Tuesday, December 23, 2025
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OUT OF THE FIRE TOO

“Really, I love my country…”
Addis Abeba is called the capital of Africa for several reasons. In addition to being home to over 6 million residents, and counting; the seat of the African Union and headquarters of the UNECA; St. George Golla Gallery plans to add another affirmation to the New Flower, a city currently in bloom with new buildings. But that is another story. Selamawit Alene is junior sister to Saba Alene, who is the founder of the #1 & #2 St. George Gallery. Selamawit says, “Really, I love my country. Although our gallery has diverse items including art, furniture, handcrafted souvenirs and more, I knew we needed a space just for fine art. I also know that we needed a space to show art from all over Africa… we will work closely with artists from all over and eventually hope to offer residencies for artists who can also work with children and the surrounding community. Already the gallery’s presence has created jobs, a sense of community pride and raised awareness about preserving and promoting our cultural heritage. This is the Ethiopia I love the Africa we live in and I know we will continue to open minds to art for new collectors and art lovers.”
The discussion with Selamawit was for this second section of my OUT OF THE FIRE article published last week. More importantly it was propelled by my fascination with the devoted mother of two, art aficionado Selamawit, who decided that against all odds, the historic house, now St. George Golla Gallery 3, must be saved and restored. Are women more sensitive and responsive to the notion of preservation, promotion and protection of culture? Are we compelled based on our connection to nature, beauty and creation? Or are we just tired of seeing our children’s heads buried in cell phones or fixated on television or computer screens and we are seeking an alternative? Whatever the reason the women in art in Africa are rising and the reason doesn’t even seem to matter as the goal is the focal point. “Do not be afraid of life’s ups and downs, don’t think easy money. You have to fight and work hard or you won’t get anywhere,” says Selamawit.
As we recognize the women warriors for art in Addis and other African cities for that matter, let us take time to consider some of the treasures right in our neighborhoods that need urgent attention. Let us encourage our children to value and care for their surroundings and set examples that can be followed daily on not based on holidays or special occasions. Change is happening around us and fast and we have lots to learn about the capital city in which we reside, Addis Abeba/New Flower. So as Tinsae is celebrated, recognizing the rising and renewal of all things pure and good as expressed during Fasika, let us all try to rise to the occasion of becoming stewards and protectors of heritage so we find ourselves on the ‘right side of history.’ I close with a few lines from the poem NILE by poet Laureate Tesgaye Gebre-Medhin:
“I am the first Earth Mother of all fertility
I am the source I am the Nile I am the Africa I am the beginning
I rise like the sun from the deepest core of the globe
I am the Ethiopia that ‘stretches her hands in supplication to God’.”
Typos April 21st article: “18th century French Gothic building” should have been “13th century” And “Pledges of over 7 million Euros For the restoration: should have been “700 million…”

Dr. Desta Meghoo is a Jamaican born Creative Consultant, Curator and cultural promoter based in Ethiopia since 2005. She also serves as Liaison to the AU for the Ghana based, Diaspora African Forum.

Textile firm held hostage by youth

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Adama youth are blocking containers filled with high-tech apparel machines and equipment, located inside the Adama Industrial Park. They are asking for a hefty sum of money before they are willing to leave. The truck has been blocked for over a week.
Youngsters are lying under the truck blocking movement, just waiting for money. They want to be paid per container and even single machines.
Antex Group president Quian Anuha says, they repeatedly reported the problem to government agencies with no avail. The manager said that he told Abebe Abebayehu, who runs the Ethiopian Investment commission, Lelise Neme, CEO of Industrial Park Development, the Major of Adama and Adama police station but no one responded.
“I never encountered this type of situation in other countries so we don’t know how to solve the problem,” says Quian Anuha, President of Antex Group.
They sit in groups in the park near the shed taking turns observing the situation.
“It is not only about the money, the nature of the machines by themselves requires a high amount of security because much damage has occurred to the company’s property previously,” added Quian.
The youth claim that they do not have jobs and need money. They told the manager of Antex that unemployment has forced them to do this action.
The President partially blames the Adama police officers for not doing their jobs. Police have told him that blocking the machines was not a criminal act or that they did not have a jurisdiction.
“The problem occurred because of a misunderstanding between youth and the Adama City Administration. The City is holding discussions with the people blocking the containers to solve the problem,” says Ephrem Bekel, Operation Manager of Adama Industrial Park.
The company refrained from disclosing how much damage they had suffered.
As part of the government’s attempt to develop the textile industry, Antex became the first company to enter the Chinese-built Adama Industrial Park to manufacture sportswear, underwear, and swimwear and fashion wear targeting the US and European market.
“Unless there is protection for investors, this will be a big trouble for the economy and hurt the image of the country,” Quian said.
The firm’s exported its first batch of apparels to Europe four months ago generating an estimated 110,000 USD.
Antex was established with an initial investment of USD 10 million, and received widespread acclaim from Ethiopian government officials and local community members for creating about 1,600 jobs. The CEO of Industrial Park, Lelise Neme said that she would ask the Ethiopian Investment Commission about the case saying that she does not know about it.

Excise taxes to be calculated based on inflation

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The Ministry of Finance is changing rules applying to what is known as excise tax.
The Ministry is amending a proclamation that was originally introduced in 2002 and amended in 2008. It allows the Ministry of Revenue (MoR) to approve a license for companies engaged in business activity which would be expected to pay excise tax. At first it was unclear which companies would be subject to excise tax or commonly known as ‘sin’ taxes.
Dawit Tadesse, Managing Partner of Lead Plus Management Consultancy and Training Center and Assistant Professor at AAU said the excise tax is a major source of revenue for the government. “The government sees this as a big revenue source,” Dawit who was critical of the previous excise tax proclamation, said.
Experts explained excise tax makes up about 20 percent of total tax collection. The new proclamation is expected to improve the tax collection process.
Under the new rule the final manufacturer or producer would be exempted from paying taxes on raw materials that were paid when the raw material was purchased. However, the exemption or excise tax deduction does not include alcohol, tobacco and sugar products.
Dawit recalled that the former law only allowed textile and garment manufacturing sectors to get a refund on the excise tax levied on raw materials. He said that even though the current amendment allows producers to get a reduction of excise tax if they import or buy local raw materials it does not include all sectors. “Excise tax is one of the major sources of income for the government due to that I don’t expect all sectors to get the reduction,” he added, it might include some manufacturing industries like textiles and garments.
Experts said that leaders of some industries have asked the government to allow the excise tax refund on raw material with the goal of improving competitiveness in the export market.
Dawit said an argument can be made that excise tax is a form of double taxation.
One of the new things that the draft proclamation added is revising the rate based on the market condition. Articles 10 states that the ministry shall adjust the tax ratio every two years and take inflation into account.
Previously, excise tax ranging from 30 to 100 percent was applied to 19 categories of products.
The new proclamation gives the ministry the power to identify what business is subject to excise tax. It said the ministry will approve those who want to engage in the business that excise tax will be calculated, which is new. The draft has stated several criteria where they can prevent an entity from engaging in excise tax related businesses.
Sugary drinks, alcohol, tobacco, salt, petroleum, perfumes, textile, types of adornment like gold or silver, TVs and video cameras, some types of cars, carpets, asbestos, watches, and dolls are some of the products subject to excise tax.
The draft amendment of the proclamation is being developed by the Ministry of Finance, while Ministry of revenue is responsible for implementation and issuing the directive.

Cheating bakeries rip-off customers

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Many bakeries in Addis who get their wheat flour subsidized from the government are illegally selling it in order to increase their profit margins, instead of using the flour to bake bread.
Sources at the Addis Ababa Trade Bureau told Capital that bakeries that buy flour from wheat companies for 796 birr per 100 kilograms are re-selling it for up to 1,800 birr.
The bakeries then turn around and reduce the weight of bread. For example, a 100 gram piece of bread, normally sold for 1.30 birr, is lowered by 40 grams, thus becoming a 60 gram loaf. Similarly, 200 and 300 gram pieces are also reduced by 80 grams, during the baking process. Currently, 1,650 bakeries get a flour subsidized by the government from the 44 wheat flour factories that work along the outskirts of Addis Ababa.
Solomon Bekele, Basic Commodity Distribution Head at the Bureau told Capital they are working hard to stop the black market.
“These bakeries receive the subsidized flour to bake bread not to sell. Yet, more people are doing this. They are getting money through the flour subsidy which makes it harder for people to get bread at a fair price” Solomon said.
“It is shameful to see subsidized flour being sold on the black market. We are trying our best to stop it through inspection and we have prosecuted offenders” he added.
Capital asked Solomon if the government might stop subsidizing wheat.
“Absolutely not, we still are importing wheat. The local market is not enough to meet the country’s demand. When the country produces enough wheat we will think about cutting the subsidy.’’
Solomon also commented on the recent withdrawal of Shoa Bakery from the flour subsidy chain.
“It is up to them to choose what they want, getting subsidized wheat is not an obligation it is an option. We are not increasing the wheat we supply to the bakeries and we can’t allow anyone to add any price to the bread when the wheat comes from us.’’
Solomon said the government is conducting a study of the bread market.
Recently Shoa Bakery and Flour Factory PLC increased the price of bread because they said labor and other costs had risen. After the adjustment, 100 grams of bread jumped from 1.30 birr to 2.50 birr. A 200 gram of bread rose from 2.60 birr to five birr and 300 grams of bread went from 3.80 birr to 7 birr. Shoa Bakery has 16 branches and employs 1,150 people.
Recently Capital reported that Addis Ababa Trade Bureau had been fielding complaints from the bakeries. So they conducted a study with the goal of showing the Ministry of Trade Industry that they could slightly increase the price of bread.
The study took into account inflation, the recent devaluation of the birr, the price of input materials and the increasing cost of labor and transportation. They planed to increase the price between 20 and 80 cents.
If the proposal is accepted by the Ministry, 100 grams of bread currently sold for 1.30 birr will be sold for 1.50 birr while 200 grams which was sold for 2.50 birr and 300 grams for 3.80 birr will be sold for 3 and 4 birr, respectively.