Indian Pharmaceutical Companies Delegation Assessing Invest. Opportunities in Ethiopia

Addis Ababa March 3/2022/ENA/ An Indian delegation representing 47 pharmaceutical companies is in Ethiopia to assess investment opportunities in the country.

Delegation head Deepti Pant told journalists today that the companies represent businesses in the health sector, ranging from medical devices, lab equipment, to manufacturing. Hospital and tele-medicine companies are also included.

The visit will give members of the delegation a chance to explore the Ethiopian market, the head added.

According to her, the delegates will take part in Ethio-Medical Exhibition that opens today with the view to exploring business opportunities in Ethiopia and looking for possible joint ventures and create connections among various stakeholders.

The delegation head invited Ethiopian investors who are looking for joint ventures, medical association members, procurement bodies, and importers to take advantage of the exhibition.

India's Ambassador to Ethiopia, Robert Shentkintong said the bilateral trade between the two countries has reached over 1.1 billion USD.

According to him, some 20 percent of the bilateral trade is in the pharmaceutical sector.

The ambassador, who noted that there are two Indian pharmaceutical companies working in Ethiopia in a joint venture, added that some companies are on the way.

"Soon there will also be an Indian hospital in Ethiopia," which he said will be inaugurated soon.

Ambassador Shentkintong further pointed out that over 400 Indian companies are active in Ethiopia.

Briefing the delegation members about business opportunities in Ethiopia, CADILA Pharmaceuticals Ethiopia PLC General Manager Kanchan Banerjee said there is a big opportunity in Ethiopia for the pharmaceutical sector.

The estimation of the pharmaceutical market in Ethiopia is over half a billion USD and Ethiopia has been importing 85-90 percent of medical related stuff, ranging from medical equipment to medicines, he stated.

With a market of over 110 million people and the availability of a skilled and semi-skilled work force as well as various government incentives, the industry offers a big opportunity for Indian pharmaceutical companies, Banerjee elaborated.

He noted that among the incentives that the Government of Ethiopia offers to investors are 4-10 year tax holiday and import of duty free raw materials, including packaging.

Less duty to COMESA countries and duty-free export of medicines to neighboring Sudan are also among the incentives that investors benefit from.

Moreover, the general manager stated that the availability of up to 50 percent bank loans, with 11-15 percent interest by the local banks to pharmaceutical companies, coupled with other incentives for plants in pharmaceutical parks make Ethiopia a good place to invest in the sector.

Ethiopian News Agency