Avocado Reference

Business opportunities in the
Ethiopian Fruit and Vegetable Sector

Final version, February 2009
Business opportunities in the Ethiopian Fruit and Vegetable Sector
Contents
Foreword ............................................................................................................................. 3
Executive summary............................................................................................................. 4
1 Introduction ................................................................................................................. 6
2 Country profile............................................................................................................. 8
3 Institutional environment........................................................................................... 13
4 Ethiopian Fruit and Vegetable Production................................................................ 18
4.1 Cultivation zones................................................................................................. 18
4.2 Production ........................................................................................................... 21
5 Post harvest .............................................................................................................. 25
6 Transportation ........................................................................................................... 27
7 Markets...................................................................................................................... 29
8 Recent developments ............................................................................................... 33
9 SWOT analysis Ethiopian Fruit and Vegetable Business ........................................ 35
Annex 1 Useful addresses................................................................................................ 39
Annex 2 References ......................................................................................................... 41
Annex 3 Production trends ............................................................................................... 43
Annex 4 Export trends ...................................................................................................... 44
Authors: Rolien Wiersinga and André de Jager

Wageningen University and Research Centre - LEI
2
Foreword
With pleasure I present to you the report “Business opportunities in the Ethiopian Fruit
and Vegetable Sector”.
The Ministry of Agriculture, Nature and Food Quality in the Netherlands and the
Agricultural Office in Addis Ababa noticed that there was a need, especially with Dutch
companies, to have basic background information on the present situation and the
potential of the Ethiopian fruit and vegetable sector. It is therefore that we have asked
Wageningen University and Research Centre to conduct an independent analysis on the
business opportunities.
Within four years the floriculture sector in Ethiopia has developed from almost nothing to
a sector with 1000 hectares and more than 80 farms. This can be attributed to the
favourable climate, an attractive investment package and a pro-active and supportive
government. The export of fruit and vegetables is, compared to flowers, still small.
However, the good growing conditions and the strong support from the government
makes investing in fruit and vegetables in Ethiopia an option more than worthwhile to
look into.
Please read this document as a ‘kick off’. Together with Ethiopian and other partners we
will continue to work on the improvement of the information base of the Ethiopian fruit
and vegetable sector.
Martin Olde Monnikhof Geert Westenbrink

Deputy Director Trade and Industry Agricultural Counsellor
Ministry of Agriculture, Nature and Embassy of the Kingdom of
Food Quality the Netherlands
3
Executive summary
The horticultural sector in Ethiopia is growing strongly. Major part of this growth is created by
investments in the floriculture sector. Recently more and more interest from the Dutch private
sector is shown in the Ethiopian fruit and vegetable sector.
Export of fruit and vegetables has been limited but is now growing strongly with new investors
coming in. Both in Europe and the Middle East a growing interest exists for products from Ethiopia.
Presently, the main export products are fresh beans, strawberries, grapes, tomatoes, courgettes,
peppers and fresh herbs. The Government of Ethiopia gives high priority to the development of the
horticulture sector and in 2008 the Horticultural Development Agency has been established with a
specific focus to promote and support the further development of the horticulture sector.
SWOT-summary:
Strengths: Weaknesses:
Climate Constant high quality supply in sufficient quantities
Conducive government policies Availability of varieties
Cost of production Packaging
Geographic location Cold Storage/logistics
Private security and safety Technical Know-How
Private sector service provision Research and extension
New initiatives Input supply
Potentials for irrigation Land Tenure
Transport Market Information
Code of Practice in floriculture sector Domestic market
Banking
Bureaucracy
Communication
4
Opportunities Threats
Demand in Europe and Middle East Increased competition in European and Middle
Eastern market
Demand for processed fruits and
vegetables Regional politics
Ecological and fair trade production Stringent requirements on food safety and
sustainability standards
It is concluded that the further development of the Fruit and Vegetable sector in Ethiopia
for export to Europe and the Middle East has good perspectives and provides interesting
opportunities for foreign investors. Currently, many new companies are stepping in, in
different parts of the country and conditions regarding land, cool chain and cargo appear
to improve gradually. Yet, the sector is in its infant stages. Supportive conditions for
doing business are not yet optimal, but are expected to improve in the near future.
For growers who consider starting operations in Ethiopia it is important to carefully select
a location and ensure that the logistical and cool chain is properly organized on
forehand.
For companies who consider sourcing from Ethiopia it is important to build good
relations with (potential) growers, provide hands-on guidance and training and to invest
in organizing the logistical supply chain well.
5
1 Introduction
The horticultural sector in Ethiopia is growing strongly. Major part of this growth is
created by investments in the floriculture sector. Recently more and more interest from
the Dutch private sector is shown in the Ethiopian fruits and vegetable sector. In the
slipstream of the floricultural boom already more than ten, export fruit and vegetable
producers have been established in Ethiopia, ranging from tomatoes to passion fruit and
green beans to table grapes.
The Ethiopian government, private sector associations (EPHEA) and donors (USAID,
SNV, CFC) have identified potentials for the further development of the fruit and
vegetable sector in Ethiopia both for the domestic and export market. Also in the
Ethiopian-Netherlands Horticultural Partnership, technical support to the development of
the fruit and vegetable sector has been prioritized. A number of actors and donors have
already started activities in the area of technical production assistance, post-harvest
handling and compliance to international standards.
This report is based on experiences gathered during missions to Ethiopia, literature

research and interviews with Ethiopian and Dutch companies on their experiences and
ideas about opportunities for the Dutch private sector in the Ethiopian fruit and vegetable
sector.
This report provides information about the Ethiopian horticultural sector, including
information on growers, traders, retailers and service providers. The aim of the study is
to explore business opportunities for Dutch entrepreneurs and assist in investment
decisions.
6
Box 1: World record-breaking relationship
Another area that is marked by a successful cooperation between Ethiopians and the
Dutch is athletics. This collaboration began in 1983 when Dutch sports manager Jos
Hermens started scouting Ethiopian athletes. In 1990 he met the talented long distance
runner Haile Gebreselassie. Their encounter was the kick-off to a phenomenal career
that resulted in numerous medals, titles and world records. It also meant the beginning
of a strong cooperation between Ethiopian athletes and Dutch managers. Haile told the
media he would have never come so far without the support of Hermens. The two
became friends-for-life.
Gebreselassie even built a house in Addis Ababa for his friend Jos. What is the
background to this fertile cooperation and good friendship? Or, to put it differently, what
characterizes the good relationship between Ethiopians and the Dutch? According to
Hermens it takes time before the relation becomes a good one: ‘it generally takes up to
one or two years before Ethiopian athletes and Dutch managers go on well.
There is a reason for this: the Dutch can be very straightforward. This directness
sometimes shocks people. Ethiopians, on the other hand, keep a distance for a while.
Before they come to an agreement, for instance, they tend to go into long negotiations.
Furthermore, Ethiopians can act proud and stubborn, which is I think due to their
religious background as well as the fact of not being colonized by an imperialist power.
They share the stubbornness with the Dutch, however. This is where they match and
sometimes collide.’ Hermens emphasizes Ethiopians and Dutch go along well when they
know each other’s particularities: ‘As soon as the Dutch understand Ethiopians and
Ethiopians understand the Dutch, the communication becomes very uncomplicated,
friendly and, above all, respectful. I think that, in the end, really amplifies our mutual
friendship: respect.’
(Text: Bram Wicherink)
7
2 Country profile
Ethiopia harbours an extraordinarily rich agro-biodiversity resulting from its geography,
climatic differences, ethnic diversity and strong food culture. Unique is the great variation
in climates, due to the great variation in altitude ranging from sea level up to 4500
meters. Altitudes between 500 metres (normally warm) and 2600 metres (cool nights
and mild day temperatures), and all altitudes in between, are common. This together
with ample possibilities for irrigation makes it possible that a large variety of crops can
be grown. The hot lowlands are suitable for crops like sugarcane, palm oil, maize, cotton
and sesame. On the higher altitudes crops like coffee, tea, teff and roses can be grown
and on even higher altitudes wheat, barley and linseed. The variation in climate also
makes it possible to grow all types of fruits and vegetables.
Besides the climatic conditions also the investment conditions in Ethiopia are important.
The GoE is giving priority to the horticultural sector and other export products like
leather, oilseeds and coffee, and as a result the investment package offered is attractive.
It includes amongst others a tax holiday and favourable financing possibilities and active
assistance for obtaining land. Land can be leased on long-term at very favourable
conditions, labour is cheap and loans can be obtained at advantageous terms. Other
important advantages of Ethiopia are the personal safety and the fact that government
offices work according to procedures. This results in a relatively low level of corruption
compared to other African countries.
The floriculture sector has grown within 5 year from almost nothing to more than 1000
hectares at the end of 2008. At the moment mostly roses are grown but summer flowers
show a rapid growth. Recently also lilies and freesias are being cultivated. In addition,
the climatic conditions are ideal for the production of plant cuttings; of which at the
moment 5 international companies operate in Ethiopia.
Export of fruit and vegetables has been limited but is now growing strongly with new
investors coming in. Both in Europe and the Middle East a growing interest exists for
products from Ethiopia. Presently, the main export products are fresh beans,
strawberries, grapes, tomatoes, courgettes, peppers and fresh herbs. In potential almost
all types of fruits & vegetables can be grown in Ethiopia. The Government of Ethiopia
gives high priority to the development of the horticulture sector and in 2008 the
Horticultural Development Agency has been established with a specific focus to promote
and support the further development of the horticulture sector.
Other fast growing export sectors are oilseeds and dry beans. Of course coffee remains
important, with Ethiopia being the motherland of coffee. Furthermore, the meat and
leather sectors are developing rapidly. In addition, the demand for dairy and poultry
products in the local market is soaring and good business opportunities exist in these
sectors. Other sectors, like sugar, cotton, tea and biofuel crops enjoy growing interest
from foreign investors.
8
Country facts:
• Full name: Federal Democratic Republic of Ethiopia
• Population: 83.1 million
• Capital: Addis Ababa
• Area: 1.13 million sq km (437,794 sq miles)
• Major languages: Amharic, Oromo, Tigrinya, Somali
• Major religions: Christianity, Islam
• Life expectancy: 52 years (men), 54 years (women)
• Adult literacy rate: 36%
• Monetary unit: 1 Ethiopian Birr (ETB) = 100 cents
• 1 € = 14.2 ETB; 1US$ = 11.1 ETB; 1 £ = 16.1 ETB (24/2/2009)
• Main exports: Coffee, hides, oilseeds, flowers
• Major trading partners: Saudi Arabia, Djibouti, Sudan, US, Germany, the
Netherlands, China, Japan, Italy and India
• GDP per capita: 600 US$ (at PPP)
• International dialling code: +251
• Standard Time +0300 UTC
• Calendar: Julian (day, time and year is different than the Western Gregorian)
Geography
Ethiopia is twice the size of France and 27 times the Netherlands. It shares borders with
Djibouti, Eritrea, Kenya, Somalia and Sudan. It is landlocked. Ethiopia is divided into 9
ethnic-based regions plus the capital, Addis Ababa and the city administration of Dire
Dawa. Map 1 shows Ethiopia with its administrative regions and zones.
Ethiopia is a country of great geographic diversity. The topographical differences result

in different climatic zones which make Ethiopia an attractive country for different kinds of
agricultural production systems. About 60% of the surface is suitable for agriculture. Also
the amount of land which can be irrigated is large, but at the moment only a small part is
actually utilized.
The geographical differences result in three climatic zones:

• cool zone, above 2400 meters, day temperatures ranging from freezing to 16°C
• temperate zone, 1500 – 2400 meters, day temperatures from 16 – 30°C
• hot zone, below 1500 meters, day temperatures above 27°C
Ethiopia usually has two different rainy seasons. The long rainy season, Meher, takes
place from mid-June to mid-September. During February to March some regions have a
short rainy season, the Belg. The remaining months are mostly dry.
9
Figure 1: Map of Ethiopia
Politics
Ethiopia is a federal parliamentary republic with executive powers vested in the Prime
Minister (Meles Zenawi). The Head of state, a largely ceremonial role, is President
Girma Wolde-Giorgis. Elections in 1995 and 2000 gave the Ethiopian People's
Revolutionary Democratic Front (EPRDF) an overwhelming majority of seats in the
national parliament. General elections held in 2005 revealed a sharp increase in public
support for opposition parties, but the EPRDF retained power. Next elections are
scheduled for 2010. The environment for opposition parties and civil society remains
challenging due to stricter laws covering media and non-governmental organisations.
Ethiopia’s relations with Eritrea will continue to dominate the foreign policy agenda.
Although there are risks of a new conflict, a continued stalemate is still the most likely
scenario. Somalia will remain a source of tension in the Horn of Africa, and Ethiopia will
continue to be involved in order to protect its regional interests and domestic security.
10
Human rights
The 1994 Ethiopian Constitution and many other laws offer strong protection for human
rights, but these rights do not always translate into practice. Since the controversial
multi-party elections of 2005, respect of human rights in Ethiopia has deteriorated.
Poverty
Ethiopia is one of the poorest countries in the world. Ethiopia ranks 170 out of 177
countries in the 2006 United Nations Human Development Report and 31 million people
live on less than half a dollar a day. Food security is a major challenge in the more
marginal parts of the country every year: 15 million people are at risk from food
insecurity, and over 8 million people are classed as chronically food insecure. In recent
years, however economic growth has been well above population growth, which can
lead to reduction in poverty. The Government of Ethiopia is implementing a plan for
accelerated and sustained development to end poverty (PASDEP) assisted by donors
and which is based upon Ethiopia’s strategy of agriculture-led industrialisation.
Economy
Ethiopia is experiencing a remarkable economic growth. Ethiopia’s economy had an
average annual growth of more than 11% over the last four years and 2009 is expected
to see a growth rate of around 7%. Growth benefited from public investments in
infrastructure, supported by donor funding. Ethiopia remains highly vulnerable to
droughts, but resilience is growing over time, assisted by institutional reform and
ongoing extension of roads and markets. However, inflation has been in double digit
figures for the last three years, with increased food prices. Inflation is now being driven
by fuel prices, currency devaluation, the spillover from the construction boom and
(during 2008 in particular), rapidly rising food prices. Over the longer term, sustained
growth will require enhanced efforts to strengthen agricultural productivity and improve
the climate for private investment. The Ethiopian government strongly promotes
domestic and foreign investment in the horticulture sector and is working hard to further
improve the enabling environment. Table 1 shows the business climate of Ethiopia
compared to other nearby African countries.
Table 1: Selected business indicators for Ethiopia and other African countries in the
region.
11
Agriculture accounts for nearly half the country's GDP, 60% of its exports and 80% of
total employment. Livelihoods are predominantly based on agriculture, which accounts
for 45% of national income and over 90% of export earnings. The agricultural sector
accounts for 55% to the Gross Domestic Product. Ethiopia produces mainly a variety of
cereals, pulses, oilseeds, and coffee. Grains are the most important field crops and the
main element in the Ethiopian diet followed by pulses. Vegetable and fruit production
and consumption is relatively limited. Small-scale farmers, who account for 90% of the
agricultural output, cultivate an estimated 96% of total cropped land.
12
3 Institutional environment
Production and processing of horticultural crops, vegetables and fruits have been placed
by the Government of Ethiopia in the list of high priority areas and various incentives
have been provided for investors. Incentives for investors engaged in new enterprises
and expansions are available both to foreign and domestic investors. The type of
incentives that are available both to foreign and domestic investors are the following
(www.investethiopia.org):
Customs Duty Exemption

• A 100 percent exemption from import customs duty and other taxes levied on
imports is granted to investment capital goods and construction materials
necessary for the establishment of a new enterprise. The same applies for the
expansion or upgrading of an existing enterprise as well as spare parts worth up
to 15 percent of the value of the imported capital goods;
• Investment capital goods imported without import customs duties and other taxes
levied on imports may be transferred to investors enjoying similar privileges;
• Exemption from customs duties or other taxes levied on imports are granted for
raw materials and packing materials necessary for the production of export
goods. Taxes and duties paid on raw materials and packaging materials are
drawn back at the time of exports of finished products. The voucher system and
bonded manufacturing warehouse facilities are also in place.
• All goods and services destined for export are exempted from any export and
other taxes levied on exports.
Income Tax Exemption and Loss Carry forward

• Any income derived from an approved new manufacturing, agro-industrial or
agricultural investment is exempted from the payment of income tax ranging from
2-8 years depending on the area of investment, the volume of export and the
location in which the investment is undertaken.
• Income derived from an expansion or upgrading of an existing manufacturing,
agro-industrial or agricultural enterprise is exempted from income tax for a period
of two years if it exports at least 50% of its products and increases, in value, its
production by 25%.
• Business enterprises that suffer losses during the tax holiday period can carry
forward such losses for half of the income tax exemption period, after the expiry
of such period.
Remittance of Funds and Investment Guarantee and Protection

Foreign investors are entitled to make remittances out of Ethiopia (from e.g. profits,
interests and proceedings from sale of an enterprise) in convertible foreign currency at
the prevailing rate of exchange on the date of remittance. In Ethiopia both the
Constitution and the investment Code protect private property. Ethiopia is also a
member of MIGA (Multilateral Investment Guarantee Agency), which issues guarantees
against non-commercial risks to enterprises that invest in signatory countries. Besides,
Ethiopia has signed bilateral investment promotion and protection treaties BITs (Bilateral
Investment Treaties) with a number of countries.
13
Horticultural Development Agency

To boost the horticultural sector further The Ethiopian Horticulture Development Agency
has been established June 6th, 2008, as an autonomous Federal Government Agency
under the Ministry of Agriculture. Its objectives are:
1. To ensure the fast and sustainable growth of horticultural production and
productivity;
2. To facilitate the export of diversified horticulture products which meet internal
food safety standards; and
3. To coordinate the development of supporting services.
Ethiopia Horticulture Producers and Exporters Association

The Ethiopia Horticulture Producers and Exporters Association (EHPEA) has been
established in 2002 to facilitate the private sector horticultural exports. At the moment
there are more than 60 members. It is a legally registered organization. EHPEA’s
financial resources are made up of the contribution of members, and national and
international donors. It represents the horticulture sector in the country as well as
internationally and it also organizes trade fairs. EHPEA implements, in close consultation
with the Government of Ethiopia and other stakeholders, a Code of Practice for the
floriculture sector. This code of practice provides an excellent basis for the establishment
of a sustainable fruit and vegetable sector (www.ehpea.org.et).
Government Agencies
A number of agencies within the Ministry of Trade and Industry (MoTI) are relevant for
further development of the F&V sector:
• Export Promotion Department (EPD)
Major mandate is to promote Ethiopian exports and include services such as
training for exporters, conducting studies, collecting and dissemination of market
information etc.
• Ethiopian Investment Authority (EIA)
Serves as a one-stop-shop for investors and has played a major role in
facilitating foreign investments in the horticulture sector.
• Quality and Standards Authority of Ethiopia (QSAE)
The QSAE is responsible for the formulation of national standards and
undertakes activities such as promoting and assisting in quality management
practices, co-ordination of standardisation, promoting reliability of testing
laboratories etc.
Banking
The Ethiopian Development Bank (EDB) is the key institution financing the expansion of
the floriculture sector. The loans have favourable conditions compared to the general
commercial loans, with a grace period and at relatively low interest rates. The
debt:equity ratio for these loans is 70:30 for start ups and 60:40 for expansion of existing
projects. This loan facility which has been instrumental in the quick development of the
floriculture sector, till date has hardly been used by investors in the F&V sector.
14
Different financial institutions in Ethiopia provide short, medium and long-term

development credits. For more information, please refer to the Guide “Investing in the
agricultural sector of Ethiopia”, published by EIA and supported by the Netherlands
Ministry of Agriculture, Nature and Food Quality.
The regulation of the banking system presents a major constraint. There is no free
exchange of foreign exchange, which hampers international financial transactions. The
lack of domestic and foreign finance was perceived as a constraint on the development
of the sector. Domestic banks have shown a reluctance to invest in the sector, in part
due to a lack of sector knowledge and the perceived high risks involved, and foreign
banks are currently not permitted to operate in Ethiopia. Dutch importers have also
underlined the problem of banking.
Private Sector Support Services

Due to the rapid growth of the floriculture sector, the number of private sector support
services relevant to the F&V sector has increased in recent years: horticulture input
suppliers, cold storage technology services, fertigation inputs and technology,
greenhouse construction, horticulture consultancy services, etc.
Knowledge, skills and entrepreneurship

The traditional F&V sector lags behind compared to most producing countries in its
agronomic practices. In part, this is because both state farms and domestic, private
sector operations do not give sufficient attention to the right technology and expertise
required. Further, there has been very little formal research to overcome problems of low
genetic potential; the absence of quality selection to overcome the lack of high-yielding
and high-quality cultivars; inappropriate disease and insect pest control measures; and a
lack of quality seed supply.
Producers and exporters have complained of a lack of know-how in activities throughout
the supply chain, including knowledge of production planning, post-harvest handling and
processing practices. Low-level technology, knowledge of specifications and codes of
practice, knowledge of markets and marketing and lack of promotion activities show
additional challenges. Understanding of the supply chain functioning, the involved
actors, activities and responsibilities is limited. Next to lack of know-how on both
production and marketing aspects, importers complain about the low level of service
provision.
The current mentality of doing business and the labour ethos at times does not live up to
the expectations of the importers. In general, the level of entrepreneurship is low.
Importers indicate that they find it difficult to find the right partner in Ethiopia. On the
other hand it is observed that in general Ethiopian supervisory and management staff is
eager to learn and works accurately.
A major effort is being undertaken to improve the knowledge and skills in the coming
years. Jimma University, jointly with PTC+ (Practical Training Centre) and Wageningen
University and Research Centre in the Netherlands is bringing the Horticulture Education
in line with the requirements of a competitive and sustainable export sector. Next to that,
EHPEA has started with practical training courses for existing farm staff and the
Horticulture Development Agency in cooperation with EHPEA plans to start a
Horticulture Practical Training Centre.
15
Box 2: Jimma University College of Agriculture and Veterinary Medicine: grower

of horticultural expertise
The campus of the Jimma University College of Agriculture and Veterinary Medicine
(JUCAVM) looks as green as one might expect from an agricultural university. Located
at a fertile spot at a 346-kilometre distance southwest of Addis Ababa and surrounded
by greens and well kept gardens the college breathes an air of abundance. Apart from a
pleasant environment, JUCAVM offers Ethiopia’s most recognized
horticultural expertise.
JUCAVM has two schools, eleven departments, over 2.000 students and 113 staff
members. The college has gained a reputation of being the scientific focal point to
stakeholders in agriculture, natural resources, and veterinary medicine. Driven by the
horticultural boom in Ethiopia, JUCAVM’s Department of Horticulture renewed its MSc
programme with the introduction of competence-based education.
It is one of the major achievements in the project ‘Capacity Building for Sustainable
Development of Horticulture’, a program funded by The Netherlands Organization for
International Cooperation in Higher Education (NUFFIC) in partnership with the
Ethiopian Horticultural Producer Exporters Association (EPHEA), The Ministry of Trade
and Industry (MoTI), the Ministry of Agriculture and Rural Development (MoARD),
JUCAVM, and the Netherlands’ Wageningen University and Practical Training Center.
The programs primary objective lies in meeting the standards demanded by the
international markets. It attempts to educate competent staff for the horticultural staff for
all levels, from technicians up to managers. The overall ambition is to contribute to a
sustainable development of a competitive horticultural industry in Ethiopia.
JUCAVM Vice-Dean Fikre Lemessa is very proud of the university’s achievements. He
states his university offers a good contribution to the horticultural sector: 'we are known
as an institute that educates students with a decent reputation. I hold our philosophy,
which is a competence based and demand driven education, as a principal element in
the quality we offer.’ As an institute JUCAVM is deeply rooted in the horticultural
industry. Lemessa: ‘we’ve got a strong linkage and a good network with the industry. For
our students we aspire this by working with a community-based program. The practical
training at farms level is crucial in our curriculum.’ To meet the demand for knowledge
within the expanded horticultural sector, JUCAVM is now in the process of putting up a
centre of excellence in horticulture training, research and community outreach.
16
Communication
Ethiopia’s communication system is relatively poor. The mobile phone network is over-
stressed and e-mail/internet connections are relatively slow. This is regarded as a
considerable challenge for doing business in Ethiopia.
Land
In Ethiopia, land is public property and belongs to the State. It cannot be bought but it
can be leased for a certain number of years. The lease time differs between the different
regional states. By international standards land cost of lease are very low.
The security of land tenure is perceived as an important constraint to the development of

horticultural production. Several private investors have experienced concern with delays
in acquiring land leases, the length of the lease period, the lack of an efficient land
market and the unwillingness of banks to accept land as collateral. On the other hand,
government is pressing investors to start cultivation of land, once the land has been
given out. This to discourage speculation and assure land is being utilized for the
envisaged objective.
Market information
International market information for high-quality, export F&V is highly specialized. Strong
partnerships or trade relations between producers, processors and wholesalers normally
prevail. Successful companies in the Ethiopian F&V sector most commonly produce
directly for wholesalers or even directly to supermarkets, or have their own processing
plants. This appears to be the preferred strategy in Ethiopia. Issues that are addressed
in these market arrangements include volumes, varieties, seasonality and quality
requirements. The competitive advantage of Ethiopia compared to countries like Egypt,
Tunesia, Marocco and Kenya is crucial in this.
The performance of the smaller scale fruit and vegetable growers and exporters aimed
at the more traditional, close by markets in Djibouti and Yemen is not easy to assess.
Lack of market transparency combined with buyers’ concentration at the importers’ side
are hampering further growth and development of the sector. The current transaction
costs are high and handling, packing and transport of the produce create considerable
losses during the post-harvest process.
Foreign investments
The favourable investment conditions and incentives provided by the Ethiopian
government have been an important factor in attracting both foreign and domestic
investors to the export horticulture. This has already resulted in a large boom in the
floriculture sector and now also an increasing number of entrepreneurs have made
investments in the fruit and vegetable sub-sectors for the development of export
production for high quality markets in Europe, North America and the Middle East.
The fruits and vegetable market requires high food safety standards, either defined by
national regulation or (associations of) supermarkets. The Ethiopian QSAE currently
lacks facilities for residue testing (MRL laboratory), but a private laboratory is
investigating opportunities in this field.
17
4 Ethiopian Fruit and Vegetable Production

4.1 Cultivation zones
The elevation levels in Ethiopia are diverse (see figure below). Addis Ababa is located at
approximately 2,300 masl. Variation in temperature is driven mostly by elevation.
Because of Ethiopia’s location near the equator, seasonal changes in day length and
incoming solar radiation are minimal and, consequently, have little impact on average
temperatures.
Figure 1: Elevation levels in Ethiopia (CSA, 2006)
Rainfall varies throughout the country, not only spatially but also temporally. Some parts
of the western highlands experience rainfall for most of the year (March-October), while
most of the rest of the country experiences rainfall within either the main rainy season
(roughly July through Sept) and possibly also the short rains (roughly March through
May). The western highlands have particularly high rainfall, averaging over 1,200
millimetres annually in many areas. Rainfall is lower with decreasing elevation,
especially towards the East. Most of the eastern lowland areas are unsuitable for crop
production because of lack of rainfall. Figure 2 shows the average annual rainfall over
the past 35 years.
18
Figure 2: Annual rainfall in Ethiopia (CSA, 2006)
The major growing seasons in Ethiopia are associated with annual rainfall patterns. Most
areas in the country experience both the long and short rains with the exception of some
areas in the northwest. In the north, long rains tend to fall earlier, around the end of
June, while in the south, they start as late as October. Although most crop production in
the highlands is associated with the long rains, many communities depend on the short
season to meet their food needs. The south western highlands get more than seven
months of heavy rainfall, while the eastern lowlands get less than two months.
The length of growing period is based on the number of days with a mean daily
temperature above 5°C and with available water (from precipitation or stored soil
moisture) in excess of half the potential evapotranspiration. It is important to note,
however, that the potential for irrigated agriculture is not reflected here. This potential is
huge. Estimates state that only 3% of the potentially irrigable land is utilized. Major
development opportunities are delineated near Bahir Dar, Makelle and Awassa and in
the Central Rift Valley.
Vegetables for export are in general grown under irrigation with the main crop being
produced in the dry season which starts in September-October and last until March. This
coincides with the winter in Europe which gives Ethiopia an attractive competitive
position.
19
Figure 3: length of growing period per year in Ethiopia (CSA, 2006)
The Leptosol soils (29.8% of total land area) are mostly found in the north, are very
shallow (< 30 cm), and have somewhat limited agricultural potential. Nitosols (12.5%)
are mostly found in the west and are deep, well-drained soils. Despite low pH and low
levels of phosphorus, they have relatively good agricultural potential. Vertisols (10%)
have wide distribution; are heavy, black clay soils that are difficult to work; and have
poor drainage. Although they have good chemical properties, their use is limited due to
water-logging. Gypsisols (7.6%) in the eastern lowlands have limited agricultural
potential.
Due to Ethiopia’s good agro-climatic circumstances it is able to produce fruits and

vegetables throughout the year. Both the low- and highland areas offer good
opportunities. The major fruits and vegetables growing areas of the country are
summarized as follows (see also figure 1, p. 8):
¾ East Hararghe (eastern part of the country) with vegetables dominating,
¾ East Shewa (Central Ethiopia in Oromia Regional State) produces both fruits and
vegetables including tomato, green beans, orange, mandarin, papaya
¾ West Shewa (central Ethiopia in Oromia Regional State) which is good for
producing tomato and mango fruits
¾ Arsi (central Ethiopia in Oromia Regional State), particularly in the Awash River
basin which is known for its various types of fruits and vegetables,
¾ Gamo Goffa (Southern Nations, Nationalities and Peoples Regional State),
particularly Wolaita and Sidama zones, are good producers of banana, avocado,
pineapple, papaya in various districts.
20
¾ Dire Dawa and Harari (eastern Ethiopia) are also well known production and supply
areas of both fruits and vegetables.
¾ South Tigray and West Gojam regions of Amhara.
The Ethiopian government has selected four priority areas for further development of the
horticultural sector. These four areas are Tana Beles, Rift Valley, Dedessa valley and
Dire Dawa. In addition, the regional governments have made land available for
horticulture purposes close to the regional capitals of Bahir Dar (Amhara), Makelle
(Tigray) and Awassa (SNNPR), with good irrigation possibilities. Additional incentive
packages are provided by these regional governments for first movers.
4.2 Production
The number of small-scale producers involved in horticulture is estimated at 5.7 million

farmers. Few smallholder farmers are engaged in outgrowers arrangements and some
farmers cooperative unions have been established.
The past five years have seen a major change in government policies towards the
horticulture sector, reflecting efforts to redirect the economy away from centralized
planning to a more liberalized economy. The Government of Ethiopia increasingly
considers the private sector as the engine for economic growth and the catalyst for
employment creation and export expansion. As a result private companies were allowed
and facilitated with an array of incentives to engage in the sector. In the fruit and
vegetable sector current production is dominated by two state farms, namely the Upper
Awash Agro-Industry Enterprise (UAAIE) and the Horticulture Development Enterprise
(HDE), both are currently in the process of being privatized. Alongside the state
companies a number of private sector companies are involved in production, processing
and export of vegetable products. Major crops in fruits and vegetables and their
production trends are presented in annex 3.
Vegetables
Small-scale farmers produce 2.1 million tonnes of vegetables from 260 thousand ha
while the State Farms produce 18 thousand tonnes from 880 ha. The supply of
vegetables for the European market comprises predominantly green “bobby” beans.
There are two private exporters cultivating around 225 ha of green beans each with
outgrowing arrangements with a limited number of farmers in their vicinity. The current
production of green beans relies on surface or furrow irrigation. A joint venture near
Koka was the first to make the considerable investment in drip irrigation. Van Oers
Import and Ethio-Flora have been granted PSOM contribution in 2004 to set up the
production, processing and packing of green beans for export to the Netherlands. The
state farms have reduced their produce range significantly over the past years and big
chunks of its land near Ziway have been leased out for floriculture or are for sale.
Increasing number of investments and experiments are undertaken by private
companies to produce peas, mangetouts, cherry tomatoes and asparagus for export to
the EU market. Growers in Southern Ethiopia have also successfully started herb
production, partly in greenhouses. Also a Dutch grower has already two years
experience growing a wide range of vegetables of excellent quality in greenhouses
21
Fruits
Total fruit production is almost 500 thousand tonnes, of which the State Farms account
for approximately 10% of production. The main fruits produced and exported are
bananas, citrus, grapefruit, mangoes, papaya and avocadoes. The main export markets
for these Ethiopian fruits are Djibouti, Saudi Arabia, Yemen and Sudan. The majority of
citrus production is still largely confined to state farms, but the productivity of their
orchards is on the decline. The production of mangoes is to a large extent scattered and
unprofessional; the varieties and quality tend to be not as good in quality as those
produced in competing countries and are usually unfit for further processing. Upper
Awash has a plantation of mangos, mainly for export and produces mango seedlings for
sale. The company Green Focus allocated 270 hectares for mango production in
Wollega and plans to cultivate 2,000 hectares more of it in the coming three years and
also plans to build an agro-processing plant. However 500 farmers from seven kebeles
resettled on the same farmland, halting Green Focus’ plans. A national committee was
established to look into the case and come up with a possible solution.
In the Chencha highlands apples have been grown for decades by small farmers. Apple
production is expected to go up as the State of Oromia ordered 70,000 apple tree
seedlings from Spain. Pineapple production is scattered and has been unstable over the
past years, which causes a pineapple drying plant near Nazareth to function below its
production capacity.
In addition to the export of relatively low value fruits, recently a number of trials are
undertaken to produce more high value crops for export and to access new or more
attractive fruits markets (i.e. grapes, avocado, passion fruit). A foreign strawberry grower
ventured into the drip irrigated production of this fruit in Ethiopia mainly for the fresh
export to the EU market. The Netherlands is now successfully importing strawberries
from Ethiopia. The fruits have a high brix level and are harvested 7 days a week. Table
grape production has started around Mojo and plans exist to expand to areas in the
North of the country. Foreign investors have also come to Ethiopia to start with avocado
and passion fruit production and processing, mainly on former state owned plantations.
22
Box 3: Emerging Markets: Almeta Impex PLC and Jittu Horticulture PLC
One of the first explorers in the sector is Almeta Impex PLC. The company’s horticultural
core business lies in fruits, vegetables and fresh herbs. General manager Mesfin
Teshome explicates business is going well: ‘we started three years ago in Koka and we
are now growing several diversities on our 100 ha‐farm in Koka: 17 ha of strawberries,
30 ha of wine and table grapes, 15 ha of fresh herbs and the remaining is cultivated with
vegetables like chillies, peas and fine beans.’ His company is ready for expansion: ‘we
have a 500 ha plot in Awasa that will be cultivated with vegetables and fruits like passion
fruits, pomegranate, grapes and avocado.’ Almeta focuses on the European market
(60%) and Middle Eastern and Russian consumers (40%). Teshome hopes the products
will become available for locals as well: ‘as for now these products are too exclusive and
thus too expensive for the local population. But in the future I hope Ethiopians will be
able to consume more.’ In order to improve and maintain quality he stresses the
importance of technological expertise: ‘capable manpower is a crucial factor in our
business. We therefore cooperate with the Jimma University and several foreign
consultants. I’m looking for a partnership with new investors. Wouldn’t any Dutch people
be interested?’
A Dutchman hugely involved in Ethiopia’s opportunities is Jan Prins. Prins is Managing
Director with Jittu Horticulture PLC, a company owned by business magnate Sheikh Al
Amoudi. Jittu currently flies 30 to 50 tons of mainly vegetables to Dubai, every week. It
will expand to 200 tons. Prins: ‘there is a big demand for high‐quality crops in the Middle
East. The main quantity of our production goes to a purchaser in Dubai. This client gives
us orders that are based on a weekly schedule, which makes our business very dynamic
but also rigid in a way. We have to sow and harvest on a weekly rotation timetable.’
Jittu’s target is to cultivate 80 diversities consisting of e.g. several types of tomato, salad,
artichokes and pepper. In the fruit segment the focus lies on melon, strawberries and
blackberries. The company has 3.000 ha land available in Awassa to meet its objectives.
Text: Bram Wicherink
23
24
5 Post harvest
Packaging
Most of the available packing material in Ethiopia currently does not meet the required
standards. Therefore most vegetable export growers import there packing material from
the Netherlands or Israel. A project to improve the quality of packing material is presently
carried out by the International Trade Centre (ITC) in Geneva and CBI from the
Netherlands. Also it is encouraging to note that several new companies have started
producing packing material.
Cold storage
Foreign companies have offices (consulting) in Ethiopia and are able to install cold
storage facilities and provide maintenance and repair services.
In the fruits and vegetables sector, there are two privately owned cold stores in Ethiopia,
namely the Ethio-Flora and Tippu Valley cold stores in Ziway. In the public sector, Et-
Fruit and the two state enterprises have cold store operations. The stores are not
designed to rapidly reduce field heat and are not of a sufficiently high standard.
There is one private cold store at Bole airport. The facility has three separately controlled
chill chambers plus a larger chilled handling area and a non-chilled dry goods area. The
store was built and equipped to a very high standard and is customs bonded. In addition,
Bahir Dar and Makelle are preparing cold store facilities at their respective airports. The
regional governments project that in time direct flights will supply the European and
Middle Eastern markets.
Fresh Consolidation Centres

Different organizations or institutions in Ethiopia are considering big(ger) central placed
facilities where activities like sorting, grading, packaging, pre-cooling, storage, palletizing
and loading of containers can be organized through combining different flows of
products from different origin and growers. Logistic organizations like Ethiopian Shipping
Lines and Maersk are considering this option, but also organizations like OASIS and a
Joint Venture including Flora Holland and v.d. Put, Ethiopian Perishable Logistics. In
addition Ethiopian Airlines is planning to start constructing a complete new ‘state-of-the-
art’ perishable cargo centre at the airport in 2009 (see also box 4).
Processing
In Ethiopia, the number of fruits and vegetables processing industries is limited.
Currently, there are only 5 fruit and vegetable processing plants in the country. These
plants presently process a limited variety of products: tomato paste, orange marmalade,
vegetable soup, frozen vegetables and wine. Currently most processed products are
geared at the domestic markets.
The Merti Fruits and Vegetable Processing plant (HACCP certified) has a total
processing capacity that could reach 5,000 tons per year. At present it is utilizing about
50% of this capacity. Green Star is a privately foreign owned enterprise focusing on food
processing operations.
25
The factory is working at below capacity due to a lack of sufficient and regular supply of
F&V. The factory is in the process of HACPP certification.
The Dutch company Africa Juice is planning to start processing passion fruit and mango
into export quality juices, concentrates and purees. The company sees good
opportunities in growing passion fruit in Ethiopia due to its relatively uniform climate and
noticed an increased market demand for passion fruit juice. The first juice delivery is
planned for the end of 2009. Mango juice is being produced in Sabeeta. The used
mango concentrate and flesh parts are currently imported from India.
The company Ecological Products of Ethiopia (Ecopia) produces, processes and

markets fruits (mango, pineapple, strawberry) into jams and juices and also dries fruits.
Their major market is local supermarkets and hotels.
Phytosanitary inspection and custom control

In total there are five quarantine stations, at Bole International Airport (near Addis
Ababa), Dire Dawa, Moyale, Nazaret and in Metema. The Ethiopian phytosanitary
services are currently under restructuring and capacity building is taking place.
The quarantine regulation in Ethiopia states that plants and plant products exported from
the country have to be inspected and accompanied by a phytosanitary certificate. The
production of horticultural products is currently inspected during the growing stage.
Visiting all export growers on a regular basis to ensure compliance with international
phytosanitary standards and regulations is occasionally taking place by the Plant
Quarantine Team of the Animal and Plant Health Regulatory Department (APHRD).
Checks are done at random at the farms and the farmer is doing the inspection
him/herself, based on information received from the Ministry of Agriculture.
Each inspection visit is concluded with an inspection report. Most exporters employ
handling officers who ensure that the export consignments are send with the proper
documentation, airway bill and phytosanitary certificate. The phytosanitary certificate is
prepared on the basis of specifications of the consignment phoned to the handling officer
from the grower’s production place .Customs control can be done at the farm by
customs officers. The container can therefore be sealed at the farm. Ethiopia doesn’t
levy export tax for horticultural products. Digitization of the phytosanitary procedures is
being discussed at the moment and the Dutch CLIENT package has been proposed as
the preferred system.
26
6 Transportation
Air
Bole Airport is the only airport in Ethiopia that handles international flights. Bahir Dar,
Dire Dawa, Gonder, Makelle, and Arba Minch have airports capable of handling
international traffic but, as yet, no international flights use these destinations. Ethiopian
airlines had a good cargo facility with a cooling facility for cargo pallets. A constraint at
the moment is the building of pallets, regularly causing long queues of trucks waiting to
be off loaded. As mentioned earlier, Ethiopian Airlines will start building a new Cargo
Center at Bole airport in 2009.
In Ethiopia the prices of air freight to Europe are more or less comparable to Kenya,
ranging from $1.75 to $2.05 per kg. Air freight rates to the Middle East average between
$0.65 to $0.75 per kg. Prices for to the Middle East are considered attractive, mainly due
to overcapacity.
Ethiopian Airlines operates full freighters to Liege, Belgium. In the coming 2008-2009
high season (November – March) Ethiopian Airlines plans to operate a Boeing 747 and
they have purchased two MD-11 aircraft expected to start operating in the near future.
Space is available on commercial passenger flights is available and growing (KLM,
Ethiopian Airlines, BA, Lufthansa, Egypt Air, Emirates). Recently, Emirates has started
direct cargo flights on Amsterdam. It is expected that by March Emirates flies twice a
week.
There are a good number of forwarding companies providing services in booking and
arranging cargo-space, one company also offers ‘pick up’ service from the farm. The
Government of Ethiopia has an ‘open skies’ policy regarding to cargo.
Sea
The development of a refrigerated cool chain for relatively nearby markets such as the
Middle-East and Europe, could improve the competitive position of Ethiopia in the field of
fruits and vegetables. Many private entrepreneurs have expressed interest in exploring
this option.
For export from Ethiopia by sea only the port of Djibouti is a realistic option. Distance
from Addis Ababa to Djibouti is more than 900 kilometre through transport by road. In
Ethiopia the railroads are currently being modernized but cannot yet be used for high-
quality export products.
Maersk opened an office in Addis Ababa in March 2007 and provides a weekly feeder
service at Djibouti, transporting cargo to Salalah in Oman, from where cargo is
transported to major destinations in the world. Djibouti port is no transhipment port. The
consequence is that the transhipment times can take very long. Djibouti is planning to
become a transhipment harbour and is preparing itself for receiving the biggest container
vessels available.
27
Box 4: Ethiopian Airlines responds to economic expansion
Meeting the higher demand that comes with a booming export economy, Ethiopian
Airlines is putting its efforts in increasing capacities. In May 2006 a new facility was
made operational, the current growth demands another expansion though. The existing
facility is handling goods coming from the horticultural industry as well as the meat and
textile sector and is considered to be one the most sophisticated facilities on the
continent. The current capacity lies at 14.000 m2 of which 2.000 m2 is reserved for
perishable goods that need cold storage, like meat and flowers. The additional state-of-
the-art facility will consist of a 7.000m2 capacity that will be used for perishable products
only. The design for the new building is finished and approved by different parties like
USAID, FloraHolland and a delegation of the Dutch Embassy. As soon as the
construction plans are approved by the airlines it selves, the construction process will
commence. Mr. Busera Awel, Vice President Commercial, estimates the building to
begin in the second quarter of this year. He said it would not take more than two years to
finalize the project and make the new facility operational.
Furthermore Ethiopian Airlines has purchased two MD11 freighters that can load up to
85 tons per plane. The first plane has taken off in February this year, told Mr.
Gebremichael
Biwota, Director Cargo Marketing. The second MD 11 will be touching the sky by July
2009. This will bring the total of freight aircrafts to 6. The airlines are now flying 2
Boeings type 747 and 2 757s. The aim is to have 4 MD11s and 3 Boeings 757 available
in 5 years time.
In addition Emirates is flying weekly cargo flight on Amsterdam since February 2009.
The frequency increases to twice a week as per March 2009.
Reefer transport costs per kg will depend on the type of product and destination. Current
reefer costs for vegetables to the Middle East are estimated as being similar to air freight
costs, given the high cost of inland transport charges. A detailed understanding of the
Reefer costs and logistics options for fresh fruit is becoming more important given the
development of the fruit industry. To build a reefer chain for fruit and vegetable export
will not face major physical problems.
Road
The domestic, major roads from Addis to far corners of the country are of excellent
quality. Major constraint is the quality of the minor and feeder roads connecting to the
major roads, although huge investments in road construction are taking place throughout
the country.
28
7 Markets
General
Export of fruit and vegetables from Ethiopia can be categorised into three types. First,
export of relatively high value perishable produce to Europe. Second, the export of
conventional products cultivated predominantly in Eastern Ethiopia around Dire Dawa, to
regional markets (mostly Djibouti) and, third, some processed and fresh produce to
Middle East countries. General export trends are presented in annex 4.
The horticulture sector’s contribution to Ethiopia’s export earnings is still relatively small
but increasing rapidly. The fast growth of the floriculture sector in the period 2001-2008
has considerably increased the contribution of horticulture in the Ethiopian export.
Current exports consist mainly of green beans and flowers (roses) exported to northern
Europe and a number of vegetables as potatoes, tomatoes and onions to Djibouti. In the
Ethiopian calendar year 2001 (2007-2008) the Netherlands emerged as the 4th importer
of Ethiopian goods.
Beans are predominantly exported to Europe, while the other vegetables are mostly
exported to Djibouti. Fruits are mostly exported to Djibouti as well, with some avocados
going to India. The group of vegetables which are not further specified is extremely
large. These products are exported to both Djibouti and Somali and probably consist of
the mentioned vegetables as well.
Djibouti has for a long time been the main export country for Ethiopian vegetables. Only
in 2003 they have suddenly been overtaken by Sudan. Export to Sudan is still
increasing. Europe has become the second most important export destination importing
11.7 million US$ worth of vegetables (of which 6.0 by the Netherlands) while Sudan
imports 15.5 and Djibouti 3.0 million US$ in 2006.
In the case of fruits, Ethiopia is practically only exporting to Djibouti but export increases
to other markets are already visible in the statistical databases.
Domestic market
The size of the domestic market for fruit and vegetables is limited and not very diverse.
Fruits in the markets of Addis Ababa are restricted to bananas, papaya and mango.
Within the group of vegetables mostly potatoes, onions, peppers and tomatoes are sold.
Other fruit and vegetables are not common in the Ethiopian diet.
Main fruit and vegetable markets in Addis Ababa are Piazza, Merkato and Mesalumia
Fahil Berenda. These markets have a variety of clients: wholesalers, retailers and
consumers are sourcing their fruit and vegetables from these markets. Approximately
50% of the supply originates from smallholder producers or farmers’ cooperatives.
Produce comes from all over the country, but mostly from the Rift Valley.
In general the development of the domestic F&V market is a long-term, gradual process
which depends on aspects of economic development, urbanization and possibly related
change in consumer behaviour. In the short-term, there is a potential for import
substitution of processed fruits, mainly soft drink concentrates and fruit juices. The
available processing plants have the potential to produce high quality products for the
top segment market in Ethiopia.
29
Regional markets
Djibouti is the largest F&V regional export market for Ethiopia. With an increased
expatriate and military presence in Djibouti there appears to be opportunities for
supplying this community with high-value (and high quality) niche vegetables, especially
leafy greens. The poor logistics to Djibouti (handling, packing, storage, train
infrastructure, etc.) means that Ethiopian produce is now only sold in the conventional,
traditional market. The conflict with Eritrea resulted in the complete stop of export of
fruits and vegetables to that country. A final solution of this conflict over time could result
in a re-emerging export to Eritrea.
The traditional export sector of a wide variety of fruits and vegetables to Djibouti and
Sudan is an important segment of the sector. Efforts to further professionalize this sector
through improved chain integration, logistic arrangements, packaging, market
information, etc. can add substantial value to this export channel. Given its geographical
location and production circumstances, Ethiopia has a competitive advantage in these
markets for a wide variety of products.
Middle East Market

The markets with the highest potential for F&V exports in the Middle East are the United
Arab Emirates (Dubai and Abu Dhabi), Qatar, Saudi Arabia and Yemen. Three big
importers dominate the Saudi trade. The present vegetable imports are onions,
tomatoes and potatoes. Some exotic fruits and vegetables are shipped by air as organic
pineapples and green beans. Compared to Egypt and South Africa the UAE and Saudi
Arabia imports of fruits and vegetables from Ethiopia are still marginal. Other
competitors on this market are Jordan and Kenya which both have a relatively well-
established F&V export sector.
There is a definite consolidation in the food retail business in the Gulf. In the UAE, it is
reported that nearly 50% of total retail sales is concentrated within hypermarkets,
superstores and supermarkets despite their limited number. The remaining 50% is
conducted through smaller-sized groceries and convenience stores. The major food
companies own modern warehousing facilities which are equipped with fleets of dry and
refrigerated trucks and run organized food distribution. Another trend is growing
consumer interest in health foods. Although currently there barely any inspections on
residues take place, the Government of Ethiopia aims at having a law and inspection
system installed within a few years to guarantee food safety.
Although there are no clearly defined buying seasons, it is advisable not to conduct
business in general during the two main Islamic religious holidays, the Eid al-Fitr holiday
and the Eid al-Adha. Demand for fruits and vegetables is increasing enormously during
the Hajj because of the huge increase in consumers. It is generally best to avoid visiting
Saudi Arabia in July and August (when many Saudi businessmen are out of the
Kingdom) and during the two Eid Festivals. Visitors during Ramadan need to be
prepared to do business outside western hours.
Till date limited market information about the Middle East countries is available.
Recently, the Saudi Arabian Ministry of Agriculture has started to elaborate its website
with more market information in Arabic.
30
Experience of traders trying to access the Middle East markets also shows the cultural
differences and the importance to have good relationships with local people. An often
heard complaint is that payments are late.
In the regional markets and Middle East markets in particular, demand for both fresh and
processed fruit and vegetables is increasing. Producers in the Eastern region have good
possibilities to export cabbage, Irish potato, white onion, leek, eggplant and okra to
Djibouti and Somaliland. Besides vegetables, mango has good potential to be exported
to Yemen and Somaliland. The planted area with mango is already growing.
Demand for tomato concentrate in the Middle East and Sudan is increasing. Saudi
Arabia is now importing processed products from China, a real competitor for Ethiopia
due to its low costs of production.
Green house vegetables receive a lot of interest from current producers and investors
and trade with the Middle East has started which is hopeful.
European market
Ethiopia’s vegetable exports to Europe represent only a very small fraction of total
exports from leading African producers such as Kenya. EU import figures for green
beans in 2002 show total imports from Kenya of 21.700 tonnes compared with 1.920
tonnes from Ethiopia. For Ethiopia, the EU is the biggest export market for beans (about
25%), followed by Yemen and India. Within the EU market, France is the largest
importer of green beans (34%) followed by the UK (22%), The Netherlands (17%) and
Spain (11%). Total consumption of green beans in the EU continues to grow with 9% per
annum and although Morocco and Egypt have been the beneficiary of much of this
growth there remain good prospects for high quality supply particularly in January and
February. Competitors for Ethiopia in this field are Kenya, Senegal, Tanzania, Egypt and
Morocco. Compared to Ethiopia Senegal and Egypt have lower transport cost by air and
have already a well developed reefer transport system. Morocco has the advantage that
products are trucked to Europe, giving a big advantage in transport cost.
All the fresh products currently exported to Europe are highly perishable and return a
high value per kg. The only means of export appropriate for these products is air freight
which forms the major cost of supply. Air freight cost is the most important cost factor
and can be the major point of difference.
In the EU there is a growing demand for vegetables as well. A range of vegetable

products from Ethiopia have a potential in EU markets but need to be timed to fit specific
marketing windows to ensure economic returns. This range includes avocado,
strawberry, grapes, mango, sugar snaps, asparagus, baby corn, sugar snap, okra and
other Asian vegetables.
Demand in the European market for ecological and fair trade products is increasing. Also
major retailers like the UK based TESCO is demanding high social standards of their
imported products. Ethiopia offers a good scope for ecological and fair trade production.
Some companies have already started to implement the fair trade concept and for
example Africa Juice wants to become a premier supplier of Fair Trade juice to the
European market.
31
As mentioned earlier, the requirements for delivery according to contract, food safety
and environmentally friendly production standard are high and are expected to further
increase. Therefore high technical and organisational skills are essential. In recent years
the supermarkets in Europe have become stricter on MRL’s (Maximum Residue Levels
of pesticide residues). It is foreseen that norms will become stricter and evolve towards
‘zero tolerance’.
The impacts of climate change are expected to receive more public and political
attention in the coming years. See for instance the UK supermarkets providing
information on ‘food miles’ on the product label. This market trend is increasingly
important for medium and long term business strategies.
32
8 Recent developments
Besides green bean production, foreign investors have now also entered Ethiopia to
start making use of other potentials. A wide range of vegetable products have been
successfully produced on larger farms including cherry tomatoes, courgettes, lettuce,
broccoli, asparagus, capsicum, okra and snow peas.
New developments involve:
• An Israeli investor started strawberry production in 2003 and exports fresh
strawberries to the Middle East and since this year to The Netherlands as well.
Frozen strawberries are also being exported to the European Union.
• A Dutch investor has started to grow various high-value, greenhouse vegetables
for the Middle East market, with also European market potential;.
• Another recent initiative is in mango plantations in the Western region by Indian
investors;
• Passion fruit planting and processing for export is starting by a Dutch investor
(Africa Juice);
• Dried mango exports and sundried tomatoes export;
• Avocado production on state-farm land with long-term options for outgrowers
arrangements by a South African company;
• Table grape production has started around Mojo and plans exist to expand to
areas in the North of the country (close to Makelle);
• Vine grape production near Ziway for European market;
• In Awassa a new initiative has started to produce pineapple juice;.
• BGI-Ethiopia has planted 125 ha of grapes for wine production and has plans to
expand to 400 ha.
• Besides fruit and vegetables there have been some successful initiatives in herb
production and export to the UK (a.o. Tesco).
Some companies have already started to implement the fair trade concept and for
example Africa Juice wants to become a premier supplier of Fair Trade juice to the
European market.
In Ethiopia a large number of public and NGO projects relevant for the F&V development
are ongoing:
• SNV has programs to assist pineapple, mango and apple production and
processing.
• USAID/Fintrac is working in the horticulture sector at smallholder level and is
geared at supporting the larger commercial exporting sector. Among others
medium-sized commercial farms are supported with technical assistance and
linking them to markets in the UK. A training plan is being developed for arriving
at GLOBALGAP certification. In the long-term out-growers schemes around
these farms could be developed.
• MoTI and UNIDO have started to develop a 5-year masterplan for the food
processing sector. Although specific product groups need to be selected, it is
almost certain that fruit and vegetable processing will form a main component of
this activity.
33
• Through the Embassy of Israel a project is initiated to support fruit tree nursery
developments in mango, avocado and some other fruits in the Southern part of
Ethiopia.
• The Ethiopian-Dutch Horticultural Partnership has been established to improve
the horticultural sector and to ensure sustainable development.
• IDE (an American based NGO) is starting a project in the Rift Valley aiming at
introducing improved irrigation and farm management techniques to smallholder
producers and at the same facilitate establishment of market linkages.
• The Ethiopian government has plans for the development of a dry port for
refrigerated containers and start a pilot with refrigerated containers for meat.
• CFC jointly with EHPEA will start this year with a project linking smallholders to
exporters for green beans in the Rift Valley. This project includes the construction
of cold stores and packing houses.
Some private companies have started to produce vegetable seed production, such as
Segal and Genesis in Debre Zeit. HZPC (Dutch seed potato company) and SolaGrow
(agribusiness company in Ethiopia) have been granted a PSOM project (funded by EVD)
to set up a seed potato production system and demonstration facility in order to increase
potato production.
34
9 SWOT analysis Ethiopian Fruit and Vegetable

Business
Strengths
Climate
Ethiopia has a beneficial climate for growing a wide range of fruits and vegetables
throughout the year. The good soil and water conditions are enabling the agricultural
potential further.
Supportive government policies

Investments are encouraged by the Government of Ethiopia through several incentives
for example through beneficial tax schemes for export investments. Government offices
work according to procedures resulting in a relatively low level of corruption compared to
other African countries.
Costs of production
Land lease costs are low and labour is cheap.
Geographic location
Ethiopia has a favourable geographic location as it is close to Djibouti and the Middle
Eastern markets.
Security
Compared to other countries in the region Ethiopia’s private security and safety situation
is very good.
Private sector service provision

The rapid growth of the floriculture sector leads to a growing critical mass of service
provision level by private sector parties also relevant to the F&V sector.
New initiatives
Many new companies have started or are in the process of starting in the F&V sector.
And there is a broad interest from private sector parties, public organisations and NGO’s
for the F&V sector.
Potentials for irrigation

Potential for irrigated production with improved water-saving techniques (drip-irrigation)
is high.
Transport
Although landlocked a good domestic, major road network exists between the main F&V
production centres and Addis; airfreight is available and capacity constantly increasing.
35
Code of Practice in floriculture sector

Experiences gained in the development of a Code of Practice by the floriculture sector
will benefit the fruits and vegetable sector.
Weaknesses
Constant high quality supply in sufficient quantities
Apart from beans, a fragmented and non-constant supply of F&V with limited quantities
and high variation in quality, leads to a weak position compared to competitors like
Kenya; Ethiopia yet lacks the critical mass and reputation of a high potential source of
F&V.
Varieties
Limited knowledge and availability of the proper varieties with respect to local climatic
conditions and consumer demand.
Packaging
Low quality of locally produced packaging material.
Cold Storage
Limited capacity of appropriate cold storage capacity.
Technical Know-How
Limited technical know-how for production and handling of high quality F&V for export
markets.
Research and extension

Limited research and extension programmes focused on the export oriented F&V sector.
Input supply
Problems in acquiring the appropriate types of fertilisers and pesticides.
Land Tenure
Insecurity due to lack of land tenure causes constraints for investments.
Market Information
Information about export markets, especially Middle East, is limited.
Domestic market
Low consumption rates of fruits and vegetables, which give limited options for selling
non-export grades.
Banking
The regulation of the banking system is a major constraint. There is no free exchange of
foreign exchange, which hampers international financial transactions.
36
Bureaucracy
Government procedures (including customs, repayment of VAT etc.) are sometimes
slow and unclear and require regular follow-up.
Communication
The mobile phone network is over-stretched and internet connections are relatively slow.
Opportunities
Demand in Europe and Middle East
In both Europe as in the Middle East there is a high and growing demand for fruits and
vegetables. The objective of importers to diversify sourcing from main suppliers like
Kenya, provides an opportunity for Ethiopia. For European importers Ethiopia is very
interesting in order to have a year round delivery of fruits and vegetables.
Demand for processed fruits and vegetables

Processed fruits and vegetables have a high demand in the European and Middle
Eastern markets; also import substitution in the domestic market provides good
opportunities. Demand for tomato concentrate in the Middle East and Sudan is
increasing.
Ecological and fair trade production

Demand in the European market for ecological and fair trade products is increasing. Also
major retailers like the UK based TESCO is demanding high social standards of their
imported products. Ethiopia offers a good scope for ecological and fair trade production.
Threats
Increased competition in European and Middle East Market
High competition of countries with already a strong position (e.g. Kenya in the European
market) and countries with a growing position (Morocco, Egypt in Europe; Turkey,
Jordan in Middle East). China may also become a competitor for processed products.
Regional politics
Political insecurity due to possible escalating conflicts with Somalia and Eritrea and
internal tensions e.g. in the Ogaden region.
Stringent requirements on food safety and sustainability standards

Although food safety standard are currently considered to be ‘license to produce’, it may
be expected that more stringent requirements by supermarkets in terms of quality and
safety compliance, traceability and consistency of contracted supplies and sustainability
(food miles) can form a barrier for a newcomer into the high value fruit and vegetable
markets.
37
Conclusion
It is concluded that the further development of the fruit and vegetable sector in Ethiopia
for export to Europe and the Middle East has good perspectives and provides interesting
opportunities for foreign investors. Currently, many new companies are stepping in, in
different parts of the country and conditions regarding land, cool chain and cargo appear
to improve gradually. Yet, the sector is in its infant stages. Supportive conditions for
doing business are not yet optimal, but are expected to improve in the near future.
For growers who consider starting operations in Ethiopia it is important to carefully select
a location and ensure that the logistical and cool chain is properly organized on
forehand.
For companies who consider sourcing from Ethiopia it is important to build good
relations with (potential) growers, provide hands-on guidance and training and to invest
in organizing the logistical supply chain well.
38
Annex 1 Useful addresses
In Ethiopia
Ethiopian Horticulture Development Agency

P.O. Box 43450
Addis Ababa
Ethiopia
Phone: 00251- (0)-11-5502483/5513881
Fax: 00251-(0)-115537448
Ethiopian Horticulture
Producer and Exporters Association (EHPEA)
P.O. Box 22241 code 1000
Addis Ababa
Ethiopia
Tel. 00251-(0)11-6636750/51
Fax: 00251-(0)11-6636753
Email: [email protected]
Website: www.ehpea.org.et
Embassy of the Kingdom of the Netherlands

Old Airport Zone
P.O. Box 1241
Addis Ababa
Ethiopia
Tel.: 00251-(0)11-3711100
Fax: 00251-(0)11-3711577
Email: [email protected]
Website: www.netherlandsembassyethiopia.org
USAID
USAID/Agribusiness and Trade Expansion Activity
Horticulture Sector Manager
Tel:251-011-3720060/61
Cell phone:251-0911-942531
Addis Ababa, Ethiopia
39
In The Netherlands
Ministry of Agriculture, Nature and Food Quality

Department of Trade and Industry
Bezuidenhoutseweg 73
P.O. Box 20401
2500 EK The Hague
The Netherlands
Phone: 0031-(0)70-3786868
Email: via website
Website: www.minlnv.nl
EVD, International Business and Cooperation,

Ministry of Economic Affairs
P.O. Box 20105
2500 EC The Hague
The Netherlands
Phone: 0031- (0)70- 778 88 88
Website: www.evd.nl
For more useful addresses, please refer to the Guide “Investing in the agricultural sector
of Ethiopia”, to be published by EIA supported by the Netherlands Ministry of Agriculture,
Nature and Food Quality
40
Annex 2 References
Addis Fortune, 2008, July 02, Resettled Farmers Cripple Green Focus’ Plans.
AGF, 2008, www.agf.nl/nieuwsbericht, Fruit World Breda importeert aardbeien uit

Ethiopie.
Anonymous, April 2003, ETHIOPIA: Trade and Transformation Challenges, Annex 8,

Agriculture and trade, diagnostic trade integration study.
BBC, 2008, Country profile Ethiopia, http://news.bbc.co.uk, June 3th, 2008
Cehmeda, D. (EPD), Hordofa, D. (EPD) and van Duijvenbode, A. (CBI), January 2005,
The juice of the economy? Export potential of Ethiopian Processed Fruits and
Vegetables, Addis Ababa
Central Statistical Agency (CSA), Ethiopian Development Research Institute,

International Food Policy Research Institute, 2006, Atlas of the Ethiopian Rural
Economy. ISBN: 0-89629-155-3
Emana B. and H. Gebremedhin, 2007, Constraints and Opportunities of Horticulture

Production and Marketing in Eastern Ethiopia, DCG Report No. 46
Ethiopian Intelligence Unit, 2008, Ethiopia economy: the price of success, Country
briefing, August 27th.
Ethiopian Investment Agency, April 2006, Investment Opportunity Profile for the
Production of Fruits and Vegetables in Ethiopia, Addis Ababa
Ethioworld, 2008, www.ethioworld.com
FAO, 2006, F&V in Ethiopia, Agriculture 21, june 2006

http://www.fao.org/ag/magazine/0606sp2.htm
FCO, 2008, Ethiopia country profile, www.fco.gov.uk,
F&V in Ethiopia - Data as of 1991 - http://lcweb2.loc.gov/cgi-bin/query/r?frd/cstdy:@field

(DOCID+et0105)
Greenhalgh P. and Havis E., Natural Resources Institute, March 2005, Feasibility Study
on Assistance to the Export Horticulture Sector in Ethiopia, United Kingdom
HortiNews, 2007, Interview with Minister of Trade and Industry of the Federal
Democratic Republic of Ethiopia, Mr Girma Birru.
HortiNews, 2007 EHPEA’s President speaks to Horti-News
41
Kubsa A., Desalegne P and Verschoor R., SNV, 2006, Analysis of livelihood strategies
for Arba Minch, Ethiopia, Awassa
Ministry of Information, Press and Audiovisual Department, January 2006, Ago-Industrial

Potentials in Ethiopia, Addis Ababa
Ministry of Agricultural and Rural Department, 2007?, Development corridors’ fruit and
vegetables land use and production status, Addis Ababa
Ministry of Agricultural and Rural Department, 2007?, Short notes on the gaps and
important intervention for the development of the Horticulture sector in Ethiopia, Addis
Ababa
Ministry of Agricultural and Rural Department, 2007?, Fruit and vegetables development
five years /2005/06-2009/10/target, Addis Ababa
Mussa, M., and P. Greenhalgh, 2007, April, Regoverning markets, small scale producers
in modern agri-food markets- Ethiopia, Information Sheet
Panlibuton H (2004) Mid-term Assessment Report: Final Report Smallholder Linkages

Programme (SHLP) ACDI/VOCA Ethiopia. Washington DC
Parkin J., Jon Parkin Consultancy, February 2007, Report on marketing trip February
2007
Sissay H (2004) Fresh Fruit and Vegetables: Production and Market Study. Ethiopian
Export Promotion Agency. Product Development Market Research Directorate, Ethiopia
Verschoor R. et al., June 2006 Ethiopian Horticulture Development Strategy – Balanced

growth strategy paper, Wageningen, The Netherlands
Woldsadiq, W., Ministry of Agriculture and Rural Development, 2007?, Horticulture

development in the Smallholders’ sector in Ethiopia, Addis Ababa
Worldbank, 2004. Opportunities and challenges for developing high-value agricultural

exports in Ethiopia.
Worldbank, 2008, Ethiopia country brief, www.worldbank.org
Wijnands, J.H.M., and R.H.M. Maaswinkel, 2007, “Kansen voor beschermde tuinbouw in
Saudi-Arabië en de Verenigde Arabische Emiraten” Rapport 2.07.16, LEI, The Hague
42
Annex 3 Production trends
Fruit and Vegetable production trend
Quantity produced (1000 tons)

Fruits and vegetables 2002 2003 2004 2005 2006
Avocados 80 81 82 83 83
Bananas 82 175 182 211 211
Beans, dry 101 117 175 176 176
Beans, green 3 3 3 3 3
Broad beans, horse beans, dry 453 430 552 516 599
Cabbages and other brassicas 150 152 164 174 174
Carrots and turnips 15 10 18 7 7
Chick peas 187 136 163 217 125
Chillies and peppers, green 78 67 72 79 79
Fruit, nec 145 160 160 160 160
Garlic 70 71 79 86 86
Grapes 7 7 8 8 8
Guavas, mangoes,
mangosteens 160 163 174 182 182
Leguminous vegetables, nec 3 3 3 3 3
Lentils 38 35 55 63 65
Onions (inc. shallots), green 19 20 20 20 20
Onions, dry 140 217 230 176 176
Oranges 15 13 17 16 16
Papayas 226 231 247 259 259
Peas, dry 200 170 230 197 209
Potatoes 385 510 510 450 450
Sweet potatoes 339 497 452 409 409
Tangerines, mandarins, clem. 8 9 9 9 9
Tomatoes 55 55 36 35 35
Vegetables, nec 420 430 430 440 440
Fruits total 729 845 884 934 934
Vegetables total 957 1031 1060 1029 1029
Source: FAOSTAT | © FAO Statistics Division 2008
43
Annex 4 Export trends
Trend in Ethiopian export of fruits and vegetables

Fruit and Vegetables Ethiopian export of fruits and vegetables (1000 US$)
2000 2001 2002 2003 2004 2005 2006
Vegetables, roots and tubers 12,386 27,613 38,663 25,090 37,016 38,466 56,365
Potatoes 770 1,462 967 1,242 1,376 12 6
Peas 23 18 6 17 287 26
Chickpeas 59 9,298 14,672 777 12,850 28,417 36,475
Kidney and white pea beans 8,671 10,890 14,119 12,045
Lentils 69 324 559 329 436 3,024 161
Broad and horse bean 58 65 1,054 5,297 3,694 311 5,955
Tomatoes 420 847 792 941 996 41 52
Onions, shallots 492 783 881 967 791 16 400
Garlic, leek 67 259 188 236 86 123 205
Cabbage 94 78 85 69 1 809
Lettuce 163 129 179 59 1
Edible roots 191 171 214 140 1 1
Cucumbers 34 47 66 55 41
Leguminous vegetables 1,394 1,075 1,936 1,257 1,521 135 34
Vegetables frozen 1 1,802 2,820 1,229 2,233 2,628 4,516
Fruit,nuts excl.oil nuts 1,072 1,429 2,519 1,615 1,985 2,070 2,030
Oranges 408 755 609 715 814 15 240
Mandarins 18 63 865 42 31 1 7
Lemons,limes 418 105 71 87
Bananas 100 191 167 329 294 2 108
Avocado,guava,mango 102 220 675 285 268 3
Strawberries 2 22 349
Source: Comtrade/HS data, 2008
44
Trading countries for Ethiopian vegetables
Country of
Destination Ethiopian export of vegetables (1000 US$)
2000 2001 2002 2003 2004 2005 2006
World 12,389 27,614 38,666 25,090 37,017 38,465 56,363
Belgium/Luxembourg 109 502 615 660 532 1,600 218
Djibouti 2,565 4,641 4,063 5,745 4,901 978 3,054
Germany 1,743 1,716 2,115 731 858 756 864
Italy 672 620 939 511 1,350 1,587 2,041
Morocco 1,240 1,547 1,191 738 651 278 943
Netherlands 1,922 2,717 1,725 1,832 3,916 4,579 6,040
Pakistan 772 13,575 786 1,268 1,212 6,192
India 5,961 2,263 2,152 1,619 1,506 2,256
Sudan 104 280 1,998 6,124 8,505 9,615 15,489
United Arab Emirates 1,517 951 106 869 2,059 5,399
United Kingdom 13 797 1,127 837 2,205 3,264 1,752
Yemen 2,159 1,941 2,048 2,873 3,044 2,636 3,951
Table 6: Trading countries for Ethiopian fruits
Country of
destination Ethiopian export of fruits (1000 US$)
2000 2001 2002 2003 2004 2005 2006
World 1,073 1,446 2,533 1,626 1,985 2,070 2,030
France 1 28
Netherlands 2 6 78
United Kingdom 10 32 16 31
Japan 52
India 74
Djibouti 1,059 1,416 2,484 1,451 1,896 1,976 1,528
Yemen 10 21 42 4 24
Saudi Arabia 1 6 2 2 14 108
Sudan 30 56 73
United Arab Emirates 1 209
45
Ethiopian export of fruits and vegetables (1000 US$) to the EU
Fruit and Vegetables Ethiopian export of fruits and vegetables (1000 US$) to the EU
2000 2001 2002 2003 2004 2005 2006
Vegetables, roots and tubers 5,115 7,072 7,388 5,147 10,017 12,798 11,974
Cabbage, cauliflower, kohlrabi &
kale 1 1 808
Beans 1,431 2,080 1,079 2,193 2,627 2,955
Chickpeas 1 25 3,288 8,152 7,117
Kidney beans and white pea beans 3,727 5,276 5,078 3,663 3,952 1,736 1,010
Fruit, nuts 2 5 41 32 22 109
Strawberries 22 109
Source: Comtrade/HS data
46

Avocado Reference

Uploaded by

Copyright:

Available Formats

Avocado Reference

Uploaded by

Document Information

Original Title

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

Avocado Reference

Uploaded by

Copyright:

Available Formats

Business opportunities in the

Ethiopian Fruit and Vegetable Sector

Authors: Rolien Wiersinga and André de Jager

Martin Olde Monnikhof Geert Westenbrink

Climate Constant high quality supply in sufficient quantities

Conducive government policies Availability of varieties

Cost of production Packaging

Geographic location Cold Storage/logistics

Private security and safety Technical Know-How

Private sector service provision Research and extension

New initiatives Input supply

Potentials for irrigation Land Tenure

Transport Market Information

Code of Practice in floriculture sector Domestic market

vegetables Regional politics

This report is based on experiences gathered during missions to Ethiopia, literature

Box 1: World record-breaking relationship

(Text: Bram Wicherink)

Ethiopia is a country of great geographic diversity. The topographical differences result

The geographical differences result in three climatic zones:

Figure 1: Map of Ethiopia

Customs Duty Exemption

Income Tax Exemption and Loss Carry forward

Remittance of Funds and Investment Guarantee and Protection

Horticultural Development Agency

Ethiopia Horticulture Producers and Exporters Association

Different financial institutions in Ethiopia provide short, medium and long-term

Private Sector Support Services

Knowledge, skills and entrepreneurship

Box 2: Jimma University College of Agriculture and Veterinary Medicine: grower

(Text: Bram Wicherink)

The security of land tenure is perceived as an important constraint to the development of

4 Ethiopian Fruit and Vegetable Production

Figure 1: Elevation levels in Ethiopia (CSA, 2006)

Figure 2: Annual rainfall in Ethiopia (CSA, 2006)

Figure 3: length of growing period per year in Ethiopia (CSA, 2006)

Due to Ethiopia’s good agro-climatic circumstances it is able to produce fruits and

The number of small-scale producers involved in horticulture is estimated at 5.7 million

Text: Bram Wicherink

Fresh Consolidation Centres

The company Ecological Products of Ethiopia (Ecopia) produces, processes and

Phytosanitary inspection and custom control

Box 4: Ethiopian Airlines responds to economic expansion

(Text: Bram Wicherink)

Middle East Market

In the EU there is a growing demand for vegetables as well. A range of vegetable

9 SWOT analysis Ethiopian Fruit and Vegetable

Supportive government policies

Private sector service provision

Potentials for irrigation

Code of Practice in floriculture sector

Research and extension

Demand for processed fruits and vegetables

Ecological and fair trade production

Stringent requirements on food safety and sustainability standards

Annex 1 Useful addresses

Ethiopian Horticulture Development Agency

Embassy of the Kingdom of the Netherlands

Ministry of Agriculture, Nature and Food Quality