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Ethiopia's Distinctive Coffee Sector Brews Record Export Revenue

Dec 15, 2025 201

Ethiopia, the birthplace of Arabica coffee, is leveraging its unique, high-quality beans to drive unprecedented growth in its export sector. For centuries, coffee has been more than just a commodity; it is a profound social and cultural pillar for Ethiopians.

While the country has historically been a major producer, it often failed to maximize the economic benefit from its coffee. This trend is now reversing, thanks to recent comprehensive, diversified economic reforms in the agricultural sector. These strategic improvements have significantly boosted coffee productivity and national revenue.

Record Revenue and Global Standing

Ethiopia, currently the largest coffee producer in Africa and the third by export volume globally, has achieved remarkable export milestones.

  • In the last fiscal year (ending 2024/2025), Ethiopia exported a record 470,000 tons of coffee, generating over $2.6 billion USD in revenue.
  • This performance contributed over 40% of the nation's total agricultural export earnings, according to Fikadu Defres, Lead Executive Officer for Coffee, Tea, and Spice Development at the Ethiopian Coffee and Tea Authority.
  • The upward trajectory is set to continue, with a target to export 600,000 tons of coffee and earn over $3 billion USD in the upcoming 2025/2026 fiscal year.

Experts believe that better marketing of Ethiopia's distinctly flavored, high-quality coffee products on the global stage could unlock even greater financial returns.

Strategic Initiatives Drive Growth

The dramatic increase in production is directly linked to targeted government efforts:

  • Expanded Cultivation: The government's focus on coffee development has successfully expanded the land covered by coffee cultivation from $1.1$ million hectares to $2.46$ million hectares.
  • Green Legacy Contribution: Coffee's role in climate protection was also highlighted. Officials noted that the "Green Legacy" program—a national reforestation effort—has contributed to this growth, with approximately nine billion new coffee seedlings planted.

Modernizing the Brand

Efforts are also underway to capture more value by modernizing and protecting the intellectual property of Ethiopia’s world-renowned origins.

  • Tesfaye Abose, manager of the Ethiopian National Coffee Association, confirmed that the association—established three years ago—is actively working to modernize the coffee sector and improve market accessibility.
  • The association is currently collaborating with Hawassa University to secure global brand registration for Sidama coffee, building on previous successes in trademarking the country's famous origins like Harar, Sidama, and Yirgacheffe. This work is part of a wider effort to gain international recognition for other fine coffee varieties, ensuring that the unique heritage and quality of Ethiopian coffee are protected and rewarded in the global market.