The Journey of Ethiopian Coffee and Tea: From Yesterday to Today

Coffee holds an incredibly high place in the social and economic life of our world. In the modern era, coffee has become a product of technology and science, serving as a raw material for food, medicine, and various industrial products. Millions of people around the globe are engaged in the coffee development and trade sectors. In Ethiopia, this crop plays a vital role in the economy and, much like in other nations, has received special attention for centuries.

The Ethiopian coffee sector did not reach its current status overnight. Rather, one must look at the various structural changes and milestones it has undergone through different government administrations over more than half a century.

The first attempt to manage coffee systematically began in 1957 with the establishment of a Coffee Department under the Ministry of Agriculture. However, due to the expanding scope of work, the "National Coffee Board of Ethiopia" was established a year later by Decree No. 25/1958.

The Board’s primary objectives were:

• Improving the quality and flavor of Ethiopian coffee supplied to the global market.
• Implementing a coffee grading and classification system.
• Reducing post-harvest loss by improving the management of coffee plants.
• Providing consultancy services to producers and traders.

2. Coffee Processing and Development Corporation (1976)

After 18 years of operation, the Coffee Board was reorganized under a new structure in 1976 as the Coffee Processing and Development Corporation. Beyond fulfilling previous duties, this corporation was given direct authority to purchase, process, and export coffee. During this period, significant emphasis was placed on strengthening farmers' associations and distributing disease-resistant coffee varieties.

3. Coffee and Tea Development and Marketing Authority (1978)

In view of Ethiopia's desire to expand tea development, the "Coffee and Tea Development and Marketing Authority" was established in September 1978. This body was granted superior authority over development, quality control, procurement, and trade. The organization played a major role in introducing modern agricultural practices to farmers' fields.

4. Ministry of Coffee and Tea Development (1979)

On May 17, 1979, the Authority's structure was elevated to the level of a Ministry. This gave the coffee and tea sectors a significant voice in the country's policy-making process. The Ministry carried out major initiatives to improve the living standards of producers, increase production volume, and boost foreign exchange earnings.

5. Ministry of State Farms and Coffee and Tea Development (1993)

Following economic shifts in 1993, the State Farms and the Coffee and Tea Development sectors were merged into a single organization. This office was tasked with the broad responsibility of making state farms profitable and delivering agricultural extension services to farmers.

6. Ethiopian Coffee and Tea Authority (Current Institution)

The Ethiopian Coffee and Tea Authority, in its current form, was re-established in December 2015. While the institution has undergone various structural changes over time, it took its current shape as an autonomous authority based on the following:

• Establishment Proclamation: Proclamation No. 927/2016.
• Objective: To oversee the development and marketing of coffee, tea, and spices; to improve product quality; and to increase the country's foreign exchange earnings from the sector.

To further strengthen the sector's focus and create operational efficiency, the institution was reorganized at the Authority level. This office has achieved remarkable results in recent years.

• Growth in Foreign Exchange: For the first time in Ethiopian history, coffee export earnings exceeded $1 billion, securing significant foreign currency for the country.
• Quality and Market Linkage: By improving coffee quality and implementing Vertical Integration, the Authority ensured farmers receive fair prices and increased the number of exporters.
• Tea and Spices Development: Extensive work has been done beyond coffee to increase the productivity of tea and spices for the export market.
• Digitalization: The Authority has ensured transparency and efficiency by modernizing the coffee trading and quality control systems through technology.

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