In July 2024, Ethiopia achieved a historic milestone in its coffee export industry, earning the highest monthly income ever recorded from coffee sales.
The Ethiopian Coffee and Tea Authority announced that the country generated over $180 million from coffee exports during this period.
Sahlemaryam Gebre Medhin, the Executive Officer of Public Relations and Communications for the authority, highlighted that this performance set a new record for July, surpassing all previous monthly earnings.
Specifically, Ethiopia exported 40,532 tons of coffee in July 2024, resulting in this remarkable income.
This achievement represents a significant increase, with earnings exceeding the planned figures by 132 percent and showing a 110 percent rise compared to previous monthly records.
Compared to the same period last year, there was an additional export of 17,758 tons of coffee and an increase in revenue of $54 million.
Ethiopian Coffee and Tea Authority further reported that Ethiopia earned over $1.4 billion from coffee exports in the 2023/24 fiscal year.
According to Adugna Debala, the Director-General of the authority, the country has seen substantial growth in both the volume of coffee exported and the income generated from these exports over the past 12 months.
In the current fiscal year, Ethiopia exported 298,500 tons of coffee, generating $1.43 billion in revenue.
This result marks a significant improvement compared to the same period last year, with a 20 percent increase in the volume of coffee exported and a 7.5 percent rise in average prices.
Last year, Ethiopia exported 240,000 tons of coffee and earned $1.3 billion, underscoring the impressive growth in both export volume and revenue this year.
Ethiopia planned to earn $4.8 billion from exports in the 2023/24 fiscal year.
However, according to the Ministry of Trade and Regional Integration, the country has announced that it has earned $3.8 billion from exports, falling short of its target by $1 billion.
The earned income represents a 4.6 percent or $166 million increase over the $3.64 billion earned in the previous fiscal year.
The agricultural sector accounted for the largest share of this income, contributing 76 percent, followed by manufacturing, electricity, and other sectors.
Over the past 12 months, Ethiopia has imported more than 3 million metric tons of fuel for local consumption.
During the same period, the country has also attracted approximately $4 billion in foreign direct investment (FDI).
Ethiopia’s investment commissioner, Hana Araya Selasie, reported that the country attracted $3.8 billion in FDI in the 2023/24 fiscal year.
Out of 329 investment projects, 227 were brought to Ethiopia by foreign investors, with the remainder being joint ventures and local investors.
This year’s FDI represents an 11 percent increase over the previous year. The commissioner also noted that the goal for the next fiscal year is to attract $4.5 billion in FDI.
Despite these positive developments, several key foreign trade sectors, including coffee, minerals, flowers, vegetables, and fruits, have experienced a decline.
Factors contributing to this decrease include illegal trade, rising security problems within the country and abroad, and other external challenges.
