Ethiopian Airlines Group, the largest airline conglomerate in Africa and one of the fastest-growing airline brands globally, has launched a new e-commerce logistics facility in Addis Ababa. This facility is part of a broader strategy to position Addis Ababa as a key cross-border e-commerce logistics hub for Africa. The facility is located within the Ethiopian Cargo & Logistics premises and spans 15,000 square meters, with the capacity to handle 150,000 tons of goods annually.
This development comes in conjunction with Ethiopian Airlines’ partnership with AliExpress, the Chinese online retail giant under Alibaba Group. AliExpress is set to officially launch its services in Ethiopia on August 22, 2024, at the Skylight Hotel on Airport Road, an event that will be attended by senior executives from both companies.
The newly inaugurated facility is designed to cater to the growing demands of e-commerce, mail, and courier logistics services. It is equipped with advanced technology for processes such as consolidation, deconsolidation, sortation, repacking, and labeling. Ethiopian Airlines has highlighted the facility’s potential to streamline logistics and enhance the efficiency of goods transportation and delivery within Africa’s e-commerce industry.
Ethiopian Airlines Group CEO, Mr. Mesfin Tasew, commented on the launch, stating that the facility represents a significant step forward for both the airline and the broader African economy. The $55 million investment aims to bridge logistical gaps and support the development of e-commerce services in Ethiopia and across the continent.
AliExpress, which was launched in 2010, is part of Alibaba Group’s broader commerce portfolio and allows small businesses from China and other regions, including Singapore, to sell products to international online shoppers. The partnership with Ethiopian Airlines is expected to enhance the ability of businesses to reach global markets and is viewed as a significant development for Ethiopia’s emerging e-commerce sector.
In parallel with these developments, the Ministry of Innovation & Technology (MINT) is preparing to launch Ethiopia’s first national e-commerce strategy. This five-year plan is intended to address existing regulatory gaps and expand the e-commerce landscape, making it more accessible to both local and international markets. The strategy will outline a regulatory framework for various e-commerce models, including business-to-business (B2B), business-to-consumer (B2C), and consumer-to-consumer (C2C) transactions, and aims to increase foreign exchange earnings and support technological advancements within the sector.
Ethiopian Cargo and Logistics Services, which operates under Ethiopian Airlines Group, has received several awards for its services, including “Best Cargo Airline-Africa” at the Maiden Arabian Cargo Awards and “Sustainable Cargo Airline of the Year-Africa” at the 2023 Freight Week Sustainability Awards. These accolades highlight the airline’s role in the logistics sector, particularly in supporting the growth of e-commerce in Africa.
Ethiopian Airlines operates a fleet that includes Boeing 737s, 777s, 787s, Airbus A350-900, and Bombardier Dash 8-400 double cabin aircraft. The airline serves over 150 domestic and international destinations across five continents. As part of its Vision 2035 strategic plan, Ethiopian Airlines aims to position itself as one of the top 20 most competitive and leading aviation groups in the world by continuing to innovate and expand its services.
