The Ethiopian manufacturing sector failed to meet the projected earnings with the various sub sectors bringing in between 63% and 49.4% of anticipated earnings.
The textile and garment sub sector earned 84.6 million US dollars which falls short of the 171.4 million US dollars projected for the past fiscal year. The earnings from the sector where however 36% more than what was earned by the sector in the previous year according to information obtained from the Ministry of Industry.
Ayka Addis Textile and Investment Group is responsible for 71% of the earnings from the textile sector.
Meanwhile leather and leather products earned just 54.4% of what had been expected and pharmaceuticals and chemicals only managed to earn 58.7%.Initial projections for the just ended fiscal period estimated 471.3 million US dollars in exports from the manufacturing sector but only 255.4 million US dollars was actually earned. The earnings were still 22.8% higher than what was earned in the previous reporting period in spite of being lower than projections.
The sector was unable to perform as anticipated due to a range of challenges including shortages in the supply and quality of raw materials as well as the lack of skilled man power said Melaku taye, Director of the Corporate Communications Directorate at the Ministry.
Textile exports were particularly affected by the hits on the prices of cotton, yarn, knitted garments and finished garments on the international market said the MoI report.
Source: Addis Fortune
