Algeria

Chart showing US commodity exports to Algeria

Supply/Demand Basics

  • Corn imports drop 19%, reaching 4.2 MMT, due to a decline in poultry consumption.
  • Barley imports fluctuate depending on local production; in MY 2020/21 Algeria imported 780 TMT, up 55% from 503 TMT imported in the previous MY.
  • No imports of corn co-products, primarily due to import duties.
  • Concerns remain around U.S. corn quality despite 181 TMT imported in MY 2020/21.

 

Chart showing information about Algeria

Country Overview

  • State-dominated economy with restrictions on imports and foreign investment.
  • The oil and gas sector are the country’s main source of revenues, generated about 70% of total budget receipts.
  • In 2021, the Algerian economy began gradually recovering from the Covid-19 pandemic and oil shocks in 2020.

Trade and Market Share Overview

  • Argentinian corn had 82% market share, followed by Brazil with 10%, then the U.S. and Ukraine both with 4%.
  • Majority of imported corn is used for on-farm feed mixing.
  • Large commercial feed millers are becoming established, and they are less willing to pay a premium for Argentinian corn.
  • Due to the high prices of feed ingredients, several poultry farmers shut down their business, driving the feed industry to produce for the ruminant sector.

Policy Overview

  • Imported corn and SBM are subject to 5% import duty and 0% VAT for corn and 19% for SBM. To protect the local soybean crushing industry, soybean imports only pay a 0% import duty and a 9% VAT.
  • On April 1st, 2021, the Algerian government removed the VAT on all feed ingredients to reduce feed prices. While import duties remains the same—30% for DDGS and 19% for CGF—discouraging the use of corn co-products.

Graph showing Algerian imports from the US in dollars