BY MISGANAW ASNAKE
ADDIS ABABA– The Ministry of Transport and Logistics announced that the first of its kind free trade zone will be established in Dire Dawa followed by other cities and towns in various parts of the country.
Transport and Logistics Minister Dagmawit Moges said in a panel discussion held yesterday that Dire Dawa was chosen as the first destination of a free trade zone taking into account the city’s proximity to Ethiopia’s major outlet, the Port of Djibouti. The Ethiopian Maritime Affairs Authority, Ethiopian Shipping and Logistics Service Enterprise, Custom Commission, Ethiopian Airlines and other stakeholders are said to be involved in the task.
Noting the pilot project in Dire Dawa will be expanded in other selected areas, the minister highlighted that Ethiopia needs to exploit its potential to be the major land- linked trade investment, industrialization and logistics hub in the Horn of Africa. Free trade zone prioritizing areas including trade, comprehensive logistics service, export processing zone and export facilitation. “It facilitates the nation’s internal trade as well as the neighboring countries import-export corridor.”
Establishment of a free trade zone will help the products to enter into Ethiopia within a short period of time, reduce spoilage, ensure the overall development of the country and play a paramount role to increase its participation in international trade, Dagmawit elaborated.
Presenting a research paper on the occasion, Ethiopian Maritime Affairs Authority Managing Director Yehualashet Jemere (engr.) stated that the establishment of a free trade zone is crucial to cost and time reduction, urbanization and industrialization along the corridor via the pool of foreign direct investment. “It is vital to economic boost to the corridor and support economic development of the nation.”
Other towns identified for future establishment of free trade zones including Modjo, Adama, Moyale, Kombolcha, Bahir Dar and Hawassa, the director elaborated.
The July 6/2022
