Construction Equipment Management

September 2014
TIRET
The MIDROC Ethiopia Group Corporate Magazine
Construction Equipment Management
www.midroc-ethiopia.com.et Free copy

TIRET September 2014
Taking Ethiopia’s agriculture to the highest level
Tel: +251 118-962-396 Fax: +251 111-555-516 E-mail: info@horizonplantations.com

Website: www.horizonplantations.com
www.midroc-ethiopia.com.et TIRET September 2014
The Chairman’s Message
Sheikh Mohammed H. Ali Al-Amoudi
Owner and Chairman

MIDROC Ethiopia Investment Group
As the month of September marks the beginning of the Ethiopian New Year, let me first take this opportunity to wish the
Ethiopian people, the entire community of our investment group as well as all our stakeholders a very Happy, Peaceful
and Prosperous New Year.
Celebrating the start of the New Year, it is always good to look ahead and think about what this year may bring us and
learn from our past experiences.
The just concluded Ethiopian year was quite a year for all of us at the investment group. We have achieved a lot in the
many sectors we are engaged in: Agriculture, Industry, Hotel and Tourism Development, Mining, Transportation, Export
Trade and the like.
I have expressed my readiness to invest in areas that are given strategic priorities by the people and government; and
I think this plan has worked out. Today, we see my companies contributing in stabilizing prices, assisting mega projects
in the country and absorbing new graduates from higher learning institutions.
We have been through many developments in participating in the nation building efforts sometimes in some
challenging circumstances. Of course, I understand that there’s still a lot of work ahead.
I once again would like to reassure all the management and employees in my investment group that I am ready to do all
what is possible to accomplish all our plans and achieve more in the new year.
I also very well know that all what we achieved are at huge and commensurate cost. We should always be prepared to
overcome our challenges through meticulous planning, careful execution of our activities and effective management
of our resources. Of these resources, state-of-the-art machineries in our industries and modern agricultural as well as
construction equipment come into the picture.
Effective resource management should be at the forefront of our investment activities. If we do that I am optimistic that
the year ahead will bring us more success and satisfaction.
So, I encourage all of you to participate in effective resource management in your respective companies and achieve our
goals by working together, keeping focused on our priorities and conducting our duties in very professional and principled
manner.
Wishing you all good health, joy and success in the coming year and always!
www.midroc-ethiopia.com.et 1 TIRET September 2014

Editor’s Note
Since 1996, the year in which the first edition of TIRET was launched, our corporate magazine has been
featuring major accomplishments in the group companies and has served as a symbol of synergy and solidarity
amongst MIDROC Investment Group companies.
I feel that everybody in our group has the sense of ownership and concern to see TIRET making progress and
becoming a good symbol of harmony. Cognizant of this fact, the Editorial Board has initiated change in the
content and design of the magazine to realize the supposed change in the publication of the magazine.
Therefore, in this issue of TIRET we have attempted to make some reorganization and change in style of story
presentations.
To this end, the MIDROC News column of our magazine presents various stories in a more analytical approach
and featuring our companies’ major activities this time around.
The Cover Story gives details on the issue of “Construction Equipment Management” which was the main
theme of the 18th Consultative Group (CG) meeting of our group companies in a very interesting approach.
We also introduced a new column – Commentary - to facilitate a permanent presentation of scholastic and
argumentative articles on various issues of development. In the current issue of the magazine, articles
that feature matters of the role of our business schools in our economy by Professor Johannes Kinfu and
other commentaries on “Principled Business Communication” as well as “Economic Growth and Economic
Development: A Source of Confusion?” by the Editor-in-chief and Ato Siyoum Gebrehiwot.
You will also read an interesting story on how National Oil Ethiopia (NOC) is registering remarkable growth
and emerging as an indigenous downstream oil company in Ethiopia and neighboring countries in our
Ascending Heights column.
The Health column also features two items on the risks of unhealthy Cholesterol level in our body and the
measures that should be taken to beat the problem and another piece titled “Sub-Saharan Africa in the fight
against HIV/AIDS”. Finally, we present selected short news items in the News Brief section of the magazine.
As usual, our editorial team invites all our readers to participate in the publication process through comments
and constructive suggestions.
Enjoy your reading!
Mekonnen Teshome
Editor-in-chief

Perfect choice for
comfort & PleasUre
Main Hotel Line: +251 582 264 566 Ext: 3001 Direct Line: +251 582 20 070
Mobile: +251 918 392 929 P.O.Box: 1387 E-mail: bluenileresorthotel@ethionet.et
September 2014
TIRET
The MIDROC Ethiopia Group Corporate Magazine
TIRET is a bi-annual corporate magazine

of MIDROC Ethiopia Investment Group
in print since 1996.
PATRON
Teklu Haile
EDITORIAL BOARD
Tadelle Teferra (Chairman)
Melaku Beza
Asrat Bulbula
Brook Debebe (Amb.)
Johannes Kinfu (Professor Emer. )
Mekonnen Teshome Free copy
EDITOR-in-CHIEF
Mekonnen Teshome
CONTENTS
SECRETARIAL SERVICE & DISTRIBUTION
Haimanot Negussie
Martha Kassahun Cover Story 36
PHOTOGRAPHY
Degifie Tekle, Tadesse Demissie,
Kibrealem Yalew
GRAPHIC DESIGN
Kibrealem Yalew
PUBLISHED BY
The Communication & Public Relations
Department of MIDROC Ethiopia
MIDROC News 7
Tel: +251 115 549 969
Fax: +251 115 549 936
P.O.Box: 8677
midpubrel@gmail.com
Cover Story 36
www.midroc-ethiopia.com.et
September 2014
© MIDROC Ethiopia
Commentary 41
All rights reserved. Reproduction in part
or in whole is allowed with a written
authorization of the Publisher Ascending Heights of Success 51
MIDROC
Mohammed International Development
Research & Organisation Companies. Health 56
News Brief 62
DISCLAIMER
The opinions expressed in our various columns are stricly the views of the contributing writers.
MIDROC ETHIOPIA
Committed to Development
Cover Photo:
Ries Engineering S.C. technicians working on a CATERPILLAR Excavator
by Degifie Tekle

Infinite Race for Quality
Tel: +251 116 189 313/14 Fax: +251 116 189 315
P.O.Box: 976 code 1110
E-mail: info@jittuhorticulture.com
MIDROC News
The installation of the two big

telescopes at mount Entoto has been finalized
Sheikh Mohammed
takes Ethiopia high
into space
“ He made us plan big.
He told us to revise our
initial plan of establishing
a smaller observatory center
and to think about a bigger
vision of building a world
class observatory and
research as well as training
”
ESSS Board of Directors’ Chairman, Ato Tefera Waluwa
facilities.
A
sked about the core areas of his philanthropic Ato Tefera Waluwa
activities by Forbes Magazine in June 2013,
Sheikh Mohammed H. Ali Al-Amoudi said.
“I invest primarily in education and health
care-related philanthropy directed at improving the supporting sport, primarily football, and also in
health of the wider population (cancer awareness and developing cultural relationships within national
treatment in the Arab world; and HIV/AIDS awareness and communities and their Diasporas, with a special reference
treatment in Africa). I have strong interests in to Ethiopia.”

In responding to the question, Sheikh Mohammed
actually stated only the major areas of his philanthropic
focus. However, it is public knowledge that he supports
all development efforts here in Ethiopia and elsewhere.
For instance, the extraordinary support he has provided

to the Ethiopian Space Science Society (ESSS) in the
materialization of the Entoto Observatory and Research
Center is worth mentioning.
Since the establishment of ESSS in 2004, Sheikh

Mohammed has contributed 75% of the finance needed to
build the observatory center at Entoto Mountain which is
3,200 meters high above sea level.
Currently, construction of the Entoto Observatory and

Research Center and the installation of the two big
Nazereth School students at evening space observation event
telescopes, each with one-meter diameter lenses, with
organized by ESSS
high-tech telecommunications, has been completed. The
Society will have the center officially inaugurated soon.
ESSS Board of Director’s Chairman, Ato Tefera Waluwa
The telescopes which were bought from the German says that Sheikh Mohammed is making an extraordinary
technology company, Astelco Systems with their contribution to the realization of the space science projects
accessories are fully computerized. of the nation.
According to Solomon Belay (Ph.D.), Director of According to the Chairman, Sheikh Mohammed has a
Entoto Space and Astronomical Observatory Centre, the very profound appreciation of astronomy and is highly
outstanding contribution of Sheikh Mohammed has keen to see the development of space science in Ethiopia.
resulted in a key paradigm shift in the country’s Ato Tefera recalled that once Sheikh Mohammed said:
Astronomy, Space Science and Technology developments. “As the world is striving to find an alternative place other
“Now, Ethiopia has become an emerging state in the than the earth to live in, we Ethiopians should be ready to
global scientific and technological development.” follow suit.”
Acknowledging this huge contribution of Sheikh “He made us plan big. He told us to revise our initial
Mohammed, the International Astronomy Union (IAU) plan of establishing a smaller observatory center and
has honored him with Certificate of Recognition. to think about a bigger vision of building a world class
observatory and research as well as training facilities. Then
ESSS has also been conducting various studies to set up he provided all the finance and moral support,” Ato Tefera
a second bigger observatory near the town of Lallibela in said. Indicating that there is lack of awareness about the
northern Ethiopia, on a higher point of 4,200 meters above advantages of the science of astronomy in Ethiopia, the
sea level. Chairman said that Sheikh Mohammed clearly understands
that Ethiopia can benefit in all sectors of the economy from
Over the next three to five years, the Society also plans the advancement of the science.
to launch at least three satellites aiming at supporting
the country’s agriculture sector through the provision of
more accurate information on meteorological and climate
change trends.
Facts about Sheikh Mohammed’s contribution to ESSS
• In 2004, he paid Birr 1,000,000.00 as an initial membership contribution

• In 2008, he donated Birr 6,000,000.00 for the construction of Entoto Offices
• In 2011, he gave about Euro 2,000,000.00 initial budget for the acqusition of
telescopes, domes and accessories
• In 2012, he equipped the Entoto Observatory and Research Center with office
furniture with an outlay of about Birr 3,000,000.00

Now ready to serve all your
catering needs in Addis Ababa
Tel: +251-116-620072 Fax: +251-116-620262

P.O.Box: 121 Code 1250 Addis Ababa, Ethiopia
Website: addiscatering.com

ደርባ ሲሚንቶ ኃ.የተ.የግ.ማ.
Derba Cement Plc.
ነገን ዛሬ እንስራ
Ready for Tomorrow
Tendaho Sugar Project
The Grand Ethiopian Renaissance Dam
Bahirdar Stadium Lower cement prices, door to door delivery and

concern for the environment define us.
We further promise to bring about new

possibilities in the cement sector: new product
types, diverse packing sizes, enhanced
and improved customer service.
Gilgel Gibe 3 Hydro Electric Project
As in the past we will let our deeds do the talking.
Take our word for it.
Head Quarters Tel: +251 115 549 888 Fax: +251 115 549 808
Marketing Tel: +251 115 518 105 / +251 115 540 375 Cement line 8688
Fax: +251 115 541 442 E-mail: info@dmc.com.et
www.midroc-ethiopia.com.et 10
Website: www.dmc.com.et
Derba Transport boosting up fleet capacity
DMC inputs and 500 for cement distribution. The main
reason for Sheik Mohammed Al-Amoudi to establish DT
was to ensure that DMC cement would be delivered at
the right price to customers throughout Ethiopia, without
affecting the local transport market negatively.
State of the art Fleet Management System and Transport

Planning Software will be used by DT, with emphasis
on skill development and application of the latest
management techniques to ensure that DT will become the
premier hauler operation in the country. Driver training in
the areas of safety and fuel efficiency will be conducted at
a driver academy that is currently under establishment in
cooperation with, SIDA, Volvo and the Federal Transport
Authority among others.
Ato Haile Assegidie
When DMC goes fully operational, 200 vehicles will be
D
erba Transport (DT) has added 20 Bulk Cement deployed with a daily loading capacity of 8,000 MT at the
Truck Trailers to its fleet system aiming factory, with no interruption 24 hours.
at delivering quality service to clients of the
Derba MIDROC Cement (DMC) factory.
The full integration of logistics systems between DMC
and DT will bring about an unprecedented experience of
According to DMC and DT CEO, Ato Haile Assegidie, handling and distribution of cement here in Ethiopia. This
the introduction of the new vehicles will greatly improve will eventually target creating opportunity for customers
transport turnaround time with reduced loading and to track their cement deliveries on-line.
offloading duration. The 34 M3 and 40 MT capacity
Bulk Cement Truck Trailers would help the factory render DT’s first commercial transport was carried out in June
fast and effective service to its customers with efficient 2011. While presently 757 trucks are operational full
bulk handling capacity. deployment of 1,000 trucks is expected to be achieved
within the next 12 months. To date, DT has created job
The three axle Bulk Cement Truck Trailers with Volvo FH opportunities for about 1,500 citizens.
440 tractor are made of steel bodies. While speaking about
the efficiency of the machines, Ato Haile said that DT Prior to DMC’s production launch, DT and Sheikh
will also offer the service of provision of compressors, for Mohammed were assisting the Ethiopian Government in
discharging cement from bulk trailer to client silo in less transporting wheat to areas experiencing food shortages.
than ten minutes, for those who do not have this facility A total of 400 trucks were dedicated for this purpose. DT
also provides noteworthy services, other than transporting
themselves.
cement from Derba Factory. These include transport of
The company intends to have a fleet of 1000 Bulk Cement transformers from Djibouti to Gilgel Gibe III, equipment
Truck Trailers. DT was established in 2011 by Sheikh and cement to the Ethiopian Grand Renaissance Dam
Mohammed Hussein Ali Al-Amoudi with 200 million site, transport of oil exploration drilling rigs as well as
USD total investment capital to facilitate transportation emergency transport of transformers to various
of inputs for Derba Midroc Cement (DMC) and distribute destinations in Ethiopia.
cement to customers.
The fleet has now 750 Volvo trucks with 250 vehicles for

MIDROC Foundation Specialist Plc.
Leader in Advanced
Foundation Technology
Grade 1 Contractor
Tel: +251 114 431 464 / 421 876 / 406 620 Fax: +251 114 421 876
P.O.Box: 1912 code: 1110 E-mail: midrocfoundation@ethionet.et
Addis Ababa, Ethiopia
Eng. Negussie Aberra and Dr. Tabor Gebre-Medihin at inaugural ceremony
Connecting people through

road construction
P
eople of the Yerer Goro and its vicinity in Addis The 143 million birr road project also involved fairly
had to travel long, through the places called sophisticated construction technology. It had created job
CMC and Megenagna (more than 10 km), to opportunity for over 600 citizens.
reach their neighboring Ayat village with a
great deal of difficulty. According to Eng. Negussie, despite the high price rises
in most construction materials after the signing of the
The lengthy and twisty travel has now been shortened to agreement with the Addis Ababa Roads Authority, the
six km. construction of the road had been finalized with all the
quality and standards required.
This was officially announced and commended by
representatives of the local community, government Contract administration head with the Authority Eng.
officials and the MIDROC Ethiopia Construction Deputy Ahmedin Hussein also on the occasion said that the
General Manager, Eng. Negussie Aberra, when the Ayat construction of the road has totally changed the looks of
Intersection-Yerer Goro modern asphalt road was the locality for the better.
inaugurated on May 31, 2014.
Representative of the residents of the Ayat-Yerer Goro area
The two-lane road which connects the two neighboring Worku Bedlu on his part indicated that the construction
villages is 6.6 km long. The road has two bridges, 146 of the road would alleviate the transportation problem of
meters long each and three big roundabout intersections. the people of the area and beyond. “We are so delighted to
see this road completed,” he added.

Ato Worku Bedlu, Ayat-Yerer Goro localities represenative Partial view of the newly inaugurated Ayat-Yerer Goro road
“In addition to changing the look of our lacality, the road MIDROC Construction Ethiopia PLC is a grade one
would ensure a better life standard to people in the area.” construction company engaged in undertaking similar
Also on the occasion, the representative presented other road constructions, skyscrapers including the Nani
concerns of the people like the construction of feeder MIDROC Ethiopia Corporate Building near the Ghion
roads to the newly inaugurated road, installation of street Hotel, the Federal Police Head Quarters at Mexico square
lights and assignment of police forces among others to area and Ethio Agri-CEFT New Head Office building in
the Speaker of the Addis Ababa City Council Dr. Tabor the Makanissa area. A number of buildings in the premises
Gebre-Medihin who was the Guest of Honor of the of the Hawassa University and several other constructions
naugural ceremony. also testify engagement of the company.
MIDROC CONSTRUCTION ETHIOPIA PLC
Grade 1 Contractor
Tel: +251 15 51 08 99 Fax: +251 15 51 22 44 P.O.Box: 16960 E-mail: midroc.conet@ethionet.et

Addis Ababa Ethiopia

Integrated Reporting:
Beyond the financial report
Participants attending the training workshop
A
t 1:45 AM on September 15, 2008, the then fourth The financial crisis has simply been a particularly sharp
largest investment bank of the United States reminder that financial measurement alone cannot
(behind Goldman Sachs, Morgan Stanely, and provide sufficient insight into corporate performance and
Merill Lynch), Lehman Brothers Holdings Inc. business activity.
("LBHI") and 22 of its affiliates (collectively, the
"Debtors") filed petitions in the United States Bankruptcy Therefore, the new concept of Integrated Reporting
Court for the Southern District of New York seeking relief (IR) initiated by the International Integrated Reporting
under “Chapter 11” of the US Bankruptcy Code. Council (IIRC) seems to be a remedy for such problems in
providing complete information about a business activity
The firm filed for the bankruptcy protection following in a manner that shows all the necessary financial and
the massive exodus of most of its clients, drastic losses non-financial information including a company’s strategy,
in its stock, and devaluation of its assets by credit rating governance and performance.
agencies playing a major role in the unfolding of the late
2000s global financial crisis. While offering training organized by MIDROC Ethiopia
Training and Development Department on “Integrated
It was a puzzle for many why this powerful financial Business Reporting” for middle level Management
institution faced that huge challenge of bankruptcy. members drawn from MIDROC Ethiopia Investment
As the court-appointed examiner indicated that Lehman Group on April 29, 2014 at Ghion Hotel, Diligence
executives regularly used cosmetic accounting gimmicks Consultancy Service PLC General Manager Tewodros
at the end of each quarter to make its finance appear less Tilahun cited IIRC defining Integrated Reporting as
shaky than it really was. “a process that results in communication by an
organization, most visibly a periodic integrated report,
This practice was a type of repurchase agreement that about how an organization’s strategy, governance,
temporarily removed securities from the company’s performance, and prospects lead to the creation of value
balance sheet. However, unlike typical repurchase over the short, medium and long-term.”
agreements, these deals were described by Lehman as
the outright sale of securities and creates “a materially According to Ato Tewodros, integrated reporting would
misleading picture of the firm’s financial condition in late build on the existing financial reporting model to present
2007 and 2008. additional information about a company’s strategy,
governance and performance.

Horra Food Complex plc
Quality Speciality Loyalty

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* Wheat Flour 240 tons/day

* Pasta (Spaghetti) 1,100 kgs/hr and Macaroni 1,300 kgs/hr
* Various Biscuits 1,750 kgs/hr
Tel: 011 367 90 00 Fax: 047 439 11 70 P.O.Box: 5521 E-mail: hfc@ethionet.et
Sebeta Alemgena
Integrated reporting aims at providing a complete picture As a mining company, the National Mining Corporation
of a company, including how it demonstrates stewardship prepares reports on its activities of environmental protection,
and how it creates and sustains value. As IIRC is not a social responsibility and the like. However, it is also
regulator or a standard setter, companies are exploring essential to take into consideration the idea of integrated
integrated reporting with the council voluntarily. reporting. “I am of the opinion that if companies
Integrated reporting is, in part, an outgrowth of the implement integrated reporting it would help them get a
view that today's corporate reporting will not meet the clear picture of their business activity.”
evolving information needs of stakeholders in the global
capital markets. There have been major changes in the W/ro. Lishan Haile, an accountant working for MIDROC
way business is conducted, how businesses create value, Ethiopia PLC, agrees with Ato Dereje. She said that
and the context in which they operate. after participating in the workshop she has got a valuable
idea on the difference between the old way of business
Though these changes are interdependent, they reflect reporting and the new idea of integrated reporting.
trends in globalization, heightened expectations of
corporate transparency and accountability, resource
scarcity, and environmental concerns, among others.
Some stakeholers are asking companies to provide clear
information about emerging external drivers (e.g., social
and environmental) that affect their businesses, their
approach to governance and managing risk, and how their
business models work.
In response to this growing demand for a broader

information set, the IIRC is developing an integrated
reporting framework to guide companies in communicating
the information stakeholders expect to assess a company’s
long-term prospects.
Companies participating in the program benefit by W/ro Lishan Haile, MIDROC Ethiopia PLC
exploring integrated reporting. Key among them is
improved internal information that allows management She said that preparing an integrated report would help a
to make better decision of resource allocation leading to business company to see all its strengths and weaknesses
potential cost reduction. It would also make the reporting in its implementation of various strategies, governance,
more concise and less complex. performance as well as future prospects.
Participants of the above mentioned workshop also share Integrated reporting would prompt companies to think
the idea that integrated reporting could have its own about their reporting in a holistic manner. This would
advantages. include, for example, considering the relationships
between a company’s various operating and functional
Ato Dereje Gebre-Mariam who represented the National units, the financial and nonfinancial capitals that a
Mining Corporation PLC says that integrated reporting, if company uses and the relevance of those factors in
implemented properly, seems to be a good instrument that demonstrating how value is created.
gives a general picture of a business activity and facilitates
informed decision. Some companies are also starting to use integrated
reporting concepts to drive their focus on integrated
thinking and strategic decision-making. They’re
finding that this can lead to stronger cross-functional
communications, more productive dialogue among
employees at all levels across business activities and more
meaningful dialogue with external stakeholders.
Integrated reporting is being adopted or explored by

companies throughout the world. An increasing
number of social reporting requirements driven by local
regulatory bodies and stock exchanges have played a key
role in giving impetus to this momentum.
In South Africa, for instance, listed companies are

required to adopt integrated reporting, or explain why they
have not complied with the reporting system. Many other
Ato Dereje Gebre-Mariam,
National Mining Corporation PLC

countries have enacted or proposed rules on integrated that might impact the business. Depending on the sector
reporting and on incorporating corporate responsibility in which the company operates, these factors may include
into a company’s external reporting. human resource issues, such as talent attraction and
retention, intellectual capital, and environmental or social
In the US, certain companies have shown interest in matters. This increasing demand for more transparency
reporting more non-financial information voluntarily. can be an opportunity for companies. There is a growing
Recent research shows that nearly all of the S&P 500 body of research that shows that greater transparency can
companies made at least, one sustainability related improve companies’ access to capital. Voluntary disclosure
disclosure in their financial reports. Only seven of is also increasing and companies recognize that enhanced
those companies claim to have published integrated reporting of non-financial information provides financial
reports. value, drive, innovation and enhance their reputation for
transparency.
Stakeholders increasingly expect companies to disclose
environmental, social, and governance information As companies consider an integrated approach to reporting,
through reports or other means, such as websites. And, their traditional performance reporting may reflect
mandatory sustainability disclosure requirements have varying degrees of integration and different approaches
been adopted or proposed in many countries, including to communicating data. Some companies have produced
requirements on specific topics like carbon emissions. non-public integrated reports, which have enabled them
to test systems and processes internally. Others have
Investors are taking note, recognizing a correlation incorporated integrated reporting concepts into their
between sustainability and financial performance. In one annual reports.
study that deals with “high sustainability” companies
demonstrated better stock performance, lower volatility, Corporate reporting will continue to evolve with
and higher return on assets and return on equity than “low the changing business environment and stakeholder
sustainability” companies. So, it is not surprising that expectations. Adding integrated reporting to management’s
investors are increasingly considering nonfinancial agenda and to board strategy sessions may help companies
factors, such as resource scarcity, when assessing determine how to meet these evolving expectations. The
companies’ long-term prospects. integrated reporting concepts may provide companies a
useful framework when considering how to best disclose
In fact, some companies have attributed their exploration environmental, social and governance matters that they
of integrated reporting to increased questions from have decided to report. Companies may also improve their
investors on corporate governance. access to capital and achieve strategic business benefits
from integrated thinking.
Investors are also looking for insights on other factors
PHARMACURE Plc.
Member of the MIDROC Ethiopia Group
Manufacturer and Supplier of

High Quality, Affordable Drugs
Tel: +251 116 604 820 Fax: +251 116 604 825 P.O.Box: 5542 E-mail: Pharmacure@ethionet.et

Workplace Daycare at Technology Group Premises
U
navailability of workplace child care center emergency. Regarding Corporate benefits most companies
results in employees’ frequent absence, low obtain comparative advantages by offering on-site
productivity and high turnover. Companies childcare as employee benefits outweigh the costs
that have on-site child care centers find it involved. A company is able to recruit and retain well
beneficial both to employees and themselves. The trained staff and there is better employee morale boost
availability of child care centers in companies reduces in the final analysis. There are also lower rates of
parental anxiety and stress, creates happiness feeling and absenteeism as parents don't need to take time off their
enables workers to make some balance between work work for their babies.
and family affairs.
Many on-site day care centers across the world are
Considering these advantages, MIDROC Ethiopia reported to have increased concentration and productivity
Technology Group, has recently inaugurated a child care on the job. On-site child care reduces stress of parents and
center at its headquarters at Mechare Meda. eliminates their worries because they find reliable,
acceptable and accessible care center. Hence, employees’
The center which is expected to offer a very vital service, attention is on work and not on deterring trepidations.
chiefly for breast feeding employees has the capacity to
serve 20 children of workers at a time. By the time of Moreover, parents know that affordable, dependable
inauguration of the center, 13 babies had already been and good child care is rarely available at workplaces.
accommodated. Therefore, they are often grateful to a child-care option
and consider it as a significant and necessary employee
The center is equipped with the necessary child feeding, benefit.
entertainment facilities, toilets, sleeping and resting
comforts. Feeding mothers working for the group When children are at a close attention, parents and
company access the care and support facilities taking turns. children experience minimum or no separation
anxiety. Parents can drop in during a lunch break or when
MIDROC Ethiopia Technology Group Chief Executive the workload allows, for example, for reasons such as
Officer, Dr. Arega Yirdaw during the inaugural ceremony nursing or to find out how a child with a cold is faring. In
said that the opening of the child care center would greatly addition, there is feeling of confidence and comfort in
help feeding mothers to do their job unworriedly and take knowing a child is cared for by someone who is associated
care of their babies at their workplace. with the company a parent works for.
“The child care service offered by the company would By having your baby around your work place, you can
enhance mothers’ crucial role of nurturing their babies.” continue breast feeding fulfilling the nutritional
Dr. Arega said. requirements of “exclusive breast feeding for the first
six months” as per professional advice of doctors of this
He also pointed out that the clinic at headquarters of modern era. No need, no trouble to pump out breast milk.
the Corporate Office is always ready to provide first
aid and ambulance services for the children in cases of

POS Service is a modern payment service in which the merchant
(Hotels, Restaurants, Supermarkets, Tour and Travel Operators,
Hospitals) is able to accept cards for payment using the POS
(Point of Sale) terminal installed by Dashen Bank.
Dashen Bank is the only Bank in Ethiopia which has become a principal
member of the three world giant card associations i.e. Visa,
MasterCard and Unionpay. All its POS terminals accept cards branded
with their affiliate card associations i.e Visa electron, Visa Plus,
Maestro and Cirrus cards.

Networking
banking
services
D
ashen Bank and the American Express have of cash transactions. It enables business to automatically
recently entered into partnership agreement transfer funds, speeds up safe transactions and facilitates
granting the former a license to acquire multi-channel purchasing using card to a wider customer
merchants onto the latter’s network in Ethiopia. base by enabling payments to be received over the Point
of Sale (POS) terminals.
After the signing of the agreement, Dashen Bank President
Birhanu Wolde-Selassie said: “To bring on board the The main services provided by acquirers to merchants
valuable ‘American Express’ brand to our product are the capturing, authorization and processing of card
family will enable us to heighten our position as a preferred payment transactions. The acquirer then settles the funds
domestic bank by international customers.” back to the merchant from the cardholder via issuer
through relevant card scheme.
The partnership is believed to help Dashen to be
profitable by strengthening its growing reputation in On top of merchants’ transaction on POS terminal, the
addition to ensuring the vision it has set to be an important service also enables the cardholders use their cards on an
business hub in Africa. automated teller machine (ATM) for cash withdrawal
purposes.
The launching of the service will also give American
Express Card Members the opportunity to use their Dashen Bank is a leading private bank in Ethiopia,
Cards with Ethiopian merchants acquired onto the operating a nationwide network of branches, ATMs and
American Express merchant network by Dashen Bank. Point of Sale terminals (POS). Under the terms of the
Card Members will also have access to American Express’ partnership agreement with American Express, Dashen
worldwide-ATM network. Bank would begin acquiring merchants onto the American
Express network in Ethiopia. Dashen Bank will also be
Peter Wright, Executive Vice President at American responsible for managing all aspects of the merchant
Express also commented: “Dashen Bank is one of the relationship, from acquisitions to statements and
top financial institutions in Ethiopia with a proven marketing activities.
commitment to excellence and customer service. Our
merchant acquiring partnership represents an important The bank is a pioneer in the development of the card
step in growing American Express’ merchant network payment system in Ethiopia, in terms of merchant,
and brand presence in Ethiopia, and we look forward to ATM and branch coverage. Currently the Bank is
working with Dashen Bank to grow our mutual business working with four international card brand schemes i.e.
together”. Visa, MasterCard, Union-Pay International and American
Express to avail service for it’s own as well as
Merchant acquiring service is the process that enables international cardholders.
merchants to receive credit and debit card payments on top

Dr. Admasu Tsegaye and Dr. Arega Yirdaw exchanging the signed document
Partnering for a better future

W
orking in partnership and creating exchange companies, I hope Unity University would assist in
programs are said to be significant means of facilitating University-Industry linkage for our students,”
improvement among educational institutions. Dr. Admasu said.
The experience of reputable universities and
colleges across the globe also corroborate this fact. Many “So far, universities have been considered as Islands
of the higher learning institutions have realized their doing their business mostly in isolation from the
vision of becoming important centers of excellence surrounding world. However, this time around, they need
through strong collaboration and partnership. to strongly move to relate to the society and industries.”
It is with this understanding that the Unity University, “The agreement is also expected to facilitate condition
the biggest private higher educational institution, entered for instructors in the universities to contribute their share
into an agreement of partnership last May with the Addis by practically identifying and solving problems of the
Ababa University, the oldest and the biggest public higher industries.”
education institution of the nation.
Dr. Arega on his part said, “Though the agreement
The agreement intends to create an opportunity for has been signed now, the two universities have a
the two higher education institutions to utilize their longstanding relationship.” He also indicated that because
resources in common. After the signing of the agreement, the construction of the Engineering Department
President of Addis Ababa University Dr. Admasu Tsegaye Laboratory is still in progress, Unity University is using
and President of Unity University Dr. Arega Yirdaw said the Adds Ababa University laboratory at the Amist Kilo
the partnership would enable the universities to mutually campus.
utilize their capacities and exchange experiences instead
of always searching for a partner overseas. He further indicated that the central idea of the
agreement is to make students beneficiaries of the
Underlining the fact that at present private universities in partnership, adding, as the President of the Private
Ethiopia do not offer Ph. D. courses, Dr. Arega said that Higher Institutions Association, Dr. Arega said that he
the agreement would allow instructors of Unity University would do whatever he can to help other private higher
to pursue their education to a higher level at Addis Ababa educational institutions establish similar cooperation with
University. Addis Ababa University.
Dr. Admasu on his part said that the two universities are Unity University is the biggest privately-owned university
planning to jointly conduct various researches. “Seizing in Ethiopia and is also a sister company of the MIDROC
the opportunity of relationship it enjoys with MIDROC Ethiopia Technology Group.

Sheraton Addis extends hospitality
B
ench Events, the organiser of The Africa Hotel Matthew Weihs, Bench Events Managing Director,
Investment Forum (AHIF), the world’s leading during the announcement, also said, “Ethiopia remains
conference on hospitality investment in Africa, to be one of Africa’s ‘best kept secrets’. Few people
on July 2, 2014 announced that the Sheraton realise that its economy is growing at more than 7%
Addis is going to host the forum of September 29 – per year and that it is forecasted to be the third largest
October 1, 2014. economy in Africa by 2025. For the tourism industry, this
event is an opportunity to focus attention on what African
Organizers told a press conference held at the countries individually, and the continent as a whole, have
Sheraton Addis that the two day conference will take to offer in both product and opportunity.”
place in Addis Ababa for the first time under the theme
‘Reaching New Heights’. It would attract foreign Tewolde GebreMariam, Board Chairman of the Council
investors to have a closer look at the country with a of National Tourism Organisation and CEO of Ethiopian
forecasted economy of USD 7.5 billion in 2024. Airlines on his part said “We have a long term vision to
make Ethiopia Africa’s most important travel destination
Asked by TIRET Magazine following the press and I am eagerly looking forward to discussing how we
conference via e-mail, Omar Khoso Carrera, Sheraton deliver that vision with a multitude of business leaders at
Addis Marketing Director, East and South Africa Division AHIF.”
of Starwood Hotels and Resorts said, “Since Sheraton
Addis is the venue for many big city-wide events, we are The conference will focus on the geopolitical and
pleased to have been chosen for this high profile event.” economic climate across the African continent and the
Our divisional executives will be attending the event both latest developments in the hotel sector. Big issues such as
as sponsor and as participant, the director said. the importance of conserving Africa’s tourism assets and
connecting each of the African countries through efficient,
Carrera also indicated that the Sheraton believes that the new infrastructure will be discussed. The feasibility of
forum would create opportunity for stakeholders in the investing successfully in Africa in general and in
industry to exchange experiences and best practices. hospitality in particular will be explored in a series of
panel discussions led by a group of experts on each
“The Sheraton Addis is pleased to host such big events topic. Speakers are drawn from the ranks of government,
which offer opportunities for knowledge and so many hotel chains, banks and a range of prominent consultants.
queries which lead to anticipation and perfection,” he
added.

Gumaro tea estate
The tea out-growers scheme is expected to benefit many farmers
Tea Out-Growers Scheme

for a Shared Value
Atirsaw Wolde-Mariam is a tea grower in the Michiti However, this time around, Atirsaw said that he is
Kebele, Gimbo Woreda of the Keffa Zone of the Southern collecting the fruits of his hard work due to the Tea
Nations, Nationalities and Peoples Regional State. Out-growers Scheme being implemented by the Ethio
Agri-CEFT PLC, a member of the MIDROC Ethiopia
He has grown tea for well over a decade and had been Investment Group, in his locality.
challenged by several problems such as lack of adequate
support from concerned bodies and the low price of tea Growing tea on one hectare, he earns quite significant
leaf given by buyers. amount of money weekly selling tea leaf to the tea

The company launched the tea out-growers scheme
in 2004 both at Wush Wush and Gumaro tea estates.
However, tea growing by individual farmers mas not

sufficiently promoted and developed to boost production
so as to increase export volume and earn foreign currency
as Sheikh Mohammed Al-Amoudi would have envisioned
it.
Of course, the tea processing factories in Wush Wush

and Gumaro have made great strides in substituting
imported teas with their own brands and saving the
country’s foreign currency expenditure producing over
66,000 quintals of tea per annum.
Given the constraints to get land for further expansion

of tea plantation due to the forest conservation policy of
the government and the ever growing demand of the tea
processing plants for more tea leaf, Ethio Agri-CEFT
once again is embarking on the promotion of small-scale
out-growers scheme.
To this end, the tea seedling handing over ceremony held

on June 13 and 14, 2014 at both the tea estates in the
presence of higher government official is a case in point.
The company handed over 2.4 million tea seedlings

to over 140 out-growers around both Wush Wush and
Gumaro with an outlay of Birr 22.4 million. This would
enable farmers to develop additional 171 hectares in
addition to the existing 10 hectares.
This brings a glimmer of hope for farmers in the

neighborhood of the two tea estates. Chuchu Degefu is a
resident of the Gimbo Woreda of the Keffa Zone. Along
with her 30 employees, Chuchu was preparing her plot to
plant tea when the team of journalists and TIRET’s crew
met her on the eve of the seedling handing over ceremony.
“I used to grow maize and other crops, but now I changed

my mind to growing tea as I have realized the huge
difference between growing tea and other crops”
Chuchu said that her fellow tea out-growers encouraged

processing factory of the Ethio Agri-CEFT in his kebele. her to shift to growing tea and now she has prepared
Atirsaw is also happy about the technical support he 14,000 holes to replant the seedling that she is going to
receives from tea experts of the organization. receive from Ethio Agri-CEFT the following day. “I hope
my income would considerably increase in the years to
“We used to receive only 75 cents for a kilo of tea leaf come,” Chuchu anticipated.
for long but now we are paid Birr 4 for a kilo of export
standard tea leaf and Birr 2.75 for other grades. This is According to Ethio Agri-CEFT General Manager, Esayas
really has brought a significant improvement in our lives.” Kebede, the company has set to expand its production
capacity with frequent promotion of out-growers scheme.
He also says that the management and experts closely work
with farmers providing them with technical support and He said that the company would do its level best to benefit
advice supplying inputs such as fertilizer and chemicals farmers from the tea development. In addition to involving
with reasonable price as well as the necessary logistics to the farmers in the tea growing, he added, the company is
transport the tea leaf from the plantation to the factory. carrying out various activities to provide other social and
“Now, as our income increases, our lives have changed economic supports to the community.
for the better and we are thankful for the support and
opportunity created by Ethio Agri-CEFT.” “For instance, Ethio Afri-CEFT has built two
blocks of classrooms and a laboratory at the prem-

one of the tea out-growers receiving a seedling from the
Oromia Regional State President Ato Muktar Kedir
Ato Jemal Ahmed and Ato Sani Redi cutting ribbon

at the seedling station of the Wush Wush tea estate
ises of the Wush Wush primary school with over Birr
1.5 million upgrading the school to a high school level.”
This has enabled students in that locality access high
school education in their own village. and has a total area of 4, 236 hectare covered with 1,253
and 977 hectares of tea plantation and eucalyptus trees
Similarly, the company has built a secondary school (used for steam generation) respectively and the rest of
with three blocks of classrooms, an assembly hall and a land is used for other purposes. Currently, it produces over
laboratory with an outlay of Birr 2 million in Gumaro. 39,000 quintals of black tea per year.
Guests of Honor, at the seedlings handing over ceremony Tea seeds were introduced to Gumaro in 1928 through
Oromia Regional State President Muktar Kedir and Gore town which is adjacent to the Tea Plantation. It is
Southern Nations, Nationalities and Peoples State believed that The British Consulate in Gore (operational
Deputy Chief Administrator and Head of Agricultural during the time) obtained seeds from India and distributed
Bureau Sani Redi, encouraged farmers to widely engage them to local farmers. Then in 1957, a Lebanese expatriate
in the tea growing activities and improve their livelihoods. living in Gumaro, in cooperation with a Belgian, expanded
his tea estate to 25ha. In 1981 the Government started an
Representative of Sheikh Mohammed H. Ali Al-Amoudi, expansion plan and developed it to its present total size of
owner of the Ethio Agri-CEFT PLC, and Patron of the 2603 hectares with 873 hectares for tea plantations, 714
Company, Jemal Ahmed on his part said that the company hectares for eucalyptus tree plantation and the rest with
plans to expand its current tea plantations five fold and infrastructure and natural forest. The current annual
install additional processing plants to ensure mutual production capacity of Gumaro is over 27,000 quintals of
benefit with the farmers. tea.
Jemal also pointed out that Sheikh Mohammed H. Ali The out-growers scheme is expected to significantly
Al-Amoudi is committed to extending all the necessary benefit the farmers through creating sustainable and
support to realize plans set by the company. secured market, provision of inputs and production
services, facilitating financial credit and making them
Wush Wush and Gumaro which are located in familiar with new technology.
the South Western part of Ethiopia are the largest
commercial Tea Plantations in the country. These formerly
state-owned plantations together with their respective tea
processing plants and the packing factory in Addis Ababa
were acquired by MIDROC Ethiopia in 2000.
The Wush Wush Tea Plantation is endowed with ideal

ecology for the production of good quality highland tea

Committed to integrated
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Ato Abraham Abegaz, Nyala Motors CEO
Nyala Motors CEO elected as automotive association chairman
On the establishment of the Vehicles and Machineries Ethiopia remains a relatively small market for
Importers and Assemblers Sectorial Association, the automobiles, but in recent years it has shown a seven
Association elected Abraham Abegaz, Chief Executive percent annual increase after the Growth and
Officer (CEO) of Nyala Motors S.C, MIDROC Ethiopia Transformation Plan (GTP) was initiated in 2001.
Investment Group affiliate company, as its Board
Chairman on june 5, 2014. MIDROC Ethiopia Investment Group affiliate
companies in the Association
Eng. Alemayehu Mengesha, Managing Director of Ries
Engineering, was also elected as a member of the Board of Ries Engineering S.Co. (RESCO) which has been
Directors to lead the association which embraces fourteen representing Caterpillar and Massey Ferguson since
member companies including Equatorial Business Group it started operation in 1961 has now diversified its
(EBG) and National Motors Corporation (NMC). operations adding products of other reputable
manufacturers.
Ato Abraham in his remark raised a few of the
challenging tasks the Association would tackle: “The Nyala Motors S.C., which was founded in April 1973,
full percentage payment for a Letter of Credit (LC) represents NISSAN, UD TRUCKS (the former NISSAN
from banks, the price defrayal by the Ethiopia Revenue Diesel) and EICHER Trucks and Buses.
and Customs Authority (ERCA) on the automotives
for taxation, the shortfall of foreign currency and the National Motors Corporation (NMC), which was
lengthy process at the Ministry of Transport (MoTr) in the established in 1993, is mainly representing the Chevrolet
registration of new brands are some of the major and ISUZU brands in Ethiopia.
challenges we are facing,” said Abraham. “This forces us
to have excess stock in our warehouses.” Equatorial Business Group (EBG), established in 1993,
imports and distributes Volvo trucks amd construction
Some of the major objectives of the association are: machinery, Mazda pick-ups, Chinese automobiles,
campaigning for the adoption and implementation of Cummins generators, OTIS elevators and brand
policies that enable the industry to be strong and pharmaceutical products for both human and veterinary
competitive, working to address the challenges of the use.
companies that they face at the local and international
levels and tackling problems members could face in the
course of their business operations.

Tel: +251-114-33 76 56/57/58
+251-114-37 12 67
Fax: +251-114-37 14 75
+251-115-50 74 17
+251- 115- 507071 Addis Ababa
E-mail:- unlipack@yahoo.com
P.O. Box: 945 Code 1110
Addis Ababa
Ethiopia
ging by Design.
Cost effective Performance PackaTIRET
www.midroc-ethiopia.com.et 32 September 2014
Ato Teklu Haile, MIDROC Ethiopia Designate and Consultative Group (CG) chairman (left)
and Ato Saeed Ahmed, Star Soap and Detergent Industries PLC General Manager (right)
19th General Managers’ CG Meeting

Highlighting “Business Sustainability”
The 19th General Managers’ Consultative Group (CG) According to many scholars in the field of Business
Meeting of the MIDROC Ethiopia Investment Group Administration sustainability has to do with pursuing
companies convened on August 7, 2014 at the Sheraton business firms’ performance in economic, social and
Addis and discussed issues of “Business Sustainability”. environmental spheres.
Opening the Consultative Group Meeting, MIDROC Others also relate Business Sustainability with
Ethiopia Designate and CG Chairman Ato Teklu Haile said Governance and Creating Value (growth, returns on
that Business Sustainability has its varied characters.“We capital, and risk management).
in the ‘Group’ have to be open to change, improvement,
adapting new skills and change attitudes to achieve our The CG meeting on the occasion recommended that the
short and long term goals to remain in business.” companies in the group need to start institutionalized
financial synergy in the best way possible.
“In line with the vision and commitment of MIDROC
Ethiopia’s Owner and Chairman, Sheikh Mohammed H. During the second session of the meeting a presentation
Al-Amoudi, our group companies are making significant on “An Overview of Star Soap and Detergent Industries
contribution to the country’s economic growth. We need PLC” was made by the General Manager of the Company,
to sustain this growth.” Ato Saeed Ahmed which was followed by a heated
debate and discussion on the challenges and prospects of
“Exchange of opinions, capability of learning, looking in soap and detergent business in Ethiopia in general and
one direction will enable us to sustain balanced growth. that of Star Soap and Detergent Industries Plc in particular.
We have to create a happy and energetic team which is
ready to work with others and then success will follow,”
Ato Teklu said.

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35
COVER STORY
T
he effectiveness of a construction activity is These projects typically require a large number of high
highly determined by the optimal and professional capacity equipment, making the initial investment need
management of the equipment deployed. high.
In addition to labor and materials, the utilization of The piece of equipment one purchases, therefore, is a
construction equipment has a direct impact on the overall very important investment. The two main things that are
success of a construction project. The use of construction equally important as the investment are; to keep the
equipment or earth moving machines can be profitable and equipment operational maximizing productivity while
time saving if managed properly. aiming to achieve the lowest possible cost per hour or per
unit of production. To achieve these goals, one needs to
All major infrastructure and other development projects establish proper equipment management systems, says
like roads, mining, bridges, tunnels, dams, etc. require the Fekadu Mengistu, Deputy Managing Director of Ries
use of heavy equipment to assist most of the construction Engineering S.C.
activities.

* proper record keeping system to provide
information for maintenance planning, productivity,
and cost build up,
The above requirements are essential to achieve the
ultimate aim of lowest total cost in the overall life span
of the equipment, i.e a combination of highest production
and lowest investment and operating costs.
Every type of equipment, simple or complex, has got

components that wear out. While normal wear out is
expected and predictable, abnormal wear out may be
caused as a result of improper maintenance or operating
techniques.
By taking a proactive approach to maintenance,

equipment break downs could be avoided and equipment
can be managed with the lowest possible cost.
Ato Teklu Haile, MIDROC Ethiopia Designate While addressing the 18th MIDROC Ethiopia Investment
and CG Chairman opening the meeting
“
Group and Affiliates Companies Consultative Group (CG)
during the March 27, 2014 meeting, Eng. Fekadu said that
a proper equipment maintenance management program
For most of our incorporates the following main programs:
companies, the 1. Appropriate Preventive Maintenance Program

2. Regular Inspection & Technical Analysis Programs
equipment we 3. Scheduled Oil Sample Analysis
4. Appropriate Repair Management Program
posses are important in
“
5. Operators & Technicians Training Programs
today’s operation. Each one of the above provides part of the complete
Ato Teklu Haile maintenance management program. Each one alone will
Fekadu told the 18th MIDROC Ethiopia Investment not give a useful result, but when one is supported with the
Group and Affiliates Companies Consultative Group (CG) other they provide a meaningful equipment management
meeting, which was held on March 27, 2014 at the tool, according to Fekadu.
Sheraton Addis, that proper maintenance program is
imperative for successful equipment management to A maintenance management program that encompasses all
reduce equipment down time and to minimize operational the above programs will allow:
costs. - an increase in equipment life,
- planning of down times,
The aim of equipment management is to maximize - increase of equipment operational times and
equipment performance at a minimum cost. It is - reduction of equipment operational cost
maximizing the availability and productivity of the
machines that we use for various earthmoving As equipment ages, equipment down time increases,
activities like clearing and grubbing, top soil removal, productivity falls and operation and maintenance cost
excavation, backfill, grading, spreading and compacting by increases. No equipment management program is,
minimizing time spent and reparation costs of the therefore, complete without a well thought and planned
equipment. equipment replacement policy.
According to Eng. Fekadu good equipment management Equipment Management is, therefore, a means
system focuses on a proper decision making process, towards achieving job profitability and an indicator of the
which includes among others: difference between job profit and loss.
- Selection of the right fleet of equipment that
matches with each other and the job requirement In today’s world where competition is fierce, and where
and the best acquisition method, i.e purchase or rent, profitability is often a challenge, effective equipment
- Having in place; management with the ultimate aim of getting the
* trained personnel to operate and maintain the maximum productivity at the lowest possible cost is a
equipment, critical issue.
* proper planning and follow-up system for
maximum equipment utilization and productivity, Getting accurate picture of the machine condition will
* proper maintenance system to extend the life help catch early warning signs to implement repair before
of the equipment, reduce time and operational cost, failure, which in turn reduces maintenance and repair

Tel: +251-(0)11-4 421133
Fax: +251-(0)11-4 420667
e-mail: resco.sales@ethionet.et
Automobiles, Station
wagons, Pick-up
trucks, Vans, Wagons,
Ambulances
Diesel Engines
Asphalt Plants &

Equipment
Tel: +251-(0)11-4 421333

Fax: +251-(0)11- 4 420667
www.riesethiopia.com; resco.sales@ethionet.et
costs. It will also help in monitoring machine misuse and
abuse, maintaining and improving machine availability
and performance. This would enable an organization to
increase profitability.
In summary, a good management of earth moving

machines begins with a careful planning and acquisition
process. Identifying our equipment requirements in terms
of quality and size is very necessary. It is also very
important to determine their matching capacity with
other related machines, based on the activities to be
carried out, site condition, period of project completion
and working shifts. Further, planning of equipment
acquisitions goes with activities like manpower
development for equipment operation, preparation of
workshop and tools for maintenance, warehouse and spare
parts and planning for stocking consumables like wear
items and lubricants.
Eng. Alemayehu Mengesha, RESCO Managing Director
Once we acquire earth moving machines, we need to
keep proper record for the whole life cycle, from receipt that construction equipment management is a problem that
to disposal. These records are mainly on productivity, is prevailing in most of the group companies.
fuel, wear items, and lubricant consumption, as well as
maintenance history. This helps provide information to “MIDROC Ethiopia had prepared a generic maintenance
make right decisions either for maintaining equipment or manual especially for manufacturing industries and this
for disposal. was made available to you. It is a beginning of the road,
not the end,” he told participants of the CG.
“For most of our companies, the equipment we posses are

important in today’s operation and even in crafting our
future chapter of success,” the Designate added.
“RESCO can help in managing our equipment.”
With regard to pre and post sales support on earth moving

machines, MIDROC Ethiopia Group companies can use
the rich experience of Ries Engineering S. Co. (RESCO),
one of their affiliate companies. “The company is
engaged in the distribution of construction machinery and
equipment, agricultural machinery and equipment, diesel
power generator sets and associated equipment, motor
vehicles and lift trucks, asphalt plant and sprayers. It
represents internationally reputed companies like
“Caterpillar” Eng. Alemayehu Mengesha, RESCO
Eng. Fekadu Mengistu, Ries Engineering S.C.
Deputy Managing Director
Managing Director said.
According to Eng. Fekadu, effective preventive He also said that “the company provides full pre and
maintenance and inspection are the foundation elements after sales support to its customers including spare parts
of a good maintenance program and are the two crucial supply and maintenance services so that they can get
strategies to make the life of our machines longer and the full value from the machinery and equipment they
maximize our profit. purchase from the company.”
Using quality fluids and genuine filters, offering Companies are also welcomed by RESCO to benefit from
training to machine operators and technicians, its specialized services - Pre-purchase advisory services
implementing Repair-Before-Failure concept, good in specifying machinery types and number, configurations,
communication and record keeping should also be at the attachments and the like to enable customers purchase
center of equipment management efforts.“What is not the most suited equipment to their jobs. In addition, the
maintained is left for destruction,” Fekadu underscores. company provides valuable and professional services in
assembling, pre-delivery inspection; setting-up and testing
MIDROC Ethiopia Designate and Consultative Group newly purchased machinery and equipment and training
(CG) Chairman Ato Teklu Haile on the other hand says of customers, operators and technicians on the operation,

COMMENTARY
The need for strengthening our

business schools
By Johannes Kinfu (Prof.)
In May 2014, a conference organized by the Association Considering Africa as an emerging continent of hope and
of African Business Schools (AABS), founded in 2005, potential frontier of economic growth, governments,
convened in Nairobi, Kenya under the theme “Management corporate business and stakeholders at large are raising
Education in Africa” attempting to link business and questions of how the skilled manpower needed in business
business schools to play an active role in sustainable is being developed in Africa and querying the contribution
development of the African economy. of business schools in Africa to economic development of
the continent and to the provision of “Responsible
The conference that brought together many Business Management Education” so desperately needed in the
School leaders in Africa and associates from international global risk of “inequality” and social instability.
organizations in Europe and Africa was meant to facilitate
a “thought provoking” discussion among colleagues from Very interesting presentations and highly educational
Business Schools. discourses were held on how responsible and quality
management education can be provided in African Business
Schools.

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It was also noted that it is important for Business Schools
in Africa to examine their historical background to point out Business management as a university subject matter was
where or how they came to be and what process of change a later development in England considering that
they have undergone to chart out their future to provide Manchester School of Business started in the 1960s. In
quality and responsible management education. African countries, one can say that business schools
started right after the independence of most and when
I think the realities of Business Schools (BS) in other universities were set up.
African countries cannot be different from that of ours.
The evolvement of business education vis-a-vis the
In Ethiopia, we also see the establishment of traditional traditional liberal arts subjects like Economics,
Liberal Arts education with the Faculties of Arts and Political Science and Philosophy and later on Public
Science of the Addis Ababa University in 1950 Administration, was part of a search for an appropriate
(Former Haile Selassie I University). Within the curriculum development in business. Business usually
Faculty of Arts, we have Economics, Philosophy, Public encapsulated as commerce or trade was to be treated in
Administration and Political Science leading the fields of traditional liberal arts education system mainly in relation
study. to Economics, Philosophy, and Political Science and
Public Administration areas of study. This was part of
It was in the 1960’s that we saw the founding of the internal academic politics in the acceptance of business
College of Business Administration (CBA) and Law as a distinct field of academic study and in search of a
Faculty at a higher education level and structure, with place for professional/vocational schools in a university or
specialized areas of study in functional management higher education structure.
(accounting, management, marketing, etc.). It is important
to note here that this was prompted by the coming out of Theory and Practice
the Commercial Code of Ethiopia (in 1960).
Within internal academic politics, the question of
In 1970–1980 Ethiopia went through changes in whether business management is a matter of theory or
political ideology, a move towards socialist practice has been always there. For those with traditional
orientation from feudo–bourgeois regime. During this view, business was a matter of doing not just thinking. If
period there was pressure to abrogate the Business School the thinking is to be done at all, it must be in relation to
which was thought as propagating feudo bourgeois economics and political science or public administration
capitalist thinking. Thus, “The College of Social Science” at the level of government leadership and decision
was founded combining liberal arts education and making.
business studies together under one umbrella.
It took quite a dialogue to convince the academia that
In the 1990’s the Ethiopian political agenda was changed innovative thought would require both aspects (theory
to mixed economy, and business management studies and practice) and therefore the need to develop a
were brought back under the Faculty of Business and framework for integrating practice and theory through
Economics (FBE), bringing Public Administration, business case studies (as developed by Harvard
Management, Economics, Accounting and Finance Business School) was part of the strategy. But
Departments under them. management education requires innovative thinking and
not only iterative teaching of past practices. The discourse
By 2000 there was the political vision to foresee the of the matter is part of the dynamics of business schools’
distinction between public and private administration curriculum even today. In CBA in Ethiopia, this involved
unnecessary, as the major employer was the public the preparation of case studies as teaching materials.
sector and the graduate manpower to reflect the management
function scenario. Challenges of Our Business Schools
Starting in 2010 a new strategic planning platform First, Business Schools in Ethiopia and for that matter
argument led to the restructuring of disciplines. The business in Africa face challenges related to inconsistency due to
management education focus was brought back under regime changes and unstable academic administration
the name of College of Business and Economics (CBE) which inevitably shapes their past, the present, and their
with the basic functional management specialization area survival.
including Public Administration, Development,
Administration, and Economics. Second, they face constraining teaching/learning
environment as a result of traditional liberal arts system
Business Management as Academic Discipline and structure which are not conducive to responding to
changing learning/teaching needs as they arise.
Education as an academic discipline (subject of study)
had taken quite an uphill struggle to develop and establish Third, Business Schools are stuck with past curricula
itself in a university or tertiary level education. Let alone in which are not as relevant to the current social, political,
Africa this is true even in the developed world. and economic realities.

Fourth, BS remain with staff that lack motivation and and all inclusive stakeholders, like students, teachers and
commitment to the teaching profession, as a result of the society at large, to be aware of the needs of the society
inadequate or low remuneration or incentive and economic environment in advance. They must create
mechanism including opportunities for further studies and opportunity for dialogue on the past and present realities
continuing professional education. Thus, the knowledge to envision future directions.
difference between students and teachers become
symmetrical. Teachers get employed as part time Thus, they must be ready not only to teach the past and the
instructors in several (3-4 year) colleges to meet living present but also the future. The past shapes the present,
needs. They, thus, have hardly any time to keep one and the present shapes the future. As Daron Acemeglu
chapter ahead of their students. and James A.Robinson, in their book reflect: “institutions
are significant incentive creators of prosperity or poverty”.
Fifth, as a result of the above, the culture of research is Prosperity and poverty are determined by the incentives
low or non-existent. As the interfacing with stakeholders created by institutions and how public policy determines
is limited, there is no interaction. Thus, teaching/learning what institutions a nation has”. Business Schools are
institutions remain an island by themselves, devoid of pivotal institutions in economic and social development or
linkage with the community they are to serve. redevelopment.
Sixth, curriculum is not reviewed and even if reviewed, What should we do then?
the required teaching or reading materials are not
available, and budget constraints hinder changes. Thus Towards mitigating problem appreciated and paving
curriculum content virtually remains grounded on the the way for more relevant and “responsible business
past. The Higher Education Proclamation no. 35/2005 management” education and to enable BS in Ethiopia
envisages introducing cost sharing scheme and a five year contribute to economic development of the country, the
rolling budget grant or subsidy strategy. In principle, higher following measures are suggested.
education institutions are to obtain 2-3 years budget in
advance. But a Seminar on Financial Management • Teachers’ motivation and commitment to
Capacity Building on Higher Education Project professionalism must be improved through
revealed the proclamation is far from being implemented. professional development opportunities and
One of the major reasons for no implementation of the appropriate incentive schemes.
proclamation is said to be absence of manpower in
financial management to shoulder responsibility. • Curricula must be reviewed intermittently not
only to meet political pressure, but as a matter
Seventh, another problem to appreciate is the lack of a of principle with creative thinking, sharing and
dynamic developmental leadership to bring participative integrating with stakeholders’ needs.
management and to delegate authority with responsibility
and accountability to faculty and departments. Many times • There must be a continuous regular training of
Business Schools are criticized for producing business trainers programs to constantly keep teachers
management leaders, but are not capable of having one for on their toes, constantly challenged. In this
themselves. There are reasons for this, and one of them respect, appropriate regular evaluation
is the miserable remuneration mechanism to attract and mechanisms should be in place.
retain highly qualified management leadership in the
BS. In this regard, at least two of the private Business • Research should be a major component of BS
Schools in Ethiopia that have tried hard to provide teaching/learning experience to innovate, face
manpower skill required in economic development challenges, and envision future changes.
endeavor are the Unity University, and St. Mary Research should not be undertaken only for
University. Even though these have provided manpower promotion and international competition
skill demanded and were popularized by students, the but also for exploring local challenges and
market had to take them because of lack of choice. mitigating them.
Strengthening Business Schools • BS should be involved in producing teaching

and reading materials to supplement textbooks
Role of Business Schools in a developing country like and provide local materials on local business
Ethiopia must produce qualified manpower to meet the enterprise experiences. Both of the above are
realities of economic growth with “innovative and important to motivate teachers and heighten
sustainable” strategies and decision. This implies their prestige in society and consequently their
developing professionals committed to build their career effectiveness at work.
with integrity, and willing to welcome challenges to the
extent of questioning their own decisions.
BS must be ready to revise their curricula. To do this, they

must be involved in research, interact with “businesses”

COMMENTARY
Principled business communication
By Mekonnen Teshome Tollera
ensuring that information from the businesses are relevant

and truthful.
The issue of Plagiarism
M
Taking someone else’s work and presenting it as your
any car owners were once extremely own without mentioning the source is another ethical
disappointed to find out that a car issue. In universities and colleges the issue of plagiarism
manufacturing company overstated the is common. It has to with copying somebody’s term paper
horsepower in some of its models. or quoting from a published work without acknowledging
it.
Following this disappointment, the company’s national
Ministry of Construction and Transportation in 2001 The same goes in business, an ethical issue arises when
uncovered the misrepresentation. an employee copies reports or takes the work or ideas of
others and presents them as his or her own. A manager
Then after, a class action lawsuit claimed that the attempting to take credit for a subordinate’s ideas can be
company was able to sell more cars and charge more per a case in point.
vehicle because of the false claims. In the end, according
to the Business Insider, the auto powerhouse had to pay What should we do?
customers - the settlement was estimated to be between
$75 million and $125 million. Therefore, every business should have a written policy for
ethical communication. The policy needs to put details on
It is obvious that unethical and misleading advertisements what is expected of employees within the business. The
can lead to bankruptcy and business failure. In addition policy should clearly communicate the standards that
to financial consequences, the idea of business business activity and employees pursue. For example, it
communication has to do with ethical concerns. Ethical should clearly indicate what being honest in
business communication considers realistic and sincere communications means, how to deal with customers
advertising, as well as candid personal-selling tactics; and other employees fairly and how to report ethical
understanding consumers’ psychological emotions. violations that the employee witnesses. It should also
Otherwise, any mistake in communication can lead to the outline the consequences of acting unethically within the
failure of a business. Honesty and openness about product business. The business organization should also educate
safety and quality are important to consumers. the employees about its own ethical standards and
organize various trainings for this purpose.
For instance, in the pharmaceutical industry drugs
need to be sold with strict regulation and testing. Many Basically, ethical business communication focuses on
supplements are sold by small, independent marketers. three important issues:
Large pharmaceutical firms of our globe have now entered
the herbal medicine market. However, a number of 1. Honesty
unethical firms are also operating misleading consumers 2. Respectfulness
about herbal products. 3. Sensitivity to cultural differences
Some manufacturers also do not provide enough As business communicators, we need to make sure that we are
information to their consumers about differences between releasing relevant, truthful information in every sense and not
products. So, labeling is an important aspect of deceptive information when communicating with
communications that may raise ethical concerns related to customers and the public to avoid any danger related to
products. public health safety, moral, security and stability.
Health warnings are also other concerns of ethical We also need to avoid plagiarism, misquotation and
business communication. Cigarette manufactures, for misrepresentation of data or numbers and deliberate
example, were first forced to put health warnings on distortion of visuals. Information released from business
packages in the US in 1989 and a new law was adopted organizations should be complete and all vital; must be
in 1994 requiring eight set of messages to be written on conveyed appropriately. Withholding crucial information
cigarette packages. purposely might result in the public conceiving a bad
image; we might even be held accountable by law for
In non-manufacturing business firms also, communication wrong and misleading communication.
needs to consider societal responsibilities and obligations

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YOUR HYGIENE IS OUR CONCERN!
Tel: +251 114 392 036 / 36 88 / 1170 P.O.Box: 5521

E-mail: ssdi@ethionet.et Addis Ababa, Ethiopia
COMMENTARY
Economic Growth
and
Economic Development:
A Source of Confusion?
By Siyoum Gebrehiwot Woldemedhin
Manager, Business Development and Planning Department,
MIDROC Ethiopia PLC.
Sometimes, it happens that some people may fail to It could be due to lack of proper comprehension of matters
recognize widely accepted facts. Various reasons can, in a way they should be understood. In this regard, one
in fact, be mentioned as sources of such behavior. One could suspect confusing the word economic growth with
reason can be due to lack of access to credible information economic development. Michael Todaro, one of renowned
sources. Lack of traditions in understanding some development economists, defines economic growth as
phenomena with a sense of objectivity can also be taken as the steady process by which the productive capacity of
one of possible reasons. It is also natural that sometimes the economy increases through time to bring about rising
people might be caught up with too much nostalgia levels of the national output or income.
leading them to disapprove the contemporary widely
accepted facts. Failure to recognize widely accepted facts From this definition it is easy for one to understand that
may have, generally, various causes which have roots economic growth is merely concerned with increase in
entrenched in the socio-cultural, political, economical, annual national output or real Gross Domestic Product
educational and environmental make-ups. (GDP). It is rather a narrower concept as opposed to the
concept of economic development which, in addition to
Due to various reasons as mentioned above, some people economic growth, also includes normative elements like
may have thus beliefs, among other things, that sound like improvement in the standard of living, per capital income,
there is no good economic policy and there is no economic income distribution (equity), education, health and other
growth in Ethiopia today. normative variables. So, just to explain the relationship
between economic growth and economic development in
It is my strong belief this piece of writing under no common mathematical language, the former is the proper
condition should be viewed as condemning those whose subset of the latter.
beliefs sound like above as I believe people have the right
to live up to their own values, beliefs and own judgments. Apart from their definitional differences, economic
What I rather suggest is that we should not allow these growth and economic development concepts also differ
opinions to lead us to some kind of pessimism. in time frame perspectives they are measured. Economic
growth performance of one country is usually measured
Coming to the main theme of the writing, one of the areas annually though it can also be measured on quarterly
being victimized by failure of recognition by some people basis; whereas, economic development of one country is
(my concern is not the statistics but rather the prevalence measured on long term basis. Besides, it is customary to
of opinion) is matter related to the country’s economic measure economic growth with metrics like GDP or GNP
growth. It is observable that there are some who are (Gross National Product) growth rates; whereas, economic
doubtful of the fact that there has been economic growth development is measured in HDI (Human Development
in this country. Index) and others.
Citizens who believe there is no economic growth may Then, the point is that confusing the concept of economic
have been prejudiced by the aforementioned reasons. Let growth with economic development may have led some
me try to elaborate one of possible reasons for failure to people not to recognize the country’s sustained economic
recognize results at the country level. growth. Here the rational question is then how come.

Let us imagine instances of chats when we meet with our Though it is good to show how failure to recognize the
friends, families and relatives over cups of coffee, tea or country’s economic growth may occur, it may also be
in any other sort of socialization atmosphere. During our unfair as well to say nothing on observed economic
chats, some may argue they do not accept the single digit growth and development realities of the country. Given the
or double digit economic growth of Ethiopia just because information, at least, provided by the international
no change has come to their living standard or life styles. institutions like the World Bank and IMF, one can get
Likewise, others in the same kind of gathering instances sufficient information to fairly say the country is in a good
would argue the widely told story of economic growth is track of economic growth and development.
not true because they still do not have homes, cars, etc.
In fact, most of the source of failure (denial) to recognize
Really, such encounters are many in our day to day lives. attained results for some people is perhaps pronouncedly
So here one can see, implicitly or explicitly, the confusion more entrenched in our socio-cultural and other factors
that could arise between economic growth and economic than possible causes emphasized in this brief commentary
development. So, wouldn’t it be the case one might be essay. And the message is simple: as good citizens let our
tempted to ponder over, like, confusion between economic opinions and recognition culture be based on facts,
growth and economic development the cause for denial? appropriate information and knowledge.
Lame Dairy Plc

RIGHT CHOICE FOR BEST DAIRY PRODUCTS
Fresh
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E-mail: dde@ethionet.et Addis Ababa, Ethiopia

Ascending Heights of Success
Ato Tadesse Tilahun, NOC Chief Executive Officer
Setting new record in

national oil industry
N “
ational Oil Ethiopia Plc (NOC), Ethiopia’s
We want to be the
indigenous downstream oil company, was
established ten years ago. The company was
legally established in April 2004 and went
operational in November 2004. That was the time when
the company launched its business activities with the
preferred supplier
first 11 fuel stations in Addis Ababa and Adama. With
that big take off NOC was able to take about 15% of the in downstream oil
market share the year after. Now it has established 140 fuel
stations across the country. marketing in the
NOC has secured three aviation depots at Bole
International Airport as well as in Gambela and
Assosa. Actually the latter two are targeting not only the
Ethiopian market but also that of the South Sudan. “In
region.
“
Ato Tadesse Tilahun

fact at this very moment we are working with the WFP “We also want to further advance and expand our
supporting the UN specialized agency in its effort to services in the supply of bitumen to road construction
supply food items to the people of South Sudan. ” NOC projects and coal as well as petroleum coke to cement
Chief Executive Officer (CEO) Ato Tadesse Tilahun says. industries replacing fuel oil.”
The CEO went on to explain the ascending heights Ato Tadesse also disclosed that NOC is also aiming at
of the company : “In addition to its aviation fueling building in land oil refinery in the southern part of the
facilities, NOC has put up huge depot in Dukem town, country to supply fuels not only to Ethiopia but also to
37 kilometers southeast of Addis Ababa storing all the neighboring countries. “We have discussed this with
the main fuels (Gasoline, gasoil) as well as ethanol our Chairman, Sheikh Mohammed H. Ali Al-Amoudi and
blending plant, Liquefied Petroleum Gas (LPG) agreed in principle.”
storage and cylinder filling processing plant and Bitumen
storage yard. NOC is the only local company to Indicating that NOC is the major oil products supplier to
construct gasoline and Ethanol blending plant in key economic sectors and infrastructural projects in the
Ethiopia to supply the fuel to the Addis Ababa area and its country, the CEO said the company is now playing a
environs.” major role in contributing to the economic development of
Ethiopia taking about 35% of the total industry market share.
According to Ato Tadesse Tilahun, the company has
now become the market leader in the country. “Most For instance, as the sole supplier of fuel to the
of the power generation dam construction projects Ethiopian Grand Renaissance Dam Project, NOC provides
including the Grand Ethiopian Renaissance Dam, road effective service supplying over 4 million liters a month by
construction and other infrastructural development building a 2.5 million liters storage capacity at the project
projects in the country are supplied by NOC.” This has site and deploying dedicated special bulk fuel vehicles to
been achieved due to the visionary leadership and hard ensure continuous supply to the project.
work NOC has maintained, the CEO underlined.
About 10 years ago, Ethiopia’s total demand for oil was
Ato Tadesse said that his company has envisioned to be 1 million cubic meters per year and this year it has reached
a major player also in the entire eastern Africa region. more than double (2.7 million cubic meters). This figure
“We want to be the preferred supplier in downstream oil is expected to triple after ten years. Because of Ethiopia’s
marketing in the region. So, in materializing our vision, high economic growth, NOC is engaged in the expansion
we are now covering all the regions in Ethiopia and the and construction activities of depots and retail outlets (fuel
next step would be expanding to neighboring countries: stations) across the country, Tadesse pointed out.
Djibouti, Southern Sudan, Kenya and the Sudan.”
The recently inaugurated Aviation Depot at the Addis Ababa Bole International Airport

NOC aviation fueling staff on duty
“Therefore, we have submitted our request to the Speaking of its investment and progress in the aviation
Addis Ababa Administration to get plots to construct industry, the CEO says “So, I wouldn’t be surprised if,
10 additional fuel stations in the metropolis; and hopefully by next year or so, we could be market share leader in
we will finalize the construction of 10-15 stations in Addis aviation fueling services in Ethiopia as well.”
in the next two years,” the CEO said.
Concerning expansion to neighboring countries, the CEO
With regard to Aviation fueling service, NOC has now indicated that NOC has secured permits from the
27% of the domestic market. Just within 4 years of government of Djibouti to join the country’s oil market
joining the aviation fueling business, meeting all the and expecting to receive plots of land to construct service
international standards including the International Air stations and certainly the company would go operational
Transport Association (IATA). in that country by the end of this year.
At the Addis Ababa Bole International Airport, NOC has “We have also applied for permit to launch operation
built aircraft fuel depots with the capacity of 3 million in South Sudan. NOC will be able to start its activities
liters. It has also imported and deployed six state-of-the- of supplying fuel to the country directly from Djibouti
art refueling vehicles with a total capacity of 332,000 especially after the completion of the road connecting
liters at a time. Ethiopia to South Sudan and thereafter to move to other
countries in the region step by step,” Tadesse said.
The company in all its operations maintains high safety
standards and this is demonstrated by the facilities like As to Tadesse, NOC is aiming at be the Customers’ First
water tanker to be used for firefighting and emergency Choice company by making a concerted effort to have
as well as other sophisticated safety gadgets at the Bole highly trained manpower and equipping itself with
International airport. It has also boosted its capacity to modern facilities. For example, he said, some of NOC’s
transport aircraft fuel from the Port of Djibouti. Its total fuel stations in Addis Ababa have the capacity to serve
aviation fueling investment has reached over Birr 117 12 vehicles and containing 200,000 liters of fuel at a time
million and is planning to put up additional aviation fuel which one cannot see elsewhere in the metropolis.
depots at Kombolcha and Semera airports.

In general, NOC has set four priorities as part of its five NOC is also among companies focused to meaningfully
year strategic plan: ensure continuous expansion of fuel discharge its social responsibilities in terms of raising
stations across the country, as the demand for aviation government tax revenue, providing financial supports
fueling is expected to grow fast the company is targeting to national social development projects in the country
to invest more in this area, enhance its supply of bitumen including the Grand Ethiopian Renaissance Dam and
asphalt to contractors engaged in road construction in special segments of the society needing support such as
the country and develop the necessary manpower for the people with disabilities and the like, the CEO said.
company to cope with the dynamics that are observed in
the global oil sector.

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Quality Guaranteed
Tel: 011-442 35 56-59 Fax: 011-442 35 50 P.O. Box: 19156
E-mail: bigmapparelgarment@yahoo.com
Health
Why cholesterol
matters?
Pic: www.howtolowercholestrol2.com
C
holesterol is a waxy, fat-like substance found in
the walls of cells in all parts of the body, from the
nervous system to the liver and the heart. The
body uses cholesterol to make hormones, bile
acids, vitamin D, and other substances.
The body makes all the cholesterol it needs. Cholesterol

circulates in the bloodstream but cannot travel by itself. As
with oil and water, cholesterol (which is fatty) and blood
(which is watery) do not mix. So cholesterol travels in
packages called lipoproteins, which have fat (lipid) inside
and protein outside.
Two main kinds of lipoproteins carry cholesterol in the When atherosclerosis affects the coronary arteries, the
blood: condition is called coronary heart disease or coronary
artery disease. It is the main type of heart disease and
- Low density lipoprotein, or LDL, which also is called this can be referred to simply as heart disease. Because
the “bad” cholesterol because it carries cholesterol to high blood cholesterol affects the coronary arteries, it is a
tissues, including the arteries. Most of the cholesterol major risk factor for heart disease. Risk factors are causes
in the blood is the LDL form. and conditions that increase your chance of developing
a disease.
- The higher the level of LDL cholesterol in the blood,
the greater your risk for heart disease. High density
Heart Disease Risk Factors
lipoprotein or HDL, which also is called the “good”
cholesterol, takes cholesterol from tissues to the liver
Risk factors are conditions or behaviors that increase your
removing it from the body. A low level of HDL
chance of developing a disease. For heart disease, there are
cholesterol increases your risk for heart disease.
two types of risk factors - those you can’t change and those
you can. Fortunately, most of the heart disease risk factors
If there is too much cholesterol in the blood, some of the
can be changed.
surplus can be trapped in the artery walls. Over time, this
builds up and is called plaque. The plaque can narrow
Risk factors you can’t change
vessels and make them less flexible, a condition known as
atherosclerosis or “hardening of the arteries.”
* Age - 45 or older for men; 55 or older for women
* Family history of early heart disease - father or
This process can happen to blood vessels anywhere in
brother diagnosed before age 55, or mother or sister
the body, including those of the heart, which are called
diagnosed before age 65
the coronary arteries. If the coronary arteries become
partly blocked by plaque, then the blood may not be
Risk factors you can change
able to bring enough oxygen and nutrients to the heart
muscle. This can cause chest pain, or angina. Some
* Smoking
cholesterol-rich plaques are unstable-they have a thin
* High blood pressure
covering and can burst, releasing cholesterol and fat into
* High blood cholesterol
the bloodstream. The release can cause a blood clot to
* Overweight/obesity
form over the plaque, blocking blood flow through the
* Physical inactivity
artery—and causing a heart attack.
* Diabetes

What affects cholesterol levels? Those under your control
Various factors can cause unhealthy cholesterol levels. Diet: Three nutrients in your diet make LDL levels rise:
Some of the factors cannot be changed but most can be
modified. The factors are: - Saturated fat, a type of fat found mostly in foods that
come from animals;
Those you cannot change - Trans fat, found mostly in foods made with
hydrogenated oils and fats such as stick margarine,
Heredity: The amount of LDL cholesterol your body crackers, and French fries; and
makes and how fast it is removed from your body is - Cholesterol, which comes only from animal
determined partly by genes. High blood cholesterol can products.
run in families. However, very few people are stuck with
high cholesterol just by heredity - and everyone can take
action to lower their cholesterol.
MAMCO Paper Products
It’s important to know that saturated fat raises your LDL
cholesterol level more than anything else in your diet.
Furthermore, even if high cholesterol does not run in MAMCO Paper Produ
Diets with too much saturated fat, trans fat, and cholesterol
are the Member of the
main cause for high MIDROC
levels of bloodEthiopia
cholesterol.Group
your family, you can still develop it. High cholesterol is a
common condition among Americans, even young
Overweight: Excess weight tends to increase your
persons, and even those with no family history of it. Member of the MIDROC Ethiopia
LDL level. Also, it typically raises triglycerides, a fatty
Gr
Your Choi
substance in the blood and in food and lowers HDL.
Age and sex: Blood cholesterol begins to rise around Member
age Losingofthe
theextra
MIDROC
pounds mayEthiopia Group
help lower your LDL and
20 and continues to go up until about age 60 or 65. Be- triglycerides, while raising your HDL.
fore age 50, men’s total cholesterol levels tend to be higher
Your
than those of women of the same age after age 50, the op- All adults at the age of 20 and older should have their
cholesterol levels checked at least once every 5 years. If
Your Choice
posite happens. That’s because with menopause, women’s
LDL levels often rise.
you have elevated cholesterol, you’ll need to have it tested
more often. Talk with your doctor to find out how often is
best for you.
Source: Lowering Your Cholesterol
(Mayoclinic.com)
Your Choice
Member of the MIDROC Ethiopia Group Member of the MIDROC Ethiopia Group
Your Choice
Your Choice
Your Choice Tel: +251 114 391 009 / 439 14 13 Fax: +251114 391 424 Sales Office 1 Tel: +251
Fax: +251 114 655 425 Sales Office 2 Tel: +251 112 132 153 / 654 52 58
E-mail: mamcoplc@ethionet.et P.O.Box: 5710
Tel: +251 114 391 009 / 439 14 13 Fax: +251114 391 424 Sales Office 1 Tel: +251 114 654 707
Tel:
Fax: +251
+251 114425391
114 655 Tel:
009
Sales +251
/ 439
Office 114 391112
14+251
2 Tel: 13 009
Fax:
132 /153
439
+251114 1452
/ 654 1358 424
391 Fax:Sales
+251114
Office391 424+251
1 Tel: Sales114
Office
65
Fax:
E-mail: +251 114 655Fax:
mamcoplc@ethionet.et 425 +251 114
Sales5710
P.O.Box: 6552 425
Office Sales 112
Tel: +251 Office
1322153
Tel:/+251 112
654 52 58132 15
E-mail: E-mail: mamcoplc@ethionet.et
mamcoplc@ethionet.et P.O.Box: 5710 P.O.Box: 571
Tel: +251 114 391 009 / 439 14 13 Fax: +251114 391 424 Sales Office 1 Tel: +251 114 654 707 Addis Ababa Ethiopia
Fax: +251 114 655 425 Sales Office 2 Tel: +251 112 132 153 / 654 52 58
www.midroc-ethiopia.com.et
E-mail: mamcoplc@ethionet.et P.O.Box: 5710 57 TIRET September 2014
Health
Sub-Saharan Africa in the

fight against HIV/AIDS
HIV burden
There are an estimated 24.7 million [23.5-26.1 million] HIV treatment is now available to almost four in ten
people living with HIV in sub Saharan Africa, nearly people 37% [35-39%] living with HIV in the region.
71% of the global total. Ten countries Ethiopia, Kenya, However, this masks significant differences between
Malawi, Mozambique, Nigeria, South Africa, Uganda, countries. For example, 19% of AIDS-related deaths
United Republic of Tanzania, Zambia and Zimbabwe occurred in Nigeria where only two in every ten
account for 81% of all people living with HIV in the people living with HIV have access to treatment. It is no
region and half of those are in only two countries coincidence that between 2005 and 2013 there was no
Nigeria and South Africa. decline in the number of AIDS-related deaths in Nigeria,
although there has been a slight decline since the peak in
There are also more women living with HIV in 2008. On the other hand, South Africa with double the
sub-Saharan Africa than HIV-positive men: women number of people living with HIV increased treatment
account for 58% of the total number of people living coverage from one person in ten in 2010, to four people
with HIV. There are 2.9 million [2.6 million-3.2 million] in ten by 2013, while also is reducing AIDS-related
children (aged 0–14), 2.9 million [2.6 million-3.4 million] deaths by 48%.
young people (aged 15–24) and more than 2.5 million
[2.4 million-2.7 million] people aged 50 years and older Within sub-Saharan Africa, 67% [65–68%] of men
living with HIV in sub-Saharan Africa. Of the estimated and 57% [55–60%] of women living with HIV are not
1.8 million people living with HIV who were affected receiving antiretroviral therapy.
by conflict, displacement or disaster in 2006, 1.5 million
were living in sub-Saharan Africa. This number has since Even as access to antiretroviral therapy expands in
increased as the total number of people displaced has sub-Saharan Africa, significant gaps remain. Chief among
increased globally. these is that only 45% [39-62%] of people living with HIV
know their HIV status, underscoring the need to increase
AIDS-related deaths HIV knowledge and expand testing. The good news is that
an estimated 86% of people who know their HIV status are
The number of AIDS-related deaths in sub-Saharan Africa on antiretroviral therapy and studies suggest that, among
fell by 39% between 2005 and 2013. A significant decline those who stay on treatment, an estimated 76% [53-89%]
(48%) was seen in South Africa. have achieved viral suppression.
Other countries that recorded major declines in TB - HIV - continued need for the integration of
AIDS-related deaths include Rwanda (76%), Eritrea services
(67%), Botswana (58%), Burkina Faso (58%), Ethiopia
(63%), Kenya (60%), Zimbabwe (57%), Malawi (51%) More than 75% of all estimated HIV incident tuberculosis
and the United Republic of Tanzania (44%). cases live in just 10 countries, nine of them in sub-Saharan
Africa. These include Ethiopia, Kenya, Mozambique,
This success is directly due to the rapid increase in the Nigeria, South Africa, United Republic of Tanzania,
number of people on antiretroviral therapy. The region Uganda, Zambia and Zimbabwe. Significant progress has
has witnessed an expansion in the coverage of HIV been reported in the region, where 74% of all notified
treatment to record numbers of people for the past three tuberculosis cases were tested for HIV in 2012 (2).
years. Last year alone, 1.5 million additional people living
with HIV received antiretroviral therapy. South Africa has Antiretroviral therapy reduces the risk that a person
the highest number of people on HIV treatment nearly living with HIV will develop tuberculosis by 66% and HIV
2.6 million and has committed to nearly doubling that treatment lowers the risk of death among people
number in the next few years. living with HIV who have tuberculosis by 50%.

Country scorecard: Adult access to antiretroviral therapy, 2013
Antiretroviral therapy coverage among people co-infected Plan countries. Since the rollout of the Global Plan, the
with tuberculosis and HIV increased in several countries. rate has further declined to 15.7%. The individual national
transmission rates reflect the situation for all pregnant
New HIV infections women living with HIV in a country and are not limited
to those who receive services. That is, they also include
There were 1.5 million [1.3 million 1.6 million] new HIV transmission that occurs during the breastfeeding period.
infections in sub-Saharan Africa in 2013. However, new
infections are on the decline. There was a 33% drop in The number of women requiring services to prevent
new HIV infections among all ages in the region between mother-to-child transmission remains high at 1.3 million
2005 and 2013 and a 19% reduction since 2010. The among the 21 priority countries. Given the slow decline
number of new HIV infection is falling in every country in new HIV infections among women of reproductive age,
in the region except Angola and Uganda where increases this number is likely to remain high for the foreseeable
were recorded. South Africa, the country with the largest future.
number of people living with HIV, recorded the largest
decline in new infections in absolute numbers, with 98 Ending AIDS in sub-Saharan Africa: Increasing
000 fewer new HIV infections than in 2010. Since 2010, and Sustaining Investments
the number of new HIV infections in Ghana decreased by
43% and by 41% in Malawi. As the region with the highest burden of the AIDS
epidemic, the majority of the investments for the AIDS
Among young people aged 15–24 years, the number response are required here. Preliminary estimates for
of new infections has declined by 42% since 2001 in 2012 indicate that around $6.6 billion was invested in the
sub-Saharan Africa and by 17% since 2010. Despite gains AIDS response in sub-Saharan Africa, 47% of which came
in preventing new HIV infections, sub-Saharan Africa from domestic sources with the remainder coming from
remains the region most severely affected, with nearly international sources. An analysis of countries’ AIDS
1 in every 25 adults (4.4%) living with HIV. Three investments, excluding South Africa, clearly indicates
countries Nigeria, South Africa and Uganda represented that many remain dependent on external resources. At
almost 48% of the new HIV infections in the region. the same time, as African economies grow, domestic
investments are increasing, demonstrating a widespread
Mother-to-child HIV transmission rates commitment to the shared responsibility agenda.
However, the significant need for AIDS investments
The rate of HIV transmission from an HIV-positive requires that, in the coming years, both domestic and
mother to her child if she is not receiving any antiretroviral international funding must be not only sustained, but also
medicines ranges from between 30% and 45% steadily increased to meet the 2030 targets.
depending on the duration of breastfeeding. By 2009,
the overall transmission rate was 25.8% in the 21 Global Source: UNAIDS July 2014

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NEWS BRIEF
Abijata – Shalla Soda Ash S.C,
Chinese Company enter into agreement
Woldiya Stadium construction 60 % complete The Abijata – Shalla Soda Ash S.C and the Chinese
Company ‘COMPLANT’ on May 28, 2014 signed an
agreement granting the latter the task of undertaking
Huda Real Estate, a member of the MIDROC Ethiopia Soda Ash Techno-Economic Feasibility Study on Lake
Technology Group, announced that the construction of the Abijata-Shalla.
Woldiya Stadium is now 60 % complete.
Soda Ash, known by its chemical name as sodium
The Stadium named after Sheikh Mohammed Hussein carbonate, is a versatile product used for different
Ali Al-Amoudi is being constructed by Huda Real Estate in applications. It is used in the manufacture of sheet glass, glass
Woldiya town of the Northen Wolo Zone in the Amhara Regional and bottles, soap and detergents, sodium silicate, caustic soda,
State. textile and in the treatment of water.
According to the Real Estate General Manager, Eng. The share company also has selected an internationally
Tewodros Shewarega, the construction of the stadium, with the renowned firm to undertake a comprehensive Environmental and
capacity of 25, 000 spectators, has entered into the finishing Social Impact Assessment Study.
stage.
The Abijata-Shalla Soda Ash S.C. is a joint investment share
The stadium has six blocks comprising of a reception company formed by the National Mining Corporation PLC
area, lobby and shower rooms for referees, special guest with its partners and the Privatization and Public Enterprises
areas, dining rooms and kitchen, briefing rooms, first aid Supervising Agency.
facilities, library, a gymnasium, various offices and the like.
As shops are also being built around the stadium, it is also NOC supports dam construction again
expected to create job opportunities for many people in the town National Oil Ethiopia (NOC) said that it bought an
when it is inaugurated after a year. 18 million birr bond for the construction of the
Renaissance Dam last April, according to Ethiopian
Opinion.
From the total amount the 15 million birr bond is bought by the
company itself and the company’s employees have bought an
Affiliate Companies Make Donations 829 000 Br worth of bond.
The remaining 2.3 million birr bond is bought by the NOC

Nyala Motors S.C, Ries Engineering S.C. and Equatorial gas stations owners and operators. It is indicated that the bond
Business Group, affiliate companies of MIDROC Ethiopia, purchase is for the second time. At the start of the dam’s
donated automobiles to the Grand Ethiopian renaissance Dam construction NOC had bought an 18.8 million birr worth of
(GERD) project office, also covering all government duties bond.
and taxes. The companies donated Nissan Almera Sedan, Ford
ECOSPOT Urban SUV and Chery Tiggo brand automobiles on NOC is said to be covering around 35% of the country’s gas
August 7&12, 2014 and last June 2014 respectively. distribution network.
The cars are to be used as reward for the SMS income EBG hands over 33 VOLVO Graders
generation program as part of the endeavor to solicit money for to SNNPRS
the construction of the GERD. Equatorial Business Group (EBG) handed over 33 VOLVO
Graders to one of its clients.
Nyala Motors S.C CEO Ato Abrham Abegaz, Ries
Engineering S.C Managing Director Eng. Alemayehu The handover of the VOLVO graders purchased by the
Mengesha and Equatorial Business Group General Manager Transport Bureau of SNNPRS took place on Thursday,
Ato Tadelle Teferra handed over the automobiles to Ato Zadig April 3, 2014 at a ceremony held at the Meskal Square
Wolde-Gebriel ( Deputy Head of the dam construction pro- in Hawassa. Speaking at the handing over event, EBG
ject office), Health Minister Dr. Kesetebirhan Admasu and Water, General Manager Ato Tadelle Teferra highlighted EBG’s
Irrigation and Energy Minister Ato Alemayehu Tegenu business by volume and diversity ensuring the receiving officials
respectively. all the care and support that may be required to make sure the
graders are sustainably in use. Ato Lacha Garuma Head of the
During the handing over ceremonies the government officials Transport Bureau of the regional state expressed gratitude to the
commended the donations made by the companies and urged pledge of support offered by the GM and urged EBG to continue
other companies and the general public to follow suit. to stand by their side on matters of regular aftersales support.
The companies also expressed the readiness of their Also speaking on the occasion was Senior Director for
management and employees to do whatever they can also in the VOLVO Business Ato Daniel Seyoum, to reassure the
future to support the dam construction effort. authorities in the dependability of the business to attend to the
call for support as much as possible. The event was attended by
officials of the region to whose interest an operator from EBG
demonstrated the operational maneuverability and safety of the
machines.

MIDROC ETHIOPIA
Committed to Development
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September 2014

Construction Equipment Management

www.midroc-ethiopia.com.et Free copy

Tel: +251 118-962-396 Fax: +251 111-555-516 E-mail: info@horizonplantations.com

Sheikh Mohammed H. Ali Al-Amoudi

Owner and Chairman

www.midroc-ethiopia.com.et 1 TIRET September 2014

Enjoy your reading!

www.midroc-ethiopia.com.et 3 TIRET September 2014

TIRET is a bi-annual corporate magazine

www.midroc-ethiopia.com.et 5 TIRET September 2014

The installation of the two big

www.midroc-ethiopia.com.et 7 TIRET September 2014

For instance, the extraordinary support he has provided

Since the establishment of ESSS in 2004, Sheikh

Currently, construction of the Entoto Observatory and

Facts about Sheikh Mohammed’s contribution to ESSS

• In 2004, he paid Birr 1,000,000.00 as an initial membership contribution

www.midroc-ethiopia.com.et 8 TIRET September 2014

Tel: +251-116-620072 Fax: +251-116-620262

www.midroc-ethiopia.com.et 9 TIRET September 2014

Tendaho Sugar Project

The Grand Ethiopian Renaissance Dam

Bahirdar Stadium Lower cement prices, door to door delivery and

We further promise to bring about new

State of the art Fleet Management System and Transport

www.midroc-ethiopia.com.et 11 TIRET September 2014

Connecting people through

www.midroc-ethiopia.com.et 13 TIRET September 2014

MIDROC CONSTRUCTION ETHIOPIA PLC

Tel: +251 15 51 08 99 Fax: +251 15 51 22 44 P.O.Box: 16960 E-mail: midroc.conet@ethionet.et

www.midroc-ethiopia.com.et 14 TIRET September 2014

Participants attending the training workshop

www.midroc-ethiopia.com.et 15 TIRET September 2014

Quality Speciality Loyalty

* Wheat Flour 240 tons/day

In response to this growing demand for a broader

Integrated reporting is being adopted or explored by

In South Africa, for instance, listed companies are

www.midroc-ethiopia.com.et 17 TIRET September 2014

Manufacturer and Supplier of

www.midroc-ethiopia.com.et 18 TIRET September 2014

www.midroc-ethiopia.com.et 19 TIRET September 2014

www.midroc-ethiopia.com.et 20 TIRET September 2014

www.midroc-ethiopia.com.et 21 TIRET September 2014

Partnering for a better future

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www.midroc-ethiopia.com.et 25 TIRET September 2014

Tea Out-Growers Scheme

www.midroc-ethiopia.com.et 26 TIRET September 2014

However, tea growing by individual farmers mas not

Of course, the tea processing factories in Wush Wush

Given the constraints to get land for further expansion

To this end, the tea seedling handing over ceremony held

The company handed over 2.4 million tea seedlings

This brings a glimmer of hope for farmers in the

“I used to grow maize and other crops, but now I changed

Chuchu said that her fellow tea out-growers encouraged

www.midroc-ethiopia.com.et 27 TIRET September 2014

Ato Jemal Ahmed and Ato Sani Redi cutting ribbon

The Wush Wush Tea Plantation is endowed with ideal

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Tel.: 0113-69 03 60 / 69 03 63-67 Fax: 0113 - 69 03 84 / 69 03 08 E-mail: ethioagriceft@ethionet.et,

4 and 5 ton capacity Trucks - Seat capacity: 32 seats/ 58 seats/