Ethiopia is a country located at the Northeast Africa, or more commonly known as Horn of Africa. It is considered the second largest country in the continent in terms of population which estimates to 91 million people. One of the large chunks of its GDP is from its agricultural industry which constitutes 43%. These are some of the deciding factors that may help investors on choosing whether or not to pursue investing Ethiopia. Among the other reasons on why investing in Ethiopia is a good decision are the following:
- Investing in Ethiopia is good because Ethiopia is abundant with agricultural sources. It has almost 20 agro-ecological zones and 49 subzones. From these, Ethiopia is one of the top countries in the world that contains diverse resources that can be put into industrial use and eventually for export. Investing in Ethiopia is a good opportunity to utilize these resources such as crops, vegetables and flowers. The main plants grown in Ethiopia are those which can be counted as food, beverage and cash crops and the flowers for horticulture and flori-culture. Their main export product is coffee.
- Investing in Ethiopia will provide your business with a large market. Being one of the more populous countries in Africa, it has a relatively large domestic market which demands various commodities. Moreover, Ethiopia enjoys preferential access to the member countries of Common Market for Eastern and Southern Africa (COMESA) which houses up to 400 million people.
- Investing in Ethiopia is good because Ethiopia also enjoys preferential access to places such as USA and the European Union and is not restricted by quota and even tax free. Investing in Ethiopia, your products can easily be exported to these countries, making room for a large international market.
- Investing in Ethiopia is good because one of the other perks in choosing to invest in Ethiopia is it has a cheaper cost of labor compared to its neighboring countries. Its people has shown improvement when it comes to technical abilities and skills with the increasing number of universities and colleges in the country.
These are some of the reasons why investing in Ethiopia might be a rewarding risk. Aside from the above mentioned, some of the other factors are the country’s pleasant climate and the attractive packages offered to foreign investors.