2merkato

Coffee exports in Ethiopia were 50% below target in the past nine months of the financial year and are expected to decrease even further.

Ethiopia had anticipated raising 1.17 billion US dollars from the export of 288,000 tons of coffee. The failure to meet targets was due to the instability of the international market claimed Kebede Chane Minister of Trade. It is expected that coffee exports will reach 70% of target by the end of the fiscal year he said.

The country exported 98,000 tons of coffee in the first nine months which amounted to 48% of target exports raising 66% of the target revenue.

The prices of unwashed Arabica coffee from Ethiopia are reported to have decreased by an estimated 6.9% on the Ethiopian Commodity Exchange last week.

The fall in prices occurred as the volume of washed and unwashed coffee traded on the exchange increased from 2295 metric ton to 2529 metric tons said an email statement from the exchange on Dec 9th.

The Common Market for Eastern and Southern Africa announced that it is to implement a pilot project on Virtual Trade Facilitation System in the Djibouti Corridor of Ethiopia.

The project is expected to enhance regional competitiveness, to expand trade, exchange information and coordinate activities according to Ahmed Shide, State Minister for Finance and Economic Development speaking at COMMESA Trade Facilitation Workshop held in Addis Ababa.

The system facilitates the tracking of cargo, control of the movement of goods and monitor and to ensure the efficiency, time management, cost effectiveness and transparency reducing time and cost for cross border and local transport as well as transit traffic along the corridor he added.

A study conducted by the Common Market of Eastern and Southern revealed that Ethiopia’s manufacturing secure is not yet ready to be competitive internationally and is showing little sign of improvement.

The study was commissioned by the Ministry of Finance and Economic Development and financed by the COMESA secretariat.

Problems noted by the study include slow productivity, high production costs, shortage and low quality of raw materials, shortage in foreign exchange, lack of skilled manpower, and frequent power interruptions.

COMESA Summit will hold its 18th meeting this month in Ethiopia when Heads of State and Governments of 19 Member bloc of countries comes together.