Artisans in Morocco have been starved of income for almost three months because of the Covid-19 pandemic. AFP
Artisans in Morocco have been starved of income for almost three months because of the Covid-19 pandemic. AFP
Artisans in Morocco have been starved of income for almost three months because of the Covid-19 pandemic. AFP
Artisans in Morocco have been starved of income for almost three months because of the Covid-19 pandemic. AFP

Morocco artisans fear 'knockout punch' from virus


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Pottery, basketwork and wrought-iron furniture pile up in the deserted stalls of the Oulja arts and crafts complex in Sale near the Moroccan capital Rabat.

Artisans have been starved of income for almost three months because of the Covid-19 pandemic.

"Coronavirus is the knockout punch: without help, without support, our profession will disappear," said Youssef Rghalmi, a 49-year-old potter.

In the family workshop, where skills have been handed down from generation to generation, the clay has dried up, the oven is turned off and the nine employees no longer turn up for work.

The last order, for a customer from France who called off her visit because of border closures, is gathering dust in a corner.

"We were already struggling to survive because lifestyles have changed," said Mohamed Touel, a master carver of "gebs" decorative plaster.

"Traditional trades are being lost because young people don't want to take over."

The enterprising 62-year-old had added a small restaurant to his shop but it closed because of lockdown measures imposed since mid-March.

The crafts industry represents some seven per cent of GDP, with an export turnover last year of nearly 1 billion dirhams ($100 million). AFP
The crafts industry represents some seven per cent of GDP, with an export turnover last year of nearly 1 billion dirhams ($100 million). AFP

Foreign tourists have vanished, the lockdown has paralysed economic life and local customers "have other priorities", Ahmed Driouch said in his store cluttered with copper lamps, ceramics, daggers, jewellery, inlaid chests and carpets.

Business has been "two hundred per cent affected by the virus", he said, grimly forecasting it would take "at least two or three years" to return to normal.

Upstairs, employees dusted some 10,000 carpets in stock, one by one.

"We must clean everything even if, for now, nobody's coming," one of them said ruefully, vacuum cleaner in hand.

Minister of Tourism and Handicrafts Nadia Fettah has proposed ideas such as exhibition spaces in supermarkets to revive a sector that provides employment to two million people and includes about 230,000 traditional artisans.

The crafts industry represents around seven percent of GDP, with an export turnover last year of nearly one billion dirhams ($100 million).

Despite their role in the economy, artisans work without social security cover and with a limited distribution network, much of it through word of mouth, like elsewhere in North Africa.

The 30 women who weave rugs for a small co-operative called "Creative Woman" in Sale have all lost their meagre incomes.

Weavers work eight hours a day for barely Dh367 a month "when the carpets are sold" and they "have nothing left because there has not been a single sale in three months", explained Rachida Nabati.

The energetic woman in her 40s, who has been a weaver since the age of seven, has been forced to borrow from friends to supplement her modest earnings from a vegetable garden next to her shack.

In the co-operative, some have been bailed out by a state coronavirus emergency fund, while many others "can no longer pay their rent".

"We have to sell on the internet but we don't know how to do that," said the mother who taught herself to read and write.

A Moroccan rug weaver peeks from behind carpet thread at a workshop in the city of Sale, north of the capital Rabat. AFP
A Moroccan rug weaver peeks from behind carpet thread at a workshop in the city of Sale, north of the capital Rabat. AFP

"A digital platform was launched for artisans a few years ago, but it doesn't work," master plasterer Mohamed Touel said.

In Tunisia, the National Office of Handicrafts has been working on an electronic platform for sales in Europe and has organised small exhibitions in hotels.

It also encourages artisans to launch Facebook pages or electronic sites.

But Sabiha, a potter in the Tunisian rural town of Sejnan whose works are on UNESCO's list of "intangible cultural heritage", said she cannot "even afford to recharge" her mobile phone.

Results

Women finals: 48kg - Urantsetseg Munkhbat (MGL) bt Distria Krasniqi (KOS); 52kg - Odette Guiffrida (ITA) bt Majlinda Kelmendi (KOS); 57kg - Nora Gjakova (KOS) bt Anastasiia Konkina (Rus)

Men’s finals: 60kg - Amiran Papinashvili (GEO) bt Francisco Garrigos (ESP); 66kg - Vazha Margvelashvili (Geo) bt Yerlan Serikzhanov (KAZ)

Ten tax points to be aware of in 2026

1. Domestic VAT refund amendments: request your refund within five years

If a business does not apply for the refund on time, they lose their credit.

2. E-invoicing in the UAE

Businesses should continue preparing for the implementation of e-invoicing in the UAE, with 2026 a preparation and transition period ahead of phased mandatory adoption. 

3. More tax audits

Tax authorities are increasingly using data already available across multiple filings to identify audit risks. 

4. More beneficial VAT and excise tax penalty regime

Tax disputes are expected to become more frequent and more structured, with clearer administrative objection and appeal processes. The UAE has adopted a new penalty regime for VAT and excise disputes, which now mirrors the penalty regime for corporate tax.

5. Greater emphasis on statutory audit

There is a greater need for the accuracy of financial statements. The International Financial Reporting Standards standards need to be strictly adhered to and, as a result, the quality of the audits will need to increase.

6. Further transfer pricing enforcement

Transfer pricing enforcement, which refers to the practice of establishing prices for internal transactions between related entities, is expected to broaden in scope. The UAE will shortly open the possibility to negotiate advance pricing agreements, or essentially rulings for transfer pricing purposes. 

7. Limited time periods for audits

Recent amendments also introduce a default five-year limitation period for tax audits and assessments, subject to specific statutory exceptions. While the standard audit and assessment period is five years, this may be extended to up to 15 years in cases involving fraud or tax evasion. 

8. Pillar 2 implementation 

Many multinational groups will begin to feel the practical effect of the Domestic Minimum Top-Up Tax (DMTT), the UAE's implementation of the OECD’s global minimum tax under Pillar 2. While the rules apply for financial years starting on or after January 1, 2025, it is 2026 that marks the transition to an operational phase.

9. Reduced compliance obligations for imported goods and services

Businesses that apply the reverse-charge mechanism for VAT purposes in the UAE may benefit from reduced compliance obligations. 

10. Substance and CbC reporting focus

Tax authorities are expected to continue strengthening the enforcement of economic substance and Country-by-Country (CbC) reporting frameworks. In the UAE, these regimes are increasingly being used as risk-assessment tools, providing tax authorities with a comprehensive view of multinational groups’ global footprints and enabling them to assess whether profits are aligned with real economic activity. 

Contributed by Thomas Vanhee and Hend Rashwan, Aurifer

Persuasion
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ABU DHABI TRIATHLON

For more information, and to enter the race, please visit www.abudhabi.triathlon.org.