Ethiopia plans to have 15 industrial parks by June 2018Ethiopia has planned to increase the number of its industrial parks to 15 by June 2018 as part of its efforts to boost manufacturing and export.

Speaking exclusively to Xinhua on Thursday, Dr. Arkebe Oqubay Board Chairperson of Ethiopian Industrial Park Corporation (EIPC), said Ethiopia's aim in building more industrial parks is to enable the manufacturing sector to contribute to 20 percent of Ethiopia's GDP and 50 percent of the export volume by 2025.

Currently, Ethiopia has seven operational industrial parks with Mekelle and Kombolcha being the latest additions commissioned earlier this month. Mekelle and Kombolcha industrial parks were both built by China Civil Engineering Construction Corporation (CCECC) at a cost of 100 million U.S. dollars and 90 million dollars respectively.

"In January 2018 Kilinto Pharmaceutical and Bole Lemi 2 industrial parks will be commissioned, by May Bahir Dar and Jimma industrial parks will be operational, and in June expect Debre Birhan and Arerti industrial parks to start operations," said Dr. Arkebe.

The Ethiopian government has already announced that two other industrial parks, Dire Dawa and Adama will be commissioned in September. The two industrial parks are also being constructed by CCECC at a cost of 190 million and 125 million dollars respectively.

Read more at http://www.ebc.et/web/ennews/-/ethiopia-plans-to-have-15-industrial-parks-by-june-2018

 

Accelerating structural economic transformationOn various occasions, a number of international organizations have confirmed Ethiopia’s remarkable economic growth registered over the past ten plus years. Nonetheless, they have been recommending the government to put extra efforts to bring about structural economic transformation as 90 per cent of the country's GDP generated from the agriculture and other services.

These organizations have also pointed out the constraints related to the slowdown of the transformation into an industrialized economy. Moreover, they plainly stated the importance of producing skilled labor force and improving the investment climate to realize the vision of becoming a manufacturing powerhouse and increasing incomes by 2025.

It is true that Ethiopia has not made significant progress in pulling labor out of agriculture into more productive and industrial jobs with three-quarters of all workers still employed in agriculture.

Therefore, the World Bank stressed that growth in the industrial sector is essential for sustained long-term growth and poverty reduction for a country graduating through the early stages of economic development.

The bank also asserted that the structural economic transformation needs to involve the reallocation of workers from the poorly productive agriculture to more productive economic activities in manufacturing.

Apparently, expanding manufacturing industry is an important step towards the creation of better-paying jobs. That is why the government is building a number of industrial parks across the country.

Read more at http://www.ethpress.gov.et/herald/index.php/editorial-view-point/item/9157-accelerating-structural-economic-transformation

 

The manufacturing industry, particularly the textile sector, in Ethiopia is laying a significant foundation to industrial development. It has been attracting celebrated and well known top international firms. Efforts are also exerted by the government to create an enabling environment in the country so as to maximize influx of investors to home who could invest in the sector. The government of Ethiopia believes that textile would benefit a large number of people and paves the path for the nation to join middle-income status in 2025.

Historical documents indicated that textile is one of the most preferable gateways for industrial development. It was one of the catalysts of the industrial revolution in both Germany and United Kingdom. Cognizant of that the Ethiopian government has been building industrial parks at different cities of the country. These emerging industrial parks are believed to enhance the textile investment and productivity of the country.

One of the industrial parks inaugurated so far is the Kombolcha Industrial Park. This park has got keen interests of leading textile companies as it was elaborated during the inauguration ceremony on 8th of July 2017.

There are various well distinguished International companies that are participating in the Kombolcha Industrial Park. Some of them are Carvico S.p.A, an Italian company globally known for its knit fabrics used in swimwear and sportswear; Trybus, a US-company engaged in the production of men’s suits and Pungkook Corporation, a South Korean company engaged in the manufacturing of bags.

Read more at http://www.ethpress.gov.et/herald/index.php/editorial-view-point/item/9134-industrial-parks-luring-more-investment-jobs

 

Ethiopia seeks Indian investment in textile industryEthiopia, one of the fastest growing countries in Africa, is seeking India's investment in its textiles industry. For this, a workshop on the investment opportunities in Ethiopian textiles held in New Delhi.

The session was hosted by Ethiopian Investment Promotion and International Trade Centre and The Southern India Mills' Association.

The investment promotion workshop provided a platform for engagement between Indian textile industries and a high-level Ethiopian delegation to explore partnerships in the sector. It has also raised awareness of existing opportunities for investment in Ethiopia with a particular emphasis on the textile and garments.

The session has highlighted key factors that serve as Ethiopia's comparative advantages in the cotton, textile, and apparel sector.

Ethiopia is expected to become a sourcing hub for the global textile and garment industry within the next decade. With a workforce of more than forty-seven million, the country offers a large supply of valuable human resources at affordable wages.

With electricity tariffs at $0.04 per kWh, industries have been able to achieve greater competitiveness over their counterparts elsewhere.

Investors engaged in manufacturing are also able to import capital goods for an indefinite period free of customs duties.

Read more at http://www.ebc.et/web/ennews/-/ethiopia-seeks-indian-investment-in-textile-industry

 

US Manufacturing Tech Solutions Provider Targets Ethiopian Ghanaian CompaniesThe US-based manufacturing technology solution provider, SEYCONTECH LLC, has revealed that it has targeted Ethiopian and Ghanaian companies in its endeavor to help solve the bottlenecks in the manufacturing sectors of the African countries.

According to the website new Business Ethiopia, SEYCONTECH LLC’s President, Dr. Sydney K. Seymour made the announcement in Addis Ababa today, indicating that Ethiopia and Ghana are among the priority targets of the company.

Speaking on the reasons why Ethiopia and Ghana are his company’s priorities, he noted that the fact that the two African countries are highly focusing on the development of manufacturing sector made them targets of his company.

“If Africa needs to have sustainable growth, the development of its manufacturing industries is unquestionable,” President Seymour, who holds 12 U.S. patents and one international patent, said.

Dr. Seymour believes that African countries should not continue producing and exporting raw tomatoes and cocoa while importing back the processed outputs of these agricultural products.

“There are simple manufacturing technologies and solutions that can help the farmers or any entrepreneurs in Africa to produce tomato pastes and chocolates or any other processed agro-products within Africa,” the website quoted him as saying.

Reports show that 40 percent food losses occur in Africa due to the wastage in the agriculture business chain – from pre-harvesting to post-harvesting.

Read more at http://www.ena.gov.et/en/index.php/economy/item/3535-us-manufacturing-tech-solutions-provider-targets-ethiopia