Ethiopia unveils investment guide to unlock livestock and fisheries potential

ETHIOPIA – A new investment handbook launched by the Ethiopian government on 13 May 2025 has set the stage for unlocking the vast economic potential of the country’s livestock and fisheries sectors, two of the most underutilised yet promising engines of growth in Ethiopia’s economy.

The handbook, unveiled at a ceremony held at the Haile Grand Hotel in Addis Ababa, is the result of a collaborative effort led by the Ministry of Agriculture and the International Livestock Research Institute (ILRI), with contributions from several other national institutions. 

It lays out a comprehensive roadmap for transforming Ethiopia’s rich biological resource base into thriving industries capable of boosting food security, nutrition, employment, and export revenue.

Ethiopia has the largest livestock population in Africa, comprising over 70 million cattle, 52.5 million goats, 42.9 million sheep, and 8.1 million camels. These figures underscore its formidable capacity for producing meat, milk, eggs, and fish. 

According to the government’s 10-year agricultural transformation plan, Ethiopia aims to produce 28.4 billion litres of milk, 1.7 million tons of meat, 5.5 billion eggs, and 260,000 tons of fish by 2030.

“Ethiopia is one of Africa’s leading countries in livestock population and aquatic resources,” said Dr. Sofia Kassa, State Minister for Agriculture. 

“Demand for animal-source foods is growing both at home and globally, offering vast potential for investment, export and jobs. Despite this potential, our sector still faces hurdles such as low productivity, poor infrastructure, weak access to finance and fragmented value chains.”

Key challenges highlighted include inadequate cold chain infrastructure, a lack of modern processing facilities, limited quality control systems, and the dominance of smallholder production. These factors have hindered productivity and discouraged large-scale private investment.

A practical guide for investors

The newly launched Ethiopian Livestock and Fisheries Investment Handbook aims to address these constraints by providing investors with detailed guidance on business opportunities, investment incentives, legal frameworks, and institutional support.

“This handbook is not just a report; it is a practical investment guide mapping out real business opportunities across the livestock and fisheries value chains,” Dr. Sofia said during the launch. “It highlights investment incentives, policy support, and how private actors can engage profitably and sustainably.”

The handbook outlines priority areas for investment, such as dairy, beef, poultry, aquaculture, and livestock feed production. In particular, feed and hay production has been flagged as a major area of opportunity, given the country’s current feed supply deficit. 

Investors are being encouraged to venture into commercial forage production, hay and silage making, and mechanised feed development using high-yield varieties and irrigation.

Robust incentives to attract investors

To attract both domestic and foreign investors, the Ethiopian government has introduced a suite of enabling measures. These include Investment Proclamation No. 1180/2020, the establishment of a one-stop service centre, and the creation of a movable collateral registry. 

Additional incentives include access to loans through the Development Bank of Ethiopia, land allocation through regional governments, income tax holidays, duty-free import of capital goods, and competitive land lease rates.

“These efforts are aligned with national goals to modernise and commercialise livestock farming across the country,” the state minister noted.

The handbook was developed with input from the Ministry of Trade and Regional Integration, the Ethiopian Institute of Agricultural Research (EIAR), and the Oromia Agricultural Research Institute (IQQO), among others. 

It targets a wide range of stakeholders, from private investors to policymakers and development partners, offering them the tools to mobilise investment, form partnerships, and build sustainable businesses.

“Research must continue to develop new production approaches that improve efficiencies,” said Dr. Namukolo Covic, ILRI’s director general representative to Ethiopia. “Let this handbook be a living document that must be updated regularly as you generate innovations, technologies, and production practices across entire value chains.”

With its strong policy backing, scientific foundation, and investor-friendly roadmap, the Ethiopian Livestock and Fisheries Investment Handbook marks a significant milestone in Ethiopia’s efforts to transform its agricultural sector into a dynamic pillar of economic growth and resilience.

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