Addis Ababa Advances Port Diversification to Boost Economic Growth

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ADDIS ABABA — Ethiopia is taking significant steps to diversify its port access in an effort to stimulate economic growth, according to Transport and Logistics State Minister Dange Boru. He made these remarks during a half-day panel discussion organized by Addis Ababa University (AAU) and the Ethio-Logistics Sectorial Association (ELSA) under the theme ‘Ethiopia’s port diversification strategy: opportunities and challenges from a stakeholder perspective’.



According to Ethiopian News Agency, this strategic move aims to enhance Ethiopia’s economic competitiveness, support development, and consolidate its influence in the region. He emphasized the importance of collaboration among stakeholders, including government agencies and the private sector, to invest in necessary infrastructure and forge agreements with neighboring countries for port access.



Experts at the panel also highlighted the critical role of port diversification in ensuring economic growth and enhancing Ethiopia’s bargaining power in international trade. Birhanu Denu, an economics lecturer at Addis Ababa University, pointed out that sustainable access to the sea would boost Ethiopia’s economy, facilitate smoother import-export operations, and reduce external trade barriers. He also noted that alternative ports could serve as a deterrent against security threats.



Additionally, Matewos Ensermu, head of AAU’s President Office, discussed the multifaceted benefits of accessing alternative ports, suggesting that Ethiopia should engage in developing ports, whether unilaterally or in partnership. Elizabeth Getahun, president of the Ethio Logistics and Sectoral Association, echoed the importance of alternative ports for enhancing Ethiopia’s trade competitiveness.



Siraj Abdulahi, Deputy CEO of Ethiopian Shipping and Logistics Maritime Service, stressed that a port is more than just a physical location for goods. He highlighted the necessity of meeting various producers’ requirements, including infrastructure, customs, and transport protocols, to effectively use alternative ports.



The panel concluded with a consensus on the need to expand port options across all corridors of the country to secure lower tariffs and stimulate economic growth in the regional states.