The Ethiopian Commodity Exchange (ECX) has developed contracts for the trading of mineral products, aiming to diversify its offerings beyond the 22 agricultural products it currently handles. However, plans to introduce these minerals into the market have been stalled due to security concerns in the regions where these resources are found. Wondemagegnehu Negera, the CEO of ECX, announced that while the exchange was ready to trade in tantalum, opal, and sapphire, security issues in key regions have prevented the commencement of these operations.

The ECX, which has been operational for 16 years, has been instrumental in centralizing the trade of agricultural commodities in Ethiopia, providing a unified platform for pricing and transactions. This year, the exchange planned to expand its portfolio by introducing three new mineral products as well as several agricultural items, including beer barley and, for the first time, salt through a modern marketing system.

Negera highlighted the potential of mineral trading in regions such as Amhara, Tigray, and Oromia but pointed out that the prevailing security situation has posed a significant barrier to harnessing these resources for foreign exchange earnings. The specifics of the researched areas and the prepared contracts for mineral product trading were not disclosed due to these challenges.

The CEO also touched on the future implementation of an online trading system, which would enable traders to conduct transactions remotely, further enhancing the exchange’s accessibility and efficiency.

In the first nine months of the 2023/24 fiscal year, the ECX reported trading 172 thousand metric tons of agricultural products, valued at 19.4 billion birr, with sesame and coffee making up the majority of the trade volume. Notably, the trading price of coffee has seen a 5 percent increase, while sesame prices surged by 45 percent compared to the previous year. Over the past 16 years, the ECX has facilitated transactions worth more than 386 billion birr, marking a significant impact on Ethiopia’s commodity market.

In a significant stride towards addressing water management challenges, Ethiopia has welcomed the inauguration of the Doba-Bishan Tab, the country’s first-ever water treatment facility. With an investment exceeding 55 million birr, encompassing land, building, machinery, and raw materials, the factory located in Mojo is poised to revolutionize waterborne disease prevention efforts.

Doba-Bishan Tab is a sister company of Bishan Gari’s purification industries, which has been actively operating in Ethiopia since 2008. To commence production of their water treatment product, Doba Industry Trading plc, a subsidiary of Bishan Gari, invested over 5 million birr solely in raw materials and machinery.

The state-of-the-art facility boasts a production capacity of 40 thousand tabs per hour, with each tablet purifying 20 liters of water. This breakthrough development aims to combat the growing issue of water scarcity and inadequate treatment facilities in rural areas, particularly in African countries. The lack of infrastructure and the high costs associated with water treatment have contributed to a pressing security concern.

Previously, Bishan Gari relied on imported raw materials for production. However, with the establishment of their purification industries, the company has successfully transitioned to self-production, resulting in significant savings in time and costs.

Bishan Gari, renowned for its commitment to providing high-quality products, has expressed its dedication to making clean drinking water accessible to all those in need. The introduction of the Doba-Bishan Tab marks a milestone in Ethiopia’s efforts to improve water management and safeguard public health.

As the country takes strides towards a more sustainable future, the inauguration of the Doba-Bishan Tab serves as a testament to Ethiopia’s determination to address pressing societal and environmental challenges.

The Ethiopian Coffee and Tea Authority (ECTA) has taken a significant step forward in bolstering the spice industry by issuing a new proclamation aimed at providing a robust legal framework. This move comes after extensive deliberations and preparations since 2021 to modernize and regulate the spice sector, which represents a vital component of Ethiopia’s offerings to the global market.

Scheduled to come into effect this March, the directive addresses longstanding challenges in quality assurance, productivity, and market continuity within the spice industry. Ethiopia’s diverse agroecology and favorable climatic conditions provide an ideal backdrop for spice cultivation, but persistent issues such as miscommunication between farmers and consumers, inadequate market linkages, post-production management deficiencies, and transportation challenges have hampered its full potential.

Recognizing the immense economic and security benefits that a thriving spice industry can offer, ECTA emphasizes the importance of ensuring the welfare of spice producers and stakeholders. The newly issued guidelines are designed to enhance export earnings by promoting competitive, high-quality spice products consistently available in the international market.

By establishing modern, transparent, and equitable marketing practices, the proclamation aims to elevate spice manufacturers, marketing actors, and the nation’s prosperity to new heights. Under the directive, spices are defined as plant-derived products with distinct aromas, flavors, and properties, used widely in food, medicine, and various industrial applications.

Ethiopia currently exports 16 main types of spices, including ginger, turmeric, red pepper, and black fennel seed, highlighting the country’s rich potential in the global spice trade. With the implementation of the new proclamation, stakeholders are optimistic about the industry’s growth trajectory and its contribution to Ethiopia’s economic development.

In the latest edition of the China-Africa Economic Bulletin, researchers from the Boston University Global Development Policy Center and the African Economic Research Consortium shed light on the evolving economic relationship between China and Africa. The bulletin, authored by Oyintarelado Moses, Dianah Ngui, Lucas Engel, and Abbi Kedir, provides valuable insights into key trends in trade, investment, and energy access.

The bulletin starts by examining the trends in China-Africa trade and energy access. It highlights the growing economic ties between the two regions, emphasizing the increasing volume of trade and the expanding energy cooperation. China has become a significant trade partner for many African countries, with a focus on sectors such as infrastructure development, natural resources, and manufacturing. The bulletin also underscores the importance of energy access and transition support, as Africa seeks to meet its rising energy demands and move towards sustainable energy sources.

Another crucial aspect covered in the bulletin is China’s overseas lending and development finance, as well as debt in Africa. The authors delve into the implications of Chinese loans and financial support for African countries, analyzing the opportunities and challenges they present. They emphasize the need for careful debt management and sustainable development practices to ensure long-term economic stability.

Furthermore, the bulletin explores China’s foreign direct investment (FDI) in Africa and its impact on energy access and transition. It examines the sectors attracting Chinese FDI, such as renewable energy, infrastructure, and manufacturing, and discusses the potential benefits and risks associated with these investments. The authors stress the importance of leveraging Chinese FDI to promote sustainable development and enhance energy access for African populations.

In conclusion, the bulletin offers a glimpse into the future prospects of China-Africa economic engagement for energy access and transition. It underscores the significance of continued collaboration between China and African countries to address energy challenges, foster sustainable development, and achieve the United Nations’ 2030 Sustainable Development Goals. The authors highlight the need for balanced and mutually beneficial partnerships that prioritize long-term economic growth and environmental sustainability.

The China-Africa Economic Bulletin serves as a valuable resource for policymakers, researchers, and stakeholders interested in understanding and navigating the evolving dynamics of the China-Africa economic relationship. By shedding light on key trends and providing thoughtful analysis, it contributes to informed decision-making and the promotion of sustainable economic development in both regions.