Apr 13 , 2019
By TEMESGEN MULUGETA ( FORTUNE STAFF WRITER )
A 47-million-Br flour factory has set up shop in East Gojjam, Yejube town, in Amhara Regional State, entirely financed by local business A.S.S.E.S. Industry Plc.
Sitting on a 1,254Sqm plot, the new company entered the market this week with a processing capacity of 820ql of flour a day. The construction of the plant took 18 months and was completed by Abiyot Tadesse Engineering. The machinery was imported last August from Hebei Pingle Flour Machinery Group, a two-decade-old Chinese firm that provides flour mill machines with milling capacities of between nine tonnes to 1,000tn of flour an hour, for 8.9 million Br.
Since last February, the company has been testing operations on a trial basis producing 2,000ql of flour with 50 employees.
The owners were interested in investing in the area as it is known for wheat production, according to Sema Melaku, deputy manager of the factory.
Amhara Regional State is second in wheat production in the country. Around 4.6 million tonnes of wheat grain was harvested in Ethiopia during the last fiscal year, with the Amhara region accounting for 32.7pc and Oromia contributing the largest share at 53pc. The country imported 1.7 million tonnes of wheat in the last fiscal year at a cost of five billion Birr.
"We are planning to expand our investment to animal feed and macaroni production in the coming year," Sema told Fortune.
The company is only the fifth company to secure a certificate from the Ethiopian Conformity Assessment Enterprise. Companies that engage in coffee processing, candy processing and water bottling are required to secure the certificate, according to Take Berhane, marketing and corporate communications director of the Enterprise.
The new plant will be joining 110 other registered flour milling companies in the country, of which 86 are located in the capital. These factories supply flour for 4,461 certified biscuit, cake and bread makers around the nation.
Molla Wassie, a lecturer in Bahir Dar University's economics department, believes that the company has to work with farmers in the area.
"It will make the factory get quality wheat grain and at the same time help the farmers by creating a stable market," Molla said.
The agricultural sector contributes 34pc of the country’s gross domestic product and employs over two-thirds of the workforce, where 72pc are engaged in crop production.
The company has already started to face challenges even before going operational, according to the deputy general manager.
"During our trial production, we faced a shortage of electric power and water supply" said Sema. "We can't even wash wheat before processing due to a shortage of water, and the electricity interruptions prevented us from drying our washed wheat."
PUBLISHED ON Apr 13,2019 [ VOL 20 , NO 989]
Sponsored Contents | Mar 21,2022
Agenda | Jul 27,2019
Featured | Apr 26,2019
Radar | Nov 23,2019
Radar | Sep 19,2020
Featured | Jan 07,2023
Fortune News | Sep 27,2020
Radar | Aug 21,2021
Fortune News | May 02,2020
Dec 24 , 2022
Biniam Mikru heads the department of cabinet affairs under Mayor Adanech Abiebie. But...
Jul 2 , 2022 . By RUTH TAYE
On a rainy afternoon last week, a coffee processing facility in the capital's Akaki-Qality District was abuzz with activ...
Nov 27 , 2021
Against my will, I have witnessed the most terrible defeat of reason and the most sa...
Nov 13 , 2021
Plans and reality do not always gel. They rarely do in a fast-moving world. Every act...
Leaders of the National Election Board are in a charm offensive mood, of a sort. Last week, they organised a rare tour for members of the me...
When the country's most senior diplomats and envoys return back to their posts after two-week debriefings, they leave behind a point or two...
Dec 2 , 2023
The symphony of traffic noise in Addis Abeba is not just a sign of life, but a siren...
Nov 25 , 2023
Ethiopia's quest to develop a functioning capital market is a demanding yet not unach...
Nov 18 , 2023
Prime Minister Abiy Ahmed (PhD) has made a fervent call for landlocked Ethiopia to ga...
Nov 11 , 2023
In November last year, a ray of hope pierced the gloomy skies of Ethiopia as the Pret...
I have a love-hate relationship with my phone. It is my go to source for information. I enjoy interacting with text messages and browsing t...
Over the weekend, I attended a wedding where my husband was one of the protocols. Despite the typical joy...
Or see contact page