Agricultural Dialogue Project with Ethiopia

Project description

Title: Agricultural Dialogue Project with Ethiopia
Commissioned by: Federal Ministry of Food and Agriculture (BMEL)
Country: Ethiopia
Lead executing agency: Ethiopian Agricultural Transformation Agency
Overall term: 2012 to 2014

Context

Ethiopia is one of the world’s poorest countries. The Ethiopian government is going to great lengths to improve the living conditions of its people. Agriculture, the biggest sector of the Ethiopian economy, is an important focus in this regard. The agriculture sector provides employment for around 80 per cent the working population and, with fertile regions in the highlands, the country provides excellent conditions for agriculture.

However, with outdated and non-mechanised production methods, this potential has yet to be fully harnessed. Most farmers do not own machines and cultivate their fields using an ox-drawn plough, thus producing less than they potentially could. Furthermore, farmers’ produce is rarely processed in the country itself. There is no processing industry to promote the profitable trading of agricultural products.
Objective
Agriculture in Ethiopia has developed thanks to international knowledge exchange. Links with international companies have led to an increasing number of international economic ties.

Approach

The Agricultural Dialogue Project supports the Agricultural Transformation Agency (ATA). The ATA was set up in 2010 by the Ethiopian Government with a view to restructuring the agriculture sector to better meet demand for food through domestic production. As a main government institution in this field, it plays a key role in the sector.

The programme has established a German liaison office to facilitate regular consultancy with the ATA and promote international dialogue between experts. The liaison office also conducts high-level studies and organises expert visits to offer targeted advice where required. The development of economic ties between Germany and Ethiopia is another key element of the programme.

Results achieved so far

As a result of its cooperation with Germany, the ATA has become more established at an institutional level. Its employees have established contacts to mayor players of the European agricultural business. Thanks to this linking, ATA can better steer and implement reforms in the agriculture sector.

The ties with institutions and the private sector which the programme has provided its Ethiopian partners with also help overcome deficiencies – for example, in the enabling environment for investment, variety development and production, and cooperatives. These ties result in partnerships, in which the European institutions act as role models for the restructuring of administration and processes.

The Ethiopian agricultural and food industry is driving development thanks to knowledge exchange with international associations and other actors in the agricultural sector, particularly in Germany.