BY MENGISTEAB TESHOME
The Ethiopian Ministry of Trade and Regional Integration (MoTRI) recently announced that the Chinese government has allowed some Ethiopian products to enter the Chinese market duty-free and quota-free, it was reported.
The Ministry further announced that the Chinese government has allowed some 1,644 Ethiopian products to enter the Chinese market duty-free.
According to The Ministry, 1,644 products out of 6,422 Ethiopian products traded in general can be sent free of duty and quota to China.
The market opportunity is provided by the Chinese government and there will be no duty imposed on Ethiopia, MoTRI added.
The government of China, on November 9, 2022, announced its grant of zero tax treatment to 98 percent of taxable items originating in 10 least-developed countries, especially in Africa.
Afghanistan from Asia and nine African countries, including Ethiopia, Tanzania, Uganda, and Zambia, are beneficiaries of the Chinese government’s zero-tax policy.
The Customs Tariff Commission of the State Council of China stated on November 9 that “the policy covers 8, 786 products,” and that “the treatment enables the least developed countries (LDCs) to boost their economic development and potential to export to China.”
It is to be recalled that Qin Gang, Foreign Minister of China, in his first leg working visit after taking office to Africain January 2023, stops Addis Ababa because of a range reasons.
In press release issued from the China embassy reads Ethiopia-China friendship has remained unbreakable and grown stronger over time. In recent years, under the strategic guidance of the leaders of the two countries, China-Ethiopia relations have maintained high-level development, and practical cooperation in various fields has yielded fruitful results.
Yes, the bilateral relation shaping in mutual respect and understanding between the two nations. Deputy Chief of Mission of Chinese Embassy in Ethiopia, Shen Qinmin told local media that China and Ethiopia have very good relations in many fields and it is especially very close in the fields of development areas.
“Our exchanges in the fields of political, diplomatic and economic-especially in the fields of development area-it are very close and under steady development path,” Shen Qinmin said.
He believes the overall relations can also be improved further in the future. “It can be better. I hope, in the future, we will be better.”
According to him, the Chinese Government is strongly committed for the development of Ethiopia.
“In the future, we Chinese Government have a strong commitment to the development of Ethiopia,” the minister’s counselor said.
“The more prosperous of Ethiopia can be the better for not only Ethiopian people but also for the Chinese people because the more prosperity here we will have more opportunities for cooperation. So this is a mutually beneficial relationship both for now and also for the future.”
In response to the recent news that China has granted duty-free access for Ethiopian products to be exported to the Chinese market, he said the Chinese Government is opening more Chinese markets for Ethiopian products, especially agricultural products because these Ethiopian products are in high demand in China.
“We are opening more and more, of the Chinese market, for Ethiopia’s products. Ethiopia is so rich in a lot of products,” he said.
“Since the agricultural products are in very high demand in the Chinese market, we hope would have a mutually beneficial economic cooperative relationship with Ethiopia. So that way, the farmers, and the workers here can get more money, can get higher salaries, and also can meet the demand of the Chinese market. So it is a mutually beneficial relationship,” he added.
Ethiopian business people are asking for the details of the tariff-free products at the embassy and it is being explained to them, he said.
As of him, Ethiopian friends are very smart that they already asked about the details of this trade arrangement from his embassy; and he shared information with them, specific information about which particular products are tariff-free to be imported to China. In his view, there will be more and more businesses here and they will get more acquainted with that preferential treatment, then more products will go to China and this will also relieve some economic pain in certain sectors of industry here in Ethiopia.
China will open more and more markets to Ethiopian products, he assured.
It is to be recalled that China has offered zero-tariff treatment to 98 percent of the tariff line, with 8,804 items of products originating from Ethiopia as of March 1, 2023.
This move is to implement the initiatives announced by Chinese President Xi Jinping at the Opening Ceremony of the Eighth Ministerial Conference of the Forum on China-Africa Cooperation (FOCAC).
The move will further strengthen the economic ties between China and Ethiopia, bringing benefits to both countries, it was learned.
The two countries had long history of contacts that dates as far back as the first century B. C. Ethiopia and China had been in the forefront of the anti- colonial struggle in the past two centuries. They always advanced the interests of the developing world in various international forums including in the Non Aligned Movement and at the United Nations. Documents confirm Ethiopia and China enjoy over fifty years of diplomatic relations based on mutual understanding and respect.
At present, Ethiopia and China enjoy excellent relations in a range of areas. This growing bilateral relation is morphing due to the convergence of interest between the two sides. The Ethiopian government places economic diplomacy at the helm of its foreign policy. It gives importance to drawing relevant lessons, among others, from the emerging countries of Asia.
The fast-track development of China over the past fifty years; its success story in undertaking the green revolution; lifting out more than 200 million people out of poverty and its economic reform and opening-up was something to be emulated on the wake of multifaceted economic reforms in Ethiopia.
According to a review noted on Ethiopia –China relation, Ethiopia has proactive stance to strengthen the relations that matched with the readiness of the Chinese side to take the long-standing friendly relations further ahead.
China has all along been willing and ready to share its development experiences. As a proponent of South-South cooperation, China has been a worthy partner in Ethiopia’s effort to fight poverty and achieve economic development. As the 2nd largest populous country in Africa, Ethiopia is seen as a great potential market for China.
According to recent reports on trade between Ethiopia and China, Ethiopia’s economic cooperation with China is keeping on through multifaceted approaches and many are benefiting out of it. To strengthen further the two countries have put in place important instruments that promote their economic cooperation between the two nations. In this regard, a number of bilateral agreements were signed, inter-alia, on development cooperation, agriculture, trade, investment promotion and protection, education, cultural and tourism cooperation.
Many new grants and projects will be underway and resumed through garnering the bilateral relation in spirit of share future responsibilities and market opportunities are getting wider bases, it was learned.
THE ETHIOPIAN HERALD TUESDAY 21 MARCH 2023
