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| Casablanca's Chinatown Derb Omar: Casablanca's Chinatown
By Omar ER-ROUCH
Chinese music blares from stereo systems, mixing with the voices of Chinese traders at a busy local market. Welcome to China? No, in fact, we are in Morocco's commercial capital, Casablanca, at Derb Omar commercial district.
Since it opened 140 years ago, Derb Omar has become one of the city's largest market places, attracting thousands of shoppers to its stalls, which offer everything: sandals, toys, cooking utensils, domestic appliances, detergents, clothes and furniture.
The initial traders were locals, notably Amazigh, who used to import different items from across the world, including China. Step by step, they have got new neighbours, as huge numbers of Chinese tradesmen have set their shops to turn into a fixture of the daily life of Derb Omar.
A Chinese success story?
Under the Chinese government's “widen China's export market” policy, a Chinese tradesman rented 100 shops in the commercial district of Derb Omar in 2004 to create a Chinese commercial hub and attract Chinese tradesmen. In the same year, his countryman Oussmane chose to settle in the commercial district after two experiences in Tunisia and Senegal.
“The Moroccan market is promising for Chinese businessmen and tradesmen. There is a real demand, especially from Moroccan low-income households. After five years, the demand has certainly declined, but we still make good money here,” Oussmane says. “We are not ready yet to move from Morocco, there are still important opportunities,” he says.
In his shop, Ousmane displays different items with varying qualities. “There are options for every budget… but the highest demand is for low-quality and cheap products.”
The same spirit of optimism is shared by other Chinese shopkeepers in Derb Omar. “Chinese products enjoy a good reputation among Moroccan consumers... We make products with reasonable quality at the lowest prices: it depends on what you want,” says Lin, another Chinese shopkeeper, who sells sneakers and sandals.
Friends or foes
“There are four Chinese bazaars in Derb Omar, in addition to several shops dispersed throughout the district…. They have invaded the market and ruined our livelihood,” a local shopkeeper says bitterly.
“They offer similar items, but of lower quality, with lower prices… we cannot keep up the pace with them,” he says. “There are different levels of quality for the same item: we bring a middle-quality product, they bring the lowest quality,” he says with a deep sigh.
Not everyone is unhappy about China's interest in Morocco's commerce. Two shops farther, a shopkeeper says: “Moroccan and Chinese tradesmen get on well… In the past, a small number of Moroccan businessmen were monopolising the import of Chinese products and they lay down the law. Nowadays, we have an open access to Chinese products with reasonable prices.”
“We, tradesmen, don’t fear competition. Instead, the Chinese have developed this commerce. I do believe, however, that some manufacturing units have been hurt, as they cannot compete with cheap Chinese products.”
Smart business or customs fraud?
“The Chinese are smart businessmen. They have studied our market and assessed our needs. They know the kind of products we need and the prices we can afford,” says Mohamed, a young Moroccan who have left high school to work with Lin in his shop.
The young man, who makes some transactions to boost his salary, admits that the majority of Chinese tradesmen have recourse to customs fraud to import products to Morocco at low prices.
“They wouldn’t declare to the customs the real amount, nature and value of the items. Thus, they can afford to sell their products at the lowest prices,” he points out.
Speaking under anonymity, in fear to provoke the wrath of his colleagues, a freight forwarder in the business capital confirms this fact, saying that the prices declared to the customs are underestimated up to 50 and 60 percent.
“The Chinese tradesmen engage some freight forwarders who accept to undervalue the real amount, nature and value of imported items,” he says.
The charge is dismissed out of hand by Oussmane. “There is no customs fraud; the whole story is that we don’t look for a big profit margin. The secret of our business lays in achieving large turnovers,” he says.
Meeting consumers’ needs Vs protecting economy
After a short bargaining with Oussmane, a local customer gets his sneakers for 50 dirhams (7 dollars). “I can’t afford to buy a Nike or an Adidas for my kid... I know it is not the same quality, but it is the only way… ,” he says.
In fact, thousands of customers go to Derb Omar for their shopping: “More and more people are coming in. Our products have a good reputation,” says Oussmane.
Chairman of Casablanca’s chamber of commerce, Industry and Services, Ahmed Qammous says that Chinese products are “a threat to the consumer because they lack quality.” “Not a long ago, China-made gas heaters have killed a dozen of people,” he recalls.
“Chinese products undermine our economy, as some units, especially in textile, shoes and crafts, have closed their doors and fired their employees because they can’t compete with China’s low-cost products. Moreover, these goods aren’t sold in their real prices,” Qammous says.
He calls for putting an end to this phenomenon and regulating Moroccan borders; “each imported item should be in line with Moroccan norms… Though Morocco is a signatory country to the General Agreement on Tariffs and Trade (GATT) and has various free trade agreements, we should protect our products and borders to be in line with Moroccan norms. These norms are already put in place, but we should activate the laws and toughen control at the ports.”
“We urge authorities, customs and institutions involved to control these products, which harm Moroccan economy, and call upon consumers to believe in Moroccan products, which are recognized worldwide by their quality, notably in the USA and Europe,” he says.
Meanwhile, Moroccan households continue to flood into Derb Omar, making the happy days of Chinese tradesmen.... If you doubt it, try to find a parking place... |