Ethiopian Airlines Group and A-e Trade Group, have signed MoU to establish the East African smart logistics and fulfilment hub at Addis Ababa Bole International Airport. The agreement was signed in the presence of Mr. Solomon Begashaw, Global Director, Cargo Sales, and Services, representing Ethiopian Airlines and Mr. Mulualem Syoum, CEO and Chairman of A-e Trade Group at the Headquarters of the African Union Commission on 31 July 2021.
This partnership framework was witnessed by the Commissioner of Economic Development, Trade, Industry and Mining, Ambassador Albert Muchanga and Senior Executives of DHL Global.
Ethiopian, DHL Forwarding (ET/DHL JV) and the African Electronic Trade Group are committed to the establishment of a business relationship to provide end-to end logistics solution in Africa. This partnership will integrate all trade and logistics activities- providing an online E-Commerce Platform, warehouse/fulfilment center, transportation and door to door delivery services. The partnership will help the signatories leverage each other’s resources and facilities to promote affordable services to small and medium size enterprises (SMEs) that create jobs and sustainable economic growth across the continent.
The African Continental Free Trade Area (AfCFTA) that became operational on the 1st January 2021 has the potential of being one of the biggest markets. The Memorandum signed today paves the way to bring added value to this market by unleashing partnerships that enable digital trade and economy to flourish at local, regional and continental levels.
Mr. Mulualem Syoum of A-eTrade Group stated that “Our focus is to stay committed in supporting SMEs to package, brand and ship their “Made in Africa” products in Africa and beyond. In December, we signed an MOU with Ethiopian Airlines which now has an action plan. Thanks to the JV between Ethiopian and DHL, we are pleased today to witness the signing of this Action Plan by the AeTrade Group, Ethiopian and DHL. As part of their corporate social responsibility, Ethiopian Airlines accepted our proposal to support the IATF Youth Pavilion in a generous manner – and we are pleased to announce a discount of 20 percent for passenger and cargo services for all delegates registered in the Trade Fair from AU Member States to South Africa. This is a major boost and confidence in the upcoming Trade Fair and we invite all stakeholders to take advantage of it.”
Mr. Solomon Begashaw, Global Director, Cargo Sales, and Services, representing Ethiopian Airlines remarked that “We are ready to move forward with the regional smart and logistics hub project and believe that it will be a game changer for the continent especially with the implementation of the AfCFTA. For the past 75 years, Ethiopian Airlines has pioneered in the realizing many initiatives and we are pleased to be working with the AeTrade Group to make this project a reality.”
In his concluding remarks, the Commissioner for Economic Development, Trade, Industry and Mining, H.E. Amb. Albert Muchanga, congratulated the two parties for concluding this agreement. He emphasized the importance of public-private partnerships to unlock opportunities for sustainable development, anchored on small and medium enterprises and job creation. “We in this respect see e-commerce accelerating Africa’s sustainable development and the logistics and fulfillment sector is extremely important” he added.
The Ae-Trade Group and Ethiopian Airlines and DHL are already working together to provide services to their customers on the Sokokuu e-commerce platform and this Action Plan expands the strategic partnership beyond the commercial relationship that is already in existence. Further engagements are taking place to establish an inclusive platform for an African Integrated and Fulfilment Initiative with the three organizations as part of the funding members including the African Civil Aviation Commission and the African Union Commission amongst others.
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