ADDIS ABABA – Ethiopian Industrial Inputs Development Enterprise announced that it has earned 8.9 million Birr from input delivery services to various industries over the past five months.
However, the enterprise has only achieved 37 percent of the total earnings that it has planned to generate 24 million Birr before taxation, said enterprise CEO Wendale Habtamu.
According to the CEO, foreign currency shortage, absence of coordinated effort, delay of industries to return their loan, and traditional operating system, are among the major hindrance that contributed to the unsatisfactory performance.
Over the past five months, the enterprise has provided 485 tonnes of lint cotton to textile companies at a cost of 24.3 million Birr, he stated. The enterprise is endeavoring to provide locally produced 758.5 kg yarn and fibre to the market. In addition, it is also conducting a market assessment and specification to import additional textile inputs to the factories, as to him.
It has also provided 30,267 square feet raw goat skin to the factories that are engaged in leather production. To curb the skin shortage in the area, the enterprise has inked an agreement with partners to produce 65,000 square feet finished goat skin and provide it to industries, according to the CEO.
Wondale said that the enterprise has provided 636 million Birr worth import substituting products to support local producers and save foreign currency. Similarly, aiming at feeding the metal industry, the enterprise has planned to provide 20,000 tonnes of billet this budget year, he noted.
However, the delay of some industries including Kombolcha and Hora Skin Factories and Hawassa Textile Factory, among others exposed the enterprise to financial deficit. The industries have yet not paid back 1.7 billion Birr loan of the enterprise, he expressed.
The Ethiopian Herald, January 1/2019
BY YOHANES JEMANEH
