First Private Multimodal Operators to Secure License

The Ethiopian Maritime Affairs Authority (EMAA) is finalizing a new directive specifying requirements to govern the licensing of private multimodal transport operators.

“We are preparing to commence licensing the first private multimodal operators in the country. There are many logistics companies who have been requesting this,” Ewnetu Taye, Deputy Director at the Ethiopian Logistics Transformation Office (LTO), told EBR.

Thus far, the multimodal service—a major deviation from the static unimodal service of the past ten years—was provided by only the state-owned Ethiopian Shipping and Logistics Service Enterprise (ESLSE). The enterprise uses the Modjo Dry Port as its major cargo dissemination spot.

Private multimodal operators will also need their own dry port, which could be a hundred of hectares large. A number of private logistics companies who requested to engage in multimodal services before were hindered mainly because government failed to provide such land according to logistics operators EBR talked to.

“They usually request land in proximity of Addis Ababa, where it is difficult get such large patches of land. But now, private multimodal operators can begin by building their own dry ports on land as small as two hectares and expand gradually,” said Ewnetu.