According to the Ministry of Industry, foreign-owned enterprises operating in Ethiopia can sell their products to the local market if they are willing to forego the benefits of being a licensed exporter – wrote The Reporter Newspaper.
The exception to the rule, which requires foreign-owned producers to only sell to the international market, is intended to assist the country in replacing its growing imports, which totaled USD 14 billion in the previous fiscal year.
In the last nine months, factories in industrial parks delivered USD 122 million worth of goods to the local market. Military equipment, particularly army outfits and shoes, account up the majority of the products, which were formerly provided by foreign corporations.
“Import substitution is critical for meeting local demand. It will help us meet 80 percent of consumer expectations in the textile sector, which relies on imports, “said Sandokan Debebe, CEO of Industrial Parks Development Corporation (IPDC).
Source: The Reporter
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