Regional Agricultural Research Centers (RARCs) under the respective regional bureaus of agriculture. Agriculture is the backbone of the economy of the country as the following facts indicate. In addition to wheat, the demand for oilseeds, such as soybeans and Niger seed, is expected to grow as Ethiopias demand for both cooking oil and livestock feed increases. Grain consumption, especially for wheat and wheat-based products like bread and pasta, continues to climb as incomes rise and more people move to urban centers. will supply the domestic market. [17], Cotton is grown throughout Ethiopia below elevations of about 1,400 meters. Land Utilization (Private Peasant Holdings, Meher Season) 2020/21 (2013 E.C.) Agriculture in Ethiopia. Ethiopia sources cotton mainly from India and other international suppliers. There also was concern that villagization could have a negative impact on fragile local resources, accelerate the spread of communicable diseases, and increase problems with plant pests and diseases. Although the MPPs improved the agricultural productivity of farmers, particularly in the project areas, there were many problems associated with discrimination against small farmers (because of a restrictive credit system that favored big landowners) and tenant eviction. In early 1989, for example, the price of one kilogram/US$0.58; of coffee was by June it had dropped to US$0.32. But in the northern highlands, where title to farm land was shared amongst members of descent groups, many people resisted land reform. The Government of Ethiopia (GOE) has embarked on a ten-year economic development plan (2021-2030) where agriculture is on the top of priority sectors. The AMC set quotas of grain purchases to be delivered by peasant associations and cooperatives and also bought from private wholesalers, who were required to sell half of their purchases at predetermined prices. With 22% of children aged 5 to 14 working in the informal sector, the Department reported that "government efforts to address child labor have not sufficiently targeted sectors with a high incidence of child labor",[28] and cattle herding still figures among the goods listed in the DOL's List of Goods Produced by Child Labor or Forced Labor published in December 2014. [7], Ethiopia's coffee is almost exclusively of the arabica type, which grows best at altitudes between 1,000 and 2,000 meters. Industrial Parks Development Corporation (IPDC), Textile Industry Development Institute (ETIDI), Ethiopian Cotton Producer, Ginners, and Exporters Association (ECPGEA). The Ethiopian Fruit and Vegetable Marketing Enterprise, which handled about 75 percent of Ethiopia's exports of fruits and vegetables in 198485, had to receive government subsidies because of losses. Agricultural production has been highly dependent on natural resources for centuries [].However, increased human population and other factors have degraded the natural resources in the country thus seriously threatening sustainable agriculture and food security [2, 3]. Pulses, grown widely at all altitudes from sea level to about 3,000 meters, are more prevalent in the northern and central highlands. Export sales of U.S. cotton are expected as demand increases. In addition, some of Ethiopias cash crops show potential for growth and offer possible investment opportunities in areas such as coffee, oilseeds, pulses, fruits and vegetables, honey, cut flowers, tea, and spices. Top 3 Exported Goods (2021): Coffee & Spices, Vegetables, and Oil Seeds. Furthermore, the ten-year plan envisages to build a climate resilient green economy. Ethiopia's agricultural sector has developed favourably over the past decade, but rapid population growth, limited access to fertile land, and volatile agricultural outcomes pose problems for the . The second type consists of brownish-to-gray and black soils with a high clay content. [7] Despite government efforts, farmers responded less than enthusiastically. Over the centuries, deforestation, overgrazing, and practices such as cultivation of slopes not suited to agriculture have eroded the soil, a situation that worsened considerably during the 1970s and 1980s, especially in Eritrea, Tigray, and parts of Gondar and Wollo. More background information on the cotton situation in Ethiopia can be found in our cotton report from 2019/20. [17], Ethiopia's flower industry has become a new source for export revenue. [7], Although the issue of land reform was not addressed until the Ethiopian Revolution in 1974, the government had tried to introduce programs to improve the condition of farmers. For instance, in the case of seed, the current varieties are more than 20 years old and are degraded. Estimates for 1987 indicated that livestock production contributed one-third of agriculture's share of GDP, or nearly 15 percent of total GDP. Niger seed is found mostly in the northern and central highlands at elevations between 1,800 and 2,500 meters. As many as 4.6 million people need food assistance annually. areas like Punjab, Haryana and Chandigarh, elsewhere it is practiced on traditional lines. Public Communication Directorate Tel: +251-116-454441 Fax:+251-116-461294/465412 E-Mail:eiar@eiar.gov.et P.O.Box: 2003 Addis Ababa Ethiopia , Designed & Developed By Yonas T/birhan Production is overwhelmingly of a subsistence nature, and a large part of commodity exports are provided by the small agricultural cash-crop sector. For the later two Regions, estimated numbers vary greatly between conventional and aerial censuses, but total less than 15% of the non-nomadic Regions. The opportunities and constraints facing Ethiopian agriculture are strongly influenced by conditions which vary across geographical space. Overview. At the same time, to accelerate the countrys agricultural development, the government established the Agricultural Transformation Institute (ATI) to address systemic bottlenecks in the agriculture sector by supporting and enhancing the capability of the Ministry of Agriculture (MOA) and other public, private, and non-governmental implementing partners. Sandy desert soils cover much of the arid lowlands in the northeast and in the Ogaden of southeastern Ethiopia. Productivity and technology. About three-quarters of the total sheep flock is in the highlands, whereas lowland pastoralists maintain about three-quarters of the goat herd. Only 15 percent of the roads are paved; this is a problem particularly in the highlands, where there are two rainy seasons causing many roads to be unusable for weeks at a time. [27], Most of Ethiopia's estimated 48 million sheep and goats are raised by small farmers who used them as a major source of meat and cash income. As such, investment opportunities in feed, genetics and veterinary services and the supporting industries are expected to grow in the coming years. There is a functional relationship between the use of ove. To examine the current situation on the use of agricultural technologies by . . ", Table D.1.1, "The Federal Democratic Republic of Ethiopia: Statistical Appendix", p. 26. Ethiopias cotton production is insufficient to meet the growing demand from the textile and apparel sector. External links to other Internet sites should not be construed as an endorsement of the views or privacy policies contained therein. A potential exists for self-sufficiency in grains and for export development in livestock, grains, vegetables, and fruits. With support from the African Development Banks agricultural Technologies for African Agricultural Transformation program. Contract farming, cluster approach and land consolidation, Horticulture (irrigation and urban farming), Climate resilient sustainable agricultural development. Top 3 Trade Partners (2021): China, India, and United States. A lock ( A locked padlock ) or https:// means youve safely connected to the .gov website. Agriculture is defined as the purposeful tending of animals and plants.It provides: basic food supplies for the population; raw materials like cotton, sugar cane, oil seeds, etc. [7], While efforts are being made to intensify and industrialize the sector, questions arise as to how Ethiopia can develop and expand its livestock population when Ethiopians already struggle to gain access to good soil, grazing land, and water. In the 20062007 EFY hides, skins and leather products made up 7.5% of the total export value; live animals accounted for 3.1% of the total value of exports during the same period. Despite this potential, however, Ethiopian agriculture has remained underdeveloped. However, beginning in 1987 the decline in world coffee prices, reduced Ethiopia's foreign-exchange earnings. An estimated 85 percent of the . Some of the land targeted for commercial development is considered marginal, prone to conflict, and/or has limited access to water. Following their rise to power, on March 4, 1975, the Derg proclaimed their land reform program. For instance, the 198485 official procurement price for 100 kilograms of teff was 42 birr at the farm level and 60 birr when the AMC purchased it from wholesalers. Agriculture >. The manufacturing sector plays a marginal role in employment generation, exports, output, and inter-sectoral linkages. In addition, the ten-year development plan aims at boosting agricultural export revenues and substituting imports by reducing production costs. Recurring drought takes a heavy toll on the animal population, although it is difficult to determine the extent of losses. [7], Most agricultural producers are subsistence farmers with small holdings, often broken into several plots. As a result, a number of Indian entrepreneurs are relocating to Ethiopia to develop its thriving flower industry which has led to gains in market share at the expense of neighboring countries. Accordingly, state farms received a large share of the country's resources for agriculture; from 1982 to 1990, this totaled about 43% of the government's agricultural investment. [11], Another major component of the Derg's agricultural policy was the development of large-scale state farms. While, Gebreyesus and Kirubel (2009) reported that the heavy reliance of some 85 percent of Ethiopia's growing population on an exploitative kind of subsistence agriculture is a major reason behind the current state of land degradation. The expected growth from these agriculture-related industries offers numerous opportunities for agricultural input sales, such as tractors and harvesters, farm trucks, fertilizer, irrigation equipment, grain handling systems, food and livestock processing equipment, as well as cold storage facilities. There is considerable room for investment when considering that about 95 percent of Ethiopias crop production is rain fed. Mia MacDonald and Justine Simon (2010) Climate, Food Security, & Growth: Ethiopia's Complex Relationship with Livestock. Agro-processing, such as beverages, biscuits, bread, milk, meat, chicken, cooking oil, fruit and vegetables, etc. <i>Objective</i>. In addition, increased peasant consumption caused shortages of food items such as teff, wheat, corn, and other grains in urban areas. In 198182, out of the AMC's purchases of 257,000 tons of grain, Gojjam accounted for 32 percent of the purchases, and Arsi, Shewa, and Gonder accounted for 23%, 22%, and 10%, respectively. Vertisols are very important soils in Ethiopian agriculture. In Ethiopia's lowlands, for example, the presence of malaria kept farmers from settling in many areas. USA.gov|FOIA|Privacy Program|EEO Policy|Disclaimer|Information Quality Guidelines |Accessibility, Official Website of the International Trade Administration, Comply with U.S. and Foreign Export Regulations. The beneficial climate in the Highlands of Ethiopia also enabled irrigation and other advanced agricultural technology. However, expansion was constrained by inadequate nutrition, disease, a lack of support services such as extension services, insufficient data with which to plan improved services, and inadequate information on how to improve animal breeding, marketing, and processing. The amount of coffee inspected in the fiscal year 20072008 by the Ethiopian Coffee and Tea Authority (ECTA) was 230,247 tons, a decrease of almost 3% from the previous fiscal year's total of 236,714 tons. The contribution of agriculture to growth in the manufacturing and services sectors was not significant between 1978 and 1998. Contributions, potentials and characteristics of agriculture in Ethiopia The contributions of agriculture in Ethiopia The Ethiopian economy is an agrarian economy. "Ethiopia: Share of economic sectors in the gross domestic product (GDP) from 2010 to 2020", "Agriculture in Ethiopia: data shows for a large part Agriculture still retained its majority share of the economy", "The Federal Democratic Republic of Ethiopia: Selected Issues Series", "National Statistical Abstract. Total required investment costs for the IAIPs stand at U.S. $870 million and initial investment costs are estimated at U.S. $266 million. Explain the main contribution, potentials, characteristics , and problems of Ethiopian agriculture. The chicken business also shows promising opportunities. Ethiopia is well positioned because highland temperatures make it ideal for horticulture, the average wage rate is US$20 per month (compared to US$60 a month in India), the price of leased land is about US$13 per hectare, and the government has tremendously aided the entry of new businesses into this sector in recent years. Excluding the Afar and Somali Regions, there were approximately 47.5 million cattle, 26.1 million sheep, 21.7 million goats, 2.1 million horses and mules, 5.6 million donkeys, 1 million camels, and 39.6 million poultry. The process meant not only smaller farms but also the fragmentation of holdings, which were often scattered into small plots to give families land of comparable quality. The Government of Ethiopia (GOE) has identified key priority intervention areas to increase productivity of smallholder farms and expand large-scale commercial farms. In this regard, Ethiopia is looking to expand development efforts to fight land degradation and to reduce pollution; reduce Green House Gas (GHG) emissions; increase forest protection and development; increase production of electricity from renewable sources for domestic use and for export; and focus on modern and energy saving technologies. [7], Wheat stem rust threatens the Ethiopian harvest every year and recently that especially means Ug99. This article is the second in a series that seek to examine the role of agriculture as a developmental opportunity for Africa. Ethiopia Socioeconomic Survey Wave3, 2015-2016. In order to reduce the severity of this problem, several agricultural development strategies have been implemented since the 1960's. Land Use Distribution and Change in Lake Tana Sub Basin -- 23. [7], The consumption of vegetables and fruits is relatively limited, largely because of their high cost. Ethiopia is home to one of the largest livestock populations in Africa. Households spend an average of 40% of their total food budget on cereals. Domestically, coffee contributed about 20% of the government's revenue. A Review of Ethiopian Agriculture Roles Policy and Small Scale Farming . Peasant associations often were periodically compelled to redistribute land to accommodate young families or new households moving into their area. Agricultural equipment and systems, such as tractors, irrigation equipment, and grain handling Infrastructure like, silos, cold storage facilities, etc. [7] Multinational agribusinesses supply these industrial poultry farms with high yielding breeds, such as Rhode Island Reds and White Leghorns. Ploughing the land using these tools is ambiguous and time-consuming. About 70 percent of the cattle in 1987 were in the highlands (commonly involved in transhumance),[26] and the remaining 30 percent were kept by nomadic pastoralists in the lowland areas. These programs should also result in Ethiopia getting to middle income status by 2025. This article examines the characteristics of and choice among two production technologies in Ethiopian agriculture, one with fertilizer and the other without, using 1989-90 farm-level data. }, author={Tesfaye Haile}, journal={Ethiopian Journal of Agricultural Sciences}, year={1988}, volume={10}, pages={85-97} } T. Haile; Published 14 July 1988; Geography; Ethiopian Journal of Agricultural Sciences [31] ploughing the land to soften the land takes three months and from sowing and seedling to the harvesting of the crops requires three to four months. Please see below for the market overview and trade data. Nevertheless, Ethiopia's manufacturing sector is still far from being the engine of growth and structural change. Section D. To meet its agro-processing objectives, the GOE is building Integrated Agro-Industrial Parks (IAIP) in four pilot areas: Amhara, Oromia, SNNP, and Tigray regional states. Citation: Kehali Jembere, Tekalign Mamo and Kibebew Kibret, 2017. The AMC was a government agency whose objective was to influence the supply and price of crops. Resultantly there has been significant uptake of resistant wheat varieties among Ethiopian farmers since 2014. Individual poultry farms supply eggs and meat to urban dwellers. As reviewed from different literatures household demographic characteristics, household resource endowments, social, cultural, infrastructural, institutional and economic factors influence the . The farmers continued to utilize their ancient system of production despite changing ecological and population pressures. Agriculture accounted for 50% of GDP, 83.9% of exports, and 80% of the labor force in 2006 and 2007, compared to 44.9%, 76.9% and 80% in 20022003, and agriculture remains the Ethiopian economy's most important sector. Agriculture in Ethiopia is the foundation of the country's economy, accounting for half of gross domestic product (GDP), 83.9% of exports, and 80% of total employment. Secure .gov websites use HTTPS The third most important oilseed is sesame, which grows at elevations from sea level to about 1,500 meters. There may also be future opportunities for equipment and systems to process these commodities. Of an estimated 750,000 hectares of private commercial farms in operation at the time of the 1975 land proclamation, 67,000 hectares were converted into State Farms that, beginning in 1979, were operated by a new Ministry of State Farms. Agriculture is the mainstay of the Ethiopian economy, contributing 41.4% of the country's gross domestic product (GDP), 83.9% of the total exports, and 80% of all employment in the country (Matousa, Todob, & Mojoc, 2013). In addition to cattle, small ruminants (goats and sheep) and beasts of burden (donkey, horse, mule) are not uncommon in this farming system. [2][3][4] Many other economic activities depend on agriculture, including marketing, processing, and export of agricultural products. The Ethiopian Herald (Addis Ababa) Urban agriculture utilizes resources such as land that have high demand for other urban uses . The combined pressure of crop and livestock production and the ever-increasing human f AGRICULTURAL SYSTEMS IN ETHIOPIA 285 population on the land in this farming system is high. Among the top priorities identified by the GOE include: small and large-scale irrigation development, financing agricultural inputs, increasing productivity of crops and livestock, improving agricultural production methods using mechanization, post-harvest loss reduction, developing a research-based food security system, and natural resource management. agriculture, poverty and illiteracy are important causes of land and environmental degradation in Ethiopia. Land tenure rights as well as natural disasters, such as floods, hamper the countrys ability to quickly expand cotton production. However, the sector has always performed poorly; about one-half of the rural residents in Ethiopia live below the national poverty line, and the rural population is endowed with few and poorly provided social amenities. [14], The most important cash crop in Ethiopia was coffee. Title. Agriculture accounts for most of (30-42%)t of the Gross Domestic Product (GDP) of the country. In pastoral areas, livestock formed the basis of the economy. [7], The plains and low foothills west of the highlands have sandy and gray-to-black clay soils. Ethiopia's economy is based on agriculture, which accounts for 46% of GDP and 85% of total employment. During the 1970s, coffee exports accounted for 50-60% of the total value of all exports, although coffee's share dropped to 25% as a result of the economic dislocation following the 1974 revolution. Commercial Imports from the United States, Source: USDA/Foreign Agriculture Service, Addis Ababa, (Total market size = (total local production + imports) - exports). Please see below for the market overview and trade data. The particular GE cotton variety of interest is a product that is resistant to cotton bollworm, which is a pest challenge many farmers struggle to manage. Ethiopia's major industries include agriculture, construction, manufacturing, resources and . Meat and milk yields are low and losses high, especially among calves and young stock. Nonetheless, agricultural output rose by an estimated 3 percent in 199091, almost certainly in response to the relaxation of government regulation. [30] These tools includes sickle, pick axe, plough shaft, ploughshare, plow, beam and animal force as a machines. Agro-processing equipment (e.g. Fresh fruits, including citrus and bananas, as well as fresh and frozen vegetables, became important export items, but their profitability was marginal. There was much debate as to whether or not these reforms were genuine and how effectively they could be implemented. In EFY 197475, pulses and oilseeds accounted for 34% of export earnings (about 163 million Birr), but this share declined to about 3% (about 30 million Birr) in EFY 198889. The high concentration of animals in the highlands, together with the fact that cattle are often kept for status, reduces the economic potential of Ethiopian livestock. The study sought to assess the role of smallholder farming in crop productivity and market access . In this regard, the CSA conducts, produces, disseminates and administers data generated from surveys and censuses in Ethiopia. Thus, this study aimed at investigating the physiographic characteristics of agricultural lands, farmers . However, production is constrained in part by outdated ginneries and limited availability of quality inputs, including seed, fertilizer, and pest control agents. Depending on international market conditions and local demand factors, there may be opportunities in the future for U.S. wheat and soybean sales to Ethiopia.
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