News & Events

Russian wheat offered lowest in Ethiopia's 400,000 ton wheat tender

The offer was made by a local trading house. The tender had closed earlier in October with the technical aspects of offers submitted before prices. rices offered by mainstream trading houses were mostly around $320 a tonne c&f including transport to inland destinations in Ethiopia. HAMBURG: The lowest price offered in the tender from an Ethiopian government agency to buy 400,000 tonnes of milling wheat was believed to be $243.90 a tonne c&f including transport to inland destinations for Russian wheat, European traders said on Thursday.

FAMILY MILK OF ETHIOPIA TO COMMENCE EXPORT

Family Milk, one of the top dairy product brands in Ethiopia processed by MB-PLC, is set to commence export of its new long shelf life product, company CEO said

Speaking to New Business Ethiopia, Hailu Eshetu, CEO of MB-PLC indicated that the company will soon be engaged in exporting dairy products, which has up to six months shelf life. “We have planned to join the export market since our establishment. Meanwhile commencing production of products with longer shelf life took us some time than we expected. Now we are producing UHT milks that have al east six months of shelf life and ready to start the export,” he said.

Located in Lafto Industrial zone in the capital, Addis Ababa, the dairy products processing company plans to start exporting products to different African countries includes: Sudan, Djibouti, Somaliland, among others. Ethiopia is one of sub Saharan African countries with a large potential in livestock, being first among African countries and 9th in the world. Livestock production in Ethiopia contributes about 16.5 percent of the national gross domestic product (GDP). However, the countries dairy industry is still in its infant stage.

Family Milk of Ethiopia to commence export

Some of the major constraints of the sector include lack of regulatory policy, lack of raw materials, and unfair competition from the informal sector, according to Mr. Hailu, who also mentioned similar cheaper imported products as challenge for the growth of Ethiopia’s dairy industry. He further noted that there are some golden opportunities to increase the milk consumption trend, which can boost income of smallholder farmers and pastoralists, as well as help to ensuring food security and create job opportunities.

Family Milk entered the market in 2002 producing various dairy products like; pasteurized milk, yoghurt, butter, and milk among others with a capacity of producing 70,000 liters per a day. It is working jointly with Singapore-based investment group Schulze Global Investments, which holds 45 percent shareholder. The remaining share is owned by the local firm MB-PLC, according to the CEO.

Source:-https://newbusinessethiopia.com/manufacturing/family-milk-of-ethiopia-to-commence-export/

Huge export potential for Ethiopian produce

Durabilis – an international impact investment company, and the owner of fresh produce importer FairFruit in Belgium – is elated to announce the successful arrival of trial Hass avocado exports from Ethiopia.

The first container arrived in the UK on 20 September 2020, followed by a second shipment on 5 October 2020. The vast majority of the GlobalGAP-certified fruit has been sold to two leading importers who mainly serve UK retailers. Trial volumes have been offered to customers in Belgium and the Netherlands also. Separately, two trial airfreight shipments have been received positively in the United Arab Emirates and Saudi Arabia.

Evert Wulfrank, CEO of Durabilis, explains: “Considering the agricultural potential of Ethiopia, this successful test with avocados creates a whole new perspective for a series of Ethiopian products that qualify for export to Europe. The 750km refrigerated railway connection from Modjo Dry Port in Ethiopia to the Port of Djibouti means exporting Ethiopian produce by seafreight has become a real option. The train offers a regular, reliable service lasting 30 hours, compared with two-to-three days by truck. Overall, the transit time from Ethiopia to Europe is now less than 30 days approximately, and there is the potential to reduce that to 24 days in the future.”

Wulfrank adds: “This is important for buyers that are looking for new and competitive sources of fresh fruits and veggies, and who, so far, have disregarded Ethiopia as a feasible option because the country lacked seafreight connections. We are looking for more avocado buyers in the UK, Europe and the Middle East because our projected production volumes will grow substantially and we will have a range of sizes.”

Ethiopia has considerable agricultural potential thanks to its fertile soils, a temperate climate, competitive labour costs, and plenty of available water within the Koga region (south of Bahir Dar) where Durabilis is working with smallholder growers in conjunction with its local subsidiary Koga Veg Agricultural Development.

Jan Michielsen, General Manager of Koga Veg in Ethiopia (owned by Durabilis), adds: “At this stage, our primary focus is to establish a commercially-viable business model; sourcing from smallholder avocado growers and supplying their fruit to the international market via a reliable logistics link. Already, those growers have adopted environmentally-friendly production methods that meet the quality requirements for the ready-to-eat sector in Europe, for which they receive a fair price. In the future, we’d like to invest further in more sustainable methods, efficient water usage, and, ultimately, in organic-certified production.”

The first of the two refrigerated containers carrying Ethiopian Hass avocados left Koga Veg’s packhouse on 21 August 2020; travelling by train from Modjo Dry Port to the Port of Djibouti before reefer shipment to Italy, and onto the UK by truck. Both loads contained 22.4 tonnes.

Source: https://www.freshplaza.com/article/9262091/huge-export-potential-for-ethiopian-produce/

 

Ethiopia attracts half a billion dollar FDI in three months

The Investment Commission of Ethiopia says the country has half a billion foreign during the first quarter of the country’s current fiscal year. Compared to last year the amount declined 20 percent.

Compared to the FDI the country attracted same period the previous year, the amount has declined by 20 percent as a result of the impact of the global pandemic, coronavirus, according to Commissioner of Ethiopian Investment Commission Lilise Neme. The Commissioner noted that 42 percent are registered to invest in manufacturing, 47 in service and 11 percent are in agriculture sectors.

Speaking to reporters on Monday Lilise stated that the half a billion dollar FDI registered in the three months in the face of the global pandemic is promising and considered as success. She noted that most of the FDI registered in Ethiopia over the last three months are from China.

Commenting on the questions if her office is assessing the contributions of FD to tax income of the country, Lilise said that the Commission has been supporting the companies and assessing the contributions of the firms in terms of tax, employment, among others.

“Investment Commission will not only into the implementation of the investment projects but also the contributions of the investment to the society and the priority they give to the community where they are investing,” she said, indicating that assessing tax payments of the investments is also part of the activities the Commission is engaged in. Meanwhile, even though China, Turkey and India have been among top FDI sources in Ethiopia, only one Chinese company has appeared in the list of top 200 taxpayers, Ethiopia has awarded a few weeks ago.

During the last three months, the Commission has also assisted 46 investment projects to move to implementation phase and 36 other to operational phases, according to Lilise. Over the last three months the investments have created jobs to 16,659 people of which close to 11,000 jobs were created in industrial parks.

Source https://newbusinessethiopia.com/investment/ethiopia-attracts-half-a-billion-dollar-fdi-in-three-months/

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