Ethiopia opens $30 million cold storage hub to boost agricultural trade

Feyisayo Ajayi
Feyisayo Ajayi - Head of Digital strategy and growth
Ethiopia

Ethiopia, Africa’s oldest independent nation, has inaugurated a $30 million cold storage facility in Addis Ababa, marking a major step toward strengthening its agricultural value chain and reducing post-harvest losses.

Developed by the Ethiopian Trading Business Corporation, the facility is located in the Akaki-Qaliti Sub-City and is designed to improve storage, distribution, and overall market efficiency for agricultural products.

Strengthening food supply chains

The new infrastructure can store more than 20,000 quintals of fruits and vegetables, alongside up to 10,000 quintals of animal products at any given time, significantly enhancing Ethiopia’s capacity to preserve perishable goods.

Spanning over 11,400 square meters, the facility features a large-scale temperature-controlled storage complex and a ten-storey multipurpose building to support integrated trade and logistics operations.

The project is expected to reduce post-harvest waste, one of the biggest challenges facing Ethiopia’s agricultural sector, while improving product quality and ensuring a more consistent supply to markets.

Driving price stability and farmer income

By extending the shelf life of produce, the facility enables farmers to avoid distress sales immediately after harvest, a long-standing issue driven by inadequate storage infrastructure.

Improved storage capacity is expected to help stabilize domestic food prices by ensuring steady supply throughout the year, while strengthening market linkages between producers and consumers.

Kassahun Gofe, Minister of Trade and Regional Integration, said the government is prioritizing the expansion of modern logistics systems to improve supply chain performance across storage, distribution, and transportation.

Supporting trade reforms and exports

The project aligns with Ethiopia’s broader trade reform agenda aimed at enhancing competitiveness in regional and global markets.

Authorities are working to build a more transparent and efficient trade framework, with the Ethiopian Trading Business Corporation expected to play a central role in implementing these reforms.

Located in Addis Ababa, a key consumption hub and major air freight gateway, the facility is strategically positioned to support both domestic distribution and export logistics.

Expanding cold-chain infrastructure

The cold storage hub forms part of a wider national push to develop cold-chain and logistics capacity, as Ethiopia seeks to improve the handling and movement of agricultural products from farms to markets.

While the project marks a significant milestone, sustained investment across the entire cold chain, from production zones to export terminals, will be critical to fully unlocking the country’s agricultural export potential.

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