Export Procedures in Ethiopia

Introduction

Ethiopia’s export regime in 2025 operates under a structured and regulated framework designed to promote foreign-exchange generation, product competitiveness, and compliance with international trade standards. The system is administered by the Ministry of Trade and Regional Integration (MoTRI), the National Bank of Ethiopia (NBE), and the Ethiopian Customs Commission (ECC)—supported by sector regulators such as the Ethiopian Coffee and Tea Authority, Ethiopian Horticulture Producer Exporters Association (EHPEA), Ministry of Agriculture, and Ethiopian Food and Drug Authority (EFDA).

Ethiopia’s export procedures are built on two strategic objectives:

  1. Facilitation of trade — simplifying export licensing, documentation, and customs processes to enhance competitiveness.

  2. Foreign-exchange control and transparency — ensuring that all export earnings are properly repatriated through the banking system in line with NBE Directive FXD/85/2023 and subsequent amendments.

In 2025, exporters benefit from reforms under the government’s Homegrown Economic Reform (HGER II), which introduced electronic export documentation, simplified customs risk management, and preferential trade arrangements through the AfCFTA, COMESA, and AGOA frameworks. The following section presents Ethiopia’s current export procedures, requirements, and regulatory considerations in a structured, step-by-step format, consistent with current laws and operational practice.

1. Licensing and Registration

Before engaging in export activities, an entity must obtain the necessary business and export authorizations:

  • Commercial Registration and Trade Licence:

    • Issued by the Ministry of Trade & Regional Integration (MoTRI) or regional bureaus under Proclamation No. 980/2016.

    • The licence must explicitly include “export” as a business activity.

  • Tax Identification (TIN) and VAT Registration:

    • Required for all exporters to ensure tax compliance and eligibility for VAT refunds on export sales (exports are zero-rated).

  • Product-specific Registration:

    • For regulated products, exporters must register with relevant institutions:

      • Coffee & Tea Authority – coffee, tea, spices.

      • EHPEA / MoA – horticulture, flowers, and agro-products.

      • EFDA – processed food, pharmaceuticals, and nutraceuticals.

2. Export Contract and Pre-Shipment Requirements

Once licensed, exporters prepare the commercial transaction documents that form the legal and financial foundation of export operations:

  • Sales Contract or Purchase Order: Specifies quantity, price, delivery terms (INCOTERMS 2020), payment method, and delivery timeline.

  • Pro-forma Invoice: Prepared by the exporter for buyer confirmation and as the basis for NBE approval.

  • Export Permit:

    • Issued electronically by MoTRI or the Coffee & Tea Authority depending on the commodity.

    • Requires a valid trade licence, TIN, and pro-forma invoice.

  • Quality Certification and Testing:

    • For agricultural exports, a Phytosanitary Certificate issued by the Ministry of Agriculture is mandatory.

    • For processed goods, Quality Certificates from the Ethiopian Standards Institute (ESI) may be required.

3. Bank Processing and Foreign-Exchange Requirements

Ethiopia maintains a regulated foreign-exchange regime. Exporters must channel all proceeds through authorized banks in line with NBE foreign-exchange directives.

  • Opening of Export Account:

    • The exporter must open an export account with a commercial bank licensed by NBE.

    • The bank issues an Export Registration Number (ERN) linked to the export consignment.

  • Letter of Credit / Payment Arrangement:

    • Common methods include Letter of Credit (L/C), Cash Against Document (CAD), or Advance Payment.

    • The bank validates the pro-forma invoice, verifies buyer credentials, and ensures foreign-exchange settlement terms comply with NBE rules.

  • Mandatory Repatriation:

    • Exporters must repatriate foreign-exchange proceeds within 90 days of shipment (for most goods) or 120 days for longer contracts.

    • A minimum of 70% of the proceeds must be surrendered to the banking system, while exporters may retain 30% in foreign currency for import or operational purposes.

 

4. Customs Clearance and Documentation

The Ethiopian Customs Commission (ECC) oversees clearance of exports through an electronic declaration system. Exporters must submit complete documentation and comply with valuation, inspection, and security requirements.

Core Export Documents:

  • Commercial invoice.

  • Packing list.

  • Export permit.

  • Customs declaration form (CBE-1).

  • Certificate of origin (for preferential trade).

  • Phytosanitary or quality certificates (if applicable).

  • Bill of Lading / Airway Bill.

  • Insurance certificate.

  • NBE export permit (foreign-exchange authorization).

Customs Process:

  1. Declaration Submission: Exporter or customs agent lodges declaration through ECC’s electronic system.

  2. Verification: ECC reviews documents, commodity code, and declared value.

  3. Inspection: Risk-based inspection may be applied (especially for agricultural exports).

  4. Approval and Exit Note: Once cleared, ECC issues an export release note, allowing shipment to proceed.

Exporters must retain all records for five years for post-export audit by the Customs Commission or NBE.

5. Shipment and Logistics

  • Shipments are made through Ethiopian Shipping and Logistics Service Enterprise (ESLSE) or accredited freight forwarders.

  • The exporter must ensure insurance coverage (typically 110% of FOB value) and comply with packaging and labeling standards.

  • For perishable goods, cold-chain logistics coordination is essential; exporters may use Bole Cargo Terminal or Modjo Dry Port depending on product type.

6. Incentives and Duty Drawbacks

Ethiopia offers several incentives for exporters under the Investment Proclamation No. 1180/2020 and related customs regulations:

  • Duty Drawback Scheme: Refund of duties paid on imported inputs used in exported goods.

  • Voucher Scheme: Importation of raw materials without upfront duty, offset upon export.

  • Bonded Warehouse Scheme: Storage of imported materials under customs control for export manufacturing.

  • Export Credit Guarantee and Insurance: Provided through the Development Bank of Ethiopia and private insurers to mitigate payment risk.

7. Post-Shipment Obligations

  • Repatriation Confirmation: Within 90 days, the exporter must provide the bank with evidence of foreign-currency receipt (SWIFT confirmation, L/C settlement).

  • Submission of Export Proceeds Form: The bank submits a confirmation to NBE closing the transaction.

  • Tax and Statistical Reporting: Export sales must be declared for tax and statistical purposes; VAT refunds may be claimed for zero-rated exports.

Failure to repatriate within the prescribed period results in penalties, temporary suspension of export licence, or administrative sanctions by NBE and MoTRI.

8. Regulatory and Legal References

  • Commercial Registration and Business Licensing Proclamation No. 980/2016

  • Customs Proclamation No. 859/2014

  • NBE Directive FXD/85/2023 (Export Proceeds Management)

  • Investment Proclamation No. 1180/2020

  • Coffee & Tea Authority Regulation No. 482/2021

  • EFDA and MoA Export Control Regulations (2023–2024 Updates)

Conclusion

Ethiopia’s export procedures in 2025 balance trade facilitation with stringent foreign-exchange control. While exporters benefit from digital licensing, customs automation, and regional trade preferences, compliance with repatriation, quality certification, and regulatory documentation remains essential.

For exporters, effective management of export permits, banking procedures, and logistics coordination is critical to ensure timely shipment and payment. As Ethiopia deepens its integration into continental and global markets through the AfCFTA and capital-market reforms, export operations—if structured efficiently and compliantly—represent one of the country’s most viable avenues for sustainable foreign-exchange generation and industrial growth.

 

MultiLink Consulting – Export Service  Offer

Export Facilitation, Compliance, and Trade Advisory Services 

Overview

Ethiopia’s export sector is expanding rapidly, supported by reforms in customs automation, digital trade licensing, and regional market integration under AfCFTA and COMESA. However, exporters face complex regulatory and banking requirements — from licensing and product certification to repatriation of foreign-exchange earnings.

MultiLink Consulting bridges these gaps by providing end-to-end professional services that help companies export efficiently, compliantly, and profitably. Our role extends beyond documentation: we provide regulatory interpretation, process management, and strategic advisory grounded in Ethiopia’s trade laws and current 2025 directives.

1. Export Licensing and Regulatory Compliance

  • Export Licence Facilitation – Preparation and submission of export licence applications with the Ministry of Trade & Regional Integration (MoTRI) or relevant regional bureau.

  • Commodity-Specific Registrations – Assistance in registering exporters with specialized authorities:

    • Coffee & Tea Authority (for coffee, tea, spices).

    • Ethiopian Horticulture Producer Exporters Association (EHPEA) and Ministry of Agriculture (for flowers, fruits, and vegetables).

    • EFDA (for processed food, pharmaceuticals, and medical products).

  • Trade Licence Renewal and Compliance – Annual licence renewal, modification of business activities, and trade-status maintenance.

  • VAT & TIN Registration Support – Ensuring exporters are VAT-registered for zero-rated export status and eligible for VAT refund claims.

  • Regulatory Liaison – Communication with MoTRI, EFDA, and sector ministries to resolve procedural issues or obtain special authorizations.

2. Pre-Export Readiness and Quality Certification

  • Export Readiness Assessment – Evaluation of product, pricing, logistics, and documentation readiness to meet international buyer standards.

  • Quality and Standards Certification – Coordination with:

    • Ethiopian Standards Institute (ESI) for conformity certificates.

    • Ministry of Agriculture for phytosanitary and veterinary certification.

    • Coffee & Tea Authority for grading, cupping, and export licensing.

  • Packaging, Labeling, and Compliance Advisory – Ensuring that packaging and labeling conform with destination-market requirements (EU, US, COMESA, etc.).

  • Sustainability and Traceability Compliance – Guidance on export traceability systems, especially for coffee, honey, and organic agricultural products.

3. Export Documentation and Customs Facilitation

  • Export Document Preparation – Preparation and verification of:

    • Pro-forma and commercial invoices

    • Packing lists

    • Certificates of origin

    • Bill of lading or airway bill

    • Export declaration (CBE-1)

    • Insurance and inspection certificates

  • Customs Clearance Support – Coordination with licensed customs agents and the Ethiopian Customs Commission for declaration filing, valuation, and physical inspection.

  • Post-Export Documentation Management – Archiving and submission of all required export records for post-clearance audit (five-year compliance rule).

  • Tariff and Duty Advisory – Classification of goods, valuation, and support for duty-drawback and voucher scheme applications.

4. Banking and Foreign-Exchange Repatriation Advisory

  • Export Account and Transaction Setup – Assistance in opening export accounts and registering transactions with authorized commercial banks.

  • Payment Method Advisory – Structuring and documentation for Letters of Credit (L/C), Cash Against Document (CAD), or advance-payment exports.

  • Proceeds Repatriation Compliance – Advisory on NBE Directive FXD/85/2023 requirements, including 90-day repatriation and 70/30 surrender-retention rule.

  • Bank Coordination – Representing clients with banks for repatriation confirmation, documentation verification, and export file closure.

  • Export Earnings Utilization – Guidance on retention-account management, eligible uses for retained forex, and compliance with NBE’s allocation policies.

5. Export Incentives and Trade Finance Services

  • Duty Drawback & Voucher Scheme Facilitation – End-to-end assistance in preparing refund claims and tracking reimbursement of import duties paid on inputs used for export.

  • Bonded Warehouse Scheme – Advisory and application for bonded importation of raw materials for export manufacturing.

  • Export Credit Guarantee Advisory – Assistance in applying for export insurance and financing from the Development Bank of Ethiopia (DBE) and private insurers.

  • Export VAT Refund Advisory – Preparation and submission of documentation for VAT refund processing with the Ministry of Revenues.

6. Market Entry, Research, and Trade Promotion

  • Export Market Studies – Sector-specific market analysis identifying target countries, buyer segments, pricing trends, and logistics routes.

  • Product Positioning and Branding – Support in packaging, branding, and certification for international competitiveness.

  • Trade Fairs and B2B Representation – Representation of Ethiopian exporters in trade missions, expos, and matchmaking events under AfCFTA and COMESA.

  • Export Partner Search – Identifying and vetting foreign buyers, distributors, or agents for long-term trade relationships.

7. Digital and Procedural Support

  • E-Export Licensing and Permits – Filing through MoTRI’s online trade-licensing system and EFDA eRIS platform.

  • Automation and Record Systems – Designing electronic filing systems for export documentation, customs records, and bank transaction logs.

  • Training on Electronic Single Window (ESW) System – Capacity-building for exporters to use customs and trade platforms efficiently.

8. Legal, Policy, and Compliance Advisory

  • Interpretation of Trade Laws and Directives – Updates and analysis on all new trade, customs, and foreign-exchange laws issued by NBE, ECC, and MoTRI.

  • Contract and Dispute Management – Advisory on international commercial terms (INCOTERMS 2020), arbitration clauses, and risk mitigation in cross-border contracts.

  • AfCFTA and Regional Trade Facilitation – Guidance on origin rules, certificates of origin, and export eligibility under the African Continental Free Trade Area.

  • Regulatory Risk Assessment – Evaluating potential compliance and operational risks before shipment and advising on mitigation strategies.

9. Capacity Building and Export Training

  • Exporter Compliance Training – Custom training sessions for exporters on customs procedures, forex management, and documentation best practices.

  • Export Finance & Risk Management Workshops – Guidance on currency risk, payment delays, and trade-insurance mechanisms.

  • Customs & Logistics Training – Enhancing internal staff skills in customs declaration and trade-document management.

10. Strategic Advisory for Export-Oriented Businesses

  • Export Business Feasibility Studies – Comprehensive evaluation of export potential, value chain competitiveness, and market entry costs.

  • Public–Private Project Advisory – Support for firms participating in government export-led industrialization initiatives.

  • Investment-Linked Export Strategy – Structuring export operations under EIC-registered investment projects to maximize duty exemptions and forex retention benefits.

  • Sustainability and ESG Integration – Advisory on environmental and social standards for export-oriented industries (coffee, floriculture, textiles).

Deliverables per Engagement

Each export advisory engagement with MultiLink Consulting includes:

  1. A Regulatory & Compliance Review Report (MoTRI, NBE, ECC mapping).

  2. A Step-by-Step Export Roadmap (timeline, agencies, documentation).

  3. Bank and Customs Process Support (liaison and document filing).

  4. A Final Advisory Report outlining export-readiness, risk mitigation, and recommendations for improved competitiveness.

Positioning Statement

MultiLink Consulting PLC provides full-spectrum export facilitation and advisory services — from licensing and certification to customs, forex, and market access. We help Ethiopian exporters navigate regulation, reduce transaction risk, and unlock opportunities in regional and global markets through expert compliance management and strategic trade advisory.

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