Exporting guide to Algeria

Overview

Algeria is the largest country in Africa in terms of landmass and trade between the UK and Algeria is expanding. The economy is dominated by oil and gas production, but there is also a developing market in renewable energy production, such as wind and solar.

Trade statistics

£376.0 million total UK exports to Algeria for the four quarters to the end of Q2 2022

(Source: ONS UK total trade: all countries, seasonally adjusted
Last updated: October 2022)

86th largest UK export market

(Source: ONS UK total trade: all countries, seasonally adjusted
Last updated: October 2022)

0.1% of total UK exports for the four quarters to the end of Q2 2022

(Source: ONS UK total trade: all countries, seasonally adjusted
Last updated: October 2022)

Desire to work with the UK

The UK brand is strong and popular in Algeria. There are opportunities across all sectors for UK companies looking to do business and invest, and Algerian companies are keen to form mutually beneficial partnerships and joint ventures.

Diversification

The UK is well placed to help Algeria fulfil its ambitions of economic diversification, attracting investment and strengthening the competitiveness of its enterprises. This is creating opportunities for UK companies across a range of industries.

Top five UK goods exported to Algeria, in the four quarters to the end of Q2 2022

Goods Value (£million)
Mechanical power generators (intermediate) 38.5
Medicinal & pharmaceutical products 38.4
Dairy products & eggs 15.2
General industrial machinery (capital) 11.5
General industrial machinery (intermediate) 10.4

Source: ONS Trade in goods: country-by-commodity exports
Last updated: November 2022
Download the latest trade and investment factsheet for Algeria.

Algeria: at a glance

Economic growth

3.5%

Actual figure (IMF, 2021)
The UK is 7.4% (IMF, 2021, projected figure)

GDP per capita

$3,954

Actual figure (IMF, 2019)
The UK is $43,121 (IMF, 2019, actual figure)

Currency

Algerian dinar

Business languages

Arabic, French

You’re likely to need a translator

Time zone

GMT + 1

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Opportunities for exporters

There are opportunities for UK companies across a broad range of industries. Our trade advisers in Algeria have identified particular opportunities for UK businesses in the following sectors:

Check for trade barriers

Trade barriers, such as tariffs or taxes, can raise costs, cause delays, or even stop you from exporting. Check for any issues that may impact your business when exporting.

See current trade barriers

See resolved trade barriers

Check duties and customs

Find information on how to export goods from the UK. View the duties, rules, restrictions, and the documents you need for your products.

See current duties and customs procedures

Doing business in Algeria

Preparing to export

Tax

The UK and Algeria have signed a double taxation agreement, meaning the same income is not taxed twice.

VAT

If you’re registered for VAT, it may be possible to zero-rate the goods you export to Algeria, provided certain conditions are met.

The standard VAT rate in Algeria is 17%, but a reduced rate of 7% is applied to some goods, products and specific operations.

The National Agency of Investment Development lists all tax requirements in Algeria.

Customs

You are encouraged to use a reputable customs clearance agent familiar with the customs clearance formalities of Algeria.

Regulations

Algeria’s National Agency of Investment Development has a full breakdown of regulations in the country.

Trade barriers

Check for any reported barriers to trading with Algeria.

Report any trade barriers that are affecting your business so we can help fix them.

Operating in Algeria

Intellectual property

Intellectual property (IP) rights are territorial and rights granted in the UK do not provide protection elsewhere. You should consider getting IP protection abroad if you want to trade overseas or sell to overseas customers via the internet.

The Intellectual Property Office provides practical information to help you protect, manage and enforce your IP abroad. Further support for British businesses can be found through a network of IP attachés, based in key UK export markets.

Payment terms

In any transaction involving the import of goods into Algeria, an advance payment cannot exceed 15% of the contract value and depends on the prior approval of the Central Bank of Algeria and the issuance bank guarantee. This payment can be made after the buyer shows the final invoices, the goods have been shipped and a D-10 certificate has been issued by customs.

Joint ventures

Overseas companies operating in strategic sectors who are looking to set up in Algeria must currently comply with the shareholding (‘51/49’) rule for joint ventures. This means a foreign investor must have an Algerian partner and can only hold a maximum of 49% of the company.

Business culture

Personal contact matters in Algeria. Prospective exporters should visit the country and take their time to understand the nature of the system. You are advised to contact our team in Algeria to help find tax and legal advisers before entering into agreements.

Next steps

DIT can advise you on doing business abroad, and help put you in touch with other people who can help such as lawyers and distributors.