Considerations for Formulating Appropriate Export support services in an Ethiopia perspective

Course ID
Publisher
Ethiopian Economics Association (EEA)
Author
Abebe Kekemu

Abstract:

Besides the low level of economic, technological and human resource development of the country (associated with the supply side constraints our major problem in export), three major reasons are cited as bottlenecks of the country’s export promotion performance (1) lack of export-orientation by companies (both of product and organizational readiness level) and (2) lack of a favorable climate and effective assistance by the public sector for exporting(3) limited access to the international/ specially developed world market. The paper attempts to identify major factors to be considered for formulating export promotion strategy and support services for Ethiopia. It calls for more integrated and coordinated approach to export assistance. Regional state leaders, the federal government and the private sector should collaborate in formulating and implementing an export development strategy, not as a separate paper, but as part of the national trade, economic and foreign policy /strategy to help firms overcome barriers to exporting and to involve more Ethiopian businesses into exporting. Export assistance agencies shall also ensure that these different export promotion programs satisfy the needs of firms in their different stages of export growth (such as at the beginning of engagement in the export business, and after some export growth and experience). Impact assessment at both the program and firm levels should be continually and regularly addressed to determine whether firms’ needs are satisfied and to evaluate the usefulness of existing programs. Export promotion services from the national point of view should, among others, provide the following: export information and advice, strategic research and marketing support, financial incentives and insurance/guarantees and promotional activities abroad. And the status of foreign trade financing in the country and the effect of lack of it should be studied and adjusted to the demand of the exporting business community and the time. Other contemporary and strategic issues such as e-commerce, issues of organic farming, export promotion through international subcontracting, active participation in regional trading blocs should also be given due attention before it is too late. Since the resource constraints are there to fully put in place all sorts of incentives for export business at a time, more effort should also be exerted to get export assistance grants (both financial and technical) from respective international bodies and other development partners, in order to fully meet the requirements for export growth and diversification by property putting up all sorts of trade finance supportive schemes. The first export promotion priority shall aim at securing enough and sustainable market for agricultural products with already accessed markets like coffee, cotton and cotton products, fruit and vegetables, animal products, leather and leather products, fruit and vegetables, animal products, leather and leather products, while also providing proper attention to non-traditional export goods and services rather than the current attention to all strategy

Corporate Author:Gebrehiwot Ageba, Jemal Mohammed and Solomon Tesfay (Editors) , Ethiopian Economic Association(EEA) , Department of Economics of AAU & Fredrich Ebert Stifung
Publisher:Ethiopian Economic Association (EEA)
Primary Descriptors:Export marketing

Secondary Descriptor:Foreign trade promotion

Geographic Descriptors:Ethiopia
Cataloge Date:02/27/2013
Broad Subject heading:Export
Call Number:338.963 PRO 2002
Serial Key Title:Proceedings of the Eleventh Annual conference on the Ethiopian economy
Publication catagory: Annual conference
Content type: EEA Publication
Publication date:2013-12-27 00:00:00
Forum or Discussion date:2013-02-27 00:00:00
Conference Place:Nov. 2-4, 2001, Nazareth, Ethiopia
PDF file: Abebe Kelemu_Considerations for formulating appropriate export support services in an Ethiopia perspective.pdf
Place of publication: Addis Ababa, Ethiopia
Type of material: Book
Current frequency: Annualy
Thematic area: Policy Reform, Implementation and outcome in Ethiopia
Author: Abebe Kekemu

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