Ethiopia is currently challenged by poor growth performance of micro and small scale manufacturing industries and delay in the implementation of large manufacturing projects, all contributing to the slow growth the sector. Manufacturing sector  contributes to less than 5% of the GDP while the export share of manufacturing sector to total merchandise export has remained at about 10% on average.

The Greening of Ethiopian Manufacturing(GEM) project is envisioning major opportunities for Ethiopian manufacturing industries in the ‘green market segment’ to inherit a chunk of the light manufacturing industries currently fleeing rising costs in china. This applies to natural fiber cotton, wool, silk manufacturing, man made fiber manufacturing and garment manufacturing industries, leather industries, organic food, handicrafts etc.

Project Implementer

  • INOA


Project Duration

  • 40 months

Project Finance

  • European Union (EU)

Project Objectives

  • Support Ethiopian micro and small scale manufacturing industries in adoption of SCP practices and seizing green growth opportunities.

Specific objectives

1) To conduct assessment of most promising green growth manufacturing industries in Ethiopia;
2) To launch 3 pilot green manufacturing clusters and develop their action plans;
3) To implement actions for green- growth reorientation of MSME’s within pilot clusters, build their capacity on SCP practices and contribute to their increased sales and job creation;
4) To facilitate SCP practice-based collaboration among key stakeholders with in each cluster’s value chain and disseminate lessons learned.

Target Groups

Industries, including those in the informal economy
1) Over 120 MSME’s in Ethiopia manufacturing
2) MSME support organizations, institutes, university & other organizations;
3) MSME’s business partners, such as buyers, ties, retailers etc.

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