Tigrai Online, July 04, 2012
Ethiopian Sugar Corporation background
Sugar Corporation has been established as public enterprise by the Public enterprise proclamation No. 25/1992. This regulation is issued by the Council of Ministers persuant to Article 5 of the definition of powers and duties of the Executive Organs of the Federal Democratic Republic of Ethiopia Proclamation No. 691/2010 and Article 47(1)(a) of the Public Enterprises Proclamation No.25/1992
Sugar Agro-industry development in Ethiopia was initially started in the so-called Wonji plains in the early 1950s.Nearly 60 years after its introduction merely 35,000 ha has been cultivated to sugarcane and 4 small to medium sized sugar factories with a combined daily crushing capacity of 12,500 tons were installed in 3 separate locations across the country.
Total annual sugar production is about 300,000 tons, which only covers 60% of the annual demand for domestic consumption. The difference has to be bridged through importation from abroad. As a result, per-capita consumption of sugar in Ethiopia is one of the lowest in the world with about 5 to 6 kg.
In spite of the above facts, Ethiopia is endowed with favorable climate, enormous land and water resources for large scale irrigated development of sugarcane.
The Federal Democratic Republic of Ethiopia has launched sugar development program to undertake new and Expansion projects across the country with a clear objective of boosting sugar production to satisfy the domestic sugar demand as well as for any possible export in the coming 3 to 4 years.