East Africa: Ethiopia's Soyabean Gains Ground in Chinese Market

- Ethiopia's recent inclusion on China's list of approved soybean exporters marks a significant step forward in deepening bilateral trade and investment ties between the two countries.

China has officially authorized the import of Ethiopian soybeans, a strategic move aimed at diversifying its protein sources amid ongoing trade tensions with the United States.

The announcement was made by China Customs and reported by News Central, confirming that Ethiopian soybeans have been granted market access since last week.

China, the world's largest soybean importer, has traditionally relied on Brazil and the U.S. to meet its demand. However, geopolitical frictions particularly with Washington have led Beijing to expand its list of suppliers. In June, China also approved soybean imports from Uruguay, adding to an already diverse portfolio that includes Russia, Belarus, Argentina, and Brazil.

Ethiopia's inclusion underscores China's growing interest in strengthening commercial ties with African nations. It also reflects the increasing economic cooperation between Addis Ababa and Beijing.

China is currently Ethiopia's largest trading and investment partner, with bilateral trade exceeding 4 billion USD annually. Ethiopian exports to China have shown steady growth, especially coffee, which has recorded a 27% year-on-year increase over the past three years. In addition to coffee, Ethiopia exports sesame seeds, minerals, and various agricultural and raw materials to China.

On the import side, Ethiopia sources a broad range of goods from China, including electronics, industrial machinery, chemicals, automobiles, and other manufactured products.

Over 5,000 Chinese companies are currently operating in Ethiopia across various sectors such as infrastructure, energy, manufacturing, and agriculture. According to the Ethiopian Ministry of Foreign Affairs, China's foreign direct investment (FDI) in the country has surpassed 4 billion USD.

Other notable foreign investors in Ethiopia include India, Turkey, Saudi Arabia, and the United Arab Emirates.

Ethiopia's total export revenue reached 8 billion USD in the past year, with gold and coffee being the top earners. Gold exports brought in 3.5 billion USD, while coffee contributed over 2.2 billion USD to the national economy.

Read the original article on Ethiopian Herald.