Tanzania and Ethiopia Seal Trade Deals

Tanzania and Ethiopia this week signed bilateral agreements targeting agriculture, trade, energy and air transport and aviation technology exchange.

Tanzanian President Samia Suluhu Hassan and Ethiopian Prime Minister Abiy Ahmed witnessed the signing of agreements to enhance trade between their countries.

The Ministry of Foreign Affairs and East African Cooperation reported that the two leaders aimed to strengthen trade and bilateral relations, creating new trade opportunities between Tanzania, with a population exceeding 61 million, and Ethiopia, with a population exceeding 100 million.

Tanzanian Minister for Foreign Affairs and East African Cooperation, January Makamba, highlighted that the Memorandums of Understanding (MoUs) would facilitate new markets, investments, and trade in key sectors, particularly in coffee and tea.

Ethiopia is renowned for its coffee and tea production, while Tanzania’s tea and coffee are also popular. Therefore, accessing markets together was emphasized as a crucial aspect of the bilateral agreements during this visit.

Ethiopia is a leading coffee producer in Africa and the largest coffee consumer in Eastern Africa. Collaboration between Tanzania and Ethiopia extends to the aviation sector, with 75 pilots and 25 engineers from Tanzania receiving training in Ethiopia between 2016 and 2023. Additionally, Ethiopian Airlines and Air Tanzania have engaged in joint commercial operations.

The two countries agreed to cooperate in power generation through technology exchange under the East African Power Pool program. Tanzania sought expertise from Ethiopia to assist in establishing hydroelectric power stations, irrigation systems, and land use technology to enhance electricity production, crop yields, and quality livestock products.

Furthermore, both nations committed to combatting human trafficking involving Ethiopian nationals. Tanzania has worked with Ethiopia and international immigration bodies to dismantle human trafficking networks. Tanzania has served as a transit route for illegal immigrants from Ethiopia attempting to reach Southern African countries for economic opportunities.

Several Ethiopian nationals have been intercepted in Tanzania while en route to South Africa and other Southern African states, often traveling in cargo trucks or empty oil tanks.

Prime Minister Abiy’s visit to Tanzania began on Thursday and was scheduled to conclude on Saturday.