By Feven Dilnessa
Addis Ababa, (AMECO)– Ethiopia is intensifying efforts to transform its horticulture sector by attracting greater private sector investment, with government officials calling on domestic and international investors to capitalise on the country’s agricultural potential and expanding export markets.
According to the Ministry of Agriculture, horticulture has become one of Ethiopia’s fastest-growing agricultural sub-sectors, playing a key role in generating foreign exchange, creating employment, and supporting broader economic transformation.
Solomon Kebede, plant protection lead executive officer at the Ministry of Agriculture, noted that national agricultural development strategy relies on an inclusive model that places private enterprise at the centre of long-term sector expansion.
“Ethiopia possesses significant comparative advantages for horticultural production, including extensive fertile land, diverse agroecological zones, favourable climatic conditions, and an expanding workforce,” Kebede said.
Strengthening Value Chains and Market Access
The government is working to improve the investment climate by strengthening policy support, expanding technical services, and promoting collaboration across the horticulture value chain. Partnerships between smallholder farmers, commercial investors, exporters, and state institutions are driving ongoing improvements in production, processing, and international market access.
Increasing private sector participation aims to:
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Accelerate agricultural modernization and logistics infrastructure.
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Promote technology transfer across commercial farms and outgrower schemes.
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Enhance global competitiveness by meeting international quality standards.
By integrating large-scale commercial investment with organized smallholder participation, Ethiopia aims to boost production capacity while ensuring economic benefits are shared widely across rural communities.
Revenue Performance and Employment Impact
According to official Ministry of Agriculture performance reports, the horticulture sector generated $490 million in export revenue during the 2025/26 fiscal year. Cut flower exports accounted for the vast majority of revenue at $412 million, while vegetable and fruit exports contributed $57 million and $21 million, respectively.
The industry currently supports an estimated 200,000 direct and indirect jobs across production, processing, logistics, and export services—with women comprising over 80% of the farm-level workforce.
With continued policy backing, expanding private capital, and stronger value-chain partnerships, officials remain confident that Ethiopia’s horticulture industry is well positioned to remain a primary driver of national export growth.
