India-Ethiopia: agreements on visa facilitation and leather technology signed

India and Ethiopia signed two agreements on 20 February 2021. These agreements relate to visa facilitation and leather technology.

Main point
Ethiopia’s Deputy Prime Minister and Foreign Minister Demke Mekonen Hasen and India’s Foreign Minister S.K. These agreements were signed in the presence of Jaishankar.
The Deputy Prime Minister of Ethiopia is on a 4-day visit to India.
Both countries held fruitful and productive discussions on a number of bilateral and regional issues.
The two ministers also agreed to expand the bilateral agenda regarding economy, defense, digital and cultural cooperation.
India-Ethiopia Relations
Bilateral relations between India and Ethiopia are based on civilizational ties and cultural ties. Relations between the two countries are more than 2,000 years old.

Business relationship
India is the top development, trade and investment partner in Ethiopia. India is also the third most important trading partner for Ethiopia. 11% of all imports in Ethiopia are exported by India, which mainly includes primary and semi-finished iron and steel products. India also exports pharmaceutical and pharmaceutical products, machinery and equipment, plastic chemicals, metals, transport equipment and electrical materials. Whereas, India imports cotton, pulses and spices, up to US $ 30 million annually. In 2018-19, bilateral trade between the two countries was US $ 1.28 billion. Of this, Indian exports to Ethiopia were US $ 1.23 billion and imports US $ 55.01 million.

Other support

In addition, Ethiopia is the largest recipient of concessional lines of credit by India among all African countries. India is also the second largest foreign investor in Ethiopia. About 40% of Indian investment is in agriculture. India also plays a major role in the fields of education, science and technology and defense.