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The African Union said today that it was considering taxes on air tickets, imports and insurance premiums to raise funds for the 53-member bloc.

The Addis Ababa based organisation said in a statement that contributions from partners and member states were no longer adequate, sustainable and reliable to meet the Union's growing financing needs. It said that such taxes would not only have a significant revenue impact for the AU, but would also be equitable and efficient.

Ethiopia has entered in to agreements with eight international companies which are going to explore for deposits of oil and gas in the country.

Ethiopia had signed 11 agreements for sharing profit from petroleum and one joint survey agreement with the eight companies, Ministry of Mines said yesterday.

Ethiopia earned 62.2 million dollars from the export of textile in the fiscal year to 7 July 2011 achieving 73.1 percent of its projection. The amount is a 178 percent increase from the previous fiscal year’s earning which was 23.2 million dollars.

In June 2011 alone the country earned 6.9 million dollars. The money earned in the same period last year was 3.3 million dollars.

Production to start in 2014

Lalibela Cement Factory, which is currently selling shares, is planning to start construction in June 2012 in Dejen, on 3,000 hectares of land.

The factory will produce 1.2 million tonnes of Ordinary Portland Cement and Portland Pozzolana Cement annually when it begins fully fledged production in 2014.

Gold supplied by traditional miners reaches 7,000kg

Ethiopia earned 175 million dollars from the export of 3.6 tonnes of gold (153 million dollars) and 187 tonnes of tantalum (22.5 million dollars) in the fiscal year to 7 July 2011.

All the gold was exported by MIDROC Gold, a subsidiary company of MIDROC Ethiopia, Gebregzabher Mekonnen, mining licensing and supervision core process owner with the Ministry of Mines, said.

Razia Agro Industry, an Indian company, is going to set up a sugar mill in the east Wollega zone of the Oromia Regional State.

According to an official of Razia, the company has acquired 4,000 hectares of land for sugarcane plantation and the construction of the mill. The official said that the company had already started clearing the land for developing the sugarcane farm.

The Ethiopian Chamber of Commerce and Sectoral Associations (ECCSA) launched this week a new exporter’s guide as part of its business development and trade facilitation efforts to maximize the benefits of the country from the sector.

Eyesuswork Zafu, president of the chamber, said that the guide would be a useful partner to all exporters in Ethiopia.

Ethiopian coffee production estimated to fall 18%

Tanzanian Coffee Board said today that the country’s coffee output may fall 20 percent in the year through June 2012 following a drought stunted growth.

Production may fall to 45,000 metric tons from 56,247 tons in the 2010-11 season, Adolph Kumburu, director general of the board, said.

The International Coffee Organization (ICO) said yesterday that coffee output in Ethiopia might drop by 18 percent in the 2011-12 crop year as a result of a smaller crop in the country.

Output in Ethiopia is expected to fall to 14.4 million bags the coming season from 17.5 million bags in the 2010-11 crop year. The ICO attributed the drop in production to poorer performance in the country.

Central Statistical Agency said yesterday that Ethiopia’s inflation rate hit to 38.1 percent in June up from 34.7 percent the previous month driven by higher food prices a rise in the prices of wheat, maize, barley, meat and potatoes among other items.

Food prices rose to 45.3 percent in June after rising 40.7 percent in the May, according to the agency.