Ethiopian Shipping and Logistics (ESL) generated a revenue of Birr 57.14 billion birr, surpassing its financial targets for the 2023/24 fiscal year by 20%. The company also achieved a profit of Birr 8 billion.
ESL attributed its success to increased ship and truck loading capacity, enhanced service delivery, and the adoption of technology-driven processes. Nevertheless, the company faced a considerable setback in its vehicle transport operations, falling short of its target by two-thirds due to a government-imposed ban on fuel-powered vehicle imports. This policy resulted in a backlog of vehicles at the Port of Djibouti, impacting ESL’s transport performance and revenue. The company aimed to ship 2,143 vehicles weighing under three tons but only managed to transport 677.
However, a recent policy reversal has offered a path to recovery. With the lifting of the ban, ESL is now poised to transport thousands of vehicles from Djibouti to Dire Dawa, addressing the backlog and improving its overall logistics capabilities.
Source: Ethiopian News Agency and Capital Ethiopia
