The Ethiopian Investment Commission (EIC) has launched a new project to attract investment in the country's agro-processing sector. The project, which is supported by the International Finance Corporation (IFC), will focus on lead generation, outreach, follow-up, and conversion.
The project will work with OCO Global, Triple Line, and key stakeholders in Ethiopia to identify and attract anchor investors to the agro-processing sector. The project will also provide support to investors throughout the investment process, from due diligence to financing.
The EIC says that Ethiopia has a number of advantages for agro-processing investors, including abundant and affordable agricultural resources, a large and growing domestic market, a favorable investment climate, and a strategic location in the Horn of Africa. To utilize this opportunity, the country has been developing integrated agro-industrial parks.
Ethiopia currently has four IAIPs across the country which are supported by the development of associated Rural Transformation Center (RTCs) across their catchment areas for the aggregation and primary processing of agricultural products. According to Ethiopia IAIP, four Regional Industrial Parks Development Corporations which answer to regional boards look after the development of the agro-processing parks and RTCs in their respective regions.
The Government of Ethiopia spent Birr 30 billion to construct and operationalize Bure, Bulbula, and Yirgalem IAIPs. Bulbula IAIP is located in Oromia on 271 hectares of land and linked with 6 RTCs which are situated within 100 km radius of the park at Sashemene, Dodola, Bale Robe, Eteya, Welenchiti, and Meki while Yirgalem IAIP is situated in Sidama Regional State on 294.5 hectares of land and is connected with 6 RTCs within 100 km radius of the park at Dilla, Yirgachefe, Bule, Daye, Aletawendo, and Hawela Tula. On the other hand, Bure IAIP is supported with 7 RTCs located within a 100 km radius of the park at Merawi, Finote Selam, Dangila, Enjibara, Chagni, Amanuel, and Motta. All the RTCs serve as raw material suppliers to the IAIPs.
Source: Fana BC and 2Merkato Archives
