Travel agencies in Morocco: an uncertain future?

IN BRIEF

Concerns of travel agencies in the face of law 11-16.
Absence of consultation with agencies during the legislative drafting.
The current law favors the rapid opening of agencies, without required skills.
Cancellation of the standards of professionalism provided by the old law.
Increased vulnerability to unfair competition.
Opportunities for regulation against the informality of the market.
Impact of the Covid-19 pandemic on 80% of agencies.
Importance of preserving local jobs in the sector.

The travel agency sector in Morocco is undergoing an unprecedented crisis. Between the health crisis caused by the Covid-19 pandemic and the impact of controversial legislation, professionals in the sector are concerned for their future. While nearly 80% of travel agencies have had to close their doors, the recent compliance with law 11-16 has added extra pressure on an already weakened industry. This article explores the challenges facing these agencies and the stakes of this troubling situation.

Legislative context and issues #

The implementation of law 11-16 has sparked strong criticism among Moroccan travel agencies. According to sector professionals, this legislation was drafted without real consultation, leaving agencies uncertain about their future. Mohamed Semlali, president of the National Federation of Associations of Travel Agencies of Morocco, emphasizes the lack of consideration for market realities that could tilt the balance in favor of established agencies, to the detriment of the credibility of an entire profession.

Regulatory gaps #

Many travel agents point to the gaps in law 11-16 which appear to favor unprofessional practices. Today, anyone can open an agency in 48 hours without prior training or knowledge of the sector, simply by depositing a bond. This situation harms the image of agencies that strive to ensure a quality service and professionalism. Under the previous law, strict standards were imposed, notably the requirement to have a director approved by the Ministry of Tourism, which ensured a minimal level of competence.

Impact of the Covid-19 crisis #

The pandemic has exacerbated an already delicate situation, leading to the closure of nearly 80% of agencies. The consequences are catastrophic, marked by massive job losses and a near-disappearance for some of them. Agencies, which constituted an essential link in the value chain in the tourism sector, must now face unprecedented challenges. The urgency to revive activity then becomes a priority, but how to overcome this mountain of difficulties?

Opportunities and regulations #

Despite this disastrous situation, some experts believe that law 11-16 could also offer regulatory perspectives in a market often marked by informality. Semlali points out that the new legislation could allow reputable travel agencies to stand out against unfair competition, especially those operating online without being declared. By clarifying the regulatory framework, it is possible to promote healthier competition, benefiting both businesses and consumers.

Competition and the future of agencies #

The rise of digital platforms and informal travel offers comes with concerns about the future of traditional agencies. Local travel agencies find themselves disadvantaged against international players who can often offer more competitive prices. The lack of clear requirements in the current legislation could lead to deregulation that would further harm the profession. Established agencies struggle to maintain a high standard of service, while unqualified companies emerge without restraint.