tiret march 2014 issue

www.midroc-ethiopia.com.et TIRET March 2014

TIRETTIRETThe MIDROC Ethiopia Group Corporate Magazine

Free copy

Vitality of Information System

March 2014


Horra Food Complex plcMember of the MIDROC Ethiopia Group

Quality Speciality Loyality

We have the capacity to produce:

* Wheat Flour 240 tons/day * Pasta (Spaghetti) 1,100 kgs/hr and Macaroni 1,300 kgs/hr * Various Biscuits 1,750 kgs/hr

Tel: 011 367 90 00 Fax: 047 439 11 70 P.O.Box: 5521 E-mail: [email protected] Sebeta Alemgena


The Chairman’s Message

Time and again, I want to emphasise that my involvement and contribution in realizing prosperous Ethiopia will remain unwavering.

In the last six months, my investment drive here has made great strides in expanding investment in key sectors of the Ethiopian economy.

We have also witnessed successful completion of new industries and expansion of agricultural farms. The contribution of my investment to foreign currency earnings of the nation is also growing more than ever.

This in turn, would surely help the country achieve its development endeavours. As I am expressing my continued commitmentin investing in Ethiopia, I also expect and encourage all in my companies to do their level best in utilizing the available technological advancements. As we are living in this age of information, I am also of the opinion that all my companies need to equip themselves with information technology systems. I also want to encourage and urge senior management of MIDROC Ethiopia to strengthen the ongoing interactive effort made in our Investment Group to develop a culture of cooperation. All the Group Companies need to

be committed not only to stay in the business but also to be powerful engines of growth and innovation to the Investment Group.

Another area of my emphasis is the quality of products and services as well as the manner in which we conduct our businesses. Rapid, relevant, accurate and clear information about our businesses is essential to carry out our operations efficiently and should be characterized by openness.

The MIDROC Ethiopia Investment Group has enormous challenges to endure; therefore, my very simple message to all my companies is “put forth brilliant & continuous effort, and be innovative for real success.” Innovation and creativity both play important role in the success of any business. It is in the nature of major businesses that the vitality of information is crucial, especially, the nurturing of institutional memory. So, I encourage my companies to be on board.

I welcome those who are prepared to innovate, take action, and develop businesses.

The future belongs to visionaries.

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Sheikh Mohammed H. Ali Al-Amoudi

Owner and Chairman MIDROC Ethiopia Investment Group


POS Service is a modern payment service in which the merchant (Hotels, Restaurants, Supermarkets, Tour and Travel Operators, Hospitals) is able to accept cards for payment using the POS(Point of Sale) terminal installed by Dashen Bank.

Dashen Bank is the only Bank in Ethiopia which has become a principalmember of the three world giant card associations i.e. Visa, MasterCard and Unionpay. All its POS terminals accept cards branded with their affiliate card associations i.e Visa electron, Visa Plus, Maestro and Cirrus cards.


Editor’s NoteThe sustained commitment of Sheikh Mohammed H. Al-Amoudi for the economic development of Ethiopia, the country he loves so dearly, is manifested through thecontinuous investment projects undertaken by his investment group, MIDROC Ethiopia.

TIRET, as always, has featured major activities that have been carried out in thelast six months to inform and updatereaders about what has taken place in the Investment Group.

This issue of our magazine carries various news items of the MIDROC group companies including the quarterly Consultative Group (CG) meeting and the Annual General Managers’ Conference.

Our “Cover Story” also features the “Vitality of Information System” concentrating on the necessity to handle information as a very precious commodity.

In our “Incidentally...” column, you will also read an interesting story with a title “How Much is the Cost of Development?” This story highlights the temporary difficulties that people in Addis are facing due to the construction process of the light railwaylines in Addis. Here, the writer shares his views on what is best to be done to minimize the discomfort.

The “Writer’s Column”, by Kevin Bethune,a professional trainer on innovation at Booz and Co., USA, is also focusing on

“Innovation for Sustainable Business.” He shares his view with readers of TIRET about the importance of innovation for a successful business and the role of organizations and management in the application of innovation.

Our column ‘Ascending Heights of Success’, designed to inform our readers and thepublic about the major accomplishments of our Group Companies directly impacting on the overall development of our country’s economy, examines the contribution of MIDROC Construction Ethiopia Plc. to the construction sector. In spite of certain hurdles and difficulties, the Company has registered remarkable growth and demonstratedsuccessful operations with proven capacity of project administration in the last two decades.

Our regular “Health Column” also talks about on the UNAIDS’s effort to realize a world freeof discrimination by dedicating internationalday of Zero Descrimination Day. The Editorial Team of TIRET highly appreciates your comments and suggestions.

Enjoy your reading!

Mekonnen Teshome Editor-in-chief

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TIRET March 2014

CONTENTS

©

5

Cover Story 52

Vitality of Information System ...............................

MIDROC News 6

Incidentally 55

Writer’s Column 59

Health 62

Ascending Heights of Success 65

DISCLAIMERThe opinions expressed in our various Columns are stricly the views of the contributing writers.

MIDROC ETHIOPIA Committed to Development

TIRET is a bi-annual corporate magazineof MIDROC Ethiopia Investment Groupin print since 1996.

PATRONTeklu Haile

EDITORIAL BOARDTadelle Teferra (Chairman)Melaku BezaBrook Debebe (Amb.)Johannes Kinfu (Professor Emer. )Asrat BulbulaMekonnen Teshome

EDITOR-in-CHIEFMekonnen Teshome

DEPUTY EDITOR-in-CHIEFAselefech Getachew

SECRETARIAL SERVICE & DISTRIBUTIONHaimanot NegussieMartha Kassahun

PHOTOGRAPHYDegifie Tekle, Tadesse Demissie,Kibrealem Yalew

PUBLISHED BYThe Communication & Public RelationsDepartment of MIDROC EthiopiaTel: +251 115 549 969Fax: +251 115 549 936P.O.Box: [email protected]

GRAPHIC DESIGNKibrealem Yalew

March 2014MIDROC EthiopiaAll rights reserved. Reproduction in partand or whole is allowed with a writtenauthorization of the Publisher

MIDROCMohammed International DevelopmentResearch & Organisation Companies.

TIRETTIRETThe MIDROC Ethiopia Group Corporate Magazine

Free copy


March 2014


Sheikh Mohammed H. Ali Al-Amoudi emphasized on the key role of the private sector in advancing the African economy.

He made the statement at the AfricanHigh-Growth Markets Summit held in December 2013 here in Addis Ababa. Africa’s opportunity lies in the involvement of theprivate sector working with governments,he added.

On the occasion, Sheikh Mohammed also announced his plan to build two additionalcement factories in Ethiopia. The planned big cement plants would be additions to the existing MIDROC Derba Cement factory which wentinto operation in December 2011.

Sheikh Mohammed stresses on role of private sector

He further stated that the focus of his future investment would be on agricultural and industrial development here in Ethiopia.

Sheikh Mohammed H. Ali Al-Amoudi addressing the summit

MIDROC News

6

Forbes estimates Sheikh Mohammed’s net worth at $15.3 billion

The American business magazine, Forbes, in its March 2014 report, has estimated SheikhMohammed H. Ali Al-Amoudi’s net worth at $15.3 billion.

Forbes ranked Sheikh Mohammed as the second and 61st richest person in Africa and in the world, respectively.

“He is also a philanthropist, committing funds to fighting AIDS in Africa and working with the Clinton Health Access Initiative. He has supported the construction of Africa's largest observatory in the mountains north of Ethiopia's capital, Addis Ababa,” the magazine mentioned.


MIDROC News

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Kenya's President Uhuru Kenyatta on March 11, 2014 visited the tanneries and the Fontanina shoe factory of the Ethio-Leather Industry Plc (ELICO), one of the sister companies of MIDROC Ethiopia Investment Group, and congratulated the company for quality work .

The president accompanied by Ethiopian Foreign Affairs Minister Dr. Tedros Adhanom and his ministers and Kenyan business representatives visited ELICO as part of his four-day State visit here to Ethiopia.

During the visit, President Uhuru said that he was impressed with the visit and indicated that he would work to strengthen the business relations between his country and Ethiopia.

In addition to ELICO, Kebire Enterprises Plc, another sister company of MIDROC Ethiopia, exhibited various models of shoes and leather products as well as the technologies used in the production processes.

Uhuru Kenyatta Congratulates ELICO

President Uhuru Kenyatta arrived in Addis Ababa March 10, 2014 evening marking the start of a four-day state visit – his first to an African country.

President Uhuru’s reflection of his visit

President Uhuru and his delegation were impressedwith the quality of ELICO’s shoes and leather products


MIDROC News

Ato Teklu noted that governance is all about developing organizational culture, leadership, administration, and delivering service up to the expectation of stakeholders. He highlighted the importance of working together as a team to create mutual trust, exprience sharing and promoting positive attitude.

In the joint presentation made by Prof. Emeritus Johannes Kinfu, MIDROC Ethiopia Training and Development Director and Ato Asrat Bulbula, MIDROC Ethiopia Senior Advisor, on issues of EthiopianCorporate Governance and the role of MIDROC Ethiopia Group Companies, Prof. Emeritus Johannes briefed participants on the Ethiopian Code of Conduct of Corporate

Participants of the 17th Annual General Managers’ Conference

Everything would be possible, if only, things are brought to the table; … through discussion the impossible could be proved possible”. This was stated by Ato Teklu Haile, MIDROC Ethiopia Designate, while opening the 17th Annual General Managers’ Conference.The conference was held at Adama Dire International Hotel from November 21-23, 2013. CEOs, General Managers of Group Companies and senior management members of MIDROC Ethiopia Plc. attended the Conference.

After welcoming the participants, Ato Teklu said that the topics to be presented and discussed would be beneficial in making corporate finance effective and smooth.

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“… The Impossible Could be Proved Possible”17th Annual GMs’ Conference Held


MIDROC News

Governance. The code of conduct was prepared by an International Consultant under the auspices of the Addis Ababa Chamber of Commerce and Sectoral Associations (AACCSA) and was endorsed and supported by ELICO, EBG, NOC and Dashen Bank, among others.

He said that MIDROC Ethiopia Investment Group companies have been active participants and stakeholders in the process and are among the 70 Ethiopian companies that are signatories to the establishment of the Ethiopian Institute of Corporate Governance (EICG) that was launched on October 26, 2013.

He emphasized that there is still much to be done to realize Corporate Governance in which the MIDROC Ethiopia Investment Group plays a leading role.

Ato Asrat Bulbula also explained the importance of signing the Code of Conduct that would ultimately prepare the companies to face upcoming challenges. General Managers

of ELICO, EBG, and Ries Engineering also shared their experiences in the process of thepreparation of the Code.

Ato Wolde-Ruphael W/Giorgis, MIDROC Ethiopia Senior Advisor and Ato Getachew Yitna, MIDROC Ethiopia Human Resource and Logistics Department Manager, both members of the Task Force for the Adoption of IFRS in the group companies explained about activities of the Task Force during the year.

Ato Alemayehu Legesse, Finance Manager of Ethio Agri-CEFT Plc, also shared the experiences of his company in relation to implementing IFRS.

In the second session of the conference the resource person was Ato Tewodros Sisay, Co-Founder and Managing Director of ENLION Consulting. In his presentation on “Finance Modelling”, he underscored the

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See page 51... “The impossible...”


“Aculture of cooperation and collaboration is growing well among the Group Companies of MIDROC Ethiopia in terms of experience sharing and cosultations for mutual benefits and achievements”, Ato Teklu Haile, MIDROC Ethiopia Designate and Chairman of the Consultative Group (CG) said at the opening of the 17th CG meeting. He further noted “…we all work together towards shared objectives to realize the vision of Sheikh Mohammed H. Al-Amoudi.” He underlined: “…CG members share immediate and long-term solutions to challenges faced by the Investment Group and explore opportunities in the Ethiopian economy through continuous consultations.”

The 17th CG meeting that took place onOctober 1, 2013 at the Sheraton Addis, focused on “The state of the Construction Industry in Ethiopia, Current Status, Prospects and Challenges for Local Construction Companies”.

According to the comprehensive presentation made by the resource person of the meeting, Prof. Dr. Eng. Abebe Dinku of the Addis Ababa

University, Institute of Technology, the construction industry is growing fast in Ethiopia and is a profitable business if properly managed. He noted that Ethiopian contractors should upgrade and strengthen their capacities to be competitive in the business. He covered major issues that include: the capacity to render adequate services, the need for professionalism, company survival, current practices and construction opportunities in Ethiopia and challenges of the Ethiopian construction industry. He also highlited aspects of the seriousness of safety during construction activities both to the employees and the community.

Eng. Negussie Abera, Deputy General Manager, MIDROC Construction Ethiopia Plc, the host company of the meeting, in his opening remarks, expressed pleasure in hosting this Consultative Group meeting.

He noted the CG meetings to be usefulplatforms to review and strengthen inter-group relationships even further to develop far-reaching strategies to attain necessary group dynamism, and renewedimpetus to strive for excellence. He added that

CG Members Share Immediate, Long-Term Solution

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A view of participants of the meeting

MIDROC News


it is also a reflection of the Investment Group’s dedication to enhance capacity to deliverquality driven and value adding products and services to customers and other stakeholders.

He appreciated the support of all MIDROC Ethiopia Group Companies that have provided unlimited cooperation to his company to stay stronger in this highly competitive business. He also expressed gratitude to the Company’s internal and external stakeholders.

Eng. Negussie Abera presented an overview of MIDROC Construction Ethiopia Plc. followed by Eng. Yibeltal Zewdu, Director of Construction of the Company, who talked on “Operational Performance of MIDROCConstruction Ethiopia Plc. in the last twenty years” highlighting major construction

projects. He emphasized major problems and challenges encountered during the years.

More over, a brief account on current activities of Mulu HIV Prevention, a local NGO workingon HIV/AIDS in Ethiopia was also presented by Mrs. Libet Malony, Chief of Party of World Learning, upon the invitation of Dr. Berhanu Tadesse, Chairperson of the MIDROC Ethiopia HIV/AIDS Prevention and Control Task Force.

Ato Teklu Haile, after awarding certificates of recognition to resource persons, said that it is encouraging that shining achievements have been observed and added that there areample opportunities for registering more success stories and underlined the importance of keeping up the tempo.

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Ato Teklu Haile (left) and Engineer Negussie Abera (right) welcoming Prof. Dr. Eng. Abebe Dinku (center)

MIDROC News


Member of the MIDROC Ethiopia Group

Infinite Race for Quality

Tel: +251 116 189 313/14 Fax: +251 116 189 315P.O.Box: 976code 1110

E-mail: [email protected]


The high- tech ELICO Fontanina Shoe Factory got into the shoe market registering another major achievement in the Ethiopian leather sector. The factory wasinaugurated in the presence of H.E Ato Mekonnen Manyazewal, Commissioner, National Planning Commission and Ato Teklu Haile, MIDROC Ethiopia Designate, Ambassadors, Senior Management Members of MIDROC Ethiopia investment Group and other invited guests.

Fontanina shoe factory is located in the premises of the Awash Tannery.

The establishment of the shoe factory was initiated by Sheikh Mohammed H. Al-Amoudi, Owner and Chairman of MIDROC Ethiopia Investment Group.

The total investment of the factory stands at Birr 75 million. The feasibility study and construction of the project took only 14 months. Fontanina Shoe factory produces three types of shoes - casual, smart casual and

classic. These shoes are available in a variety of colours. The factory has a capacityof producing 1,000 – 1,500 pairs of shoes a day. When it is fully operational it is expected to create job opportunity for 2,500 persons.

Four Italian experts: a designer, a production manager and two trainers, all from Fresco Pelli are working in the factory under the turnkey agreement. In three years time, it will be fully run by Ethiopians.

ELICO targets potential customers in African countries with a fast-track growth and is planning to handle this market by itself. It will soon start exporting to the US and Europe through an international distributor with whom negotationis progressing well.

Ethio Leather Industry Plc. (ELICO), one ofthe companies of MIDROC Ethiopia, is knownfor its excellent quality leather and leather products. It is famous for exporting processed leather. It is also producing high quality bags, clothes, and other leather garment products.

ELICO Carries Fontanina Brand at the Shoe Market

Sheikh Mohammed H. Al-Amoudi visiting the factory

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MIDROC News

H.E Ato Mekonnen Manyazewal (left) cutting the inagural ribbon


Its annual sales has grown from Birr 150 million to 350 million during the last threeyears.

ELICO is determined to become one of the renowned international shoe makers.

Presently there is a serious domestic supply shortage of leather and ELICO is intending toimport semi-processed or wet-blue leather to feed its two tanneries - Awash and Abyssinia

– that would provide finished leather to the Fontanina Shoe Factory.

Sheikh Mohammed H. Ali Al-Amoudi hadvisited the factory twice. He was impressed by the products and promised all his support to sustain this good beginning.

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MIDROC Gold Mine Pvt. Ltd. Co., a member of the MIDROC Ethiopia Technology Group, was awarded by the Commercial Bank of Ethiopia (CBE) for its outstanding performancein the export trade.

The company received the award on December 26, 2013, at the event organized by the Bank at the Sheraton Addis to recognize exporters’ performance during 2006 E.C.

On the occasion, CBE awarded different prizes for its 152 customers that earned morethan one million dollars each under six categories. Silver Plates, Trophies and Certificates were awarded to the exporters and money transfer companies.

Coffee, leather, oil seed and gold exporters were among the top performers. MIDROC Gold, which exported more than US$100 million worth of gold and Western Union which transferred more than US$ 300 million were special prize winners.

H.E. Bereket Simon, CBE Board Chairman and Ato Bekalu Zeleke, President of the Bank congratulated the exporters for their remarkableperformances.

MIDROC Gold awarded

MIDROC News

Dr. Arega YirdawCEO, MIDROC Ethiopia Technology Group


Horra Food Complex Plc, a newly operational member of MIDROC Ethiopia, has recently commenced producing high quality flour, pasta, macaroni and biscuit.

Following the completion of its high-techautomated grain silos, milling, and delivery systems in 2012, the flourmill entered into the market of the food industry in Ethiopia. It is one of the largest mills in the country.

The Complex, located at Alem Gena town, West of Addis Ababa, uses state of the art technology. It has ten silos with storagecapacity of 2,500 quintals each and theflourmill which is fitted with feeders and electronic control syetem produces 2,400 quintals of flour per day.

The Complex is also equipped with highperformance laboratory to aid in the development of new products and thereby ensuring compliance to international food standards in terms of health, safety, and hygiene.

As Horra Food Complex Plc. has wider value chain in sales network including a variety of distribution channels such as wholesale stores, hotels, and supermarkets, it would contribute to the national economic development in its modest way.

Horra Food Complex is forging ahead aggressively to respond to a diverse food culture by developing and commercializing wheat flour, pasta, macaroni and biscuits. The Complex is now focusing at producingand marketing its own branded flours: bread

A partial view of Horra Food Complex

Horra Food Complex Enters into Market

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MIDROC News


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Exclusive supplier of UD and Eichers motors, trucks and buses

Addis Ababa Bahir Dar Dire Dawa Hawassa MekeleTel: 0116 612 711 / 627 196 / 613 919 Tel. 0582 203 151 Tel: 0251 118 484 Tel: 0462 205 470 Tel: 0344 415 713 Fax: 0116 627 426 / 610 379 Fax: 0582 206 500 Fax: 0251 118 482 Fax: 0462 205 469 Fax: 0344 415 706 E-mail: [email protected] P.O.Box 421 P.O.Box: 50 P.O.Box: 475 P.O.Box: 188

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Exclusively supplied by Nyala Motors S.C. with 40 years of practical exprience in the industry We have much to offer with ample parts supply and dependable after sales service

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to the dough section makes no room for contamination making the Complex a unique food producer.

The Food Complex has created job opportunities for more than 240 citizens. It is striving to gain the trust of corporate and retail customers. Moreover, Horra Food Complex will continue doing all the best to keep every customer satisfied by offering competitive products and services of superior quality.

flour, confectionery flour and wheat offal (bran). It supplies products packed in 1, 2, 5 and 50 kgs.

The Pasta and Macaroni products are also of high quality. The Company’s flexible pricing policy has made the products competitive in the Ethiopian market.

Cutting-edge technology is used to produce hard and soft dough biscuits. It makes 1750 kgs. of biscuits an hour. The fact that theflour directly comes through feeders

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Technology Group CEO Paid Visit to EBG

Dr. Arega Yirdaw, Chief Executive Officer of MIDROC Technology Group, paid a working visit to the headquarters of Equatorial Business Group (EBG), one of the affiliate Companies of MIDROC Ethiopia Investment Group on December 18, 2013. Following a welcome address by the Management, Dr. Arega and his colleagues made a tour of the showroom and the compound of EBG.

There was a short coffee session to discuss on how best EBG and the Technology Group can mutually interact and benefit from the business relation side as members of one family. Extending his appreciation over what he saw, Dr. Arega said, “¾SNSÉ Ÿ<v”Áዎ ‹ ¾ƒU J’¨< Áwu<” (Let Mohammed’s companies blossom wherever they may be). The session triggered discussion on various areas of collaborative engagements.

MIDROC News

Dr. Arega and EBG management members touring EBG’s compound


MOHA signs a Turnkey project agreement

MOHA Soft Drinks Industry S.C., a member of MIDROC Ethiopia and Sidel, an international Supplier of Liquid Packaging Solutions of Drinks Industry have signed agreement for the installation of theentire production line of MOHA’s new Greenfield site in Mekele town, 780 kilometres north of Addis Ababa, in Tigray National Regional State.

The two sides have signed the 375 million birr agreement as part of a Turnkey Project to enable the new MOHA plant mostly produce carbonated soft drinks at a rate of 36,000 returnable glass bottles per hour.

After signing the agreement, Clive Smith, Sidel Zone Vice President for Greater Middle East and Africa (GMEA) said:

Ato Getachew Birbo, MOHA CEO and Mr. Clive Smith, ZoneVP - Sidel GMEA,

exchanging the signed document

20

MIDROC News


“…we are proud and happy to be working with MOHA Soft Drinks Industry S.C. It is highly respected within the Pepsi world and the soft drinks industry in general. We are also very much looking forward to renewing acquaintances with the Chief Executive Officer of MOHA Soft Drinks S.C.,Ato Getachew Birbo, and his team on this new project - which I am sure will be yet another successful Sidel collaboration with a leading beverage producer.”

The turnkey project at Mekele is expected to be implemented in mid 2014. In addition to the main bottling plant, it will also include all auxiliary services, such as CO2 production, steam, syrup room,standby generator, water treatment plant and piping.

The introduction of the new line at Mekelle is believed to complement the range of Sidel equipment that is already successfully operating at other plants of MOHA, which would offer considerable synergy across a number of production lines. This will provide the platform for a swift transition to the high productionlevels required at the new Mekele Plant when the line becomes operational.

After signing the agreement, Ato Getachew Birbo remarked: “… we were looking forward for a very successful completion of this plant as it comes at a time when most of the

production capacity of our plants will reach their peak.

We have known Sidel for many years and have successfully collaborated with them on several occasions, including the new PET line, which was commissioned in 2012.

We believe that since Sidel is presently well represented throughout the whole of the Region with its newly established HeadQuarters in Dubai, this agreement will enable create a closer cooperation between our companies.” Sidel is a leading global provider of PET solutions for liquid packaging. Headquartered in Switzerland, Sidel has production sites in 3 countries with 30,000 machines installed in more than 190 countries worldwide. With over 5,500 employees worldwide, Sidel provides optimal PET, glass and can packaging solutions for water, soft drinks, milk, sensitive products, edible oils and alcoholic beverages including beer.

MOHA Soft Drinks Industry S.C., was established in 1996, following the acquisition of four state-owned Pepsi plants.

The company is a leading producer of carbonated and soft drinks in the country and is the principal supplier of Pepsi Cola products throughout the country. Currently it provides around half of the overall national production of over 40million crates a year. Major brands bottled by MOHA include: Pepsi Cola, Mirinda Orange, Mirinda Tonic, Mirinda Apple (all Pepsi Brands), 7-Up, and Kool bottled water products.

Presently the company has seven operating units in the country: Nifas Silk, Tekle Haimanot and Summit Plants in Addis Ababa; Gondar, Dessie and Bure Plants, in the Amhara Region and the Hawassa Millennium Plant in the Southern Nations & Nationalities People’s Regional State.

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“…we are proud and happy to be

working with MOHA Soft Drinks Industry S.C.

It is highly respected within the Pepsi world

and the soft drinks industry in general...”

MIDROC News


Big-M Apparel and Garment Plc., a new MIDROC Ethiopia sister company and one of the largest garment and stitching companies in Ethiopia, started manufacturing various types of apparels. The company in the last six months produced 20,000 different types of uniforms to more than thirty MIDROC Group Companies and many other large companies including: hotels, hospitals, manufacturing, construction, and service rendering companies.

Big-MApparel and Garment Plc. specializes in uniform wears right now, and manufactures various types of garment for men, women and children, and various types of overcoats;

Garment and Stitching Factory Starts Production

An inside look of the factory

safari coats, chief coats, jackets, shirts, capes for sports etc. It also manufactures several types of wears as per specific requirements of its clients.The company is currently producing at 80% capacity and would reach full capacity with the installation of semi-automatic machines shortly. At full capacity it will produce 3,000 pcs./day in a single shift. Big-M Apparel and Garment Plc. plans to acquire a yarn spinning factory, which consists of a weaving and dyeing plant that wouldenable it produce quality products.

The company has provided job opportunities for 1,000 persons.

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Daylight launches bottle caps manufacturing

Daylight Applied Technologies Pvt. Ltd. Co. (DAYLIGHT), a member of the MIDROC Ethiopia Technology Group, has launched the production of crown corks used for

various purposes including soft drinks capping.According to company General Manager, Ato Asfaw Gebreselassie, the factory is producing 120,000 to 150,000 crown corks per hour using its state-of-the-art machinery.

Currently, the factory is producing crown corks for MOHA Soft Drinks Industry S.C. meeting the standards of the international Pepsi Cola Company. It has also set to supply its products to other soft drink bottling factories.

Crown Corks production underway

MIDROC News


Tel: 011-442 35 56-59 Fax: 011-442 35 50 P.O. Box: 19156 E-mail: [email protected] Addis Ababa, Ethiopia

Big-M Apparel Garment Plc


Quality Guaranteed


Starbucks celebrated Ethiopia’s

rich coffee tradition and honoured the birthplace of coffee, delivering a taste in a cup, unlike any other coffee offered in the history of Starbucks in the last 42 years, according to starbucks press statement.

The new coffee, the New Single-Origin Ethiopia Coffee, available at Starbucks starting from September 24, 2013, joined Starbucks selection of twenty core and ten traditional and seasonal whole bean coffees offered by Starbucks retail stores in the USA.

“We’ve taken great care in sourcing this coffee and applying the signature Starbucks Roast, to create a flavor profile that is both uniquely Starbucks and unique to specialty coffee,” said Craig Russell, Senior Vice President of Global Coffee at Starbucks. “We want to honor Ethiopia’s rich coffee heritage while giving our customers an exceptional flavor experience from the birthplace of coffee.”

Anthony Carroll, Starbucks Coffee Development Manager, highlighted, that “…Starbucks fully-washed, medium-bodied Ethiopian coffeeoffers soft, velvety notes of dark chocolate, subtle hints of peppery spice and sweet mandarin-like citrus for a balanced and approachable taste in the cup”. Since 1971, Starbucks Coffee Company has beencommitted to ethically sourcing and

roasting high-quality arabica coffee. Currently, with stores almost all over the globe, thecompany is a leading roaster and retailer of specialty coffee in the world.

Ethiopia produces a number of coffee varieties and some of the most remarkable coffees in the world. Coffee is at the heart of the Ethiopian culture and heritage which is shared with family and friends through daily coffee ceremonies in most places.

Ethio Agri-CEFT Plc, a member of MIDROC Ethiopia is one of the exporters of fine coffee, the Gemadro speciality coffee, known for its unique and superior flavor to Starbucks.

The Company is one of the largest highland coffee growers and exporters in the country. It has been certified by the Rainforest Alliance, aninternational non-profit organization dedicated to the conservation of tropical forests and forest management certifier. Ethio Agri-CEFT Plc. has been certified for its sustainableenvironment management system. It is practising corporate social responsibility in its coffeeestates and production facilities.

Starbucks Honors Ethiopia: Birthplace of Coffee

25

MIDROC News



Tel.: 0113-69 03 60 / 69 03 63-67 Fax: 0113 - 69 03 84 / 69 03 08 E-mail: [email protected],[email protected] and [email protected] Website: www.ethioagriceft.com P.O.Box: 1006Tea Processing and Packaging Factory Tel.: +251 113 202 393 / 37131 00 Fax: +251 113 712 229P.O.Box: 2526 E-mail:[email protected]

Committed to Sustainability, Productivity, Quality & Profitability

www.midroc-ethiopia.com.et TIRET March 2014 27

National Motors Corporation: Celebrates 20th Anniversary

National Motors Corporation plc, (NMC), one of the sister companies of MIDROC Ethiopia, celebrated its 20th anniversary on February 11, 2014 at the Sheraton Addis in the presence of invited guests and dignitaries. Speaking on the occasion, NMC General Manager Alula Solomon said that the company has managed to achieve high reputation in the local automotive market by importing a wide range of vehicles from globally renowned manufacturers.

According to the General Manager, the company began its work as a small dealer with the aim of providing an all-inclusive automotive and

transport service for the Ethiopian market andnow, after 20 years, it stands with its head up, enduring the changing business environment and stiff competition.

“It means we have managed to establish ourselves in this sector and that we have claimed our rightful place. This I believe is a feat to be proud of,” Ato Alula added.

“It is a day where we recognize the things that have sustained and guided our success for the past 20 years and a day where we take the next step in fulfilling the growing needs of our customers and delivering our vision with the dedication of our workforce.”

NMC General Manager Alula Solomon delivering opening speech

The event was attended by invited guests

MIDROC News


He said that the company’s reasonably priced products offer the highest performance, reliability, durability, fuel-efficiency, and are conducive to the terrain and climate of the country. “Our qualified after sales team ensures the effective performance of each product sold through consistent technical support and provision of genuine parts.”

He indicated that NMC also intends to increase its participation in regional states with the inaugural of several sales outlets in major cities of the country.

NMC has become an official dealer for globally renowned automobile manufacturers following the signing of agreement with General Motors of USA for Chevrolet and Cadillac, Adam Opel of Germany and Paccar International of

the USA for Kenworth Trucks in 1993 and also with Isuzu Motors of Japan as well as Renault Trucks of France in 1996 and 1997, respectively.

NMC employees who have made outstanding contributions since the establishment of the company received certificates of recognition from the hands of the guest of honor, Sheikh Abdella Hussein Ali Al-Amoudi.

National Motors Corporation, formerly called National Freight and Transport Company, was established in 1993.The event was also highlighted with the display of various brands of Automobiles imported by the company.

MIDROC News

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The 7th Employees’ Day of Equatorial Business Group Plc (EBG) was observed on November 17, 2013 at its headquarters in the presence of invited guests and all employees including those from the four branch offices in Bahir Dar, Dire Dawa, Hawassa and Jimma.

The day was marked with the inauguration of a two storey VOLVO Truck Maintenance Workshop built at a cost of Birr 10 million. The day was honoured in the presence of Sheikh Abdella H. Al-Amoudi, one of the owners of the company, Ato Teklu Haile, MIDROC Ethiopia Designate, and CEOs, General Managers and senior management members of MIDROC Ethiopia.

Speaking at the occasion, Ato Tadelle Teferra, the General Manager of EBG, congratulated the employees and appreciated the encouraging achievements recorded during the previous

fiscal year. He expressed his confidence that plans of the company for the current year shall also be fulfilled as per the established tradition.

Ato Teklu Haile, on his part expressed his satisfaction over the development and progress of EBG recalling the past situation when thecompany started operation in a rented officein 1993 and commended the great performance reported.

Eighteen employees were awarded certificates and honoraria for their outstanding performance in the previous year. Employeeswho served the company for 10 and 15 years were also recognized and awarded. EBG has 485 employees of which 112 are female.

EBG Observes 7th Employees’ Day

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MIDROC News

The GM of EBG, Ato Tadelle Teferra, delivering his opening remark

Sheikh Abdella H. Al-Amoudi and Ato Teklu Haile cutting the ribbon

Employees celebrating the day at the new VOLVO Truck Maintenance Workshop


Company Builds School Laboratory

Participants at the inaugural ceremony of the laboratory

Ethio Agri-CEFT Plc, is engaged in the production of various crop, especially coffee and tea, in the Southern Nations, Nationalities and People’s (SNNP) and the Oromiya Regional States. It built a science laboratory for Yoki Chi Chi Primary and Secondary School of Gemadro where the coffee plantation site of the company is located. The Laboratory, built with a total cost of Birr 2.4 million, is fully equipped with the necessary facilities and four standard rooms, initially designed to benefit children of the residents of Gemadro and the surrounding areas. The Laboratory has officially been handed over to the Zonal Educational Office.

Former Company Deputy General Manager, Ato Samuel Mengistu, at the inaugural ceremony said that the Laboratory is built as part of materializing the vision of Sheikh Mohammed H. Al-Amoudi, Owner and Chairman of MIDROC Ethiopia, in improving the economic development of the country and citizen’s quality of life, creating job opportunities and expanding educational and health services throughout the country.

Ato Bayleyegne Dagne, the Manager of Gemadro Coffee Plantation, also highlighted the activities of the plantation that has been undertaken in close cooperation with residents and the administration office of the zone.

The manager said that the company, apart from creating job opportunities for thousands of people, is also discharging its social responsibilities by building schools, health centers, roads and the like for communities in the surrounding areas of its projects sites.

Gemadro is famous for its high quality coffee. The site is also one of the rare places that have sustained dense forests, suitable weather and small rivers that flow through out the year.

Established in 1997, Ethio Agri-CEFT Plc, is one of the oldest members of MIDROC Ethiopia with eight plantation sites located in the Amhara, Oromia & SNNP Regions and atea-processing factory in Addis Ababa. The company plays an important role in realizing the developmental goals of the Investment Group with various corporate social responsibility initiatives.

Ethio Agri-CEFT Plc. has created jobopportunities for 2,316 permanent employees with employment rising to 18,123 people at peak seasons. The company is also keen on insuring that the working environment is not only in conformity with local rules and regulations but also exceed them by providing significant complementary services.

It has contributed over Birr 51 Million to the government only in 2012/13 in business profit tax.

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MIDROC News


Ethio Agri CEFT Plc. and Horizon Plantation Plc./ Bebeka Coffee Estate S.C., engaged in the production and export of coffee, participated in the 2nd International Ethiopian Coffee Conference that took place at the Sheraton Addis on November 4 and 5, 2013.

The Conference, aiming at promoting Ethiopian coffee sector, was opened by the EthiopianPresident H.E. Dr. Mulatu Teshome. It was jointly organized by the Ethiopian Coffee Exporters Association (ECEA) in which these MIDROC Ethiopia Companies are active members and the USAID with the theme: “Building SustainableCoffee Future”.

Major issues of the Conference that were thoroughly discussed by participants were: the exchange of information and experience sharing among stakeholders, addressing challenges of the sector and familiarization of the private sector with government policy, marketing and the setting up of future strategy for the sector.

International Ethiopian Coffee Conference at the Sheraton

Senior representatives from the Ministries of Trade and Agriculture, the Ethiopian Commodity Exchange, financial institutions, principal actors in the Ethiopian coffee trade, international coffee buyers and members of the Ethiopian Coffee Exporters Association took part in the Conference.

Ato Yilma Yemane Berhan and Ato Arega Worku, both Senior Advisors in MIDROC Ethiopia and very well known personalities in the Ethiopian Coffee sector were recognized and highly acclaimed at the Conference for their long and continued contributions and services to the Ethiopian Coffee development.

Ato Arega Worku is the longest serving Africandelegate to the International Coffee Organization (ICO) and was the Chairman of the Inter African Coffee Organization (IACO) for over 20 years, headquartered in Abidjan, Côte d’Ivore.

Exporters who contributed to the diversification of the Ethiopian coffee export market also received awards from the Ethiopian President H.E. Dr. Mulatu Teshome.

MIDROC News

33

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Participants of the Fund Raising Walk

NOC Supports Children with Disabilities

NOC has been supporting the CSE outreach program since 2004 through fund raising to meet physiotherapy and surgery needs of children with disabilities at Menagesha CSE RehabilitationCenter.

The Center produces supplies and walking aids that have been continually improved to meet the needs of disabled people in urban and rural areas.In 2012, Ato Tadesse Tilahun, Chief Executive Officer of NOC, was recognized for his personal support in fund raising for the children at the Center for 25 consecutive years.

Currently, Cheshire Service Ethiopia supports 600 children with disabilities across the nation as part of its outreach program at 25 different visiting locations and provides surgical treatment in its 120 bed medical facility in Menagesha town.

Employees of National Oil Ethiopia Plc. (NOC), on November 9, 2013, took part in the annual Fundraising Walk organized by Cheshire Service Ethiopia(CSE) to support children with disabilities.

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35


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Building System


Emeritus Professor Johannes Kinfu, the first Accounting professor in Ethiopia, who is also the Director of Training and Development at MIDROC Ethiopia since 1996, was honored with an “Emeritus Professor Award” by theAfrican Education Leadership Award on November 27, 2013, in a ceremony held at Labourdonnais Water Front, Mauritius by the technical sessions related to the Africa-India Partnership Summit.

The Award was granted in recognition of his outstanding academic services mainly during his professorship at the Addis Ababa University.

The Africa Leadership Award is one of the most glamorous events that attracts the best of the best from Africa and is presented on ‘World Corporate Social Responsibility (CSR) Day’ for individuals and institutions who have surpassed several levels of excellence and set an example of being a role model and Exemplary Leadership. Individuals who are building their institutions through Leadership, Innovation, Academic & Industry Interface and a supreme objective of Building Future Leaders are also honored with this Award.Emeritus Professor Johannes has been

teaching undergraduate and post graduate students at the Addis Ababa University for 44 years. He has provided human resource trainings to Ethiopian Airlines and the Commercial Bank of Ethiopia, and authored accounting and auditing books and served as a training consultant to ECA and UNDP. MIDROC Ethiopia has always appreciated the scholarly contributions of Emeritus Professor Johannes Kinfu towards the promotion of Corporate Social Responsibility (CSR) practices as well as his involvement in the fields of accounting and financialmanagement in Ethiopia in general and in MIDROC Ethiopia in particular.

MIDROC Ethiopia expresses its commitment to contribute its share in building the human capital of the country and producing young scholars who would achieve such professional excellence in the years to come.

The Editorial board of TIRET, congratulates Emeritus Professor Johannes Kinfu for winning the award.

Professor Johannes Receives Africa Leadership Awards

Emr. Prof. Johannes Kinfu (middle) after receiving his Award

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MIDROC News


Trans Nation Airways Plc. (TNA), a member of MIDROC Ethiopia Technology Group, said that it would aggressively work to promote local tourism.

TNA General Manager, Captain Terefe Haile, announced this in connection with the second “Discover Your Country” tour made to Bahir-Dar carrying 33 passengers by TNA’s Dash-8 airplane on October 12 & 13, 2013.

The first flight was made to Dire Dawa, Qulibi Gebriel, on July 25 and 26, 2013.

TNA in collaboration with Rainbow Exclusive Car Rental and Tour Services Plc., another member of the MIDROC Technology Group, organizes special tour programs destined to different tourist attraction sites and religious festivities.

Rainbow Exclusive Car Rental and Tour Services Plc. provided transfer and city tour service to passengers at Bahir-Dar and assigned asenior tour guide for the sites. Following the ban lift on private flight operators, TNA arranged and

implemented flight to tourist attractions andother spots in different parts of the country. Apart from other passengers, employees of MIDROC Technology Group, who were recognized in 2012 as best performers of the year took part in the program.

Trans Nation Airways Plc. (TNA) also provides Helicopter Services for search and rescue, emergency medical travel services(air ambulance), mining activities, geological surveys, transmission lines surveillance and control and tourist travel.

TNA Set to Promote Local Tourism

MIDROC Technology group employees boarding the air craft

MIDROC News


Twenty employees of MIDROC Ethiopia Head Office were honored with Certificates of Merit for their outstanding performance at a luncheon ceremony organized by the Company in collaboration with the Employees Social Club, marking the Ethiopian New Year 2006.

Prior to presenting the Awards, Ato Teklu Haile, MIDROC Ethiopia Designate, welcomed all the employees and congratulated the winners. He appreciated the unlimited contributions of Sheikh Mohammed H. Al-Amoudi to the

economic development of Ethiopia and expressed gratitude to him for providing all the employees with all these opportunities. He also urged all employees to work diligently.

The basic objective of the Award, according to Ato Getachew Yitna, Manager of Human Resource and Logistics Department, is to recognize those who demonstrated excellence at their workplace and also motivate other employees for enhanced performance. He expressed his pleasure and congratulated the award winners in his remark at theceremony.

Also on the occasion, seven retired former staff members of MIDROC Ethiopia HeadOffice who were invited to attend the ceremony were acknowledged with special wishes and gifts from the Employees Social Club.

Employees Recognized

Employees at the ceremony

Ato Teklu Haile recognising one of the employees

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MIDROC News


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Derba joins lime production business

Derba Business Group, a sister company of MIDROC Investment Group, through one of its companies, Derba Lime and Chemicals (DLC), has joined the lime production and marketing business.

According to DLC Project Director, Eng.Tadesse Kebede, the factory with the productioncapacity of 2000 quintals per day went operationalin June 2013 with over Birr 250 million investment capital.

“Currently, DLC is producing three product types: quick Lime (CaO), hydrated Lime, Ca (OH)2 Grade-1, with 90% plus purity, and Grade -2 with 85-87% Purity. The limes can becategorized as being among the top qualityproducts meeting international standards. ” Eng. Tadesse said.

The products are used in soil stabilization, water treatment, sugar production, tanning and building construction works.

The company mines its raw material, limestone, from Mugher valley, where its sister company Derba MIDROC Cement (DMC) is located.The mine deposit area lies to the west of the plant, approximately 14 kms away right at Becho village in Derba, Oromia Regional State.

The company has acquired the technology needed for the production of lime products from M/s SABOO Cemtech Engineers Pvt. Ltd of India on a turnkey basis.

The lime manufacturing technology is characterized as state-of-the-art.

The limestone received from the mines is first crushed in a crusher and screened in a vibratory screen to sizes of 3-30mm to be fed to a rotating horizontal kiln. The horizontal kiln is energy efficient and eco-friendly. The Kiln has multiple firing systems where furnace oil or pet coke can be used as fuel.

The firing systems are not only of high efficiency, but also result in a superiorproduct quality. State-of-the-art pollution control devices are installed at appropriateplaces to ensure pollution free and safe plant operation.

With respect to the marketing of the products, supply agreements are made with concerned bodies such as the Ethiopian Sugar Corporation.

The lime manufacturing industry has been in its infant stage here in Ethiopia. The current source of supply of lime to the domestic market is limited to four establishments namely: Wonji Shoa Sugar factory, Ethio Lime Factory (at Senkele), the Caustic Soda Share company, and DLC. The local lime production issupplemented with small quantity of imports coming mainly from the Middle East. The Caustic Soda and the Shoa Sugar Estate factories mainly produce for their own captive uses, while the rest primarily produce for the market.

The future of the industry looks very bright as lime can be used for different economic activities: industrial, agricultural, construction and mining sectors.

Engineer Tadesse Kebede, Derba Lime and Chemicals Plc Project Director

MIDROC News


Managing Director of Metalock Engineering of Germany and President of Metalock Engineering of France, Mr. Fritz Peter Ecken, together with the CEO of MIDROC International Beijing Office, Mr. Carl Gustavsson, made a six day business visit to Ethiopia starting from November 25,2013 and toured several MIDROC Ethiopia Group Companies, and the Ethiopian Electric Power Corporation (EEPCO) to assess areas of possible business involvement.

The delegation gave presentation to senior members of EEPCO and scheduled a program to visit and evaluate the hydro power stations for further considerations.

The delegation also visited ELICO’s, Awash Tannery and Horizon Addis Tyre S.C. and held

Metalock Delegation Visits MIDROC Companiesdiscussions with the CEO of the National Mining Corporation Plc.

Metalock Engineering is a member of MIDROC Europe specializing in the fields of on-site mechanical machining, welding, repairs and overhauling, production machines used both in industry and off shore in shipping.

The delegation members appreciated their visit in Ethiopia and expressed hope of establishinga branch office through which they would train Ethiopians and collaborate in rendering services to relevant companies.

MIDROC News

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National Motors Corporation, on behalf of General Motors, handed over an ISUZU D-MAX D/CAB to the Ethiopian Children’s Fund (ECF), a local NGO that supports the education and development program of children in Aleltu town, north of Addis Ababa. The Fund is aimed at supporting andimproving the quality of healthcare in the town of Aleltu.

Ato Alula Solomon, General Manager of National Motors Corporation Plc., at a ceremony organized at the premises of the company, handed over the key to Ms. Anna Getaneh founder of the Ethiopian Children’s Fund (ECF).

Anna Getaneh receiving the key from Ato Alula Solomon

Ethiopian Children’s Fund Receives Donation

MIDROC News

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The MIDROC Ethiopia HIV/AIDS Prevention and Control Task Force held a special meeting on October 10, 2013 at the SalaM Nurses College to discuss the performance of the Task Force and outline plans for future activities to be executed in collaboration with governmental and non-governmental organizations.

Opening the meeting, Chairman of the Task Force, Dr. Berhanu Tadesse, said thatpeople living with HIV/AIDS (PLWHA) in the various Group Companies of MIDROC Ethiopia are eligible to find and access help and support; the necessary medication & nutritional supplements at their work places from the HIV/ AIDS Fund of their respective Companies. The Fund has been initiated several years ago by the Task Force to curb the spread of the virus.

He further said that the Task Force has madeunreserved efforts to make employees aware of the epidemic and protect themselves in close collaboration with respective company management. These activities would continue by establishing new facilitating committees in

Task Force Holds Special Meeting

Dr. Berhanu Tadesse opening the meeting

Group Companies that are not active now in this regard, he added.

Dr. Berhanu also noted that the support and acknowledgement given by Sheikh Mohammed H. Al-Amoudi, Owner and Chairman of MIDROC Ethiopia, to the Task Force, has been a great strength.

Dr. Berhanu said that the Task Force is working on the mitigation of the impact of HIV/AIDS by providing care and support to PLWHA to achieve the 2021 Goal of UNAIDS.

Also at the meeting, MS Libet Maloney, Chief of Party of World Learning, Mulu 2 Project in Ethiopia presented a study resulton HIV/AIDS prevention and control activities held in six MIDROC Ethiopia Group Companies.

Representatives of governmental and non-governmental organizations took part in the meeting and shared their best practice experiences on HIV/AIDS prevention and control.

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MIDROC News


Member of MIDROC Group

Tel: +251 11 8-962-396 Fax: +251 111-555-516 E-mail: [email protected] website: www.horizonplantations.com

Taking Ethiopia’s agriculture to the highest level


Engaging in agricultural development here in Ethiopia has always been the primary interest of Sheikh Mohammed H. Ali Al-Amoudi, owner and chairman of the MIDROC Investment Group.

Ato Jemal Ahmed, General Manager of Horizon Plantations Plc, one of the MIDROC Ethiopia sister companies, says “As Ethiopia isendowed with diverse climatic zones favorablefor agriculture and the sector can createsignificant job opportunities for citizens, Sheikh Mohammed strongly believes that he has to contribute to the agricultural development effort in Ethiopia.”

It seems that this optimistic dream of Sheik Mohammed is becoming a reality with thetangible results being registered by the agricultural firms recently.

According to Jemal, MIDROC is determined to do its level best in support of the country’s

agricultural sector productivity. This is to be attained through undertaking successfulreform and restructuring activities in the variousagricultural farms MIDROC acquired fromEthiopian Government through the Privatization and Public Enterprises Supervisory Agency (PPESA).

For instance, Horizon Plantations, following the acquisition of the Upper Awash Agro Industry, Bebeka & Limu Coffee Plantations and Gojeb Agriculture Development is registering significant

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MIDROC News

Horizon Plantations: towards agricultural transformation

Ato Jemal Ahmed, General Manager of Horizon Plantations Plc

“Sheikh Mohammed strongly believes that he has to contribute to the agricultural development effort

in Ethiopia.”


MIDROC News

improvements by enhancing productivity up to 100 percent in some cases.

The General Manager indicated that Horizon began its investment activities by acquiring the Bebeka Coffee Plantation through a joint venture agreement with the Ethiopian government in August 2011.

“For the first time in its 35 years history, Bebeka harvested over 74,000 quintals of coffee cherries last year only from itstwo-third farm, doubling its historic (49,000 quintals) productivity following the transplantation of one-third of the coffeeplantation.”

“The growth in the productivity would further be augmented with the maturing of the seedlings that were planted over the last two years. ”

According to the General Manager, Bebeka is also diversifying the crops it grows. “For the first time in the country’s history we are growing black pepper and turmeric widely atcommercial farm level. We are growing black pepper on 420 hectares and already exporting the produce.”

He indicated that the volume of the blackpepper export is expected to increase in a very significant manner when the crop is fully harvested after two years.

Jemal also pointed out that Bebeka has carried out a successful turmeric development and a state-of-the-art processing plant is now being imported to supply value-added (powder) turmeric to the international markets.

“As the laboratory analysis of our turmeric product has already been accepted by pertinent European authorities, we are confident that we would secure the export market,” Jemal said.

In addition to black pepper and turmeric, Bebeka is growing coffee, ginger, cinnamon, cardamom, vanilla, banana, rubber tree and honey.

Moreover, Jemal said that Horizon also acquired six Limu farms, covering 12,000 hectares in aggregate, which is situated in a prominent coffee growing area of Ethiopia.

The General Manager indicated that his company is working hard to establish a direct international market link through famous coffee roasters; and to that effect, encouraging results have been registered in the export of coffee.

He also indicated that intensive Pineapple development and livestock ranch projects arealso expected to be implemented at the Gojeb Agriculture Development Farm in the next two years.

Efforts are also underway to enhance the productivity of the 5,600 hectare Upper Awash farm, which is the largest irrigated commercial horticulture development farm in the county, by hiring and deploying foreign professionals in the field. This farm covers over 50 % of the national orange supply.

The General Manager announced that Upper Awash is also finalizing preparation to present various processed products, Tomato Juice and paste, Orange Marmalade and the like in the next two months.

With regard to agricultural development in general, Jemal said that what MIDROC is aiming at is enhancing the productivity of the agricultural farms by ensuring that they areenvironmentally friendly. Jemal also indicated that MIDROC, as one of the largest groups in owning coffee plantations in the world with over 25,000hectares of coffee land is also striving to promote the Ethiopian coffee in the world market. For example, he said, “We participated in the Africa Fine Coffee Association exhibition held recently in Bujumbura, Burundi and successfully sent our messages that the aggregate size of MIDROC’s coffee plantations is one of the largest in the world and that we grow over 26 varieties.”


MIDROC News

The general manager said that participating in the exhibition enabled his company to popularize all the specialty coffee like the Ethiopian Gesha and the other conventional coffees.

Generally, he said, the company is doing its level best to enhance productivity, transform the agricultural activity into agro-processing by strengthening value addition and ensuring all the agricultural activities are environmentally friendly.

“To this end, all our coffee plantations arecertified by pertinent bodies fulfilling all the requirements of environmental protection,” Jemal added. Concerning agro-processing, he indicated that new spice and honey processing machinery would be installed this year in the respective farms.

Highlighting the national economic benefit of the MIDROC’s agricultural projects, Jemal said that Horizon Plantation and Ethio Agri-CEFT have created job opportunities for over 50,000 people who support over 120,000 family members of their own indirectly.

The company has established its own international outlet and exports high quality product through it’s processing wing - The Coffee Processing and Warehouse Enterprise (CPWE). Currently the company exports coffee beans worth over 30 Million USD per annum and contributes its own share in the nation building effort, the General Manager said.

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need for getting prepared ahead of time to tackle the challenges of tomorrow by practicing advanced management reporting in all businesses. The other resource person of the Conference, Ato Tewodros Tilahun, General Manager of Diligence Consultancy Services Plc, also presented on “Integrated Corporate Reporting”, and highlighthing the links of value creation to issues raised in the previous session; the importance of effective governance and integrated thinking. He gave a detailed account on clear picture of business objectives and guiding principles including future outlook on global corporate reporting.

The last session of the Conference concentrated on “Partnership in Business Professionalism and Working Relationship with Clients”. This topic was presented by Prof. Dr. Eng. Abebe Dinku from the Addis Ababa University, Institute of Technology. The session was on business partnership and its advantages and

disadvantages, ethics and professionalism, partners code of conduct, current situations and future perspectives, best practices in the world and Ethiopia. Ideas that may be considered by local contractors and the way forward were presented which led to active discussions among the participants.

Prof. Abebe said that building partnership is one of the best alternative ways to remain competitive in the business. He emphasized that MIDROC Construction Ethiopia Plc, as one of the largest construction companies in the country, should consider creating suitable partnerships with international companies. He finally stressed on the importance of encouraging scientific research programs that are always the key for all development activities.

Finally, at the closing session of the conference, Ato Teklu Haile appreciated all the resource persons, participants and organizers of the conference.

Continued from page 9... “The impossible...”

MIDROC News

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COVER STORY

Information system is the fabric of an organization vital to its sustained survival. The strength of this fabric is dependent on how information is handled. Information is generally understood to mean “knowledge communicated or received concerning a particular fact or circumstance”. It is also taken as data that is accurate and timely, specific and organized for a purpose, and presented within a context that gives it meaning and relevance that can lead to anincrease in understanding and decrease inuncertainty. It is closely related to notions of communication, data, form, instruction, knowledge, meaning, understanding, control and perception.

The importance of information and the ad-vent of technology associated with it “In-formation and CommunicationTechnology (ICT)”, has been taken as a transformative phenomenon in human

history and development. It has openedhard-to-believe opportunities in the way we interact with each other and do business.

The execution of financial transactions at the click of the mouse is the order of the day. It is the cumulative effect of information technology that deservedly brought about the 21st century era as an “Information Age”.

Information is considered an economic resource, somewhat on par with other resources such as labour, material, and capital. This view stems from evidence that the possession, manipulation, and use of information can increase the cost-effectiveness of many physical and cognitive processes. The rise in information-processing activities in industrial manufacturing as well as in human problem solving has been remarkable. Consideration of information as a holistic event and not as an isolated one is essential for reflecting on the system that it

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““

The healthy operation of informationsystem is of immense vitality to the

MIDROC Investment Group in Ethiopia...


operates in. Activities in a process and processes in a system are organically linked to give a vibrant life to the establishment.Information, therefore, needs to betreated as a very precious commodity. Once oneconsiders information as a commodity, the process by which it is produced, modified and distributed becomes systematic. The section by section quality control andmonitoring and the verification aspect that the product information has reached its target destination is extremely important. Anyinformation that is short-circuited or blocked from reaching its target destination could be tangentially misdirected ending up either asdisinformation, misinformation or total distortion.

In order to minimize and possibly eliminate these unwanted outcomes, one of theinescapable ways of so doing is theincorporation of Corporate Good Governance in business establishments. The business world has many examples and stories to tell that the survival of many business establishments and sustainable growth is anchored in Corporate Good Governance (CGG) and smooth flow of information in the organs and systemic functioning of the establishments. Otherwise, the inevitable danger of business collapse will be looming. The collapse of Enron and Lehman Brothers could be attributed to CGG and the dissemination of distorted information.

Distorted information can be checked if and only if information is taken as a commodity where the necessary quality control parameters are installed in theprocessing and transmission of information. Systemic transparency will enhance theelimination of risk from the spread of distorted information.

An ‘event’ or a ‘happening’ can have different results in any setting (household, community, society at large, nation, region, etc) as a function of pre-information and post-information about the ‘event’ or‘happening’. So, a decision based on

thoughtful analysis becomes critical one when to let information go.

The other important dimension of information is the secure storage andretrieval system, i.e., the custody of it. Establishments and societies at large are better served if custody of information is understood and taken as a treasure to be nurtured. Institutional memory, which is the cumulative outcome of retained information, will reduce unnecessary duplication of efforts and resources. It will enhance relevant information sharing by all stakeholders.

The orderly continuity of communities in general and business in particular is realized because of institutional memories.

One of the ways of building institutional memory is the implementation of a seamless succession planning program. Societies have histories because of this. So, the internalizationof taking information as a commodity is very vital!

The healthy operation of information system is of immense vitality to the MIDROC Investment Group in Ethiopia which comprises seventy legally independent companies. What, when and how information is transmitted to the many stakeholders is the pillar and cornerstone of the wellbeing of the respective companies and their smooth operations. Company communication and public relations wings play very vital roles in the dissemination of processed information with the purpose of positive image building and minimizing distortions. While all these are happening within and without the businessestablishments, accountability needs to be inseparably enshrined and engraved in processed information. It is, therefore,incumbent upon the companies to continuously make improvements and nurture their information systems with the guiding principles embedded in Corporate Good Governance.

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speaking of the brighter future he sees with the completion of the construction activity and thesacrifices that people should make to see their city advance.

The two men’s discussion kindled questionsin my mind-Why some people complainfor simple and momentary problemsinstead of being farsighted and patient? How much is the cost of development?

As far as I know, let alone something big achieving something modest and personalentails hard work and sacrifice. The same is true with the development efforts here in our metropolis.According to official sources, the under construction metropolitan electric railway will

Dreams do come true, if we only wish hard enough, you can have anything in life if you will sacrifice everything else for it,” I recalled this quotable quote by the famous Scottish author and dramatist, James M. Barrie, when I heard two gentlemen discussing the construction of the light railway line inAddis and the inconveniences it has created.

One Saturday morning last October, I was having coffee with a friend in a nearby café of my kebele and two persons were sitting beside me and commenting on the hustle and bustle of the construction activity.

One of them was complaining about the traffic jam created due to the railwayconstruction in the city, while the other one was

“

INCIDENTALLY

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How Much is the Cost of Development?

By: Mekonnen Teshome Tollera

The construction of the Addis Ababa Light Railway Transit is well in progress


have two lines; a 16.9Km section going from North to South, and a 17.35Km section going from East to West. The two sections join for 2.7Kms.

The Light Railway Transit (LRT) will have a total of 41 cars, each with the capacity to carry 286 passengers at a time. This will enable the light rail transit to provide transportation to 15,000 people an hour, in one direction, and 60,000 in all four directions.

The project is expected to cost more than 400 million US dollars, with the Chinese government through the Chinese Export andImport Bank, covering 85% of the finance andthe Ethiopian Government covering therest.

Of course, the construction activity is causing various temporary discomforts, the people, and the city government need to bear theseinconveniences.

The hustle and bustle

It is obvious that construction efforts of this nature involve heavy earth moving equipment that will generate noise, vibration, smoke and dust. Due to the excavation work on the roadway and the sidewalk, people again may face problem of vehicular access to their street for some time. Since it is undertaken alongside the city’s main roads, it can also create traffic jams. Problemsof accessing taxis and city buses may be strongly felt.

Though most of the time the worksite where excavations are being performed are fenced for the public’s safety, sometimes people, including those working for the project, could be injured.

The construction project undertaken in Addis may involve the replacement orrepair of water, telephone and electric lines andcables and other utilities in some places. This can also disrupt service provisions for some time.On the government and contractor’s side, the railway construction effort is not a bed ofroses. The planning and designing effort as

well as redesigning of the project is also a cumbersome activity. Resettling of project-affected persons, tree cutting, shifting, and reinstalling of basic utilities are all pre-construction issues.

As it has been difficult to get proper records of the underground utilities like water supply, sewerage lines, electrical and telephone cables etc., these utilities are identifiedas encumbrance only during theimplementation stage of the project. Shifting and reinstalling of overhead electrical and telephone lines (which arevisible including poles) take a long time.

The shifting of the utilities infrastructureusually leads to delay of project completion andincreased hardships to people. The various pertinent government agencies that are responsible for clearing of the project site need to work in a coordinated manner to facilitate the smooth project implementation. Of course, most of the time we see that projects are delayed due to poor coordination among various concerned bodies that are responsible in clearing the sites: for personsbeing relocated paying the necessary compensations, shifting water and sewerage lines, telephone and electric cables. Therefore, this can also require the adoption of laws, regulations as well as directives. Policy makers have to play their own role in this regard.

Frequent changes in the designs and alignments during project implementation period also incur extra time and delay in the execution of projects. Lack of speedy cooperation from pertinent bodies is another challenge for a project to be finalized on time.

Compensation and clearing project sites sometimes especially when the property owners have unclear ownership document or when the property has more than one owner, the settlement process takes a much longer time.

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What to do?

The contractors and project managers need to think of taking various safety measures. They should provide smooth transitions between the normal roadway and the work area. Whenever possible, adequate space or buffer area must be prepared to separate pedestrian and vehicle pathway from the road works.

In collaboration with the office of the citytraffic police, they should also provide adequate information and warnings on the traffic movement around the project site to help vehicles and pedestrians decide on their speed and route choice.

Informative and safety signs should be posted on appropriate visible spots. Contractors can also facilitate shifting in their working hours even more than now to execute most of their works during night shift with more presence of their heavy machineries and avoiding them during daytime. The general public also needs to understand what mega

project management takes; and all thechallenges faced by the construction sector. Instead of being part of the problem and blaming contractors and administrators for creating inconveniences while executing a project like the Addis Ababa Light Railway Transit, people need to understand the long-term benefits of such mega projects.

Looking forward to the fact that the projects would bring about significant changes in our life style, we should be patient and cooperative. We will all benefit from the completion of the project.

The Addis Ababa Road Authority, TrafficPolice and the Contractors should lookcontinuosly into better traffic flow by opening or monitoring access roads, prioritizing excavation works, scheduling night time works.

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Traffic jam created due to the railway construction



Tel. +251 116 62 00 72 Fax: +251 116 62 02 62 P.O.Box: 121code1250 Website: addiscatering.com Addis Ababa, Ethiopia

PLC


Innovation involves the act of implementing an invention (at scale) and taking it to market. A successful innovation must demonstrate: a thorough linkage to a real human-centered need or opportunity, evidence that is technically feasible and due diligence that the ideas are commercially viable.

You can rest business growth upon sustainable innovation, while you cannot with inventions alone. To evaluate an organization’s capability to derive sustainable innovation along these lines, we need to look at the patterns at play. We can look from theperspective offered by the internal make-up of a company (i.e. its “DNA”), the organization’s value stream and the role team members play within it, external circumstances that influence an organization’s ability to innovate, and the archetypes evident in t he history of strategic evolutions within and across variousindustries. Before analyzing the patterns, the most important task an organization should do is to fully understand its end-users, the everyday people they serve.

As end-users ourselves, we have reached at an important juncture. Never before has the world been this accessible. It is not uncommon for us to have friends on other continents. We stay in touch through anumber of social media channels. We expect our personal information to be accessible at our fingertips via cloud-based computing. The amount of data we generate in a second has reached epic proportions. Consumers now expect companies to leverage “big data”

to further personalize and streamline their products and services. Shoppers expect to be able to buy on the go via their smart phone. With greater accessibility, people experience greater productivity challenges and demands on their precious time. To get tasks done faster, to free up more time for the things they love, the better. Consumers expect authentic value, rewards and recognition with any brand they engage. Social behavior, buying behavior and comfort with technology is changing. As technology becomes faster, lighter and less costly, these phenomena will only increase.

The historic economic precedent observed by enterprises to date is not guaranteed for the future. With increasing global access,increased connectivity and disruptive technologies over the horizon, a systematic approach to prioritizing innovation will be absolutely critical for enterprises to navigate their uncertain futures. In the west, start-ups are taking advantage of these trends and are producing products and services that can directly compete with larger incumbent players. Many of the most famous brands you can imagine fear the threats of disruption.

By prioritizing people, process and technology, enterprises should institutionalize Research and Development (R&D), so that they can ensure a pipeline of innovation that turns early ideas into viable business opportunities. Even a small amount of innovation can launch successful products and services, which in turn can grow into

Kevin Bethune is an industrial design expert and thought leader at Booz Digital, a new boutique digital innovation organization within Booz and Company, USA.

Innovation for a Sustainable Business

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Writer’s Column

By: Kevin Bethune


viable business growth and ever-lasting franchises. Much like academic institutions has solidified their leading-edge research and incubation initiatives, so should enterprises. It may be great for an enterprise to partner with a leading university to understand this dynamic, and understand how they might institutionalize R&D within their company walls.

The management should therefore, need to make sure that their organizations are dedicating some bandwidth toward innovation, and to encourage their teams to assume some risk (i.e. being okay withfailure, as long as there is an environment where the teams feel they can fail early and oftenbefore projects mature). Bandwidth can come in the form of time, capital and/or prioritization. Sometimes, managers have to lead by example by showing the teams how to dedicate some space for innovation in their daily, weekly and monthly activities. Managers need to create an environment where innovation is welcomed, not discouraged and it needs to feel like any other business priority, with prioritization, work scoping, metrics and milestones.

Organizations that effectively innovate usually think of their end-users and understand the impact these trends have on end-user value criteria. Quantitative market research provides a means of mapping the market landscape and segmenting end-users by pain-points and unmet needs. Qualitative research enables the ability to find deeper insights behind the end-user’s attitudes,behaviors and motivations around a particular topic. These insights provoke a rich understanding of an end-user’s journey navigating their circumstances. This journey provides a canvas in which to further identify new products and services. These ideas translate into multiple touch-points, richer user experiences and deeper brand engagement.

This process reveals evident-truths that are bound to challenge the status quo in most companies. Over the last several decades, companies tended to assert a

product-first mentality to grow theirbusinesses. By putting the end-user first, organizations will find the right path toward discovering transformative innovation opportunities.

After focusing on end-users and theirrespective journeys, the first lens of analyzing an organization’s ability toinnovate requires an investigation of the organization’s internal makeup (or “DNA”). We might look at the leadership or organization’s founders as the first point of analysis. How effective are the leaders at driving an innovation culture? The late Steve Jobsrepresents the most popular archetype for what has made Apple very successful. Phil Knight and Mark Parker continue to lead Nike with vigilance for athlete-centeredinnovation. Their leadership permeates their teams, and the organizations’ vision, mission and core values ring true in every initiative they undertake. Lastly, the people, process andtechnical capabilities organizations invest in over time; clearly delineate which types of innovations are viable to produce within the organization. In other words, the fit with the organization’s capabilities needs to match for an idea to move toward becominga viable innovation.

The next lens involves taking a closer look at the organization’s team who drive theinternal operations. There are a number of “persona archetypes” who play a significant role in championing innovations along the value stream. A simple way to break up the value stream is to segment it along three phases: Discovery, Design and Delivery. • Discovery: - requires the effort of those individuals looking for latent insights and who can frame up clear ideas that directly apply to each insight. They include the opportunity- definers and discoverers among us.

• Design: - involves conceptual development and communication of narratives that describe how user experiences could be improved. People who serve as concept

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generators and communicators represent the best stewards of innovation in this phase. • Delivery: - requires getting the invention over the finish line (i.e. into the marketplace). Leaders who strive to nurture the team’s success, facilitators who guide teams over the hurdles and implementers who know what it takes to drive market traction complete the innovation process. Depending on the strategy of the organization, the mix of these personas might look different, but each role usually exists at some level.

Looking beyond the walls of the organization, we should consider theimpact that external circumstances may have on the organization’s ability to generate sustainable innovation. These circumstances includesocial, cultural, political, economic, competitive, environmental, artistic, intellectual, technology and social trends that reflect the diverse landscapes thatorganizations must navigate. As creativity defines itself as the uncanny intersectionsof different inspirations, an effective analysis of external factors helps our understanding of the effectiveness of driving innovation within an organization. These factors amplify with thecontinued convergence of global accessibility, virtual networks and increasing global competition. As the old saying goes, there is something to be said for being “at the right place, at the right time” for a given idea to turn into a successful innovation.

As a final lens, we can evaluate the patterns we see across industries as it relates to how organizations manage their commitment to driving innovation. Many thought leaders have organized the world’s top companies by four categories in this respect.

• First group: - finds itself led by an extremely visionary leader who directs innovation from the very top. Apple, Nike, Netflix and Virgin Atlantic fall into this category. • Second group: - of companies manages innovation as part of a

broader and complex product portfolio. Proctor & Gamble, Sony and Samsung match this notion with the amount of products they have to manage. • Third group: - directly involves its user-base as a catalyst for creating innovative value propositions. Face book and Kick-starter represent organizations that do this well as their users’ shape the success of their products and services. • Last group: - consciously taps the external market place of institutions, experts and thought leaders to drive innovations. 3M, IBM and Google fit this category. As we investigate the history of these companies, they all tend to start from an origin story rooted around a visionary leader. They tend to gravitate to one of the other three categories over time.

These “arche types of innovation” are at our disposal to analyze the effectiveness of an organization to breed innovation for sustainable business growth. By putting the end-users’ needs first and respecting theirjourneys of experience, organizations will drive more relevant innovation that can address pain-points and unmet needs. To analyze an organization’s ability to act on these opportunities, we can analyze their internal makeup (or “DNA”). We cananalyze the internal team and the specific roles they play championing innovation along the value stream. Assessing the impact of external circumstances help; we understand the degree of creative intersections that might occur,breeding more innovation that is effective. Lastly, the strategic positioning of firms with regard to how they manage innovation can provide clues as to bandwidth, collaboration and energy they may give toparticular initiatives. These archetypes provide useful patterns to help us understand how best to achieve innovation for sustainable business growth. I wish you the best in your pursuits to drive meaningful innovation within your organization.

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Health

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UNAIDS and Nobel Laureate working for annual Zero Discrimination Day

As the world commemorated the first UNAIDS initiated international Zero Discrimination Day with a wide range of activities onMarch 1, 2014, the UN specialized agency and the Burmese Nobel Peace Prize winner as well as the global advocate for Zero Discrimination, Daw Aung San Suu Kyi, called for March 1 annual event, according to UNAIDS.

UNAIDS appointed Aung San Suu Kyi as its advocator of the day because she is a globally renowned figure and the 1991 Nobel Peace Prize winner for non-violent struggle andadvocacy of democracy and human rights.

UNAIDS Executive Director Michel Sidibé has expressed his appreciation for the outpouring of s upport for the zero discriminationcampaign which was launched in December 2013 on World AIDS Day by his agency.

“For all who seek a more just world, for all who strive for peace and prosperity—let us start by stopping the inequality and discrimination happening around us,” said Mr Sidibé.

"Zero Discrimination Day is a call for nobody to be left behind," Sidibe also said in an exclusive interview with Xinhua.

"The day will serve as a reminder that we are privileged, but many other people are not having the same luck as us. We need to bring them into the light, and let them have the same advantages as we have," he said.

United Nations Secretary-General Ban Ki-moon also said, “Hatred of any kind must have no place in the 21st century.”

“Discrimination is a violation of human rights. It is immoral, hurtful and dehumanizing. Yet

UNAIDS Executive Director Michel Sidibé (right) and Aung San Suu Kyi


too many people around the world continue to face unfair, harmful or violent treatment simply because of the circumstances of their birth or environment,” said Dr John Ashe, President of the General Assembly.

Many government ministries, lawmakers, business leaders and international organizations are supporting the zerodiscrimination campaign.

“Institutionalized discrimination is bad for people and for societies,” said Dr Jim Yong Kim, President of the World Bank Group. “Widespread discrimination is also bad for economies. There is clear evidence that when societies enact laws that prevent productive people from fullyparticipating in the workforce, economies suffer.”

“Achieving zero discrimination is critical for the success of the AIDS response. The International Labour Organization (ILO) is fully committed through its Getting to Zero at Work campaign,” said Guy Ryder, Director-General of ILO.

“Eliminating discrimination is the one step that can enable the world to achieve the UN General Assembly's 2011 target of a 50 per cent reduction of HIV infection among people who use drugs by 2015," said UNODC Executive Director Yury Fedotov. "Take that step, say yes to #zero discrimination, commit, transform and let's reach the target."

The butterfly is widely recognized as a sign for transformation and the campaign has adopted it as the symbol for zero discrimination. People have supported the campaign by

taking photographs holding up the butterfly symbol in places across the globe, including snowy mountain tops, office cubicles, amusement parks, fire stations and the world famous carnival in Rio de Janeiro, Brazil. At a commercial shopping complex in Kandy, Sri Lanka, campaign supporters are organizing a mass photography shoot with the zero discrimination symbols.

The Asia-Pacific Transgender Network has used the occasion of Zero Discrimination Day to produce in partnership with UNAIDS a powerful video about the transgender experience. The Pan CaribbeanPartnership against HIV and AIDS isholding a series of country-level and regional dialogues with government, civil society, business and religious groups, as well as young people, on the importance of building solidarity for everyone. The Youth Taekwondo Association of Tajikistan is holding an event called “Sport against stigma and discrimination.”

Many celebrities have recorded video messages or taken photographs with thebutterfly, including the global Indian icon and UNAIDS International Goodwill Ambassador Aishwarya Rai Bachchan, the popular Russian science commentator and naturalist Nikolai Drozdov and the highly acclaimed musician from Mali and International Goodwill Ambassador Toumani Diabaté. The international television broadcaster CNN is supporting the campaign and many local and regional media outlets are featuring discussions on zero discrimination. In Pakistan, Radio Pakistan and PTV World, the country’s only English channel, hosted talk shows with people from key groups who often face discrimination.


INTRODUCING THE NEW ECOSPORT

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The construction industry is a basic economic sector which assists most of the other sectors by transforming various resources and building physical, economic and social infrastructure necessary for socio economic development. It embraces the process by which the physical infrastructure is planned, designed, and implemented.

The existence of a reliable and competitivelocal construction industry capable of delivering quality services to the development and maintenance of physical infrastructure is very important.

Although, there are immense opportunities in the construction sector, capacities and technological capabilities of most of the local construction companies are limited.

In the last decade, the construction industry has registered remarkable growth, played an important role and has contributed significantly to the development of the Ethiopian economy. During these years, investment has increased

because of the development and expansion of various infrastructure projects. The construction industry, in addition to attracting foreign direct investment, creates considerable employment opportunity. MIDROC Construction Ethiopia Plc, a Grade I General Contractor and member of the MIDROC Ethiopia Group, is one of the pioneers and the largest construction companies in the country. It is designed to offer wide range of services in construction of projects of any size and complexity such as high-rise commercial buildings, real estates, hospitals and schools, industrial plants, civil works in the building sector, roads and bridges, airports as well as water works. It also produces ready mix quality concrete Class C15 to Class 40 and asphalt hot mix that meet national and international standard.

During its first 10 years in business, since itsestablishment in 1993, the company hasundertaken thirty-six large construction projects including the magnificentSheraton Addis Hotel and the MIDROCCorporate Head Office - Nani Building, both

Strides in the Construction Industry

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Ascending Heights of Success

Mekelle Referal Hospital constructed by MIDROC Construction Ethiopia plc.


landmarks in Addis Ababa. Other projects worth mentioning also include Hawassa Pepsi Plant, Hawassa Chip Wood Factory, Summit Beverages Plant, Pharmacure IV Fluid Plant, theNyala Insurance Branch office in Bahir-Dar, SalaM Hospital Building, EBG Show Room in Addis Ababa and several other building projects.

In this same period, MIDROC Construction Ethiopia Plc undertook the construction of two major projects, namely the Mekele Referral Hospital Building in Mekele, Tigray Regional State, and the Air Force Facility Buildings inBahir-Dar, in the Amhara Regional State. Mekele Referral Hospital is one of the first of its kind in the Region and was built to the highest standard required for a hospital in terms of quality and finishing works. The Region’s Health Bureau has honored MIDROC Construction Ethiopia Plc. with a Certificate of Merit for good performance.

The other project, although small in contract amount, is the construction of the Conference Hall of the African Union, an expansion to the old OAU Building, designed and supervised by international consultants.

An additional investment of more than Birr 300 Million in 2006, made by Sheikh Mohammed H.Al-Amoudi, Owner and Chairman of MIDROC Ethiopia, for capacity building has made it possible for MIDROC Construction Ethiopia Plc. to embark upon the road construction sector after upgrading its capacity and acquiring sophisticated equipment and machinery for road building.

MIDROC Construction Ethiopia Plc, in its second 10 years of business activities starting 2003, went into bidding in the open market for big building and road projects. Subsequently it had acquired a 62 km asphalt concrete paved road – the Dembi – Bedele Road Project, in Jima Zone in 2007. This Asphalt Concrete RoadProject is the first road project to be awarded to a local contractor by the Ethiopian Roads Authority (ERA) which MIDROC Construction Ethiopia Plc. has successfully

completed. The Company also constructed the road from Derba town to Mugher Valley, in a very difficult terrain, which was essential to transport raw material for Derba-MIDROC Cement Factory.

The Company was also awarded six urban road projects in Addis Ababa namely: the Yeshi – Debele Road, Yerer – AAWSA Treatment Plant Road, Meri-Radio Beacon Road, Ayat- Yerer Goro Road, Gurd Shola – Bole Yeka Road, and City Tip – Bisrate Gabriel Road; all-critical in the development of the cityinfrastructure. The Company has built several reinforced concrete bridges with spans ranging from 40m. to 140m.

During this period, the Company has also successfully built the Ethiopian Airlines Cargo Terminal and Apron at Addis Ababa Airport, the Federal Police Head Quarters Building at Mexico Square - a landmark building with high quality finishing, the Oromiya Convention Hall and Office Complex Buildings at Adama, and the 6-storey building of Ethio Agri-CEFT Plc In addition to these building construction projects, MIDROC Construction Ethiopia Plc. has built magnificent monuments at Bahir Dar and Adama towns that required special engineering and construction for their artistic designs.

Currently, the company is engaged in the construction of various large facility buildings for Hawassa University (parts of which have been completed earlier) worth over Birr 600 Million. The construction of the 19-storey Dashen Bank Head Office Building and itsextension works, the 16-storey building for the Ethiopian Red Cross Society, the building complex for the Institute of Ethiopian Studies at the premises of Addis Ababa University, two ongoing asphalt concrete road projects in Addis Ababa, and the hospital building in Gondar in the Amhara Regional State are also presently being undertaken by the Company.

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MIDROC Construction Ethiopia Plc. has built-up assets and acquired several units of construction equipment and plant including: 3 units of Concrete Mixing Plants, 4 units of Aggregate Crushing Plants, over 100 units of Earthmoving Equipment, 3 units of Asphalt Pavers, 3 units of Hot Asphalt, 6 units of Tower Cranes, and 8 units of Mobile cranes and several other construction equipment, plants & vehicles.

MIDROC Construction Ethiopia Plc. has created large number of sustainable jobs, providing job opportunities for 2,143 people including a good number of civil, mechanical & electrical engineers, 126 technical & support staffs, 227 plant and equipment operators, administrative andfinance personnel, and large numbers of skilled, semi skilled and unskilled workers. Total number of employees gets to well over 4,000 at peak time.

MIDROC Construction Ethiopia Plc, after reassessing and strengthening its existing capacity in manpower, equipment, engineeringfacilities, etc. is determined to increase its share of the market in all sectors of construction, and to embark on selected joint venture partnerships with

Ethio Agri-CEFT Head Office Akaki Bridge (City tip - Bisrate Gebriel Project)

qualified and reputable sub-contractors andinternational construction companies and enter into water works /irrigation & dams/ and railway projects. It is also planning to engage in design and build projects.

The Company places increased attention to the safety and health of its employees, safety protection of the environment andpeople in all its work places. Preparations for ISO certification is under establishment.

MIDROC Construction Ethiopia Plc., in its endeavour to meaningfully contribute its share to the development of the country, has equippeditself with renewed commitment to conduct its business efficiently in an ethical and quality focused manner with a high standard of professionalism, integrity and drive. The Company, thus, guided by the far-reaching vision of Sheikh Mohammed H. Al-Amoudi, looks forward to providing improved services to its esteemed group companies and external clients.

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Quotable Quotes

“Generosity never pulls you back rather it pushes you forward”

Sheik Mohammed H.Ali Al-Amoudi

Management is nothing more than motivating other people.

Le Iacocca

Price is what you pay. Value is what you get. Warren Buffett

You must be the change you wish to see in the world.

Mahatma Gandhi

Your most unhappy customers are your greatest source of learning.

Bill Gates

From the Chairman’s File “He is an early bird”

Sheikh Al-Amoudi isn’t the type of guy to sit and relax in a tropical island, by the shores of the

Caribbean Sea, nor you will see him playing golf in Acapulco. He is an early bird,

productive with his time. He wakes up early in the morning and stays late at night in

his office, with the attachment to his job of starting and running his business.

Source: OIL & GAS Business Comunity Dec. 2010

4 cups of intelligence 1½ cups of responsibility 2 cups of open-mindedness 1 quart of understanding 1½ teaspoons of initiative Dash of judgement Have all ingredients at body temperature. Sift intelligence, ambition, and understandingtogether. Mix co-operation, initiative, and open-mindedness until dissolved. Add gradually ability, tactfulness and responsibility. Stir in positive attitude and judgement thoroughly. Beat patience until smooth. Blend all ingredients well. Sprinkle liberally with cheerfulness and bake in oven of determination. When absorbed thoroughly, cool and spread with kindness and common sense.

Let us go to work

1¾ cups of sifted positive attitude 3 cups of ambition 2 cups of unbeaten patience 1 cup of tactfulness 4 cups of ability

Recipe for A Successful Leader

Just a few points

If there is a will there is always a way


MIDROC ETHIOPIA Committed to Development

Printed by Central Printing Press

tiret march 2014 issue

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