The 5th Ethio-Sudan Business Forum was held in Addis Ababa last week with a theme: ‘Towards Economic Integration between Sudan and Ethiopia’. Ministers, ambassadors, and stakeholders from both sides attended the event.
Some of the most important topics discussed included; the implementation zero tariff trade, the creation of a free trade zone area on the borders, the improvement of banking procedures and relations as well as the opening of branches for Ethiopian banks in Sudan, establishment of joint ventures between the private and public sectors of both countries, the benefits in using of Port Sudan as the main Ethiopian import-export port, and the acceleration of the establishment of electricity supply lines to Sudan.
In his opening remark, Ethiopia’s Minister of Finance Ahmed Shide stated that the forum was vital for the improvement of the trade ties between the two countries.
The forum will remain instrumental to unleash the potential of the two sisterly countries and advance the two communities’ practical tasks of achieving the economic integration of the region.
Regarding the practical activities of Ethiopia, Ahmed said Ethiopia has introduced a comprehensive reform in the economic sector and the country has invested a lot in infrastructure, human development as well as institution building.
Now, Ethiopia is focusing more on facilitating conditions for the private sector. The aim is to position it as an engine of economic growth of Ethiopia, he said, adding that Sudanese and Ethiopian business community should tap this comprehensive business opportunity.
On his part, Chairperson of Joint Sudanese-Ethiopian Business Council, Wagdi Mirghani, said that the forum has aimed at developing economic relations between the two countries and is playing a fundamental role in establishing and implementing new policies and agreements. “We’ve already managed to accomplish many of our goals. And most of our policies, agreed upon so far, have been implemented and are in place.
Chairperson of Addis Ababa Chamber of Commerce and Sectoral Associations Mesenbet Shenqute stated that trade relations among African countries have been weak and small both in size and volume.
However, she said the African Union has been working hard and the relations are marking a good progress.
As Wagdi Mirghani elaborated on his presentation that formal relations between Ethiopia with Sudan began a long time ago And Ethiopia is considered one of the largest state sharing borders with Sudan.
According to him, the link between the two countries and share of common interests has had a deep impact in strengthening relations and creating an atmosphere of security and stability.
Over the past decade, Sudan and Ethiopia have gone miles of distances to pave the way for regional integration and produced a model for the sub-region. The commitment of the political leadership of both countries has brought important gains in expediting the economic integration, he said.
He stated that the list of goods exported from Sudan to Ethiopia is: oil, onion, fruit, stone mills, salt, agricultural inputs, garlic, potatoes, milk, butter, tobacco, tea, textile, spices, cinnamon, cement, and cosmetics.
In return, Ethiopia exports goods such as fruits, white corn, lentils, beans, coffee and others, he noted.
“There is fluctuation in the balance of trade, but there is a surplus in the balance of trade in favor of Sudan due to the production and export of oil through the year 2009-2012,” he indicated.
Recommendations of the forum have it that more focus should be attached on the implementation of the agreements of the two countries. It is also important to promote and facilitate the procedures of the banks; conduct a study to identify the constraints of the trade and investment opportunities; establishment of a database and focal point of both parties to facilitate the communication process and follow up the implementation of the agreed activities.
Also it says that conducting a series of studies and research in various fields, and cooperation between the two countries in order to increase the development and mutual benefit have vital importance.
As Ahmed said Ethiopia and Sudan have huge agricultural, agro-industrial potentials and also have business community which is very solid and well-connected in the region and also beyond. “Therefore, the two business communities can utilize this immense opportunity.”
The Ethiopian Herald October 4, 2019
BY ABDUREZAK MOHAMMED
