Value addition is the key for Ethiopia’s leather industry

22/11/2017
Ethiopia’s Leather Industry Development Institute (LIDI) has said it is working hard to enhance the productivity of the country’s leather industry in an attempt to increase the sector’s export earnings.

Earlier this year, the institute revealed that Ethiopia exported leather and leather products worth $115.4 million during the 2016/17 fiscal year. This figure means the country only achieved 42% of its leather export target for the year. 

Speaking to local media, the institute’s director of corporate communication, Birhanu Serjabo, said it is carrying out research into the problems facing Ethiopia’s leather industry, providing leather training for professionals from technical colleges and universities, and offering consultancy services for companies within the industry.

According to Mr Serjabo, Ethiopia previously exported raw leather and hides with no value addition. Since 2004, it had significantly reduced its exports of raw leather and started to manufacture finished products like jackets, shoes and gloves, he said. 

He explained that Ethiopia has managed to attract foreign investors to its leather industry by exporting processed leather. This will help create jobs for local workers and allow new technologies to be implemented, he said.