In Morocco, the production of argan oil has expanded from a regional practice to a valuable global industry while still serving essential purposes in local communities. The oil, long used in Moroccan cuisine and traditional medicine, is now widely included in luxury cosmetics across the world. Most production takes place in rural areas near Essaouira, where women grind argan kernels by hand. Each kilogram of oil takes nearly two days to produce and sells for about $3 locally. However, as global demand increases, the argan forests—once covering over 14,000 square kilometers—have decreased by 40 percent. Experts have stated that climate change, overharvesting, and land conversion for export crops are key factors in this environmental degradation, affecting biodiversity and rural livelihoods.

In response, the Moroccan government launched a conservation project in 2018 to expand forest cover. One part of the plan involves growing argan trees together with capers to help save water and improve the soil. However, extreme drought has delayed fruit growth from new trees. At the same time, supply chain issues force many cooperatives to sell oil cheaply to intermediaries, who then sell it to global brands at higher prices. Experts have noted an economic disparity between producers and exporters. Multinational companies now control much of the market, raising fears of local displacement. Although storage centers have been introduced to improve bargaining power, many cooperatives report limited success. A redesigned support program is planned for 2026 to improve access and promote economic sustainability for producers in affected regions.