Expansion to prove pivotal for cost of Ethiopian cargos

One of the top 20 well performing port facilities in the world, Doraleh Container Terminal Management Company(SGTD) of Djibouti is undertaking massive expansion to accommodate the next generation container vessels ‘Malaccamax’ that would ripple down to ease the cost of Ethiopian cargos and expand the operation of transshipment.
The state of the art port facility has also expanded its storage yard at an investment of USD 30 million.
The facility which has the capacity to berth virtually any sized vessel in the world stated that it is investing on additional ship to shore (STS) container cranes besides its current chain of eight cranes.
Abdillahi Adaweh Sigad, Chief Executive Officer of SGTD, told Capital that the logistics facility located at the entrance to the Red Sea has hired the sector prominent German company, Liebherr Container Cranes Ltd, to supply the Megamax STS cranes at a total investment of USD 44 million.
“The four new generation cranes are coming in May,” he explained.
The new expansion will allow the container terminal to handle the latest generation of Triple E class (3E) Class of vessels like Malaccamax with a capacity of over 22,000 TEUs from the current infrastructure, Super Post Panamax quay cranes.
“Currently, we are in the capacity to handle a vessel with 15,000 TEUs, but as we continue to expand we shall have the required capacity to manage the maximum vessel existing in any part of the world,” the CEO explained. Currently, SGTD is handling up to 40 container vessels per month.
Besides that the facility is also undertaking a container stacking yard expansion.
“Our performance in terms of efficiency is increase steadily in the past few years. New investments will see us increase the storage capacity by 20 percent and with commissioned four key cranes, the two assets will combine to uplift the containers terminal capacity by double,” Adaweh Sigad said, adding, “The new STS cranes will increase the crane capacity by 50 percent.”
“Key operation capacity by yard will enable the terminal to double its operation,” he explained.
The storage expansion work that cost USD 30 million will increase the accommodation capacity from 1.6 million TEUs to 2million TEUs per year and will further strengthen the leading position of the Doraleh Terminal in the region.
Regarding the harbor, SGTD has a capacity to handle any huge vessels in the world, while at the berth the eight STS cranes shall manage the vessel with 15,000 TEUs that will expand to a vessel with 23,000 TEUs when the new expansion becomes operational in the near future.

“Now Ethiopian customers shall contract any type of vessels for their incoming cargos unlike in the past due to that we invested in additional cranes and yard,” Adaweh Sigad added.
The expansion has also been expected to boost the promising business, transshipment, and any transit services in the region.
According to the CEO, the expansion also targets the regional growing demand in the logistics sector.
He said that the transshipment business is also benefiting the Ethiopian customers and vessel operator since they shall get slots at affordable rates from global shipping lines who engage on the transshipment business through the regional hub, Djibouti.
On the 2021 Container Port Performance Index (CPPI) that was produced by the Transport Global Practice of the World Bank in collaboration with the Maritime, Trade and Supply Chain division of S&P Global Market Intelligence, SGTD was recognized as one of the well performing ports in the world, ranked 19th overall. On the 2020 CPPI raking, the port registered significant points as top in the Sub Saharan Africa, and similarly late last year it was awarded the European Quality Award from European Society of Quality Research for its operation in different parameters.

Tele starts digital tax payment facilitation via tele birr

The Ministry of Finance (MoF) gears up to issue a request for proposals (RFP) to complete the sale of a 40 percent interest in Ethio Telecom in two weeks time.
It is to be recalled that a request for expressions of interest in the partial privatization of the telecommunications giant was released by the MoF on November 16, 2022, which ran open for one month up until December 16, 2022.
Eyob Tekalegn, State Minister of Finance, told Capital that a number of businesses have expressed their interest in purchasing stake from Ethio Telecom. However, the state minister was reluctant to disclose the exact number owing to confidentiality of the matter. Nonetheless, Eyob stated that a request for proposals would be floated in two weeks.
Notable companies including, Etisalat and Orange are said to have keen interest in investing in Ethio Telecom.

The Ministry, for the privatization process, has chosen Deloitte Consulting Limited as a transaction advisor to provide advice on the matter. In the past, Deloitte was also notable for the work it did in valuing the assets of the telecommunications firm.
The investment teaser known as “Project Nigat” – Partial Privatization of Ethiopia revealed that the most successful public company was valued at roughly 80 billion birr. However, Frehiwot Tamru, CEO of Ethio Telecom critically dismissed the figure claiming that the company has more assets than the 80 billion birr valuation.
Previously, the Ministry, which is in charge of the follow-up process along with the Public Enterprises Holding Administration Agency, issued an expression of interest in mid-June 2021, which closed after a month, and invited interested parties to submit proposals by bringing best practices in terms of operations, infrastructure management, and next-generation technological capabilities. Even though the offer was scheduled to be announced in January 2022, the government of Ethiopia decided to delay the privatization process due to recent events and swift macroeconomic changes on a global and national scale.
Ethio Telecom, under the direction of the CEO has “continually improved” financial results, according to the MoF, and a delay “would result in higher value for all the parties concerned.”
In order to increase the contribution of the private sector to Ethiopia’s economy, the government had established the framework for the privatization of state firms under the Public Enterprise Proclamation No. 1206/2020. As a result, Ethio telecom became one of the 27 mammoth public enterprises under Ethiopian investment holding. Additionally, expression of interest for the third telecom operator is also expected to be floated on February.
In related news, Ethio Telecom and the Ministry of Revenues have entered into a collaboration agreement that will enable the Ministry of Revenues’ customers to pay taxes via the telebirr digital payment system- a collaboration that officially kick started on Thursday, February 2, 2023.
Through the partnership agreement, which was signed by the two institutions, the Ministry of Revenues will be able to collect income taxes, private pension fees, and federal tax payments.
Additionally, as previously stated, the telebirr digital payment will; assist customers in receiving clearance and receipts upon real-time payment, and allow them to transfer past-due payments and make partial payments, as well as help them avoid fees associated with penalties for delays in updating taxpayer information on the Ministry of Revenues’ server.
28.2 million clients, 112 master agents, 98.8 thousand agents, 25.5 thousand businesses, and 615 support centers have all been added to the telebirr digital payment system thus far. Additionally, the platform has been integrated with 18 banks for bank to telebirr money transfers and with 15 banks for telebirr to bank money transfers with over 263 billion ETB in transactions made thus far.

Furthermore, on January 30, 2023, Ethio Telecom signed agreements with Zergaw Internet Service Provider for the delivery of cloud solution services, Kulu Network PLC for the provision of Elf music streaming services, and Shedli Trading PLC for the delivery of teledrive mobile database services in order to jointly offer the services to customers in need.
It is said that customers can store massive volumes of materials, including pictures/photos, videos, SMS, contact information, and other crucial items, using Teledrive Mobile Database Service and retrieve them when needed.
Elf music mobile app is a brand-new platform that enables users to buy their preferred music through the Elf music app, enjoy/listen to the music whenever they want without using mobile data, and access online radio programs. The organization has constructed a cutting-edge and dependable cloud centers telecloud services in order to answer the continuously rising demands of private and governmental institutions for database and cloud services.