Ethiopia

A weak rule of law means that Ethiopia is ‘repressed’ for economic freedom. Civil war has had a negative impact on output, but economic development has remained resilient, largely owing to a sound agricultural sector, although inflation remains very…

Since the outbreak of COVID-19, there has been a behavioural shift in most consumers, in the sense that they have become more aware of hygiene and sanitation. However, in 2022, many categories are now being impacted by the global inflation rates…

Consumer health witnessed strong growth in current value terms in 2022, largely fuelled by a high rate of inflation. Despite seeing solid GDP growth in 2022 the country faces numerous challenges including civil war, albeit a ceasefire was achieved in…

Consumption of soft drinks continues to steadily grow in Ethiopia even though the country has faced major setbacks in terms of political stability, the COVID-19 pandemic and global inflation rates, and fuel price hikes. Urbanisation and population…

Coffee dominates retail volume sales of hot drinks in Ethiopia. Coffee has a long history in Ethiopia and is regularly consumed by most adults. Retail volume sales of coffee continued to expand in 2022, with the economic shock of the pandemic having…

In 2022 tissue and hygiene products are experiencing growth in value sales due to inflation, further supported by population growth, rising income levels, and urbanisation. However, category performance remains inhibited by widespread poverty,…

Retail volume sales of staple foods in Ethiopia are dominated by bread, with rice accounting for most of the remainder. Demand for breakfast cereals, processed meat, seafood and alternatives to meat and particularly processed meat and vegetables…

Ethiopia’s tobacco industry is dominated by the previously state-owned tobacco company National Tobacco Enterprise Ethiopia, which generates its revenues entirely from sales of cigarettes. While retail volume sales of tax-paid cigarettes are rising,…

Amid the COVID-19 pandemic, health protocols had to be implemented altering the shopping experience of Ethiopians. The use of masks and social distancing among consumers and staff were strictly enforced in stores. The pandemic and the war in Tigray…

The economic shock of COVID-19 led to a sharp slowdown in the rate of growth in retail volume sales of snacks during 2020, and this sluggish performance persisted in 2021. However, in 2022, recovery is slowly starting to be seen. Demand for packaged…

Alcoholic drinks recorded robust growth in 2021 after volume sales fell in 2020 due to the impact of the COVID-19 pandemic and excise tax increases. Expanding local production, especially in wine and beer, has supported sales growth by offering…

Beauty and personal care products are common household items among Ethiopian families. Bath and shower, and hair care products are the leading categories and these products are widely available, with most of the population aware of the various types…

Cooking ingredients and meals in Ethiopia saw the strongest rate of retail value sales growth in over a decade during 2022 mainly due to high inflation. Edible oils account for the bulk of overall sales. As an essential product it was not adversely…

While the COVID-19 pandemic has had little impact on demand for dairy and alternatives, not least due to the effective management of the spread of the COVID-19 virus in Ethiopia, widespread civil unrest marred Ethiopian society for much of 2021 and…

The commodities country overview provides comprehensive data on production, consumption and price trends in key commodities markets. The commodities overview in Ethiopia covers production and consumption trends in agricultural commodities, energy…

The number of households is set to increase rapidly in Ethiopia over 2021-2040, with couples with children remaining the dominant household type. Household earnings have already recovered from the COVID-19 impact, and the fastest household…

Ethiopia’s consumer income is expected to more than double over 2021-2040, yet remain among the lowest globally. Consumer market development is set to be constrained by persisting inequalities, with discretionary spending remaining subdued due to the…

Ethiopia ranks among the bottom third countries globally in the Economic Freedom Ranking, struggling with an unfavourable business environment, soaring skills shortages and underdeveloped infrastructure. However, as one of the largest African…

Mekele and Hawassa are Ethiopia’s most economically vibrant cities. The cities’ economic strength is partially supported by higher consumer expenditure, compared to the other Ethiopian cities. Nevertheless, Dire Dawa holds the highest potential for…

Due to prevailing civil war in Tigray, Ethiopian economic growth slowed down in 2021, with rising inflation, stagnating industrial activity and increasing public debt. Rising military expenditure and suspension from trade agreements constrained…