Ethiopia’s agriculture sector is playing an increasingly pivotal role in driving the country’s economic development. In a recent performance review attended by top government officials, including Prime Minister Abiy Ahmed, the country’s progress in agricultural productivity and food security was brought to the forefront as a central pillar of national growth.
Over the past nine months of the Ethiopian fiscal year, significant achievements have been recorded in both crop and livestock production. A major highlight of the Meher farming season was the successful cultivation of 20.5 million hectares of land an expansion of 3 million hectares from the previous year. This increase in cultivated land has translated into substantial output gains, particularly in wheat production. With a total yield of 15.2 million tonnes of wheat, the country has marked a major leap in its journey toward agricultural self-sufficiency and reduced reliance on imports.
This growth in the agricultural sector is not only vital for domestic food security but also forms a substantial component of the national economy. It is projected that agriculture alone will contribute 6.1 per cent to the nation’s overall economic growth, which is targeted at 8.4 per cent for the fiscal year. This projection indicates the sector’s growing strategic value in Ethiopia’s broader development agenda and its potential to accelerate economic transformation.
Beyond crop cultivation, Ethiopia has also witnessed progress in the livestock sector, bolstered by the government’s “Bounty of the Basket” initiative. This program has led to notable increases in the production of key animal products such as milk, eggs, poultry, honey, and fish. These outputs are essential not only for nutritional diversity but also for strengthening rural incomes and livelihoods.
The growth in livestock production has had ripple effects on the national economy by contributing to lower food prices and improved access to essential food items. These trends have helped ease the cost of living for many Ethiopians and provided a buffer against inflation, especially in urban areas where food price volatility often has a direct impact on household budgets.
In addition to its domestic benefits, the agriculture sector has also contributed significantly to Ethiopia’s foreign exchange earnings. Over the past nine months, agricultural exports have generated $2.6 billion in revenue. This figure reflects the growing importance of agriculture as a key export driver, particularly through the trade of coffee, oilseeds, pulses, and horticultural products. These exports are not only vital for earning foreign currency but also for integrating Ethiopian farmers into global markets.
The continued emphasis on expanding agricultural land, improving productivity, and modernizing farming techniques signals a strong commitment to transforming Ethiopia’s rural economy. With ongoing investments in infrastructure, irrigation, research, and market access, the agriculture sector is poised to sustain its momentum and remain a cornerstone of the country’s economic strategy.
Looking ahead, the performance of the agriculture sector offers a hopeful outlook for Ethiopia’s development trajectory. It underscores the critical role that well-managed agricultural policies and programs can play in boosting economic resilience, reducing poverty, and ensuring food security for millions across the country.