Ethiopia
Sub-Saharan Africa
Discover more about the Ethiopia market. Events, resources, and more are linked throughout the profile.
118M
Ethiopia's population exceeds 118 million people
2nd
Largest population in Africa, after Nigeria
$20M
U.S. processed food exports to Ethiopia in 2024
Market Overview
Focus Economics reports that Ethiopia has been one of the fastest-growing economies globally over the past two decades, with annual GDP growth averaging around 8%–10%. The government's state-led development model has prioritized infrastructure, industrialization, and agricultural modernization. However, recent years have seen economic turbulence due to political instability, the Tigray conflict, and foreign exchange shortages.
According to Euromonitor, GDP growth was 6.5% in 2023 and rose to 6.8% in 2024. The GDP forecast in Ethiopia for 2025 is 7.1%.
Economic Challenges
- Political instability and debt burden: The Tigray war and ethnic conflicts have disrupted trade and investment
- Foreign exchange shortages: Severe foreign exchange shortages make imports more expensive
- Elevated inflation: Inflation remains elevated, straining consumer purchasing power
U.S. processed food exports to Ethiopia reached US$83.8 million in 2023, ranking it second after South Africa. In 2024, exports dropped 81% to US$20 million.
Top U.S. Processed Food Exports (2024)
- Food Preparations and Ingredients
- Fats and Oils
- Snack Foods
- Chocolate and Confectionery
- Processed/Prepared Dairy Products
- Non-Alcoholic Beverages
Retail Sector
$7.7B
Projected retail sales in 2024
90%
Independent grocers market share
$21.8B
Projected sales by 2029
High Growth Product Categories
Important: All imports must be channeled through Ethiopian nationals registered with the Ministry of Trade and Industry. Foreign exchange access is a major challenge for importers.
Additional Market Data
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