Allana's Solution To Africa's Future Needs
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Building Ethiopia's Agri-Scape…..Allana's Solution To Africa's Future Needs
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A Case For Ethiopian PPP In The Danakhil
There exists today an opportunity for the Ethiopian government to partner with the emerging potash development occurring in the Danakhil of Afar, and thereby ensure the nation and region it’s own source of potassic fertilizer, both MOP & SOP, to help fuel the agricultural evolution underway. The exponential value of every ton of domestically sourced potash can be measured directly through corporate taxes, royalties, equity stakes, and indirectly through jobs, income taxes, supplier corporate and income taxes, rail and fuel fees and taxes and retention of valuable foreign exchange, while obtaining outside income through export by way of the port of Tadjourah and inter-regional trade.
Ethiopia holds great promise to become the supplier of this valuable input in tandem with improvements on other important facets of the GTP and Millenium goals, and with it’s own source of MOP and SOP, is no longer held back by the monopolistic pricing strategies of the current cartels. The sooner Ethiopia and Africa break free from dependence on foreign agricultural input suppliers. the more accelerated the transformation can become, and sooner there will be enough for all and the distribution, finance, logistics and trade liberalization to sustain it as markets mature.
It would be a bold and progressive move on the part of Ethiopia’s government, perhaps with the assistance of developmental aid agencies, sovereign wealth funds, World Bank, IFC, IMF and/or others, to grasp and forward the agenda at this point while there is still an opportunity while the resource is not yet producing. The chance to take control of the agenda may soon be gone once the offtakes are signed and production is started.