These stores stock mainly imported foodstuffs and household equipment. The retail trade is almost exclusively controlled by private businessmen. The U.S. Government encourages American businessmen to use agents, distributors, or joint-venture partners as a means to become active in Algeria's market. Under the 1993 Investment Code, foreign suppliers no longer need to invest in Algeria to set up distributorships. They may use local agents and distributors or may set up their own distribution companies.
Algerian law prohibits foreign firms from using commercial agents to bid on government tenders.
Franchising Franchising is not widespread in Algeria, but private firms are increasingly interested. Coca-Cola and a private Algerian food processing company established a very successful bottling operation in Algeria in 1993. The Government promulgated a law in January 1996 which allows Algerian companies to lease foreign-made equipment. Private firms are showing increasing interest in leasing, particularly construction equipment. Air Alg rie is soliciting offers for the lease of 9 large passenger aircraft.