BY HIZKEL HAILU
The Ethiopian economy has been hit by a number of shocks including COVID-19, natural disasters and the terrorist attack of TPLF and Shene groups. Indeed, the latter has caused myriads of damages in terms of loss of human lives including internal displacement and destruction of infrastructure.
Despite its liberal temptations, the administration of Prime Minister Abiy could not able to go the extra mile because of the aforementioned reasons coupled with external pressures. Under these problematic circumstances, however, the government has done significant activities that are capable of stimulating the national economy in general and the livelihood of the society in particular.
The government has done commendable activities in intensifying irrigation and enhancing the production of agricultural crops thereby putting the import substitution strategy in a good position along with getting attractive achievements in Foreign Direct Investment. Industrial parks have also a noteworthy contribution in the production of basic products and have the capacity to penetrate the global market besides satisfying the local need.
Apart from the aforementioned activities, the government is also working keenly in exploiting the benefits of cooperatives and unions. Cooperatives have been playing a great role in improving agricultural products, facilitating technology transfer and strengthening market linkage thereby stabilizing the soaring inflation.
The Ethiopian Cooperative Commission (COOP) recently disclosed that cooperatives are making significant contributions to transform the agricultural-led economy into an industrial-led economy. While officially launching new brandings for cooperatives’ products nomenclature as “Arba Minch banana, Awi potato, and Chencha apple, the commission remarked that it will strengthen its activity in a way it benefits the farmers and the country thereby stable the market.
A launching ceremony of new brands for the producers of Cooperatives’ members which is of the first of its kind was initiated by the Ethiopian Cooperative Commission that was held on 6th July 2022.
According to Ayalsew Workneh, Public Relatin Director of the Commission, while the agricultural products mentioned are considered to have challenge for marketing system dominated by a few traders and intermediaries who decide price setting alongside the value chains obstructed the market that farmers and consumers benefited very low.
The Ethiopian Cooperative Commission, in coordination with the Ministry of Agriculture and Agricultural Transformation Institute has recently initiated this branding ceremony. As to her, branding of cooperatives’ agricultural products can strengthen them in the respective regions, enhancing production and productivity and modernizing the marketing system as key activities to unlock the bottleneck faced by the producer farmers.
Branding the agricultural products is believed to be one solution to improve the existing marketing system and bringing positive impacts on the potential market accessibility, high quality and large volume production of bananas, apples and potatoes in the envisioned environs coupled with stabilizing the national economy via exporting these products.
The Commission has been highly dedicated with all stakeholders in Southern Nations, Nationalities, and Peoples Region and the Amhara National Regional State with the respective cooperatives, Cooperative Agencies, Agricultural bureaus and zonal administrative authorities. According to her, this coordination is highly important to create brand values and identities to achieve prestige brand recognitions on the aforementioned products.
“At the same time, the member of Agricultural Cooperatives which are producing and marketing those products are supposed to give due emphasis on packaging, preparing warehouses, quality service delivery arrangements, promotion and advertising and other factors that customers value.
It is expected that the Arba Minch banana, Awi potato, and Chencha apple brand identities and values will enable long-term access to the international market (for the Arba Minch banana in particular) and benefit improving the livelihood of the producer farmers and contributing to the livelihood of the producer farmers and contributing to the national income,” she remarked.
Speaking at the occasion held last week under the theme: “Branding Strategic Agricultural Commodities: Arba Minch Banana, Chencha Apple, and Awi Potato,” Cooperatives Commission in Southern Nations Nationalities and People’s state (SNNPs), Head Amriya Siraji said that SNNPs is rich in diversified products and resources. “The Arba Minch banana is organic, possesses good taste and quality as well as a long shelf life.”
She added that the branding would bring significant impact in solving marketing infrastructure challenges, unfair marketing system, bureaucratic red tape, unwelcomed brokers, and the like.
As to her, a lot of farmers in the state have been engaged in producing various fruits such as banana, which is the main icon of Arba Minch. However, the prevalence of brokers, lack of market linkage, and bureaucratic red tape are the major factors hindering the smooth flow of market–demand relation. As a result, producers could hardly garner adequate benefit out of it.
She said: “Today’s discussion will bring manifold advantages through identifying the real problems and indicating the significant solution in the future so as to provide citizens with reasonable price.”
Agriculture State Minister, Sofia Kassa (PhD) on her part said that the new branding is helpful to realize the homegrown economy of the country as branding products is among the ten agricultural strategic plans in the forthcoming ten years.
As to the State Minister, the Ministry of Agriculture is arduously working with the commission with a view to strengthening cooperatives in the respective states, enhancing productivity, and modernizing the market system which in turn has a significant impact to increase product suppliers and consumers linkage.
In an exclusive interview with The Ethiopian Herald, Potato producer from Dangela District, Awi Zone of Amhara State, Migebu Tarekegne said that before being embraced by the unions, farmers were challenged by lack of selected seeds and different agricultural inputs. However, after they are organized through unions, various challenges have been dealt with.
“Though the union has been solving various challenges especially in due course of producing quality and quantity products, lack of market linkage and infrastructural hurdles are becoming serious problems to obtain more benefit from the products.”
He further said that if the aforesaid challenges are solved well and the brand is adequately promoted, farmers will obtain significant benefit through exporting products.
Sharing with the above remark, Chencha Apple Cooperative Union chairperson Tesfaye Agena said that being a member of corporative union pays off many advantages. Being delighted for his union’s Apple product has got its own brand; he avowed that his union will further work hard for better export potential.
As to him, there are 242,906 farmers who are producing Apple on 7,773 hectares of land at Hencha Woreda. There are also more than 24 Apple varieties which have been grown only in the Gamo Zone of SNNPRs. He further pledged the government to help them in the export market.
According to the Cooperatives Commission, the brand building program will soon introduce new brands for Goat, Mango, and Onion from the states of Somali, Benishangul-Gumuz, and Oromia respectively.
The document from the Commission also indicates, currently there are 140,355 Cooperative members and 69,984 smallholder farmers who are benefited under 30 banana, 12 apple and 29 potato primary cooperatives respectively.
One of the most well-known products in Ethiopia is the Arba Minch banana, which is precious for being organic, having great taste and quality, and having a long shelf life. Chencha apple is distinguished by its exceptional sweetness, low acidity, juiciness, firmness and crispiness. Similarly, Awi potato which is firm, well-shaped, and smooth has also a medium starch content that can be boiled, baked or fried, it was learnt.
THE ETHIOPIAN HERALD WEDNESDAY 13 JULY 2022