Medef in Algeria: France wants to enhance presence at all costs

A total of 70 representatives of Medef (Movement of French Enterprises Patrons) attended a meeting with Algeria’s Forum of Chiefs of enterprises (FCE) Monday in Algiers in an attempt to emphasise the French presence in the country parallel with the new Complementary Finance Act.

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• FCE’s head Reda Hamiani said Algeria’s imports reached $40 billion in 2008 adding that the country can not bear the fact of covering its needs by imports only.
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• French investment flow in Algeria is estimated at $320 million and stock investment has reached $2.3 billion since Algeria opened its market in 1998.
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• Medef’s president of honour François Périgot said Algeria made a courageous step when it opened its self to privatisation. “Let’s forget about all the rest and see what we did together.”
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• The Complementary Finance Act provides that an Algerian institution, public organization or private company that contracts with a foreign party may not bear the cost of taxes and duties due by the foreign party in performing the contract on behalf of that party. As a result, foreign parties must always take account of and include Algerian taxes in their prices. 
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• Hamiani said France remains Algeria’s first supplier in terms of trade exchange in 2008 and January-September 2009. It is also its fourth client in terms of exports.
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• He mentioned that French investment in the country remains “relatively modest and does not meet aspirations. Yet, France is making progress.”
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• Previously, Algerian investment minister Abdelhamid Temmar said it is out of the question that Algeria accepts again partnerships with no real production and no technological transfer.
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• French ambassador to Algeria told reporters last week that the relationship between Algeria and France are good and only need to be intensified.
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• “We worked a lot to explain in France the new aspects of the Complementary Finance Act2009. It redefined the legal frame of companies with foreign capitals planning to operate in this country.”