ADDIS ABABA- The 1st ChinaAfrica Expo has opened the door wide to seek joint venture and business to business (B2B) networking between Ethiopian businesspersons and their Chinese counterparts, Ethiopian Chamber of Commerce and Sectorial Associations said.
In his opening remark at the expo, the Chamber President Engineer Melaku Ezezew reiterated that the exhibition would provide opportunities for enhancing trade ties between these two sisterly countries and deepen the existing comprehensive partnership. Addis Ababa is selected as a venue for the expo for the seat of AU, UNECA and other continental and regional organization, said the president, adding that China sees market and investment opportunities in Ethiopia besides considering it as a gateway into the growing African market.
First China-Africa Expo promotes joint venture, B2B Engineer Melaku further stated that the exhibition is a result of the mutual efforts of Ethiopian and Chinese chambers of commerce to make successful business to business relation. The fast and double-digit economic growth Ethiopia has experienced for over a decade and plus years also factor that convince China to host the first expo in Addis Ababa.
He noted that China is Ethiopia’s leading trade and investment partner and 602 China-based projects are operating in Ethiopia with a sum total capital of over 18.5 billion birr. The projects employed over 79,000 people apart from the immense knowledge and technology transfer.
Over the past 10 years, the total trade turnover between Ethiopia and China has increased from 1.76 billion USD in 2008 to 5.14 billion USD in 2017 whilst the trade balance is highly favored to China. Over the past two decades, China’s FDI to Ethiopia is becoming one of the front runners especially in the manufacturing, real estate and construction sectors.
Ministry of Trade and Industry Export Promotion Director General, Assefa Mulugeta said for his part that the expo is in line with the government’s vision of keeping the manufacturing transformation in years to come. The economic growth that Ethiopia is scoring is the result of the national economic policy and strategy that upholds propagation foreign direct investment and trade relations across the globe including China, he added.
“Ethiopia is now on the verge of accomplishing the GTP II that targets at developing the manufacturing sector and our close engagement with China and other rapidly growing economies is also focused on exporting value added agricultural items to enhance competiveness and foreign currency earnings.”
The director general said that the government utilizes the expo as a platform for industrial capacity cooperation and to further enhance China’s existing business relations with African countries in general and with Ethiopia in particular. Assefa noted that the government has been paying due attention to attract Chinese investments in priority sectors and to improve competitiveness by providing export incentives, customs duty exemption, income tax holidays, and offering land in competitive lease price.
Also, China International Exhibition Center Deputy Manager, Liu Jian said that the expo is beneficial to Chinese companies to explore potential market opportunities in Ethiopia and seek joint ventures.
The manager reaffirmed his country’s stance to furthering cooperation with Ethiopia in science and technology, manufacturing, commerce and other priority sectors. A total o f 41 Chinese business companies engaged in manufacturing, agro industry, building materials and others have staged their products in the expo that is being held under the theme: “China-Ethiopia Industrial Capacity Cooperation Exposition.” Thousands of participants are also expected to take part in the five-day expo.
The Ethiopian Herald, December 4/2018
BY BILAL DERSO
