Diesel prices in Morocco set to climb again from November 1, petrol to ease

Drivers in Morocco should brace for another rise at the pump from Sunday, November 1. Industry sources point to a diesel increase of more than 50 centimes per litre, while petrol is expected to fall by roughly the same amount. Final figures have yet to be confirmed.

The increase would come after a brief pause. Diesel had dropped by about 20 centimes a litre from October 16, following a hike of around 80 centimes at the start of the month that had pushed prices above 16 dirhams in several cities. After the cut, a litre settled at about 15.90 dirhams at some stations, with differences between distributors and regions.

Since mid-July, diesel has climbed in stages: 69 centimes in mid-July, 1 dirham in early August, 65 centimes in mid-August, 6 centimes on September 1, 34 centimes in mid-September and 80 centimes in early October. Those increases add up to about 3.54 dirhams a litre, or a net rise of around 3.34 dirhams once the mid-October cut is factored in. Should the November increase go ahead, the gap since mid-July could reach between 3.84 and 4.04 dirhams in under four months.

Behind the swings lies turbulence on global energy markets. Low-sulphur diesel futures on the European market stood at about $1,485 per metric tonne on October 23, while Brent crude climbed from near $100 a barrel at the start of October to around $117 in the past week, amid concerns over supplies through the Strait of Hormuz and tensions in the Middle East. Pump prices in Morocco also hinge on purchase prices abroad, shipping and insurance costs, the dollar exchange rate and the timing of cargo purchases.

The 2027 finance bill, meanwhile, proposes a 40% tax rate on companies importing or distributing hydrocarbons whose net profit reaches or exceeds 100 million dirhams. The measure targets company profits rather than imposing a direct levy on each litre sold.

A fresh increase would weigh on transport professionals, households and diesel-dependent businesses, putting fuel back at the centre of the debate on the cost of living in a market liberalised at the end of 2015.