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    Ethiopia-Economy

    Ethiopia earns $240.1M from manufacturing in half-year

    APA-Addis Ababa (Ethiopia)

    Ethiopia has earned $240.1 million from the manufacturing sector in the first half of this fiscal year, which began in July 8, 2017.

    The revenue has seen a 198.4 million dollars increase from that of the same period last year, but is by far lower than the set target.

    In an exclusive interview with APA on Friday, corporate communications director with the Ministry of Industry Asefa Tesfaye said the $240.1 million revenue represents 59 percent of the target set for the period.

    The nation had planned to earn $407.1 million foreign currency from the sector, but secured $240.1 million which makes up 59 percent of the target. However, the revenue has seen a 198.4 million dollars or 41.7 percent increase from that of the same period last year.”

    The country has earned $69.63 million from leather and leather products in the first half of the current fiscal year, up by 26.53 percent from the revenue of the same period last year, though the earning fell 39 percent short of the target.

    Assefa announced that earnings from the textile sector was $47.3 million dollars during the half year, which is 49.5 percent lower than that of the target set, but 13.7 percent higher than the revenue received during the same period last year.

    Out of the total revenue earned from the textile sector, the lion’s share amounting to 79 percent was earned through 38 foreign companies, while the balance was earned by 20 local manufacturers.

    The country has achieved 72 percent of the over $44 million of the set target from the export of food and beverages. However, the revenue from the sub sector was 17 percent higher from the earnings secured in the same period last year.

    “Limitations in management skills and modern technology; poor market research and related problems; shortage of inputs and substandard products, failing to abide by export rules; and, inability to effectively process oil seeds; unable to secure export license in time; shortage of foreign currency; low demand of Ethiopian products in the international market; and, poor packaging materials were among the major factors contributing to unsatisfactory performance of the sector”.

    According to the director, the earnings from chemicals and the construction sector, as well as electrical and electronic products have seen an increase compared to the same period last year, but fell short of the target set for the period.


    MG/afm/APA

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