Ethiopia to Build Integrated Agricultural Processing Industrial Parks in Four States

Ethiopia is to build Integrated Agricultural Processing-Industrial Parks in four states at a cost of $84.22 million.

The project fund was originally pledged during an event organized by Ethiopian Ministry of Trade and Industry on October 8, 2019 in Bishoftu’s Pyramid Resort. The event was organized by the Ministry of Trade and Industry after African Development Bank pledge for project funding.

Minister of Trade and Industry, Fetlework G/Egziabher, the state minster, higher level regional officials and project managers were present during the pledging ceremony.

The sponsorship for the project for agricultural processing comes from the African Development Bank, the Korea Exim Bank, the European Union, the United Nations industrial Development Organization (UNIDO) and Big Wynn.

In an opening remark, Fetlework G/Egziabher said in accordance with the second phase of the Growth and Transformation Plan (GTPII) the ministry will be more focused on the manufacturing sector.

‘It is very essential that the government give more emphasis to boost the manufacturing sector,’ the Trade and Industry Minister said. ‘Bringing significant growth in the manufacturing industry can play a leading role in job creation, technology transfer, structural shift in Ethiopian export, and address trade imbalance.’

‘The government strategy mainly focuses on the implementation of project programs which gear towards attracting quality investment, enhancing production and productivity, boosting export shares, accelerating technological learning and strengthen the linkage among industry,’ she added.

Fetelework G/Egziabher said the government is working to update the sector and that encouraging results have been recorded throughout the process.

The constructions of integrated agro-industrial parks pilot project in four regional States are the blue prints for the progress made by the Ministry of Trade and Industry.

‘The development of these parks has a positive role in boosting agricultural productivity, and the government will build rural transition centers around the park,’ said Fetlework G/Egziabher. ‘We will work on increasing productive capacity, building on an already-strong infrastructure project pipeline (particularly in hydropower, road and rail), and reforming the business environment that drive growth for the Country in the past few years.’

According to report, the money from the African Development Bank will be used for the construction of integrated agro-industrial parks in four regional states in the Country.

October 8, 2019

 Institutions sign MoU to integrate infrastructural dev’t projects

Some 7 federal institutions have signed a Memorandum of Understanding (MoU) to integrate their infrastructural projects in this Ethiopian Fiscal Year.

The federal institutions that signed the MoU on Thursday are the Ethiopian Roads Authority (ERA), Ethio-Telecom, Ethiopian Electric Power (EEP), Ethiopian Electric Utility (EEU), Ethiopian Railway Corporation (ERC), Ethiopian Airport Enterprise, and Industrial Parks Development Corporation (IPDC).

Federal Integrated Infrastructure Development Coordinating Agency Director-General, AlmawMengiste said on the occasion, the main objective of the MoU is to implement the integrated project plans in the fiscal year.

Signing the MoU helps the stakeholders to execute infrastructural development projects in a coordinated manner so as to save time, money, skill and other human resources from unnecessary wastage, he said.

According to him, signatories of the MoU will be held accountable, if they fail to abide by the memorandum and execute projects accordingly.

The proper implementation of the MoU will be supervised by a team drawn from the federal institutions.

19 October 2019


 Chinese textile opens shop in Dire Dawa

Cotton Textile Plc, a Chinese textile manufacturer, has opened its textile factory in Dire Dawa’s Industrial Park. Found inside 52 hectares of land with over USD 220 million spent, it has, so far, created more than 1500 local jobs in the area and is expected to reach 3500 once it’s fully operational.

“This is to be a great investment for us and we continue to look for opportunities to expand within Ethiopia,” Zhang Sheng Ming, General Manager of the company in Ethiopia told The Reporter, adding, “Ethiopia, with its investment favorable environment and young population, continues to be a place where we can utilize our expertise while becoming a corporate citizen and a friendly neighbor within the city of Dire Dawa.”

The century-old company signed a memorandum-of-understanding in 2017 with the intent of exporting its quality products to European, North American, Japan and other markets from the park.

The mega manufacturer of fabric products produces more than 26,000 tons and 30 million meters of gray fabrics annually at all its operations.

Ethiopia continues to attract a slew of investments from China, in areas of construction of roads, airports, factories, and manufacturing. It is a leading source of much-needed jobs within the nation. It has been a noted partner in the nation’s signature industrial parks that are being built across the country and has been credited to helping change the economic successes of the nation that is fast-moving from aid dependency to a culture of entrepreneurship.

The company is to use a 100 percent pollution-free and environmentally friendly re-generated system within Ethiopia.

“In addition to what we do, we are very much interested in, the impact of the environment and complement it, instead of harming it. We are an environmentally conscious company and that is how we want to be known in Ethiopia,” Ming added.

19 October 2019


 A Nobel Laureate

The Norwegian Nobel Committee has given the 2019 Nobel Peace Prize to Ethiopian Prime Minister, Abiy Ahmed (Ph.D.). The historic win places the 43-year old among 99 candidates who won one of the most prestigious honors since it was founded in 1901.

The committee cited his efforts to resolve the border conflicts with neighboring Eritrea, as well as his determination to forge a peaceful and cooperative co-existence among neighboring nations, in the midst of a troubled region that knows more conflicts than the ideals he has been championing.

Ethiopia and Eritrea have been in a dispute for two decades since relations were terminated back in 1998. He also mediated conflicts among factions in Sudan, South Sudan, and the lingering issues between Kenya and Somalia.

These efforts were also noted by the Nobel Peace Committee.

“Abiy Ahmed has sought to mediate between Kenya and Somalia in their protracted conflict over rights to a disputed marine area. There is now hope for a resolution to this conflict,” the announcement read.

Since taking over the top political position of a nation of more than 100 million, he has been credited with releasing political prisoners, for advocating for an open democracy, for bringing a feminist agenda to his government and for promoting freedom of the press that was non-existent a mere years ago, among others.

Abiy has also been criticized for the displacement of people, for the lack of security and high unemployment in all parts of the nation, while focusing on headline-grabbing antics, including the planting of trees, estimated to be more than 350 million planted in a single day.

“This is a huge congratulation for Ethiopia and friends of Ethiopia,” Billene Seyoum said at a hastily arranged press conference mere hours after he was announced as the winner. “This recognition is historic; it raises the profile of Ethiopia at the global stage. More importantly, it is also a testimony of the hard work that has been going on over the past year and a half.”

Abiy who is hosting leaders of neighboring countries in the capital for the inauguration of the Unity Park, inside the National Palace due to open publicly on Monday, communicated to the world via social media.

“I am humbled by the decision of the Norwegian Nobel Committee. My deepest gratitude goes to all committed and working for peace. This award is for Ethiopia and the African continent. We shall prosper in peace,” he said on his personal twitter page.

He was congratulated by world leaders, among many, the Chancellor of Germany, Angela Merkel, an ally of his reforms.

“You showed great courage by taking the first steps toward reconciliation with your neighbor Eritrea and in doing so, have given millions of people a chance for peace,” she said.

12 October 2019

Source: - Reporter

 Germany Vows to Shore up Ethiopia’s Industrial Parks Dev’t


Addis Ababa October 15 /2019 German Development Cooperation (GIZ) has expressed its continued commitment to support investors who are keen on engaging in Industrial Parks of Ethiopia and its inclusive development.

Program Manager for Special Initiative Job Creation and Sustainable Program at GIZ, Ulrich Plein told ENA that GIZ is working with IPDC, Ethiopian Investment Commission to improve industrial parks development.

“We are working on Industrial Parks Development Corporation and industrial parks. We also try to support investors to improve their performance by providing capacity building,” he underscored.

GIZ provides assistance for the private sector development in Ethiopia and creating opportunities for local investors to partner with foreign companies.

“We are supporting the local industries working with small enterprises and trying to link them to the activities which are going in the parks,” he added.

Moreover, he stated that this program is attracting investors from Europe and mainly from Germany to invest in the industry sector.

“We are currently having talks with several German companies that are highly interested to invest in Ethiopia,” he said, adding that “GIZ will support them once they have decided to invest here in Ethiopia.”

Praising the commitment of government in developing industrial parks, he said “the county has invested a lot of money and done a great job by attracting various investors from abroad.”

“We believe that this is very important development for the country and we have seen that the government is very eager to scale up this development,” he added.

Industrial Parks Development Corporation (IPDC) CEO, Lilise Neme for her part applauded the efforts of GIZ in supporting industrial parks development in Ethiopia through capacity building and supporting the private sector.

Industrial Parks Development Corporation (IPDC) has 12 industrial parks, of which seven of them are operational as the remaining parks will be fully finalized this year.

The industrial parks which are already in operation have managed to create jobs for about 50,000 permanent and 35,000 temporary employees, it was indicated.

Source:- ENA

 IPDC is working to ease challenges facing industrial parks


Skilled labour vital for industrial parks

ADDIS ABABA – Parks and concerning stakeholders said easing hurdles facing the parks is important to make the industrial parks productive and competent abroad.

Economic growth in Ethiopia is progressing at an impressive rate, where industrial parks are satisfying the interest of international investors in the country’s economy. Attracting FDI is at the core of Ethiopia’s industrialization strategy, which is supported at the highest level and in particular by the Prime Minister.

To that end, Ethiopia’s investment policy has been reformed at least four times over the past 20 years, making the country increasingly open to FDI. Since its establishment in 2014 industrial parks created hundreds of thousand jobs permanently and temporarily chief Executive Officer (CEO) of the Industrial Parks Development Corporation (IPDC), Lelise Neme said.

The government of Ethiopia constructed twelve industrial parks across the country and seven of them are operational. Construction of industrial parks beyond attracting FDI and foreign currency, it is an important area to create jobs for the citizens wide. The seven operational industrial parks created over 50 thousand permanent and 35 thousand temporary jobs.

The CEO stated that, challenges facing some industrial parks are lack of access to water and power supply. The industrial parks found across the country are striving to eco industry and many works are underway. From among this using the waste products, making the industrial parks greenery by planting 10 to 50 thousand trees each, are making them energy efficient to save power and the like.

Deputy CEO of the IPDC Amare Asgedom said that, in line with its success in creating job and attracting FDI to the county lots of challenges are facing the parks. From among the challenges facing the sector are finding the right employee with required knowledge and skill has been difficult because the benefit package is not competitive enough to attract talented and experienced workers.

Experience in the industrial park operation and management skill is infant and, lack of sustainable capacity building scheme for operators. In addition, delayed response from the city administration and absence of standard guidelines percentage of land proposition are among the challenges.

October 12/2019

Source:-The Ethiopian Herald

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