ETHIOPIA’S coffee exports have surged, bringing in $835 million in revenue over the past nine months, reports the Ethiopian Coffee and Tea Authority (ECTA). During the first nine months of the Ethiopian 2023/24 fiscal year, which began on July 8, the East African nation exported a total of 174,596 tons of coffee to the international market.
According to Shafi Oumer, Deputy Director-General of ECTA, Ethiopia has not only maintained its traditional coffee importing countries but has also successfully tapped into new markets in recent years. Emerging destinations such as China, the United Arab Emirates, and Sudan are now among the top importers of Ethiopian coffee, diversifying the country’s market presence.
Ethiopia’s coffee exports have historically found strong demand in countries like Saudi Arabia, South Korea, the United States, Germany, and Japan. Renowned as the birthplace of Arabica coffee, Ethiopia holds a prominent position as one of Africa’s largest producers and exporters of coffee. The country’s coffee industry is integral to its agriculture-led economy, celebrated for its diverse flavours ranging from wine-like to fruity and chocolatey.
Despite its rich coffee resources, Ethiopia faces challenges in fully capitalising on its coffee sector due to limited value addition. The country predominantly exports raw coffee beans, hindering its ability to maximise revenue from its coffee exports.
In the previous Ethiopian fiscal year of 2022/23, Ethiopia earned $1.3bn from the export of approximately 240,000 tons of coffee. However, this marked a decrease compared to the previous fiscal year, where the country recorded a record-high revenue of $1.4bn from the export of around 300,000 tons of coffee.
Experts often cite the lack of value addition as a significant bottleneck in Ethiopia’s coffee sector, emphasising the need for initiatives to enhance processing and add value to its coffee products, thereby increasing revenue and maximising the country’s potential in the global coffee market.
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