Guna, Owned by Ethiopian Ruling Party, Eyes Coffee-Export Share

By Jason McLure

Oct. 27 (Bloomberg) -- Guna Trading House Plc, owned by Ethiopia’s ruling party, said it plans to become one of the nation’s biggest coffee exporters, raising concern among industry observers that private industry may get crowded out.

The company began shipping the beans in July and aims to export at least 12,000 metric tons of coffee in the year through June, Mulualem Berhane, general manager of Guna, said in an interview on Oct. 22 in the capital, Addis Ababa.

“We are intending to export to Europe, the U.S. and China,” he said, adding that Guna is among at least four other companies owned by the state or Prime Minister Meles Zenawi’s ruling party intend to expand in the industry.

Ethiopia, where arabica coffee originated, is Africa’s biggest producer of the crop, which accounts for 26 percent of the nation’s export revenue. The Horn of Africa country shipped 133,993 tons of beans worth $375.8 million last year, according to Trade Ministry data. More ≫