ADDIS ABABA

Ethiopia broke ground on a 76 million birr ($487,000) livestock trading center in Jigjiga, Somali Regional State, in a push to formalize pastoral trade and channel growing export revenues back into grassroots communities.

Trade and Regional Integration Minister Kasahun Gofe and Somali Region Chief Administrator Mustafe Mohamed Omar laid the foundation stone on Monday during a ceremony held alongside the Jigjiga Forum, a regional dialogue on cross-border trade, logistics, and economic integration across the Horn of Africa.

The facility, financed with World Bank support under the De-risking, Inclusion and Value Enhancement of Pastoral Economies in the Horn of Africa (DRIVE) project, will become the Somali Region’s second modern livestock trading hub, following the recent inauguration of the Degehabur Livestock Market Center.

The center is designed to introduce transparent pricing structures, standardized weighing and grading systems and digital financial services, giving pastoralists direct access to competitive market prices for their animals.

“Beyond fixing structural market vulnerabilities, this facility will significantly enhance Ethiopia’s export capacity. This project underscores the federal government’s broader commitment to modernizing our entire trade ecosystem from the grassroots level up,” Trade Minister Kasahun said.

The groundbreaking comes as Ethiopia generated $87 million from meat exports in the first eight months of the current fiscal year, according to the Ethiopian Meat Producers and Exporters Association.

The country is working toward a $100 million annual export target and has expanded into new regional markets through the African Continental Free Trade Area (AfCFTA), while processing plants export meat by-products to East Asian markets, including Vietnam and Hong Kong.

Construction is scheduled for completion within three months. Federal planners intend to link the facility to transport corridors, digital market information networks and regional quarantine centers to streamline the flow of live animals to international ports in Djibouti and Berbera.

Ten additional secondary livestock market centers are nearing completion nationwide.

Mustafe Mohamed said the Ministry of Trade’s investments align with the Somali Region’s economic potential and provide vital support for both the government and the people of the region.