ethiopian sesame seed supply scenario - igoc
TRANSCRIPT
Derived by Mr. Haile Berhe
President of EPOSPEA
Ethiopian sesame seed supply scenario
October, 2019
1. Ethiopian Sesame Major facts
2. Ethiopian Sesame Production and
Marketing
2.1 Sesame producing areas
2.2 Ethiopian Sesame Market
3. Ethiopian Sesame Inventory
4. Current Situation on Ethiopian Sesame
5. Challenges of the sector
EPOSPEA
Outlines
Ethiopia has diversified agro ecological zone that
enables the country to be the land of crops diversity .
With a total area of 1.12 million sq.km. more than 96
Million population, agriculture takes the lion’s share
from national GDP (41% of National GDP)
Sesame is the 2nd largest export earning after coffee;
The 4th largest sesame seed producing country in the
world;
EPOSPEAEPOSPEA
ETHIOPIAN SESAME MAJOR
FACTS
Amhara, Tigray, and Oromia and regions are the main
producing regions
SNNP, Gambela, and Ethiopian Somali are also
Emerging producing regions;
Engages about 3 million small, medium and large scale
farmers;
Ethiopian origin sesame seed is naturally organic and
healthy for human consumption;
EPOSPEAEPOSPEA
ETHIOPIAN SESAME MAJOR
FACTS
Ethiopian Sesame Production
0
50,000
100,000
150,000
200,000
250,000
300,000
350,000
400,000
450,000
500,000
299,724
420,491388,246
322,177
400,000
500,000
292,742 297,293
335,528
270,000
315,907
280,000
Area
Coverage
(Hectars)
EPOSPEAEPOSPEA
ETHIOPIAN SESAME
PRODCUTION AND
MARKETING
No_ Region 2019/20 Coverage area in hectare
1 Tigray 315,760
2 Amara 220,303
3 Benishangul 68,624
4 Oromia 54,238
5 SNNPR 27,211
Total 686,136
EPOSPEA
Association’s Survey on
sesame seed coverage
2019/20 sesame
production pictures
1. Tigray. Ligudu
2. Amhara. Metema
3. Tigray. Wolkait
ETHIOPIA
Sesame producing areas.
Gondar
Humara
Wollega
Sesame Production Areas
28%19%
40%
7%
Sr. no Regions
Production in
Tons %
1 TIGRAY REGION 129,493.25 40%
1.1Western Tigray 114,030.18 35%
1.2North Western Tigray 13,550.08 4%
1.3Central Tigray 1,587.90 0%
1.4South Western Tigray 325.09 0%
2 AMHARA REGION 92,060.68 28%
2.1West Gonder 71,062.48 22%
2.2Central Gonder 13,544.16 4%
2.3West Gojjam 2,778.43 1%
2.4Awi 4,674.43 1%
3 BENISHANGUL-GUMUZ REGION 62,604.40 19%
3.1Metekel 34,176.98 11%
3.2Kemashe 22,502.36 7%
3.3Assosa 5,142.51 2%
4 SNNPR 20,000.00 6%
5 OROMIA REGION 17,824.80 5%
5.1East Wollega 10,296.86 3%
5.2Horo Gudru 7,305.13 2%
6%
( Source: EPOSPEA survey)
Structure of ISAs
Sesame Seed ECX Traded 2016/17 Vs. 2017/18. (E.C. New Season )
Average domestic price from Nov,2018- July,2019 increases by 26 %.
Average domestic trade volume from Nov,2018- July,2019 shows a decrease of 22%
Months
ECX TRADED 2017/18 ECX TRADED 2018/19
% Change of Price % Change of
Volume Volume in Ton
Average price in
USD/ton Volume in Ton
Average price in
USD/ton
November
56,894.26 1,135.98 50,099.68 1,697.3249% -12%
December
66,764.48 1,199.28 39,239.57 1,591.3233% -41%
January 39,269.47 1,345.53 32,004.30 1,559.51 16% -19%
February 28,929.46 1,369.92 26,749.40 1,640.40 20% -8%
March29,214.52 1,051.64 23,500.00 1,660.00 58% -20%
April10,759.56 1,426.85 19,435.79 1,818.80 27% 81%
May9,429.31 1,491.96 8,902.27 2,182.56 46% -6%
June6,479.50 1,653.35 5,760.18 2,105.21 27% -11%
July 3,694.68 1,430.00 9,279.81 2,149.00 60% 33%
Eight Months Total
251,435.24 1,344.95 205,691.19
1,822.68
-22% 26%
Ethiopia Sesame seed Export performance
222,705.00
270,234.00 292,298.00
393,968.00
280,473.00 309,548.35
228,214.88
-
50,000.00
100,000.00
150,000.00
200,000.00
250,000.00
300,000.00
350,000.00
400,000.00
450,000.00
Export Trend From (2012/13-2018/19).
Export volume in Tons
Monthly Export performance of 2018/19
Months
Export performance 2018/19
Volume
Ton
Value in
USD‘000s
Average price
in USD/ton
July 14,876.95 22,729.11 1,527.81
August 12,478.98 18,863.03 1,511.59
September 7,684.03 11,401.38 1,483.78
October 5,223.99 7,926.71 1,517.37
November 21,918.73 34,937.89 1,593.97
December 26,030.23 42,805.57 1,644.46
January 23,800.00 38,267.88 1,607.89
February 23,207.28 36,771.65 1,584.49
March 30,876.90 48,804.93 1,580.63
April 26,851.00 43,349.00 1,614.43
May 20,365.00 33,440.00 1,642.03
June 14,899.00 25,357.33 1,701.95
Total 228,212.09 364,654.48 1,584.20
Dailey sesame price New crop
3500
4000
4500
5000
5500
6000
6500
7000
10/17/2018 11/30/2018 01/14/2019 02/26/2019 04/10/2019 05/30/2019 07/12/2019
Total
Daily
Closing
Price
Shortage of hard currency
Export performance – precondition for bank loan
and Forex permission
Number of new entrant/s
Market manipulation of suppliers
Uneven Stock arrival at ECX
EPOSPEAEPOSPEA
WHY IS THE ECX DAILY
PRICE BECAME ERRATIC?
New Crop Sesame seed 2018/19 Export performance in comparison with 2017/18 ( E.C)
Months
Export performance 2017/18 Export performance
2018/19 % change
in price
Volume
Difference (Last
Year - This Year)Volume
Ton
Average price
in USD/ton
Volume
Ton
Average
price in
USD/ton
November 34,874.90 1,211.68 21,918.73 1,593.97 32% -37%
December 54,934.92 1,271.58 26,030.23 1,644.46 29% -53%
January 30,673.35 1,341.09 23,800.00 1,607.89 20% -22%
February 33,116.84 1,378.88 23,207.28 1,584.49 15% -30%
March 29,440.32 1,361.41 30,876.90 1,580.63 16% 5%
April 19,282.03 1,385.46 26,851.07 1,614.43 17% 39%
May 9,988.03 1,380.89 20,364.90 1,642.06 19% 104%
June 15,820.08 1,424.10 14,899.00 1,701.95 20% -6%
July 14,876.95 1,527.81 10,026.38 1,700.45 11% -33%
August 12,478.98 1,511.59 11,412.00 1,635.12 8% -9%
10 months Total 255,486.39 1,379.45 209,386.49 1,630.55 18%-18%
ECX Traded from Oct/2018- to September 26
/2019 228,364 tons
Inventory on the hands of producers and
Suppliers 5,000 tons
New season sesame export performance(
Nov,2018- August,2019) 209,390 tons
Inventory on the hand of Exporters-New Crop
& Carry Over 40,000 tons
Total Current Inventory 45,000 tons
EPOSPEAEPOSPEA
ETHIOPIAN SESAME
INVENTORY
Export Performance Trend by major Export destinations
25% 22% 12% 8% 7% 5% 5% 4% 2% 2% -
10,000.00
20,000.00
30,000.00
40,000.00
50,000.00
60,000.00
70,000.00
Israel China United Arab
Emirates
Viet Nam Japan Singapore Turkey Saudi Arabia Yemen Jordan
2018/19 top ten destination
Volume in Ton
%Share of Volume
Export Performance Trend by major Export destinations
190,000.00
261,000.00
152,000.00 127,000.00
51,000.00
2014/15 2015/16 2016/17 2017/18 2018/19
1st. China
49286.634
54245.972
49129.604
65825.5
57967.28
2014/15 2015/16 2016/17 2017/18 2018/19
2nd Israiel
Ton
Cont…
11,035 12,704 12,388
21,751.50
11,026.00
2014/15 2015/16 2016/17 2017/18 2018/19
3rd Turkey
Ton
904.86 4,616.76
18,978.82 14,958.92
28,438.84
2014/15 2015/16 2016/17 2017/18 2018/19
4th UAE
Ton
High purchasing price locally
Unpredictable demand
Export performance – prere-quisite for
Bank loan and Forex
Easy to enter in the market
Decliningproductivity
Default - a problem both for the
exporters and buyers
.
EPOSPEAEPOSPEA
Bottlenecks of the business
9th Annual International Conference on Pulses and Oilseeds.
Sheraton Addis HotelAddis Ababa
Ethiopia.
THANK YOU FOR YOUR ATTENTION
Mr. Haile Berhe
President of Ethiopian Pulses, oilseeds and Spices Processors Exporters
Association
Email: [email protected]
Mobile : +251-929-90-53-04