Domestic enterprises slash Ethiopia’s import bill, drive export growth

Addis Ababa, August 4, 2025 (FMC) — Ethiopia saved more than $1.6 billion in the 2024/25 (2017 E.C.) fiscal year through the production of import-substituting goods by local manufacturing enterprises, according to the Ethiopian Enterprise Development (EED).

Mr. Robel Ahmed, Head of Public Relations and Communications at EED, stated that the savings were achieved as a result of concerted efforts to strengthen the capacity of domestic small and medium-sized manufacturers engaged in producing goods that would otherwise be imported.

He emphasized that the EED has provided targeted support and oversight to enterprises involved in import substitution to help reduce foreign currency outflows and promote industrial self-reliance.

In addition to the savings, Mr. Robel revealed that 357 manufacturing enterprises exported a total of 38,317 tons of goods—including textiles and garments, leather and leather products, agro-processed goods, handicrafts, chemicals, and mineral products—generating $59.89 million in export earnings.

He noted that the agency facilitated market linkages for 2,231 enterprises over the past fiscal year to enhance their role in import substitution, underscoring ongoing collaboration with stakeholders to improve the manufacturing sector’s operational efficiency and market competitiveness.