Ethiopia has inaugurated a new cold storage facility dedicated to fruits, vegetables, and animal products, as part of efforts to reduce post-harvest losses and strengthen food supply chains. The infrastructure was officially opened on January 27, in Addis Ababa, according to local outlet Fana Media Corporation.
The project required an investment of 1.7 billion birrs, or about $10.9 million, and was developed by the Ethiopian Trading Business Corporation, a state-owned company responsible for supplying the domestic market with selected agricultural and industrial products sourced locally and internationally.
Built on a 1.14-hectare site in the Akaki Kality area, the facility includes a large cold chain complex and a ten-story multifunctional building designed to support integrated commercial and logistics operations. Data from the Ministry of Trade and Regional Integration show that the storage hub can hold more than 2,000 tons of fruits and vegetables, as well as 1,000 tons of animal products.
In a statement published on its website, the Ethiopian Trading Business Corporation said the infrastructure is expected to play a key role in reducing post-harvest losses and spoilage, stabilizing markets, and preserving product quality. The goal is to ensure that fresh produce and animal products reach both local consumers and export markets under better conditions.
Post-harvest losses remain a major challenge in Ethiopia. A 2024 report from the Ministry of Agriculture showed that 38% of the country’s annual fruit and vegetable production was lost between 2017 and 2021. The losses generated an estimated shortfall of 21.35 billion birrs, or about $137 million, per year over that period. Beyond the economic cost, the issue is a significant driver of food insecurity.
The report also highlighted the vulnerability of smallholder farmers, who often lack access to proper storage technologies. As a result, they are forced to sell their produce immediately after harvest at low prices, only to repurchase food later in the season at much higher prices. This cycle contributes to higher food insecurity in rural areas, estimated at 80%, compared with 20% in urban zones.
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