: according to the Agency for the Promotion of Foreign Investment, Tunisian manufacturers serve 35 countries and export approximately 18% of their production.

However, the German agency highlights financing difficulties and payment delays related to the Central Pharmacy of Tunisia, a key player in medicine imports. Payment delays can reach up to twelve to thirteen months, as reported in the study.

GTAI also mentions the partnership concluded in February 2026 between the French laboratory Sanofi and the Tunisian group Kilani. The agreement provides for the local manufacture of part of Sanofi’s portfolio by Teriak, as well as the involvement of Medicis in certain medical visit and marketing activities.

This example illustrates the possibilities for industrial cooperation in the region, as well as the necessity to adapt establishment strategies to the specifics of each market.

Morocco Can Strengthen Its Role as an Export Platform

Beyond the size of the domestic market, the ability to supply other African countries is an important criterion in selecting an industrial location. In this regard, GTAI highlights Morocco’s logistical infrastructures, distribution channels, and the presence of local manufacturers capable of hosting partnerships.

However, the development of this export-oriented role will depend on several factors, including production costs, business competitiveness, regulatory approvals, and compliance with international health standards.

Laboratories will also need to identify their target markets before investing, as each African country applies its own registration, authorization, and distribution regulations for medicines. Thus, establishing operations in Morocco does not automatically guarantee access to neighboring markets.

The challenge for the kingdom is to transform a market still largely dependent on imports into a production base that can meet domestic demand and serve more African markets.

For German manufacturers, the choice among Morocco, Algeria, and Tunisia will depend on the nature of the medicines, commercial objectives, industrial costs, and regulatory constraints. GTAI’s analysis provides a lens through which to interpret these differences and underscores the role Morocco could play in developing pharmaceutical activities in Africa.