Irish Aid and United States Agency for International Development (USAID) concluded an agreement to provide fund for the purpose of assisting the development and adaptation of technologies as well as business models that require transformation in the Ethiopian diary sector.

The signatory ceremony took place in Sheraton Addis between the US Ambassador to Ethiopia Patricia Haslach and Ambassador of Ireland to Ethiopia Aidan O'Hara.

According to The Reporter Irish Aid, through its Private Sector Innovation Fund, signed the agreement to stimulate and support agribusiness enterprises and innovations in the dairy sub-sector. A total of € 400,000 fund will be facilitated for the project via USAID’s Ethiopia Sustainable Agribusiness Incubator (ESAI) project, which is being implemented by Precise Consult International (PCI).

The purpose of ESAI is transforming Ethiopia’s agriculture sector-by-sector. It aims to do that by enhancing competitiveness of the entire value chains in the dairy, sesame and honey subsectors of Ethiopia.

The diary innovation fund is going to be used to design, demonstrate and field-testing of technologies and business models which are expected to show high potential in increased commercialization of milk products in Ethiopia.

The fund is aimed to support those entrepreneurs with innovative business models and technologies with great potential for commercialization, said Henok Assefa, Chairman of Precise Investments, Managing Partner Precise Consult and Chief of Party USAID Ethiopia agribusiness incubator.

According to The Reporter each project will receive up to € 20,000 and applicants that have sector wide impact will receive up to € 50,000.

Henok noted for the purpose of selecting the appropriate applicants, criteria are set that will help measure the concept notes and merit on innovativeness and the potential in creating significant impacts over the diary subsector transformation.

Source: The Reporter