Reports from Ethiopia, Wednesday, reveal the inauguration of a new major pharmaceutical factory in the Gerji district of Addis Ababa, under the stewardship of Ethiopia’s PM Hailemariam, government representatives and the executives of the U.A.E. Company partially behind the project, Julphar.
Also in the ceremony was the Foreign Trade Minister of the U.A.E., Sheikha Al-Kassim and his Ethiopian counterpart.
“The facility… will certainly go a long way in augmenting the overall expansion of investment in this country,” were the remarks of the Prime Minister.
The ETB170-million plant, whose partial owners are MedTech Ethiopia, will placate locals with 500 new employment opportunities.
Ethiopia-UAE Industrial Relations
The trade ties between the United Arab Emirates and Ethiopia has helped clock in an aggregate trade volume worth $597m, in the 2010 estimate, of which $111.3 has come as exports from the Ethiopian side.
The reverse trade from Dubai is even greater in proportion to the export base if the latest entrant, Solitan Holding, a company that is setting up investments inside the Horn of Africa country worth 2 billion Ethiopian Birrs, is anything to go by.
The imbalance of trade is virtually invisible for both countries mutually benefit each other. The U.A.E. has 15 select interests inside the borders of its trading partner, while the latter reciprocates the gesture by basing 210 of its own firms in the gulf.
The nations have been endeavoring to increase their correlations in business, financial and industrial niches, and a major attestation of which is the mushrooming of business-to-business summits, augmented by government-to-government and state-to-business conventions.
In May 2012, Ethiopians held a summit at the AU headquarters inclusive of a business and government delegation, from across the Gulf of Aden, whose objective was to underscore the need to identify new areas that can spur trade relations like the creation of new opportunities.
According to business delegation heads from the Gulf, their major interest in Ethiopia lies in agronomic, infrastructural and hospitality areas.
The pharmaceutical factory will be an appendage to the increasing chemical product exchanges that the two nations are cultivating. Ethiopia imports much of its chemical base, as well as, construction materials from the Arab nation, while mainly exporting agricultural and textile products.
Since side-stepping from the path of nationalization that was in vogue in the 1970s and the 80s, the government has gone ahead with privatization and improvement of the foreign investors’ lot by creating a free market that is attractive to investors.