The ethiopia s cement industry only experiences insignificant import that is only limited to special cements, while exports are still insignificant and irregular according to the presentation. Rsps in ethiopia and on the ethiopia specific findings of a global survey of central banks conducted in mid2008 to provide a picture of the remittance industry in ethiopia and discuss, among other issues, competition,the regulatory environment,new technologies,and access to remittances and other financial services. Standardisation is an important principle of rationalisation and requires that buildings be built of standardised components. Chicken and eggs will be distributed to restaurant, super shop, hotel, community center. This is a list of manufacturing companies and industries in ethiopia. Ethiopia says expanding zones to become industrial hub reuters. The objective of this paper is to critically assess and characterize the current ethiopian industrial policy and compare it with rodrik. Ethiopia is importing the chemical with a large quantity.
Show full abstract divergent cases of successful learning and catchup in ethiopia, the floriculture and cement industries, representing an export sector and a strategic basic industry, to. As of 2017, production capacity in ethiopian, according to the ethiopian reporter, 12 has increased to 15 million tonnes per year, but local consumption is. The east african state is prioritising a wealth of construction projects in order to stimulate its economy, reinvigorate its infrastructure and supply affordable housing and power to its population of close to 100 million. Quality assurance of cement from production to construction. It is classified into various categories based on its composition and specific end uses. The pollution assessment in this paper would help to discriminate the existing major and trace metals. However, challenges linked to the governments investment policy could erode these gains, as shem oirere reports with nearly 16.
Ethiopia enjoys a pleasant climate varying from cold to temperate and from subtropical to tropical. Industry analysis porters five forces and brandenburger nalebuff value net provide a structure for performing an industry analysis. The second part tries to show the recent development trends of the sector. The ethiopian cement industry has so far crossed through three main stages of development. Ethiopia and to point out some policy issues that may be relevant for the development of these industries. The cement industry under consideration has been in operation since 2000. Construction in ethiopia 3 standardisation standardisation in building is a process of creating various elements in building to a certain specification size and quality. Causes of contractor cost overrun in construction projects.
Cement plant locations and information on ethiopia can be found below. Regional state of tigray, ethiopia largest livestock producer in the world. Highcost cement producers on the verge of shutdowns or consolidation vsks among the most challenged ethiopia scement sector registered the highest cagr in the last decade when compared to all east african markets 12. The federal democratic republic of ethiopia 4 international monetary fund 105 0 5 10 15 agriculture industry services real gdp growth namibia angola algeria south africa botswana mauritius egypt morocco congo, republic of tunisia senegal kenya cote divoire chad cameroon sudan nigeria ghana ethiopia uganda mozambique mali tanzania rwanda. With rich limestone reserves of about 223 million tonnes, it is the largest cement plant in ethiopia capable of producing highquality 32. We as ncsc are committed, at all levels of the organization, to consistently manufacture and deliver clinker, opc and ppc cement products and services that satisfy stated, generally implied and obligatory requirements of our domestic as well as overseas customers and other interested parties by establishing and continually improving a quality management system based on iso 90012015. Esa is established due to the restructuring of quality and standards authority of ethiopia qsae which was established in 1998.
Cement is classified as either portland, blended, or specialty cement. Within this context, the present paper aims to study the effect of globalization and technology transfer on manufacturing employment in a ldc, as well as investigating the existence of skill biased technological change. Africas cement industry is expanding fast bloomberg. Enabling a climate smart, competitive, and sustainable agribusiness sector. Cement plants located in ethiopia the global cement report. Portland cements are mostly used around the world11. Resources plan pdf, 162kb the production plan pdf, 282kb. Ethiopia s cement industry has enjoyed substantial growth in the past decade. Baseline survey on competition and markets in ethiopia. Cement capacity and production 1914 2020 capacity, growth and production of cement in india 19501951 to 20182019 monthwise production of cement. Over the last ten years, the country has achieved doubledigit growth in real terms, averaging 10.
It is so simple with the industry compared to major industries, and depend on the availability of the necessary raw materials for it. Ethiopian panel on climate change 2015, first assessment report, working. Cement factories and industries in ethiopia cement. The major river basins include the abay blue nile, awash, baro, omo, tekeze and wabe shebele. This is a list cement factories, manufacturing companies and businesses in ethiopia. Due to ethiopias landforms and soils, the geology for drilling is more challenging than the river deltas and outwash plains in many countries in asia and other african countries where manual well drilling proliferates. Ethiopia a growth miracle 3 ethiopias growth miracle, coupled with its large population and significant land mass, has attracted the attention of many international companies.
The government of ethiopia is in the process of privatizing many of the stateowned businesses and moving toward a market economy. Ethiopia public sector capacity building program english abstract. Background and context industry background although ethiopia s garments industry has been identified as a key growth industry since 1995,9 its performance was lackluster until the implementation of the gtp in 2015. Currently, the plant produces 900,000 tonnes of cement per year ordinary portland cement opc and portland pozzolana cement ppc and plans are being implemented to expand its capacity to 2. Map of ethiopia showing major settlements and cement plants 3 the ethiopian cement industry consists of four integrated cement plants 3 three of these are located in the central area of oromia, close to the capital addis ababa, with one in the north of the country close to the disputed border with eritrea with the country. The cement industry is considered of strategic industries. S military communications facility and has generally taken constructive foreign policy positions. Ethiopia has failed to meet its cement export target for the 2017 2018 financial year that ended on 7 july 2018. Cement industry the energy and resources institute. The percentage share of gdp by major economic sector in the year 201011 was 44. Gdp from services in ethiopia averaged 246 etb billion from 1999 until 2018, reaching an all time high of 745.
Ministry of industry investment opportunities in manufacturing sector in ethiopia funding agency by mebrahtu meles phd. Ethiopia has 20 cement factories which produce mainly opc and ppc cement. In nigeria, cement production grew rapidly from 2 million tonnes in 2002 to 17 million in 2011 4. Microcredit is widely believed to create opportunities for entrepreneurs and families to improve their economic and social wellbeing. Trade and foreign direct investment fdi figure in the. Ethiopia gdp from industrial production 19992018 data. The ethiopian standards agency esa is the national standards body of ethiopia establishedin 2010 based on regulation no. It is a very critical ingredient, because only cement has the ability of enhancing viscosity of concrete which in returns provides the better locking of sand and gravels together in a concrete mix.
Infodev, finance and private sector development department. Challenges of the ethiopian manufacturing sector under the gtp ii. Growth equation is estimated with a time trend to capture the rate of technological progress within a cointegrational framework. However, the banking, telecommunication and transportation sectors of the economy are dominated by governmentowned companies. The governments broad economic and industry specific policies are designed to increase the growth potential and international competitiveness. Across the board and fast increasing prices in ethiopia for the past few years has been a source of great concern. Cement is the basic ingredient of construction and the most widely used construction material. Evolution and current performance mulu gebreeyesus unumerit, maastricht. Furthermore, the report raises the central concern in todays economic woes of many countries, including ethiopia the inflationary pressure. Import data for formic acid 20082011 budget year net wt cif value etb 2008 357,104.
In that gtp, the manufacturing industry was planned, among others, to earn 2. Researchers analyzed the introduction of microcredit programs in parts of rural ethiopia to evaluate the effect of improved credit access on economic and social outcomes. Baseline survey on competition and markets in ethiopia research team mr. Mugher cement plant is a large, stateowned cement factory located 105 km west of addis ababa. As part of the approaches to achieve these objectives, the study first developed a conceptual. Roberto zavatta, ma in applied economics, university of michigan,usa mr. In ethiopia, there are pocket areas with high potential for manual drilling due to shallow water and permeable soil layers. Cement industry trends report cement is one of the key essential materials in the construction industry. Methodology for baseline and energy performance index epi 2 4. An aggregate cobbdouglas production function for ethiopia is estimated by expressing the production function in intensive form. Ethiopia has the lowest level of incomeinequality in africa and one of the lowest in the world, with a gini coefficient comparable to that of the scandinavian countries.
Daily production is in excess of sales having recorded a. The aid program helps achieve these objectives by encouraging and selectively supporting ethiopias efforts to accelerate social and economic growth and attempting. Report on the ethiopian economy volume vi 2006 07 the current. Implementing agricultural development led industrialization principle since ethiopia is an agrarian country the building up of industrialized ethiopia can be realized only through the implementation of agricultural and rural centered economic and industrial development strategy. Evaluation of the banks country strategy and program 200420 summary report, february 2016 disclaimer unless expressly stated otherwise, the findings, interpretations and conclusions expressed in this publication are those of the various authors of the publication and are not. The management of construction processes in developing. This page provides ethiopia gdp from industrial production actual values, historical data. Investment opportunity in the chemical sector in ethiopia. Samuel feyissa, post graduate diploma in industrial project management, research institute for management science, the netherlands june 2009 sida produced and distributed by. Gdp from manufacturing in ethiopia increased to 526. With the countrys economy relatively closed to outside companies.
Cement industry is indeed a highly important segment of industrial sector that plays a pivotal role in the socioeconomic development. Adhesive and glues 2 agricultural machinery farmer tools 1 agro industry 10 aircraft parts 0 alcohol liquor 8 aluminium and pvc 2 aluminium cooking pots 2 aluminium profile 1 antirust varnish 0 assembled computers 0. In addition, ethiopias extensive minerals and energy resources ensure that ethiopia has relatively low utility charges for industrial users. Cement a finely ground powder which has hydraulic properties when mix with water it is the most essential element in concrete for civil structures water 7% admixture 0% aggregates 75% cement 18% c40 typical c40 concrete composition. Aug 04, 2015 as a result the contribution of the industry against the gdp is only 3% and this is lower than the subsaharan african average which is 6%. Assessing the impact of microcredit in ethiopia the abdul. Moreover, the industry is characterized by high emission levels. Energy and cost analysis of cement production using the. This page provides ethiopia gdp from services actual values, historical data, forecast, chart, statistics. The objective of the public sector capacity building pscap program in ethiopia is to. Established by italians, during occupation in 1936, and being the pioneering cement producing and selling factory in the country, the factory has played a key role in national development for 8 decades now. For full access to the database, purchase the global cement report, th edition.
Table 21 cement industry economic statistics california u. Cement capacity and production 19142020 india growth. Yet despite progress toward eliminating extreme poverty, ethiopia remains one of the poorest countries in the world, due both to rapid population growth and a low starting base. Of a technology leader for example, it is the first cement. Ethiopia aims at transforming speciality coffee market. Ethiopias manufacturing sector is quickly growing as government incentives, such as cheap electricity, tax holidays and cheap land, attract investors in the industry to the horn of africa. The impact of globalization and technology transfer on. The factory is suited on the foot of messebo hill which encompasses the major raw materials for cement production. Ethiopia construction industry update ite building shows. Mekelle manufacturing of animal feedstuffs investment profile. However, ethiopia has the means to change those factors that are coming together at the same time, such as cheap labor force and welleducated, trainable and inexpensive labour and. View cement industry statistical data for ethiopia, east africa, including cement consumption, production, capacity, consumption per capita, import and export from 2006 to 2018f.
The contribution of cement industry in the economic. Ethiopian cement focus cement industry events, news. May 15, 2017 ethiopia produced about 400,000 tonnes of coffee last year, of which some 50 per cent was exported, according to the international coffee organisation. In particular, this study takes the case of the ethiopian manufacturing sector for the period 19962004.
Following the adoption of the construction industry policy, and since the formulation of the policy was through a bottom up approach involving all key stakeholders, it is now important that the actions of stakeholders in relation to the development and performance of the construction industry should be tailored within its requirements. The country has one of the lowest urbanization rates in the world at 19% and 97 million habitants consuming a meager 61 kg of. Investigating the distribution of selected major and trace. It has also a promising market in the african countries. Manufacturing companies and industries in ethiopia list. The cement industry is one of the prioritized areas of the ethiopian government. Challenges and prospects of ethiopias cement industry. Pdf industrial policy of ethiopia and rodriks industrial.
Agency for international development usaid and the government of ethiopia, in support of the new alliance for food. This has led to the nigeria cement industry accounting for 63. Cement factories and industries in ethiopia cement manufacturing companies and businesses in ethiopia. Besides the aforementioned diverse physical features, ethiopia is also endowed with canyons, gorges and rivers.
Porters five forces and brandenburger nalebuff value net are primary useful for identifying the relevant participants in the market and assessing their influence on the market outcome structure conduct performance model, as part of industrial. Understanding the weak performance of the industry under the pasdep i. Sustainable development and poverty reduction program. Map of ethiopia showing major settlements and cement plants. Ethiopia, which only snatches 11% of production capacity share of the total in subsahara produces only 5. For the present study impact of receivables management on working capital and profitability four cement companies viz.
The construction industry trend in the past 10 years shows a yearly growth rate of 12. Ethiopias manufacturing sector grows, attracts investors as. Table 21 presents economic statistics for the california cement industry, as compared to u. Ministry of foreign affairs of ethiopia ethiopia s main exports are coffee, hides, oilseeds, beeswax and sugarcane only about 12% of land in ethiopia is used for agriculture. The economy of ethiopia is a mixed and transition economy with a large public sector. Ethiopia public sector capacity building program english.
The agribusiness innovation initiative in ethiopia. Accelerating industrial development in africa conference organized by unuwider. The first part examines the state of smallscale industries in ethiopia using available information at the ministry of industry. Ethiopia offers the greatest potential for africas cement industry.
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