Addis Fortune | May 07,2022
In an economy that has slowed, where consumers are hammered by inflation, and the private sector is teetering on edge, one industry has a broad smile: coffee export. The coffee market is bucking the general trend of decline in the broader economy. Processing plants are buzzing with activities as the women [pictured] pick impurities from coffee beans. The industry has seen a tripling of players, heating the competition.
But nothing showcases the success of the coffee industry quite like export revenues. Over 1.2 billion dollars has dripped into Ethiopia in the first 11 months of the year, according to the Coffee & Tea Authority. At over 100 million dollars every month, this is already a fifth higher than what exporters brought in last year. Ironically enough, exporters have to thank their lucky stars for the bad luck of Brazilian farmers, whose harvests have been hit by a series of frosts. The fall in production from the world’s biggest coffee exporter has left a global supply deficit, raising international prices and creating a windfall for the Ethiopian coffee industry. The authorities are quick to point to the success of their reforms, especially the introduction of price floors and vertical integration, for the windfall. There are some arguments to be made for this. Exports grew in volume, too. The size of land under cultivation for the cash crop has expanded, and output was up by a fifth last year. The prospect looks bright for the industry. The federal government expects revenues to rise to 1.5 billion dollars as prices in the international market for the commodity are forecasted to reach new heights. Experts remain unimpressed, though. They believe the potential is barely exploited and that value-added roasted coffee, which accounts for a fraction of exports, could transform the industry. Feuds between heads of federal agencies active in coffee exports are not helping either.
PUBLISHED ON
[ VOL
, NO
]
Addis Fortune | May 07,2022
Agenda | Aug 21,2021
Agenda | Jul 02,2022
Fortune News | Mar 07,2020
Fortune News | Aug 10,2019
Advertorials | Apr 08,2024
Radar | Jan 19,2019
Viewpoints | Oct 28,2023
Radar | Jun 01,2019
Radar | Jan 07,2023
Aug 18 , 2024 . By AKSAH ITALO
Although predictable Yonas Zerihun's job in the ride-hailing service is not immune to...
Jul 13 , 2024 . By AKSAH ITALO
Investors who rely on tractors, trucks, and field vehicles for commuting, transportin...
Jul 13 , 2024 . By MUNIR SHEMSU
The cracks in Ethiopia's higher education system were laid bare during a synthesis re...
Jul 13 , 2024 . By AKSAH ITALO
Construction authorities have unveiled a price adjustment implementation manual for s...
Nov 2 , 2024
Addis Abeba, fondly dubbed a 'New Flower,' is wilting under the weight of unchecked u...
Oct 26 , 2024
When flames devoured parts of Mercato, residents watched helplessly as decades of toi...
Oct 20 , 2024
Central Bank authorities have unveiled no less than six new guidelines to fine-tune t...
Oct 12 , 2024
In his inaugural address on October 27, 2024, Taye Atseqesellasie, the fifth presiden...