How Ethiopia Aims to Transform Its Cotton Heritage into Global Competitiveness

Climate variability is increasingly reshaping cotton farming across Africa. What specific climate-related challenges are Ethiopian cotton growers facing, and how is the sector adapting in terms of irrigation, seed selection, and sustainable practices?
Tsegaye Abebe: The main challenges are erratic rainfall, temperature spikes, and shifting pest cycles. Adaptation requires both technology and traditional agronomic practices. We’re working and have also planned to formulate models with a combining effort on securing improved seed and water management schemes by reintroducing agroforestry practices that improve soil structure and moisture retention. We are also piloting regenerative agriculture principles with our partners like Solidaridad Ethiopia in the building of resilience and long-term productivity instead of short-term yield gains.

Traceability and quality certification are becoming key to global market access. What steps is the ECA taking to standardise grading, ensure transparency in the supply chain, and attract premium buyers seeking ethically sourced cotton?
Tsegaye Abebe: Traceability is a national priority. Earlier—three or four years back, there was a project initiated by the ECA on CMIA cotton principles in the northern part of the country with the Metema union by linking cotton producers with the previous Turkish owned company, IKA Addis textile factory. And also, currently there are some projects of organic cotton production with NGOs like PAN UK/Ethiopia and Partner Africa in the southern region of Ethiopia.

The ECA has initiated a cooperative agreement with international organisations like the International Cotton Advisory Committee (ICAC) on the path to membership status through linking with the Ministries of Agriculture and Industry. Here, on behalf of the ECA, we would like to give a lot of credit to ICAC CEO Eric Trachtenberg for his unparalleled effort in the Ethiopian cotton sector development with his kind advice to the Association on sustainability issues and certification schemes.

Furthermore, we have also started communication on outsourcing sustainable cotton with the help of GIZ international Ethiopia office, where they are always collaborating with the ECA through the linking of international buyers. GIZ International Ethiopia with its work on private sector development and Sustainable Industrial Cluster (SIC) project, is helping us in connecting with international companies like Otto International to (enable) source them sustainable cotton like CMIA cotton so as to promote Ethiopian sustainable cotton in the world market. So here, the final goal is to make Ethiopian cotton a name that is synonymous with verified sustainability and transparency—from field to fabric.

There’s been talk of revitalising state-owned cotton farms and integrating smallholders into value chains. Is that vision translating into practice, or are structural bottlenecks such as land policy, finance, and infrastructure still major hurdles?
Tsegaye Abebe: Currently, there is no government-owned cotton farm where progress is happening. Several former state farms have been transferred to joint ventures and private operators under lease arrangements, while many cotton farms are being linked through out-grower models like contract farming schemes. However, finance and logistics remain constraints—especially access to affordable mechanisation and inputs. The Ethiopian government is working closely with different regional states on the allocation of investment land for cotton investors in the different corners of the country. The ECA is working on innovative models to facilitate such initiations through its cotton strategy for the improvement of access to working capital for all range and scale cotton producers in the country.

How do you assess the role of international partnerships and donors in the cotton sector? Do you find that their agendas align with Ethiopia’s long-term needs, or are there tensions between developmental priorities and local realities?
Tsegaye Abebe: The partnerships are valuable when they build local ownership. The GIZ, the EU’s Solidaridad, and various development finance institutions are increasingly aligning their support with Ethiopia’s national industrialisation and green-growth strategy. We have clearly observed and witnessed that there is strong desire from international partners and donors. On part of producers too there is enthusiasm for improving the cotton sector, if they get a conducive environment that address bottlenecks like the improvement of farming infrastructure, lack of finance and favorable policies. Our position at ECA is clear: we welcome global collaboration, but that must strengthen local capacity and value addition, not dependency. The future belongs to African-driven, globally connected models.

Labour and land rights have historically been sensitive issues in agricultural expansion. How does the Association engage with such concerns to ensure equitable growth that benefits farmers and local communities, not just investors and ginneries?
Tsegaye Abebe: Social balance is fundamental. The Association promotes models where farmers retain equitable participation—either through profit-sharing or ethical labour utilisation. At a recent stakeholders meeting organised by the Ministry of Agricultures with cotton producers and labour supplying regions, both groups reached a consensus on following ethical and legal principles of the country’s labour code while engaging on cotton production and marketing schemes. We insist that all new investments comply with community consent, fair labour standards, and transparent land agreements. This is not just ethical, it’s also practical because long-term productivity depends on community trust.

The Ethiopian Cotton Association has a mandate to unify and represent diverse stakeholders. How effective has the Association been in influencing policy or ensuring that farmers’ voices are heard in national industrial planning?
Tsegaye Abebe: Our effectiveness has grown significantly in recent years. The ECA today sits on multiple national platforms including the Cotton Standard Authority, National Cotton Stakeholder’s Platforms (NCSP)—a platform that comprises the Ministries of Industry, Agriculture and Textile—and cotton associations with donors and facilitators like the GIZ International Ethiopia, where we represent the voices of farmers, ginners and exporters alike. We’ve facilitated policy adjustments on input importation, ginning quality, and export licensing. The Association has become a central dialogue partner for both government and international agencies including with the ICAC.

Sustainability is becoming both a moral and market imperative. Is there momentum within Ethiopia to move towards organic or regenerative cotton and what would it take for such efforts to reach commercial scale?

Tsegaye Abebe: Yes, there is strong momentum. The demand from European buyers for regenerative and traceable cotton is growing fast. Scaling it up requires three things: certified seed systems, farmer training and incentive mechanisms that reward soil restoration and carbon sequestration. We are now about to start a piloting project with our visionary author, Pedram Jahanshiri (the ECA’s European Union representative) about a regenerative cotton project that integrate carbon finance, biodiversity, and livelihood improvement—a model that can be replicated nationwide.

Looking ahead, where do you see Ethiopian cotton five years from now? Will it remain a domestic input for textile parks, or do you envision a globally competitive brand of Ethiopian cotton that can stand on its own?

Tsegaye Abebe: Within five years, we envision Ethiopian Cotton as we utilised much portion of our cotton production potentials, self-sufficient in terms volume and quality of production in addition to increasing our export pottentials. Furthermore, while looking ahead five years from now, we see Ethiopian cotton globally recognised, with a premium, traceable, and regenerative brand.