Ethiopia Earns $522 Million from Coffee and Tea Exports in Three Months
The Ethiopian Coffee and Tea Authority has announced that the country earned $522 million from the export of coffee, tea, and spices over the last three months.
Of this total, $519 million came from coffee exports alone, underscoring coffee’s dominant role in the country’s agricultural export sector.
During this period, Ethiopia exported 115,851 tons of coffee, tea, and spices. Out of this, 115,174.75 tons was coffee, generating the bulk of the revenue.
The Authority highlighted that the coffee export volume increased by 69% in size and the income by 46% compared to the same period last year, reflecting significant growth in Ethiopia’s coffee sector.
In a historical comparison, Ethiopia earned more than $1.43 billion from coffee exports in the 2016 fiscal year. According to Dr. Adugna Debela, Director-General of the Ethiopian Coffee and Tea Authority, the 2016 financial year saw notable achievements in both the volume of coffee exported and the revenue generated.
In that year, Ethiopia exported 298,500 tons of coffee to global markets, earning $1.43 billion, a remarkable improvement compared to previous years.
Dr. Adugna noted that the amount of coffee exported increased by 20% while the average price per ton rose by 7.5%, marking a substantial growth in both quantity and value.
In contrast, Ethiopia exported 240,000 tons of coffee the year before and earned $1.3 billion.
However, Ethiopia’s coffee exports faced challenges, particularly disruptions caused by the Red Sea route issues and Houthi attacks, which impacted shipments to European countries.
Despite these obstacles, Ethiopia successfully exported its coffee to 65 countries in the 2016 fiscal year.
Of the total coffee exported, 21% was sent to Saudi Arabia, while the United States, Germany, Belgium, China, Japan, and the United Arab Emirates were also among the top destinations for Ethiopian coffee.
These latest figures highlight Ethiopia’s ongoing efforts to expand its coffee trade globally, reinforcing the country’s position as one of the world’s leading coffee producers.
Last year, the European Union passed legislation two weeks ago aimed at barring the entry and sale of products deemed environmentally harmful within its member countries.
The law, crafted to combat global warming and prevent deforestation, targets products linked to forest depletion, thereby promoting environmental preservation efforts.
Of particular concern is the impact of this law on Ethiopia, a major exporter of forest coffee to European and global markets.
The Ethiopian Coffee Association has voiced apprehension, warning that failure to accommodate Ethiopia’s unique circumstances under the new European law could plunge five millions into poverty.
Hussein Ambo (Dr.), the president of the association, emphasized the symbiotic relationship between Ethiopian coffee and its forest habitat, stressing, “Ethiopian coffee is found in the forest; coffee does not taste good without the forest.”
Losing European coffee customers could lead to the abandonment of coffee plantations, exacerbating poverty and driving up global coffee prices.
Ethiopia heavily relies on coffee exports, with 30 percent of its coffee shipments destined for Europe, particularly Germany and Sweden.
