Ethiopia Hoping to Attract More Investment from Chinese Manufacturers
By Meron Tekleberhan
Addis Ababa, Ethiopia, Jan. 03, 2013 — Ethiopian Press Agency — Ethiopia hopes to attract more investment from Chinese manufacturing companies due to the increasing cost of labor and resources in China said Seyoum Mesfin, Ethiopian Ambassador to China.
China is one of the most significant investors in the development of infrastructure in the country as well as being a notable technology provider but it is also expected that an increasing number of Chinese manufacturers will take advantage of the opportunities available in Ethiopia he said.
The Ethiopian embassy in China is planning to host week long events in Beijing to promote investment opportunities in the country and to enhance cultural exchange between the two countries.
There currently several Chinese companies assembling goods in Ethiopia to be shipped back to China because production costs are much less according to Seyoum.
Important factors that make Ethiopia an attractive investment destination include, low energy costs, abundant labor supply and high quality raw materials he noted.
Ethiopia seeks to duplicate the model of China in making use of similar resources to create a successful export driven economy.
Shoe manufacturer Huajian is one of the more well known Chinese manufactures currently invested in Ethiopia. It is to be remembered that Huajian opened its factory in Ethiopia at an investment of 2 billion US dollars and expects to create more than 100 thousand jobs in the country in the next decade.