Discusses opportunities for U.S. franchisers and legal requirements in the market.

Franchising by foreign companies is limited in Algeria, largely because of strict foreign exchange controls that do not allow the simple repatriation of royalties. The Algerian government has been considering a franchise law to make franchising possible in Algeria, though no timeframe has been set for its implementation.

Several European companies operate franchise stores in the fast food, fashion, clothing, jewelry, cosmetics and retail sectors, and international hotel names are licensed in Algeria. European companies manage their franchises in Algeria through the invoicing of goods and/or technical assistance services imported by the franchisee, rather than through the payment of royalties or other franchise fees. 2018 saw the first U.S. restaurant franchise opening in Algeria – Pizza Hut opened the first of three locations in May 2018. 2019 saw the opening of a Guess Jeans franchise and the phone cover franchise Mobile Outfitters opened multiple locations.
 

Prepared by our U.S. Embassies abroad. With its network of 108 offices across the United States and in more than 75 countries, the U.S. Commercial Service of the U.S. Department of Commerce utilizes its global presence and international marketing expertise to help U.S. companies sell their products and services worldwide. Locate the U.S. Commercial Service trade specialist in the U.S. nearest you by visiting http://export.gov/usoffices.