3: COMESA HORTICULTURAL OBSERVATORY CATALYZING THE FRUIT & VEGETABLE SECTOR IN EASTERN AFRICA – CASE STUDY ETHIOPIA

Period:15 Sept-December, 15 2022
Client: BMGF/ROGERs MacJohn
Target: Federal institutions, Tigray, AFAR and Amhara
Region: Federal and Regional

Key themes: This study was conducted to support ACTESA’s strategic objectives of building the capacity of the horticultural industry in the COMESA region. The study, Catalyzing the Fruit & Vegetable Sector in Eastern Africa, was commissioned by the Bill & Melinda Gates Foundation, and aimed at identifying key leverage and coordination opportunities for supporting the sub-sector growth in COMESA, the EAC and individual East African countries. It aimed at understanding the key opportunities and constraints for the growth of the horticulture industry in the country by reference to avocado value chain and based on four criteria: alignment to government priorities and level of donor investment; market growth/competitiveness; production capacity; and impact potential.

The study shows that there is untapped potential to develop the value chain and benefit millions smallholders. While Ethiopia has about 1.1m smallholder avocado farmers, only those with viable farm sizes and yields will fully benefit from this opportunity. Currently, farmers are producing Avocado for export through the Cluster Approach – a recent extension approach in the country. Export is growing since 2017 with the Avocado being called ‘Africa’s Green Gold’. Avocado, as it stands today, requires large investment. Most of this is to support cold storage and logistics systems. A common issue affecting avocado (and for that matter other horticultural products) is the high degree of perishability leading to high post-harvest losses of up to 50%. Other commonly cited constraints include, lack of common quality and food safety standards that impede cross-border trade, access to affordable finance, and poor access to quality seed. Issues such as quality control, cold storage, and reliable transportation are also commonly cited constraints to the growth of the industry.