Monday, November 11, 2024

Digital modernization key to avoiding EU ban on Ethiopian flowers

By Eyasu Zekarias, Photo by Anteneh Aklilu

Ethiopia’s horticulture sector, particularly its flower industry, faces a significant challenge as a potential European Union (EU) ban looms due to quality issues. The sector must modernize digitally to address these problems and maintain its major market destination.

The National Bank of Ethiopia (NBE) reported that Ethiopia’s cut flower exports generated nearly $600 million in revenue for the 2022/23 fiscal year, making it the second-highest-valued export product after coffee. More than 85% of these cut flowers are exported to Europe, and floriculture accounts for 8% of the country’s export revenue. Despite this impressive growth, quality issues on some farms continue to affect the industry.

To tackle these challenges, the Ethiopian Horticulture Producer Exporters Association (EHPEA) recently signed a joint agreement to establish comprehensive e-learning and knowledge management systems tailored to the needs of Ethiopia’s horticulture sector. The agreement, signed at the Sky Light Hotel, includes a €139,000 grant from TradeMark Africa.

The EHPEA, which has more than 126 members, aims to enhance its capabilities in knowledge management and provide e-learning opportunities. The new platform will offer access to valuable resources and training materials through linked modules designed to improve skills and knowledge sharing in horticultural production and export practices.

Tewodros Zewdie, Executive Director of EHPEA, emphasized the importance of this investment, stating, “We will invest not only in technology but also in the future of Ethiopia’s horticulture sector. Our partnership with TradeMark Africa allows us to access the resources necessary for our members to thrive in an increasingly digital marketplace.”

This agreement will also provide data analysis insights into consumer preferences, market conditions, and supply chain dynamics. Such data will enable stakeholders in the horticulture sector to optimize their strategies and offerings, ensuring that they meet the needs of both the Ethiopian market and the growing global market sustainably.

According to information obtained from EHPEA, Ethiopia exported more than 215,800 tons of horticultural products to the international market, generating revenues of over $514 million in the first nine months of the 2023 fiscal year. Flower exports accounted for nearly $444 million, while fruit and vegetable exports generated $57 million and $13.3 million, respectively.

By embracing digital technology and improving quality standards, Ethiopia’s horticulture sector aims to avoid the EU ban and secure its position in the global market.

Related Stories