Ethiopia 2005/06 exports drop to $780 mln, tourism surges

July 15, 2006 (ADDIS ABABA) — Ethiopia on Saturday said it has earned over $780 million from export trade in the June-July 2005/06 fiscal year, a 3 percent drop offset by a surge in tourism earnings that had previously been negligible.

“Ethiopia exported large volumes of coffee, flowers, oil seeds, pulses and other agricultural products to Europe, the U.S and Asia through tariff and quota-free opportunities and earned a total of $645 million,” the country’s Customs Authority said in its annual report.

Exports of agricultural products to the Middle East and Japan earned an additional $135 million, it said.

The country earned a total of $806.5 million from exports in the previous year.

“In addition the country also generated $147 million from 227,000 tourists which visited the country during the period,” the Authority added.

The Authority said Ethiopia earned $402 million from coffee exports, over $142 million from sesame, $51 million from hides, skin and leather products, $27 million from flowers and $23 million from livestock and other agricultural products.

Coffee exports fell slightly short of coffee officials’ 2005/2006 forecast earning $427 million from the export of 183,000 tonnes.

Ethiopia is the largest coffee producer in Africa, harvesting some 300,000 tonnes in 2005/6, half of which is consumed locally.

The Authority said Ethiopia’s export trade showed improved performance due to opportunities offered through trade incentives from Europe, China and the United States.

The Authority said up to 100 Ethiopian private exporters were using these opportunities to boost the country’s export earnings.

The government said the country has registered an 8.55 percent economic growth in the current fiscal year.

But it warned that its fight against poverty is in jeopardy due to annual population growth of more than 2.5 million people.

The nation of 75 million is the second-most heavily populated country in sub-Saharan Africa after Nigeria and is ranked the seventh poorest in the world.

(Reuters)