ADDIS ABABA – Chemical and Construction Input Industry Development Institute said foreign currency shortage has been hindering the growth of chemical industries.
Hadushom Tuemo, Deputy General Director at Institute told The Ethiopian Herald that despite the encouraging improvements registered in the chemical industries sector, hard currency shortage has become a major hurdle as the country imports some 70 to 80 percent of the inputs needed in the sector.
Besides the poor supply of raw materials due to foreign currency shortage, security issues and power outage, and lack of commitment have also negatively affected the performance of the sector. This has also affected the construction sector because of the direct connections it has with the chemical industry.
Security problems have also been factors in reducing the supply of locally produced construction materials such as marble and granite. According to him, the last nine months export performance of the sector is below 50 percent of the plan.
Improvement in foreign currency earning and coordinated activity of all stakeholders are expected to improve the performance of the sector in the coming four months of the budget year.
The Ethiopian Herald, April 4/2019
BY TSEGAYE TILAHUN
