The Privatization and Public Enterprises Supervising Agency of Ethiopia is expected to put up nine state owned farms for privatization in the next financial year. PPESA plans to privatize the farms on a full management agreement.
The nine farms to be privatized are the five farms operated by Arsi Agricultural Development Enterprise and the four managed under the Bale Agricultural Development Enterprise.
The AADE farms are Arba Gugu, Goffer, Garadila, Lole and Temela while the BADE farms consist of Sinana, Robe, Herero and Hunte farms.
The Arsi and Bale agricultural concerns are primarily involved in the cultivation of barley and wheat crops. The farms have served as significant sources of wheat on the local market especially for milling industries but have failed to show returns consistent with their potential in recent years according to sources.The Abobo, Seraro and Bilito farms operated by the Awassa Agricultural Development and the Upper Awash Agro-Industry enterprises are made available for proposals by private investors at this time.
It is expected that PPESA will invite tenders for Gojeb Agricultural Farm and Limu Coffee Plantation controlled by the Coffee Plantation Development Enterprise.
The agency also expects to invite offers for tenders for other companies on full management or joint venture arrangements.
One of the companies expected to be up for privatization on a full management basis in the coming fiscal year is the Natural Gum and Production and Marketing Enterprise, maker of natural and resin for export purposes.
PPESA will also be interested in bids for Artistic Printing Enterprise, Awash Melkassa Aluminum Sulfate and Sulfuric Acid Share Company, Ethiopian Pharmaceutical Manufacturing SC, and Ethiopian Pulp and Paper Factory SC on a joint venture arrangement.
Source: Ethiopian Herald
