2merkato

Ethiopia and the Netherlands signed a bilateral trade agreement to avoid double taxation to develop the trade system between the two countries, enhance investment activities as well as allowing transfer of technology between the two countries.

The trade accord was signed between Alemayehu Gujo, State Minister of Finance and Economic Development and Hans Blankenberg, Ambassador from the Netherlands.

The agreement would play a notable role in supporting investment activities between the two countries through establishing fair taxation said Alemayheu at the signing. The agreement will enable the exchange of goods and services and facilitate the flow of capital eliminating double taxation enacted on companies and individuals he added.

Ethiopia has launched a test run as part of efforts to export electricity to Sudan according to sources at the Ethiopian Electric and Power Corporation.

The test run for power supply was launched this week after the finalization of the Ethiopia-Sudan Transmission Line set up at a total cost of 41 million US dollars confirmed authorities at the EEPCo.

Ethiopia expects to provide 100 Mega Watts of electricity during the test run according to the source.

Ethiopia exported just 183 tons of cotton out of several thousand tons of surplus production in the 2011-12 financial year.

The exports for the fiscal year were executed after the government lifted its 18 month export ban in March of 2012.

Ethiopian cotton went to Portugal earning 5.1 million birr according to a report released by the Ministry of Trade. Exports would have been higher if it had not been for the ban said a manager of the Ethiopian Cotton Producers and Experts Association.

The Minister of Industry, Mekonnen Manyazewal said, the government will concentrate on improving the capacity of foreign trade investors both in terms of quality of exports and earnings in conference organized jointly with the Ministry, Ethiopian Development Research Institute and Japan International Cooperation Agency (JICA) on Thursday.

On the half day consultative forum, the Minister said, enhancing capacity of domestic export producers is among the government’s priority areas and the government will further its incentives through coordinated support and promotion to raise quality of export produce and earnings.