BY MEHARI BEYENE
Ethiopia government shoulders the responsibility of investing on capital expenditures and initial investments high techs including, semi-conductors, automobiles, steel, and aluminum machine products and among others. This was disclosed by Ethiopia 2050 think tank groups.
According to the statement of Ethiopia 2050 think tank group sent to The Ethiopian Herald, new technologies in the broader areas of advanced manufacturing offer an opportunity for leapfrogging to emerging economies like Ethiopia. For instance, digital manufacturing requires significantly less capital expenditure as compared to traditional manufacturing, particularly when coupled with government supports like tax credits or public and private partnerships.
As per the statement, the preferred model around the world in advanced manufacturing involves collaborations with universities, as they are more driven by cutting-edge technology than massive capital. This emerging age of manufacturing that is gaining traction around the globe is a key component of fourth generation Industry. For countries like Ethiopia, advanced manufacturing opens up further possibilities in fintech, big data analytics, advanced robotics, cyber-security, artificial intelligence, precision medicine, and agri-tech.
Ethiopia should take measures to be a beneficiary of the fourth industrial revolution, particularly in advanced manufacturing. Regarding launching advanced manufacturing center for metals, a pervasive problem that had contributed to inefficiencies and delays in completion of important infrastructure projects in Ethiopia has been the lack of spare parts. Prohibitive expenses, as well as delays in importing materials, have had significant negative impacts in several sectors such as the manufacturing industry, freight and passenger transportation infrastructure, and agricultural equipment. We propose that with additive manufacturing, particularly 3D printing technology, the time has come for Ethiopia to address the spare parts problem by building an infrastructure for 3D printing.
As to the report, this will save foreign currency, time, and also encourage innovation in metal manufacturing in Ethiopia. A consortium of government particularly the military and industries could take the lead. This will be a for-profit entity charging for services rendered. Recycled metal can be used, significantly reducing the costs. There are several examples in Africa where such technology is being effectively leveraged. While its current status is unknown, Ethiopian Airline’s plan announced in 2016 to collaborate with a South African company in aerospace for establishing a digital manufacturing center in Addis is a possibility a worth mentioning. Ethiopia which is currently aggressively investing on textile manufacturing infrastructure also faces a risk of automation that could significantly compromise opportunities as this industry could move back to Europe or the US.
The statement indicated that this eco-system will train undergraduate and graduate students in additive manufacturing and also create a conducive environment for entrepreneurial ventures. Twining with international collaborators as well as local industry will enrich the opportunities available to students, faculty, the private sector, and government. In Promoting Pharmaceutical Industry for leadership in the African Market, Ethiopia has positioned itself as a destination for the pharmaceutical industry for some time. The demographic dividend has been cited as one of the compelling reasons, together with access to the sizable African market. The government had also identified pharmaceutical manufacturing as a priority sector and the Kilinto Industry Park has been identified as a hub. Therefore, together with the proposed initiatives for center-level university, industry and government ecosystems to train a globally competitive workforce, there is ample opportunity in this area.
Concerning expansion of eco-industrial Parks, the statement noted that the concept of eco-industrial Parks where there is a well-planned cooperation among businesses and the local community with the goal of achieving sustainable growth and efficiently share resources is emerging as a popular model. Such model will have a natural fit for Ethiopia where there is strong need for developing growth models. This integration with the local community should also be reflected at the national level in both vertical and horizontal integration.
The Ethiopian Herald April 16/2021
