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The ten-year plan called for an increase in the size of state farms producing coffee from 14,000 to 15,000 hectares to 50,000 hectares by 1994. Sorghum and millet, which are drought resistant, grow well at low elevations where rainfall is less reliable. The agricultural production sector is a backbone of the Ethiopian economy. Moreover, the emperor's inability to implement meaningful land reform perpetuated a system in which aristocrats and the church owned most of the farmland and in which most farmers were tenants who had to provide as much as 50% of their crops as rent. (2013). Meat and milk yields are low and losses high, especially among calves and young stock. This paper analyzes and discusses how the newly adopted system is structured and operates, the characteristics of extension services, and the evaluation system employed in agricultural extension, and assesses the challenges and opportunities associated with the system. During the same period (197387), population increased at an average annual rate of 2.6 percent (2.4 percent for 198087). Mia MacDonald and Justine Simon (2010) Climate, Food Security, & Growth: Ethiopia's Complex Relationship with Livestock. [7], The plains and low foothills west of the highlands have sandy and gray-to-black clay soils. Opportunities also exist for agricultural inputs and systems used to grow and process cotton into textile and apparel. Grains are the most important field crops and the chief element in the diet of most Ethiopians. [7], As of 2008[update], some countries that import most of their food, such as Saudi Arabia, had begun planning the development of large tracts of arable land in developing countries such as Ethiopia. In early 1990, the government essentially abandoned villagization when it announced new economic policies that called for free-market reforms and a relaxation of centralized planning. At the moment, there are a few U.S. and foreign firms that have partnered with local companies in the milk business, which has considerable room for growth, as milk consumption is still very low. In Ethiopia, agricultural export development is done in livestock, grains, vegetables, fruits, and fruits. Ethiopia has an extremely diverse topography, climate, culture, population distribution and market access. Ethiopia: Urban Agriculture and Poverty Alleviation. In addition, Ethiopia spent 341 million Birr on food purchases during the 1985-87 period. "National Statistical Abstract. Exports are almost entirely agricultural commodities, and coffee is the largest foreign exchange earner. In 1971 the Ministry of Agriculture introduced the Minimum Package Program (MPP) to bring about economic and social changes. Farmers' group formation accompanies the reform process. ", Tables D.4 D.7. According to Ethiopia farming, this ploughing the land to prepare the soil for sow requires around two quarter of a year. Develop a legal framework for agriculture-specific financial services such as micro-lending, crop insurance and forward contracts. [7], Ethiopia's coffee is almost exclusively of the arabica type, which grows best at altitudes between 1,000 and 2,000 meters. Advanced Search Citation Search . This article examines the characteristics of and choice among two production technologies in Ethiopian agriculture, one with fertilizer and the other without, using 1989-90 farm-level data. Ethiopia's major staple crops include a variety of cereals, pulses, oilseeds, and coffee. Ethiopia is endowed with abundant agricultural resources and has diverse agro-ecological zones. Agricultural products account for more than 90 percent of the foreign exchange earnings of the country . Agriculture is the backbone of the economy of the country as the following facts indicate. Agriculture in the Lake Tana Sub-Basin of Ethiopia -- 24. [7] In EFY 20072008, the CSA reported that 17,827,387.94 quintals of pulses were produced on 1,517,661.93 hectares, an increase from the 15,786,215.3 quintals produced on 1,379,045.77 hectares. Private companies are allowed to import food commodities including wheat, rice, sugar, powder milk, and cooking oils. Agriculture as a producer of positive externalities and public goods 2 2.4. Agriculture. However, it is also one of the poorest, with a per capita gross national income of $960. This is a best prospect industry sector for this country. Wubne, Mulatu. The government nationalized rural land without compensation, abolished tenancy, forbade the hiring of wage labor on private farms, ordered all commercial farms to remain under state control, and granted each peasant family so-called "possessing rights" to a plot of land not to exceed ten hectares. The problem became so serious that Mengistu lashed out against the peasantry on the occasion of the fourth anniversary of military rule in September 1978. @article{Haile1988CausesAC, title={Causes and Characteristics of Drought in Ethiopia. The Awash River basin supports many large-scale commercial farms and several irrigated small farms. Forestland, most of it in the southwestern part of the country, accounted for 4 percent of the total land area, according to the government. The GOE, as part of its Livestock Master Plan (LMP), intends to transform this sector and increase production and exports of meat in order to generate foreign exchange. The expected growth from these agriculture-related industries offers numerous opportunities for agricultural input sales, such as tractors and harvesters, farm trucks, fertilizer, irrigation equipment, grain handling systems, food and livestock processing equipment, as well as cold storage facilities. Agriculture in Ethiopia is the foundation of the country's economy, accounting for half of gross domestic product (GDP), 83.9% of exports, and 80% of total employment.. Ethiopia's agriculture is plagued by periodic drought, soil degradation caused by overgrazing, deforestation, high levels of taxation and poor infrastructure (making it difficult and expensive to get goods to market). [10] This has raised fears of food being exported to more prosperous countries while the local population faces its own shortage. Agriculture as a key element for the development of other sectors 3 3. It purchased grain from peasant associations at fixed prices. Excluding the Afar and Somali Regions, there were approximately 47.5 million cattle, 26.1 million sheep, 21.7 million goats, 2.1 million horses and mules, 5.6 million donkeys, 1 million camels, and 39.6 million poultry. [7], Historically, Ethiopia was a rare exception in Sub-Saharan Africa, because of its special environmental circumstances, that enabled Ethiopian farmers to increase their productivity, for example by using ploughs. In Ethiopia 95% of the total area is cultivated by smallholder farmers and contribute 90% of the total agricultural output. [23], However, herding cattle is one of the agricultural activities that resorts to indentured labor and particularly child labor according to the U.S. Department of Labor. In 198182, out of the AMC's purchases of 257,000 tons of grain, Gojjam accounted for 32 percent of the purchases, and Arsi, Shewa, and Gonder accounted for 23%, 22%, and 10%, respectively. A .gov website belongs to an official government organization in the United States. In 20062007 (the latest year available), exports of chat accounted for 25% of export earnings (or 8oo million Birr). [24] As Ethiopia increasingly experiences the effects of climate change, drought, and desertification, experts predict that "Ethiopia will have to open its markets to grain imports in order to keep up with the growing demand for meat, milk, and eggs.". 3. Furthermore, the GOE vowed to begin exporting wheat to neibhouring countries by 2023 by tapping into the huge production potential due to its various favorable agro-ecologies and through expansion of wheat production area under irrigation to achieve self-sufficiency and reduce wheat imports. Primarily, growth in the market should reach 8.1 percent per year during this time frame. Estimates for 1987 indicated that livestock production contributed one-third of agriculture's share of GDP, or nearly 15 percent of total GDP. In Ethiopia, agriculture is started during the Neolithic revolution era, ten thousand years ago. In this regard, the CSA conducts, produces, disseminates and administers data generated from surveys and censuses in Ethiopia. Before the revolution, large-scale commercial cotton plantations were developed in the Awash Valley and the Humera areas. Agriculture dominates the Ethiopian economy, accounting for about 50 percent of its GDP and 82 percent of its employment. Ethiopia sources cotton mainly from India and other international suppliers. Source: Source: USDA/Foreign Agriculture Service, Addis Ababa, Total Market Size = (Total Local Production + Total Imports) (Total Exports). The poor performance of agriculture was related to several factors, including drought; a government policy of controlling prices and the free movement of agricultural products from surplus to deficit areas; the unstable political climate; the dislocation of the rural community caused by resettlement, villagization, and conscription of young farmers to meet military obligations; land tenure difficulties and the problem of land fragmentation; the lack of resources such as farm equipment, better seeds, and fertilizers; and the overall low level of technology. In the highlands, oxen provided draft power in crop production. It features and analyzes the country's agricultural progress from 1960s to date, and some . The GOE imposes an export ban on cereal grain and local prices are often higher than what they are on the international market. Individual poultry farms supply eggs and meat to urban dwellers. Lake Tana Subbasin's Economy and The Role of Natural Resources -- 22. The principal grains are teff, wheat, barley, corn, sorghum, and millet. Production Efficiency and Agricultural Technologies in the Ethiopian Agriculture Introduction Inability to produce adequate food is the major problem of most less developed countries (LDCS). The vision of the CSA is to be a center of excellence in . The existence of so many land tenure systems, coupled with the lack of reliable data, made it difficult to give a comprehensive assessment of landownership in Ethiopia, as well as depressed the ability of peasants to improve themselves. Since then, export earnings from this sector have grown to about US$65 million in 200607 and are projected to double over the next few years. This government-led outreach, combined with low labor and electricity costs, has already yielded fruits with a number of Turkish, Indian, Chinese, Indonesian and other foreign firms opening businesses in Ethiopia in recent years. Ethiopia's economy is based on agriculture, which accounts for 46% of GDP and 85% of total employment. The two dominant agricultural systems in Ethiopia are the mixed agriculture of the highlands, where both crops and livestock production are integrated, and pastoralism in the lowlands. Agricultural equipment and systems, such as tractors, irrigation equipment, and grain handling Infrastructure like, silos, cold storage facilities, etc. Such wide price variations created food shortages because farmers as well as private merchants withheld crops to sell on the black market at higher prices.[7]. [17], Cotton is grown throughout Ethiopia below elevations of about 1,400 meters. Most of these crops are exported to generate foreign exchange. Pulses were a particularly important export item before the revolution. More details on the latest grain and oilseeds situation in Ethiopia can be found in our Grain & Feed and our Oilseeds Reports. Total required investment costs for the IAIPs stand at U.S. $870 million and initial investment costs are estimated at U.S. $266 million. But with proper drainage and conditioning, these soils have excellent agricultural potential. [11], The primary motive for the expansion of state farms was the desire to reverse the drop in food production that has continued since the revolution. An estimated 85 percent of the population are engaged in agricultural production. For instance, according to the World Bank between 1980 and 1987 agricultural production dropped at an annual rate of 2.1 percent, while the population grew at an annual rate of 2.4 percent. Section D. A couple of U.S. investors have also entered the market. Characteristics of agricultural landscape features and local soil fertility management practices in Northwestern Amhara, Ethiopia. However, expansion was constrained by inadequate nutrition, disease, a lack of support services such as extension services, insufficient data with which to plan improved services, and inadequate information on how to improve animal breeding, marketing, and processing. For instance, in the case of seed, the current varieties are more than 20 years old and are degraded. A potential exists for self-sufficiency in grains and for export development in livestock, grains, vegetables, and fruits. [25], Both the imperial and the Marxist governments tried to improve livestock production by instituting programs such as free vaccination, well-digging, construction of feeder roads, and improvement of pastureland, largely through international organizations such as the World Bank and the African Development Bank. In Ethiopia, agriculture is the mainstay of the majority of the population and major driver of the national economy. Practically all animals are range-fed. Since the revolution, most commercial cotton has been grown on irrigated state farms, mostly in the Awash Valley area. The data from 460 sheep were used for the determination of morphometric characterization while 110 male sheep and 150 females were used to characterize the reproductive performance of Blackhead Somali sheep breeds. The 1977 famine also provided an impetus to promote conservation. in addition to these cereals, they produce different types of fruits and coffee which are not seasonal. In addition to cattle, small ruminants (goats and sheep) and beasts of burden (donkey, horse, mule) are not uncommon in this farming system. "National Statistical Abstract. However, the expected level was not achieved. Brighter Green, 2. The farmers continued to utilize their ancient system of production despite changing ecological and population pressures. A major subsistence crop, barley is used as food and in the production of tella, a locally produced beer. UNJP-RWEE was a five-year long initiative with the objective of accelerating the economic empowerment of rural women . However, opponents of villagization argued that the scheme was disruptive to agricultural production because the government moved many farmers during the planting and harvesting seasons. The government's price controls and the AMC's operations had led to the development of different price systems at various levels. The third most important oilseed is sesame, which grows at elevations from sea level to about 1,500 meters. External links to other Internet sites should not be construed as an endorsement of the views or privacy policies contained therein. landholdings are tiny, fragmented and unsuitable for modern methods of agriculture. [7] Domestically, coffee contributed about 20% of the government's revenue. The second type consists of brownish-to-gray and black soils with a high clay content. will supply the domestic market. About three-quarters of the total sheep flock is in the highlands, whereas lowland pastoralists maintain about three-quarters of the goat herd. The pilot areas selected for establishment of the Agro-Industrial Parks are mainly based on the potential of existing agricultural resources and allied sectors, infrastructure, and facilities. With about 117 million people (2021), Ethiopia is the second most populous nation in Africa after Nigeria, and still the fastest growing economy in the region, with 6.3% growth in FY2020/21. Coffee grows wild in many parts of the country, although most Ethiopian coffee is produced in the Oromia Region (63.7%) and in the SNNPR (34.4%), with lesser amounts in the Gambela Region and around the city of Dire Dawa. The Government of Ethiopia (GOE) has embarked on a ten-year economic development plan (2021-2030) where agriculture is on the top of priority sectors. Production jumped from 43,500 tons in 197475 to 74,900 tons in 198485. Potato is an increasingly important crop in Ethiopia, but the origin of local cultivars grown throughout the country is unknown. However, rural households are still faced with severe food insecurity and malnutrition. Section D. Agricultural production has been highly dependent on natural resources for centuries [].However, increased human population and other factors have degraded the natural resources in the country thus seriously threatening sustainable agriculture and food security [2, 3]. While by 1988 a total of 3600 Service Cooperatives were serving 4.4 million households and almost 4000 Producer cooperatives comprising 302,600 households had been founded, in that year they represented only 5.5% of national cereal production. As many as 4.6 million people need food assistance annually. Among the overall agricultural output produced by an Ethiopian family farm, only 21 percent are sold, highlighting the subsistence-oriented nature of the country's smallholders. By 1989, the area covered by the State Farms had grown to a total of 220,000 hectares. The objective of the LSMS-ISA is to collect multi-topic panel household level data with a special focus on improving agriculture statistics and the link between . Available data on crop production show that land reform and the various government rural programs had a minimal impact on increasing the food supply, as production levels displayed considerable fluctuations and low growth rates at best. Background Understanding the landscape features of agricultural lands and soil management practices is pertinent to verify the potential and limitations of the soil resources; and devise relevant land management strategies. Niger seed is found mostly in the northern and central highlands at elevations between 1,800 and 2,500 meters. J. "Ethiopia: Share of economic sectors in the gross domestic product (GDP) from 2010 to 2020", "Agriculture in Ethiopia: data shows for a large part Agriculture still retained its majority share of the economy", "The Federal Democratic Republic of Ethiopia: Selected Issues Series", "National Statistical Abstract. Land use function 2 2.2. However, even with this anticipated increase in chicken meat production, demand is expected to outstrip supply, thereby creating potential opportunities for imports. Amare Getahun's (1978) paper on agricultural systems in Ethiopia is one of the few attempts to classify agricultural systems in Ethiopia into (a) the highland mixed farming system, (b) low plateaux and valley mixed agriculture, (c) pastoral livestock production of the arid and semi-arid zones and (d) commercial agriculture, and to describe the main characteristics of each system. During this period, markets were major actors of economic activity and various positive measures, which encouraged . Among the top priorities identified by the GOE include: small and large-scale irrigation development, financing agricultural inputs, increasing productivity of crops and livestock, improving agricultural production methods using mechanization, post-harvest loss reduction, developing a research-based food security system, and natural resource management. Section D. [7], Cattle in Ethiopia are almost entirely of the zebu type and are poor sources of milk and meat. The contribution of agriculture to growth in the manufacturing and services sectors was not significant between 1978 and 1998. Ethiopias commercial red meat (beef, mutton and goat) industry has made remarkable progress to date and shows considerable growth potential for the future. [7], During the imperial era, the government failed to implement widespread conservation measures, largely because the country's complex land tenure system stymied attempts to halt soil erosion and improve the land. The powers and duties of the MoA include: conservation and use of forest and wildlife resources, food security, water use and small-scale irrigation, monitoring events affecting agricultural development and early warning system . Furthermore, the ten-year plan envisages to build a climate resilient green economy. Consequently, the country faced a famine that resulted in the death of nearly 1 million people from 1984 to 1986. After 1975 the revolutionary government used peasant associations to accelerate conservation work throughout rural areas. SPECIFIC CHARACTERISTICS OF AGRICULTURE 2 2.1. The agricultural production trends throughout the 1980's up to mid-1990's were characterized by wide fluctuations in total output and weak growth, with grain production increasing at rate of 1.37% annually compared to population growth of 2.9 % (World Bank, 2004). Overall, the economic reform plan sets out required strategic interventions to increase agricultural productivity and modernization of agriculture in the next 10 years. However, production is constrained in part by outdated ginneries and limited availability of quality inputs, including seed, fertilizer, and pest control agents. Agriculture. Although the MPPs improved the agricultural productivity of farmers, particularly in the project areas, there were many problems associated with discrimination against small farmers (because of a restrictive credit system that favored big landowners) and tenant eviction. 2. Agriculture is defined as the purposeful tending of animals and plants.It provides: basic food supplies for the population; raw materials like cotton, sugar cane, oil seeds, etc. Resultantly there has been significant uptake of resistant wheat varieties among Ethiopian farmers since 2014. [6] Ethiopia has great agricultural potential because of its vast areas of fertile land, diverse climate, generally adequate rainfall, and large labor pool. Please see below for the market overview and trade data. >. This article is the second in a series that seek to examine the role of agriculture as a developmental opportunity for Africa. Farm Management Practices (Private Peasant Holdings, Meher Season) 2020/21 (2013 E.C.) Their resistance to this change increased when Zemecha members campaigned for collectivization of land and oxen. Ploughing the land using these tools is ambiguous and time-consuming. The Homegrown economic reform plan identified structural and institutional bottlenecks affecting the agricultural sector in Ethiopia. Overview. The Ethiopian Socioeconomic Survey (ESS) is a collaborative project between the Central Statistics Agency of Ethiopia (CSA) and the World Bank Living Standards Measurement Study- Integrated Surveys on Agriculture (LSMS-ISA) team. [2][3][4] Many other economic activities depend on agriculture, including marketing, processing, and export of agricultural products. Peasant associations often were periodically compelled to redistribute land to accommodate young families or new households moving into their area. The agricultural sector is subject to periodic drought, and poor infrastructure constrains the production and marketing of Ethiopia's products. There was much debate as to whether or not these reforms were genuine and how effectively they could be implemented.