ADDIS ABABA — Some 23.4 million USD was generated from leather and leather products export over the last nine months of this fiscal year, disclosed Leather and Leather Products Industry Research and Development Center.
Center Acting Director Mohammed Hussien told the Ethiopian Press Agency (EPA) that the stated amount was gained from exporting shoes, bags, leather gloves, finished and semi-finished leather to various countries.
While leather factories collected 15million USD, shoe, glove and bag factories generated 1million, 3.2million and 2 million USD respectively.
The plan was to collect 41.7million USD, however, the market decline in export destinations contributed to the underperformance in the sector, he stressed.
Mentioning China, Indonesia, India, Vietnam are amongst the major export destinations of leather products, he noted that export market has shown decrement in European and Western countries due to the aforesaid reasons.
Inadequate production capacity, lack of foreign currency, market decline, AGOA termination as well as targeting of local market in shoe factories are said to play a role for the underperformance.
“The nation has designed and is implementing a ten-year strategic plan of leather and leather products industry with the aim of curbing the major constraints in the sector. Thus, the center is striving in improving raw hides supply, expanding market destination, enhancing input, technology and financial alternatives,” he underscored.
To achieve this, Mohammed stated that the center carries out different activities with concerned bodies in short and long term processes.
Manufacturing industries need to excel at local market in order to become competitive in international market. Thus, the center is supporting factories with technology, fashion, and production development areas to allow industries enhance their local production and compete at global market.
Moreover, similar effort has been exerted in empowering underperforming factories to actively engage them in the business using local market, he stressed, adding that due emphasis has been given to involve them in export market.
Likewise, he indicated the ongoing activities in linking manufacturing industries, marketing, as well as networking sector’s investors, experts and customers to stimulate the sector.
BY BETELHEM BEDLU
THE ETHIOPIAN HERALD THURSDAY 25 APRIL 2024
