News Categories: Ethiopia News

Forum urges ratification of SADCprotocols to develop agriculturesector

THE Eastern and Southern Africa small-scale Farmers Forum (ESAFF) convened a meeting recently which brought together stakeholders from the private sector and government to discuss the Southern African Development Community (SADC) vision 2050 and the Regional Indicative Strategic Development Plan (RISDP) 2020–2030. Participants to the conference which was themed: “Tanzania Awareness National Dialogue on the new SADC Vision 2050 and RISDP 2020-2030” came up with a number of policy recommendations geared to ensure successful implementation of the agreed development plans. The virtual meeting was supported by Southern Africa Trust (SAT) and German Corporation for International Cooperation (GIZ). They suggested for SADC member states to speed up ratification and domestication of all SADC protocols and programmes at the national level including the SADC Development Fund and SADC Agriculture Development Funds. Stakeholders also advised the government through the Ministry of Foreign Affairs and East African Cooperation to fast track the formation of the Tanzania SADC National Committee (SNC) as well as ensure fully participation of Non-State Actors (NSA) including the private sector, civil society organizations, farmer organizations and the media in the national and regional development agenda. On the RISDP 2020-2030, they suggested that SADC member states including Tanzania recognize and domesticate the United Nations Decade of Family Farming (UNDFF) 2019-2028 which aims to shed new light on the important role family farmers play in eradicating hunger. Governments to increase joint trading by ensuring every member state identifies products of its comparative advantage to trade within the block. The stakeholders pushed for...

The role of data centres in promoting E-Commerce in Africa

Technological advancements, financial sector innovations and recent health threats like the Coronavirus have fuelled a greater reliance and need for digital trade and online shopping. The surge in E-Commerce globally has resulted in the need for efficient payment and data management systems. The adoption of data centres provides a data management system solution that allows for efficient payment across e-commerce platforms.   What are data centres? Data centres are ICT command centres used by various businesses to provide cloud storage, data processing and applications support services. These are useful to ensure safe, efficient and reliable online markets. IT penetration in Africa is the major determinant of the growth and development of data centres. Economic and administrative prioritisation has not been directed towards investments in IT infrastructure. A norm that IT investments are concerns for the private sector and not for the government prevails throughout the continent. As such, the continent is falling behind in IT penetration as government efforts lag behind that of the private sector. Infrastructure development in IT by the private sector has hugely promoted e-commerce. With the growth of digital business, there has been a wave by organisations to develop data centres to better handle the digital sphere of doing business. Most of these data centres have been adopted in Africa’s biggest markets, like Nigeria and South Africa. This sophisticated avenue of ICT is an emerging employment sector. A competent labour force with adequate skills is required to ensure efficient management of data centres. Investment in ICT infrastructure Global...

‘We have to stand up, but we can’t preach’, says UK minister for Africa James Duddridge

As the UK forges a new set of global partnerships post-Brexit, questions remain over its commitment to the continent after the reduction in the aid budget. But the UK's minister for Africa James Duddridge argues that African countries see the UK as a long term partner and that historical and financial ties remain as strong as ever. The UK is in global diplomatic realignment, and not just in Europe. While the UK was close to the Chinese under previous prime minister David Cameron, the current executive under Boris Johnson is far closer to the US position; speaking up on the Uyghur genocide and on repression in Hong Kong, and backing away from including Chinese technology companies in core UK communications networks. Will this realignment be visible in Africa? Brexit diplomacy There is now a bloat of foreign powers seeking advantage on the continent, each bringing their own strengths: from the project financing of Chinese infrastructure providers, the technology of the Japanese, the price points of Turkish goods and the agribusiness competence of Brazil. “We are motoring”, says UK minister for Africa James Duddridge. He points to post-Brexit trade agreements signed with 15 African countries and the advantages that the UK can depend on, such as use of English, the attractiveness of the City of London and the long history of UK corporate engagement on the continent. “Yes, there are a lot of players, but more and more we’ll be working in consortium across countries, rather than just having a simple...

Trademark East Africa Harnesses Berbera Corridor Potential Unlocking Trade and Economy

TMA’s foray into Ethiopia and Somaliland yields significant gains. The Moyale One-Stop Border Post (OSBP) interconnectivity has now been completed. Trademark East Africa (TMA) has made significant strides in unlocking the Horn of Africa’s transport corridors in Ethiopia and Somaliland. TMA launched the Unlocking Prosperity in the Horn of Africa programme in October 2018, to harness the trade and economic potential of the Berbera Corridor between Somaliland-Ethiopia. Although the region is strategically on one of the world’s busiest shipping lanes and trading routes, the 2018 World Bank Logistics Performance Report ranked the logistics as extremely inefficient yet raising the cost of trade. The Moyale One Stop Border Post (OSBP) interconnectivity has now been completed. It was launched in December last year in a colourful event that was officiated by President Uhuru Kenyatta of Kenya and Dr Abiy Ahmed, Prime Minister, the Federal Republic of Ethiopia at the Moyale border point. The border point is part of the LAPSSET project, and is situated approximately 800 Kilometres North of Nairobi, and 780 Kilometres South of Addis Ababa. Construction of the OSBP facility was completed in 2018, after which the facility was connected to appropriate ICT Hardware and Software to enable it to run smoothly as a modern facility. Cross-border procedures were reviewed to prepare for their commencement and staff on both sides of the border trained on the new procedures. The launch of the OSBP operations were, however, interrupted by COVID-19 induced travel restrictions, TMA said in a recent brief on the...

Focus should now be on recovery, building resilience for job creation

Summary Covid-19 is daunting, complex, and ubiquitous. It is not just a public health matter; but also affects progress in the fight against poverty in Africa, due to its direct impact on jobs and economic performance. We are living in times of great uncertainty, fuelled by the onset of Covid-19. Despite this, we have maintained our focus on supporting trade and building prosperity, creating jobs, and reducing poverty in eastern Africa. Covid-19 is daunting, complex, and ubiquitous. It is not just a public health matter; but also affects progress in the fight against poverty in Africa, due to its direct impact on jobs and economic performance. It has catalysed rethinking of global supply chains, shaken traditional patterns of partnerships, but also stimulated unanticipated innovation. It has magnified the importance of trade as a driver for development and building resilient economies. It is noteworthy that projected economic growth has more than halved in many countries, particularly in East Africa. TradeMark Africa has responded by creating a Covid-19 mitigation programme that leveraged our 10 years of experience, in addition to accelerate core programming with higher levels of innovation and forged new partnerships to address challenges to eastern Africa’s recovery. In 2019-20, we begun with an overview of the innovative Safe Trade Emergency Facility (Safe Trade) that we developed and rolled out when Covid-19 first hit East Africa. This was rolled out with the support of our development partners in the European Union, Finland, Canada, Denmark, the Netherlands and the United Kingdom. The...

COMESA, Ethiopia sign €5.6m sub-delegation agreement for upgrading border posts

COMESA and Ethiopia have signed a 5.6 million Euro sub-delegation agreement to improve coordinated border management, trade and transport facilitation at the Moyale and Galafi border posts. Moyale and Galafi borders link Ethiopia on one hand to Kenya and Djibouti on the other respectively. The project will assist Ethiopia to upgrade the single window service system, to increase inter- agency connectivity and to improve the connectivity of the two customs systems. The project is funded by the European Union under the COMESA Trade Facilitation Programme. The State Minister of Trade and Industry of Ethiopia, H.E. Ambassador Mesganu Arga, and COMESA Secretary General, Ms. Chileshe Kapwepwe separately signed the sub-delegation agreement. The EU will also finance the construction of the main building of the One Stop Border Post (OSBP) at the Ethiopian Galafi border post. Other components of the project include capacity building, training of the agencies’ staff present at the borders and holding of sensitization workshops. Appreciating the European Union for the support rendered, the State Minister said: “The support is timely as the Ethiopian government desires to build on the current trade facilitation effort that will enhance the efficiency and ultimately reduce the cost of doing business as Ethiopia grapples with the negative effects of the COVID-19 pandemic.” The State Minister also thanked the COMESA Secretary General and her staff for the technical support rendered during the development of Ethiopia’s project. Explaining the modalities of implementation of the sub-delegated activities, the Secretary General said it is envisaged the Ethiopian...

Ethiopian Airlines at the forefront to distribute #COVID19 vaccines across #Africa

Ethiopian Airlines, the largest and most successful airline in Africa, has announced that it has operated COVID-19 vaccine delivery flights from Mumbai to Addis Ababa and from Beijing to Brazzaville. Ethiopian transported the first batch of Coronavirus vaccines from Mumbai to Addis Ababa on 06th of March 2021. The airline continues to play its prominent role in the vaccine distribution and transported the vaccines from Beijing to Brazzaville via Addis Ababa on 10th of March 2021. Commenting on the operation of the vaccine delivery flights, Mr. Tewolde GebreMariam, CEO of Ethiopian Airlines remarked, “We are glad that we have launched the delivery of our mission-critical service with the distribution of much-anticipated COVID-19 vaccine. We will be repeating the remarkable and globally recognized success in leading the fast delivery of PPE few months ago with similar delivery speed, professional handling and maintaining the cool chain during the global vaccine distribution. We have made enough preparations to transport the vaccines across the world.” Ethiopian Cargo & Logistics Services, the cargo unit of Ethiopian Airlines Group, was instrumental in facilitating the flow of medical supplies including PPE across the globe in support of the fight against the COVID-19 pandemic by deploying its state-of-the-art cargo terminal, which is the largest in Africa with annual capacity of around one million tons and compartmentalized temperature controlled cold storage facilities. Equipped with different climate chambers ranging between -23 C to +25 C covering an area of 54,000m2, dedicated cool dollies, dedicated pharma team, lease/handling of Envirotainer &...

Analysing long-term socio-economic impacts of COVID-19 across diverse African contexts

The COVID-19 pandemic has claimed over 100,000 African lives and nearly 4 million cases have been recorded so far. Africa’s COVID-19 story is one of nuances. Only 10 countries account for over 80% of all cases, island nations suffer peculiar impacts, rural-urban differentiation is evident, socioeconomic implications reveal gender biases, and trade patterns matter. There is no single Africa COVID-19 story. Addressing COVID-19 in Africa and designing appropriate remedial strategies requires a thorough understanding of Africa’s diverse contexts and an appreciation of the role of regional integration in defining solutions. UNDP Africa’s new report: “Analysing long-term socio-economic impacts of COVID-19 across diverse African contexts” examines the effect COVID-19 will have on macro-economic development in 10 African countries by 2030 and 2050. The study highlights the multifaceted economic and social consequences of the COVID-19 pandemic across Africa, including on human development indicators, economic interdependence, and growth and resilience patterns. Changes in mortality, economic growth and international financial flows in Angola, Cabo Verde, Chad, DRC, Ethiopia, Kenya, Mali, Mauritius, Nigeria and South Africa are analysed in the document. The report also assesses the longer-term impacts on trade, economic growth and health indicators and proposes actionable solutions. Read original article

How logistics startups could make Africa’s largest free trade area work

African logistics startups are positioning themselves to play a key role in the African Continental Free Trade Area (AfCTA), the largest free-trade area in the world by the number of participating countries, which launched on Jan. 1. As businesses that tend to think about being in multiple markets from the onset, startups can help tackle some of the biggest goals of the agreement, such as common payment systems and common user experiences, says Onyekachi Izukanne, co-founder and CEO of TradeDepot, a Lagos-based startup that distributes consumer goods from manufacturers to retailers in three countries. “We are big supporters of this increased access to market that the agreement promotes, even if we recognize that there is still quite a bit of work to be done,” says Izukanne. “I look at the agreement as a promise of integration.” Tech can help tackle some of the biggest issues that have prevented trade from growing in Africa, including cutting down on red tape and easing supply-chain bottlenecks. But startups can’t do it alone. Governments will need to cooperate by creating infrastructure and ensuring that regulations don’t drag things down. Low intra-African trade AfCTA covers a market of 1.2 billion people with a combined GDP of $3 trillion. The agreement underpinning the trade area was signed by 54 out of the 55 African Union countries, with 36 countries ratifying it as at Feb. 5. The main goal of the agreement is to create a single market for goods and services in Africa and deepen the...

Finland government, TMA ink €10.5 million deal to support regional trade

A financial agreement worth €10.5 million between the Government of Finland and TradeMark Africa (TMA) has been signed. The Government of Finland, represented by its Ambassador to Kenya H.E. Erik Lundberg, reiterated its commitment to supporting regional trade and the fight against COVID-19 pandemic in the East African region. The event was officiated by Kenya’s Ministry of East Africa and Regional Development Principal Secretary Dr. Kevit Desai and witnessed by TMA Board Chair Amb. Erastus Mwencha, TMA CEO Mr. Frank Matsaert and TMA Country Director Mr. Ahmed Farah. Through this new Finnish funding, TMA will scale up support to governments to adopt ICT for Trade systems in key trade agencies that contribute to the successful implementation of National Single Windows. TMA has laid frameworks and forged partnerships to support multimodal transport corridors which not only reduce costs associated with trade, but also reduce the carbon footprint of transport. Lake and rail transport produce much less emission per tonne of cargo moved as compared to road transport. Efforts will go towards supporting digital trade corridors, safe sanitary and phytosanitary trade corridors, bolster trade remedies structures at national, regional and continental levels, investments in standards quality infrastructure centres of excellence, scale up of regional authorised economic operator schemes and authorised supply chains frameworks. This infrastructure will be critical in reducing barriers to trade and supporting smooth implementation of the African Continental Free Trade Area (AfCFTA). The new funding will build up on results that have been achieved in previous programmes funded by...