🇪🇹EthiopiaEast Africa
Ethiopia's logistics sector liberalization: an interview with EFFSAA President Dawit Woubishet
via The Reporter Ethiopia18 min read
Ethiopia's logistics sector is undergoing significant liberalization, transitioning from state control to full private sector involvement, including 100% foreign ownership of logistics and freight forwarding firms. Dawit Woubishet PhD, President of the Ethiopian Freight Forwarders and Shipping Agents Association EFFSAA, highlighted that this move is crucial for Ethiopia's economic growth, its contribution to the African Continental Free Trade Area AfCFTA, and its goal of becoming a major exporter. Foreign investors are expected to bring essential knowledge transfer, technology, and finance, which are vital for addressing challenges such as high demurrage costs in Djibouti, asset scarcity, and a lack of capacity. Woubishet noted that while the country's current container volume is relatively small, mid-sized foreign logistics companies are more likely to enter the market initially, potentially through partnerships with local firms. He emphasized that local freight forwarders must modernize, embrace digitalization, and pursue continuous training to remain competitive. EFFSAA is actively working on skills development, including a partnership with the British International Freight Association BIFA for training and a new agreement with Blue Ocean for online logistics management courses. Woubishet also discussed efforts to establish the African Freight Forwarders Association to boost intra-African trade and the ongoing work to explore alternative port corridors beyond Djibouti. He
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This summary was AI-generated from a story originally published by The Reporter Ethiopia.
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