Port Massawa Eritrea

By Berhane Woldu

Eritrea’s Strategic Location along the Red Sea provides ideal exposure to one of the world’s busiest shipping lines and established linkages to other areas of the region and beyond.

The port of Massawa is a transit point for goods to the Middle East, European and Asian Markets. The development of the port is poised to bring about potential gains to trade.

The establishment of a Free Port Zone at Massawa is further expected to boost trade prospects within the already established Middle Eastern and African Markets. The Massawa Airport is equally capable of facilitating traded goods in transit to regional and global destinations.

Investment in exploration activities for reserves of oil, natural gas, and otherminerals provide a potential source for the expansion of export receipts. Eritrea’s natural mineral resources include gold, copper, potash, zinc, oil, natural gas, cement, gypsum, granite, marble, ceramics, limestone and iron ore.

The Bisha Mining Company, which is a mining conglomerate between the government and a Canadian company (NEVESUN), has started production in early 2010. The company produced more than 390,000 oz of gold during the first year of operation and expected to produce more than 450,000 oz in the second year. Copper production will begin in the second year and peak at 184-million pounds of copper in the fifth year of operation. The mine will begin producing zinc in its sixth year. There are many more mining contracts on the making. The potash mine in Danakil Depression with a planed output of up to 10,000 ton a day life span of over 150 years, the Zara and Dubrba gold mining Eritrea stands to share in hundreds of billions of dollars in mining profits.

PRIVATE SECTORE DEVELOPMENT

The private sector is seen as the major development partner, an engine of growth that will help jump start the economy and eventually lead to long-term growth in the Governments development agenda- as explicitly indicated in the Macro Policy document (1994). The Government has achieved so much at adopting favorable monetary and fiscal policy, reduced regulatory framework and bottlenecks by offering incentives and avoiding trade and other related barriers to attract private sector investment and to expand exports.

In line with the macro-policy objectives, a revised investment code was issued in 1994. The main objective of the investment code is to promote investment in Eritrea as well as develop and use the country’s natural resources. Within this broader objective, the investment code intends to achieve objectives including, the promotion of exports, encouragement of competitive import substitution industries, enhancing transfer of new technology, securing equitable regional growth, development of small-and medium-scale enterprises, and expansion of employment opportunities (GOE, 1994: 5).

The Eritrean investment code also provides various incentives for domestic and foreign investment. The investment code further outlines that there will be no taxes on declared dividends; any corporate profit that is set aside for reinvestment will be taxed at the rate of 20%. Furthermore, there shall be no exchange controls for remitting dividends and capital gains, and foreign investors are free to repatriate their profits.

The investment code provides various benefits to investors. For instance, profit and dividends of investors, payments for a foreign loan, fees, royalties, or proceeds received from liquidation of investment and/or expansion, and payment received from the sale of transfer of shares will be remitted in accordance with the rate of exchange prevailing at that time. There is no minimum threshold value of investment. Moreover, with the exception of domestic retail and whole sale trade, import, and commission agency that requires bilateral agreements of reciprocity with the country of investor, all areas of investment are open to all investors both foreign and domestic (GOE, 1994:6). Foreign capital may establish any enterprise on its own or in partnership with local capital.

Moreover, the investment code guarantee, that capital and other associated foreign-owned assets will not be nationalized without due laws. To this effect, Eritrea has also signed the convention establishing Multilateral Investment Guarantee Agency (MIGA) and the convention on the Settlement of Investment Disputes between States and Nationals of other States(GOE, 1998: 20). It established, The Investment Center, which is the legal body responsible for the promotion of investment. Issuance of certification to investors with a maximum delay of 10 days (GOE, 1994:15), Land Proclamation that provides usufruct rights for the long-term up to 99 years has been issued since 1994 and is expected to facilitate the allocation of land for investors (GOE, 1994; IMF, 1996:9).

Significant progress has been made since independence regarding the liberalization of trade policy.

The 1994 Legal Notice 18/1994 reduced the number of import tariffs to twelve. Capital goods, raw materials, and semi-processed goods have only a2 % tariff. Basic goods duties range from 3 to 20%.

In addition, customs procedures were simplified. In the mid-1990s, the government began major investments in infrastructure, roads, electricity, dams, and port operations to support the further development of exports.

To expand the market for import and export potentials the country entered into active membership in regional organizations such as IGAD and COMESA.

INVESTMENT ENVIRONMENT

Peace and security are the main pillars of a true and conducive investment environment in Eritrea. The economic policy underlines the necessity to have a market lead economic system. The private sector should have the upper hand in all economic sectors with the government to intervene in major public shares. The following are some of the steps taken for a better investment environment:

• The Eritrean Investment Center was created in 1998 to promote the country as an attractive investment destination. The investment center approves investment projects, and aims to promote and facilitate investment activities in Eritrea.
• The Business Licensing Office (BLO) was established to create a centralized, “One-Stop”, licensing center to facilitate the speedy formation of business ventures as well as the issuance and renewal of licenses.
• Key investment opportunities in the fisheries sub-sector provide a potential of 90,000 sq.km of fishing ground, with an estimated annual production potential of 65,000-70,000 tons of fish and other marine produces.
• The manufacturing sector produces a variety of products with particular emphasis on processed food and dairy products, alcoholic beverages, glass, leather goods, marble, textiles and salt.
• Recent developments in the mining and quarrying sectors.
• Investment opportunities in the service sector include tourism, transport, energy and water resources, communication and financial services.
• Offshore oil and natural gas exploration are specific areas of potential investment in the energy sub-sector.

INVESTMENT INCENTIVES IN ERITREA

The investment policy of Eritrea provides the following incentives to foreign and domestic companies.

• Both local and foreign private sector investors are allowed to participate in all sectors of the economy with no restriction and discrimination
• Priority foreign exchange allocation given to exporters
• Up to 100% retention of foreign currency earning
• No taxes on dividends declared
• Capital goods, intermediates, industrial spare parts and raw materials are subject to nominal customs duty of 2%
• Raw materials and intermediate inputs are subject to 3% sales tax; however, all sales taxwill be rebated on all materials and inputs that have been used for export production
• Exports are exempted from export duties and sales taxes
• Any loss incurred during the first two years of operation by an investor may be carried forward for three consecutive years
• Marginal tax rate on personal income from 2%-38%: on non-corporate profit from 2%-38%; on corporate profit from 25%-35%; on commercial agriculture from 2%-320%; and on rent income from 1%-48%
• Profit derived from mining activities will be taxed as per the mining legislation; and
• Corporate profit that is set aside from reinvestment taxed at the rate of 20%.

/CE

In June of 2011 I posted an article, “Eritrea, UK and PVI Incident” highlighting the significance and the implications of the incident. I received considerable responses and reactions. However, I was taken aback, surprised and pleased after I read an email from Adrian Troy one of the four men that were held in Eritrea. I asked Mr. Troy if I can share the email with my Facebook bodies and, he said that I can share it with every Eritrean. I felt that our brief exchange was significant and worthy of our collective attention because it provides us with opportunities for a fresh start. It allows us to move forward and create a bridge. This also id a huge slap for those that live to see disharmony with hopes that it could serve their petty interests. I have decided to show the exchange as is…

Good article dated 19th June 2011.Eritrea, UK PVI Incident.
I look forward to visit your country again with your Government’s permission.
1 of the 4 detainees..

Adrian Charles Troy

My response:

Hi Adrian,

It is noble of you to contact me. May God bless you and your family. I never, in a million years would have expected this pleasure. Good things can materialize from difficulties and I think you are the example of it. Hopefully you can build up on it because it has a potential to play a significant role in building a bridge. That is what humanity needs now more than ever.

Please allow me to share your email with my Facebook friends. It will mean a lot to many.

Thanks

Amanuel Biedemariam

Adrian’s response:

Please share with every Eritrean!

I have deep admiration and respect for your Nation. I had the pleasure to visit Eritrea as a tourist in 1994 and was humbled by Your Struggle.I make no excuse but I had no choice in my 2nd visit to your country… This brought me much shame to have been part of this terrible insult but Yes Amanuel you are correct; ‘Good things can materialize from Difficulties’ My ‘Family Name’ is the most important thing in my life.

May God and Saint Michael Bless Eritrea

Adrian Charles Troy

Conclusion

Mr. Adrian Charles Troy deserves a great deal of kudos, admiration and respect for looking at things in positive way. I am also grateful to him for reaching out. My hope is that these small acts of good are the basis for a larger-good that we must all join-in. Yes, I would love for Adrian to visit Eritrea and more than that, I believe this to be an inspirational story that can go a long way in creating people to people relations between our countries. Each and every one of us braced not knowing how things will end and I feel this is a good ending and a new beginning!

Thanks Adrian!

Amanuel Biedemariam

Awetnayu@hotmail.com

Shabait, Massawa, 30 March 2011- Different study papers focusing on the development of the variety of energy sources were presented today at the symposium of the Ministry of Mining and Energy underway in Massawa under the theme, “Eritrea: 20 Years of Dignity”.

In a paper presented by the head of the hydrocarbon department, Mr. Teklehaimanot Debretsion, the history of fuel exploration in Eritrea was extensively discussed. The study paper also explained that the Ministry had in the past 20 years prepared technical data of international standard and that it had signed three different exploration agreements whose geological and geographical information have been carefully documented. Mr. Teklehaimanot also pointed out that a number of important tasks remain before effective work can be achieved in the department.

The head of renewable energy, Mr. Nebi Gebremedhin on his part indicated that a department for the development of renewable sources of energy has been established and studies are being made as regards their usage and potential. Using renewable sources of energy can play an important role in the nation building endeavors, he added.

Stating that a number of tasks have been accomplished in exploiting renewable sources of energy, Mr. Nebi said that wind turbines in Assab cover 20% of the city’s electricity consumption and that additional turbines with a capacity of up to 30 Kilowatts have been installed in Edi, Berasole, Beilul, Rahaita, Gahro and Dekemhare.

Moreover, Mr. Nebi explained that around 3,000 solar panels have been installed in different parts of the country producing more than 12,000 Kilowatt power and that 65% of remote areas in the country have become beneficiaries of power generated in such manner. More than 80,000 smokeless ovens, which reduce wood consumption by 50%, have also been distributed around the country, he added.

In the study paper presented by the head of geothermal energy, Mr. Ermias Yohannes, it was pointed out that exploration activities were carried out in collaboration with different companies in a bid to introduce such services and that priority is being given to producing the relevant skilled man power so that the existing potentials can be exploited based on internal capacity.

In a statement he made at the opening of the symposium, the Minister of Mining and Energy, Mr. Ahmed Haji Ali stated that extensive efforts are being made to ensure efficient supply of electricity in all parts of the country.

Emphasizing that the success of development endeavors are determined by the investments in the energy sector, the Minister said that the activities to ensure equal distribution of resources in all parts of the country will be further strengthened. The experience gained so far in mining and studies made in land structure are limited and hence more investment is required to promote the role of mining in the country’s economy, he added.

Shabait, Massawa, 12 February 2011 – The official commemoration of the 21st anniversary of Operation Fenkil was today conducted in the port city of Massawa in patriotic spirit. The commemoration took place in the presence of President Isaias Afwerki, Ministers, Army commanders, senior government and PFDJ officials, invited guests as well as thousands of nationals.

In a speech he delivered on the occasion, President Isaias congratulated the Eritrean people and friends in connection with Operation Fenkil anniversary. He underlined that the annual commemoration of the great event in a colorful manner represents a special moment in which the nation takes due consolation and strength.

The President further explained that the port city not only paved the way for total liberation but would also become the hub of investment for national development, as well as regional and international trade and investment.

President Isaias went on to underscore that Fenkil occupies a special place in the history of Eritrean patriotism, and that the nation stands on higher ground for coping with future challenges as it has already acquired valuable experience and capacity. In this connection, he stressed the need for remaining vigilant and reinforce resolve for still more gratifying accomplishments.

(See full text of the President’s speech for details)

Also speaking on the occasion, the Administrator of the Northern Red Sea region, Ms. Tsegereda Woldegergish, noted that this year’s commemoration is special as it is being held on the 20th anniversary of Independence and the charting of future action programs. She further indicated that the tasks undertaken to promote social justice have borne fruitful outcome.

Likewise, in a speech he delivered on behalf of the regional holidays coordinating committee, the PFDJ Secretary in the region, Mr. Hamid Haji, stated that Operation Fenkil constitutes a historic even that amply demonstrated the heroism and steadfastness of the Eritrean people under the dynamic leadership of the Eritrean People’s Liberation Front (EPLF).

Various artistic and cultural shows were staged at the official commemorative event that transmitted live through ERI-TV and Dimtsi Hafash. Moreover, the signing performance presented by the renowned Sudanese artist, Hamed Areyah, added color to the event.

Steam Train Veterans

The CNN iReport Global Challenge project lists Eritrea among the 10 most fascinating places worldwide. Railway enthusiast and iReporter George Hart travelled from the United Kingdom to Eritrea in 2009 to ride on the Eritrean railway.

The trains go from the highlands to the coastal lowlands of Eritrea passing through approximately 30 tunnels, 65 bridges and viaducts. The national rail line owes and operates solely antique trains, locomotives and rail-cars build by the Italians during Eritrea’s colonial occupation in the early 1920s and 30s.

Eritreans made tremendous efforts to rebuild one of Africa’s most nostalgic railways without external help, even recalling several train veterans from their retirement to support younger inexperienced generations.

By 2003, work on the rail line between the capital Asmara and Eritrea’s main port of Massawa was successfully finalized.

While the railroad was the high point of his trip, Hart told CNN, that he also enjoyed visiting the capital city of Asmara, an immaculate city — “not a scrap of litter to be found” — with Italian roots, Art Deco buildings, and an unusual open-air market selling household items made from scrap materials.

To find out more visit: iReport Global Challenge

Chinese Cargo

New equipment, technology, knowledge and skills are rebuilding a proud nation

Blessed with large deposits of precious minerals such as gold, silver, copper and zinc, Eritrea offers foreign investors a wealth of opportunities in the mining sector, while the agriculture, tourism, fisheries and manufacturing industries also possess huge potential.

President Isaias Afewerki is determined to transform Eritrea into the Horn of Africa’s logistics hub, as the country of 5.6 million people capitalizes on its 1,151-km long Red Sea coastline and access to one of the world’s busiest trade and shipping routes.

As the African nation’s preferred commodity partner, China is playing a key role in Eritrea’s socioeconomic development through the supply of aid, capital, machinery, technology, knowledge and skills.

Chinese enterprises and equipment are also widely involved in the rebuilding of vital infrastructure such as roads, airports, power and telecommunications, schools and hospitals.

“Our priority has been the creation of a good climate for investment and development,” said Afewerki, who took office in 1993 as head of the People’s Front for Democracy and Justice (PFDJ).

“Eritrea can be a gateway for investment in Africa if we can take advantage of our excellent strategic location. Our partnership with China, even though it is in its early stages, will dramatically change the reality in this country and give us a greater global interaction.”

According to the president, the mining, fisheries and agricultural sectors, especially cotton production, are best suited for Chinese investment as they will utilize the country’s natural resources and generate substantial exports revenues.

“The potential for cotton cultivation is huge and a key part of our agricultural program is the introduction of new technology,” he said.

“We are developing our agricultural infrastructure and, in partnership with China, are developing a textile industry. The initial commitment with China for cotton exports is already in place. We have begun with very modest programs but we need to expand them.”

Tightening bonds

Chinese Ambassador to Eritrea, Li Liansheng, has welcomed these and other positive developments as he looks to strengthen these political, commercial, industrial and social bonds.

“The Eritrean government is trying to invite Chinese companies to make Eritrea a trading and transportation center for Chinese goods,” he said. “There is particular potential and interest for Chinese companies in Eritrea’s strategic location at the gateway to the vital trade and shipping route on the Red Sea.”

A core pillar of Eritrea’s modern economic policy is the setting up of new free trade zones that will generate fiscal growth, create jobs, boost government revenue and raise the country’s profile on the global stage.

With a strategic location on international shipping lanes, Eritrea offers exporters and investors easy access to foreign markets, with up to 40,000 cargo ships a year – carrying some 700 million tons of cargo – passing close to its coast.

In order to capitalize on these commercial opportunities, Eritrea is building a series of modern free trade zones comprising factories, warehouses, offices, roads, airports and transport facilities. The first free trade zone will commence operations shortly at Massawa after the government invested millions of dollars in the transformation of 5,000 hectares of land next to a former naval base.

Chinese enterprises are among the foreign firms that will be based there and benefit from a tax-free environment in which no direct or indirect taxes are paid on sales or profits.

A second facility at Assab will open later this year and officials have plans for similar developments across the country, including one focused on agro-businesses near the border with Sudan.

The ‘multiplier’ effect

According to Eritrea Free Zones Authority CEO, Araia Tseggai, the free trade zones will stoke the economy through the “multiplier” effect of employment, training and education opportunities and act as a magnet for foreign investors.

“We feel they are a good place for Chinese companies to secure and buy resources from Eritrea, process them there and take them to China or use them for their own purposes anywhere in the world,” he said.

“Looking ahead to the imminent openings of the new free trade zones at Massawa and Assab, Tseggai emphasized the importance of Eritrea’s location in the Horn of Africa and revealed that while the Massawa facility will focus on manufacturing, the sister zone at Assab will be aimed at transshipment-related operations and services.

“Cargo ships are always passing and this element is crucial as most of the shipping firms will end up stopping here and picking up their produce to wherever they are going,” he said.

“Chinese enterprises always carry out relatively large projects so if the Chinese start up businesses and logistical operations here it will be very important for our current and future operations as they are significant investors.”

A leading figure in Eritrea’s import and export sector – and an organization that is sure to benefit from the presence of the free trade zones – is the government-owned Red Sea Trading Corporation.

Established in 1984 as a commodities trading business, the non-profit firm performs a wide range of operations. It handles commodities such as sugar, grain and oil and the bulk of its trade is with China, where it is looking for further business opportunities.

“Our priority has shifted to China – the more suppliers you get, the more chances you have to obtain different brands of commodities and products,” said Red Sea Trading Corporation general manager, Negash Afworki.”

As the government’s head of economic affairs, Hagos Ghebrehiwet is responsible for overseeing the development of many of Eritrea’s State-owned enterprises in a range of sectors. “We have to become independent and develop our resources,” he said. “We need investment and assistance that allows us to stand on our own two feet, as well as being mutually beneficial.”

Building connections

Meanwhile, helping firms connect to the world in today’s technology-dependent society is EriTel. The country’s sole telecommunications provider is State-owned and is committed to improving its infrastructure and network coverage with the help of Chinese equipment, technology and human resources.

“We have replaced the old analogue equipment across the country with new digital telecommunications technology and have installed solar energy systems in areas where there is no electricity so that the mobile systems work 24 hours a day,” EriTel general manager and CEO, Berhane Tesfaselassie said.

“The Chinese are helping our development in many areas and I really appreciate their contribution to Eritrea’s telecommunications sector and their cooperative and understanding attitude.”

Such technological improvements are a key component of the growth of the Housing and Commerce Bank of Eritrea.

Founded in 1994, the Asmara-based bank offers individual and business customers a wide range of financial products and services such as savings and deposit accounts, private and commercial loans, plus international money transfers.

“Even though 60-70 percent of our activities and transactions are still involved in real estate, we do provide all the normal services that a bank should offer,” said Housing and Commerce Bank of Eritrea General Manager, Berhane Hiwet Ghebre.

“We are trying to open new branches in remote areas so everybody can benefit from our banking services and we really care about corporate social responsibility.”

Source: China Daily

Rome, 14 September 2010 – The International Fund for Agricultural Development (IFAD) is supporting a grant in Eritrea with the goal of raising production and productivity in the fisheries sector, while conserving fish stocks and the marine ecosystem.

This grant agreement for the Fisheries Development Project of US$12.6 million was signed today at IFAD headquarters in Rome by Zemede Tekle Woldetatios, Ambassador of Eritrea and Kanayo F. Nwanze, President of IFAD.

Eritrea’s coastal area, once home to a strong fisheries sector, has been destroyed by decades of war. The country has some of the few remaining underexploited fish stocks in the world, however, little support has been provided to the country’s fishing communities to take advantage of these rich resources.

IFAD’s supported project aims to strengthen the artisanal fisheries sector and ensure sustainable resource management, this will contribute to reducing poverty by increasing the fishery sector’s contribution to the national economy, as well as improving food security in the region.

The project will reach about 6000 households made up of poor artisanal fishers, foot fishers, women, young people and demobilized soldiers living in the regions of Assab, Massawa and the 70 villages along the Red Sea coast. Target groups will receive support to form cooperatives in order to access boats and equipment on credit. Training will be provided to fishers both men and women, to carry out shore-based activities such as net-making. They will also have the possibility of owning boats.

With this new programme, IFAD will have financed 4 projects in Eritrea for a total investment of US$ 55.8 million.

erifish

Roxanna Samii, International Fund for Agricultural Development (IFAD) -I first visited Eritrea in 2008 and it was love at first sight. In December 2009 when I landed in Asmara airport, I felt like I was back home. I spent my first couple of days visiting the irrigation schemes in zoba Debub and then went east to zoba Northern Red Sea where I visited Massawa, the capital city of Northern Red Sea Zoba which is the centre of Eritrea’s fishing industry.

Massawa is one of the hottest places on earth, with temperatures soaring well above 40C (104F) and 80% or more humidity for much of the year. Yet, like rest of this beautiful country, it has its charm.

Eritrea is a relatively rich country in terms of natural resources. It has gold, potash, zinc, copper and salt. What is perhaps less known is the fact that Eritrea also has significant fisheries resources and that 20% of the coastal population’s livelihoods depends on fisheries. However, unlike the gold or copper, fisheries resources, if properly managed, can continuously provide food, employment and income to the coastal communities.

Eritrea’s 1,200km coastline is highly favourable for artisanal fishing offering rich and varied fish stocks and sheltered fishing grounds. Unlike artisanal fishers in other parts of the world, Eritrean fishers have not overexploited their resources and could potentially increase their catch from the few thousand tons per year to at least 40,000 if not 80,000 tons per year.

Their fish stocks include lizard fish, threadfin breams, and catfish (soft bottom demersal); snappers, emperors, grunts, job fish and groupers (hard bottom demersal and reef fishes); sardines and anchovies (small pelagic); tunas, mackerels and sharks (large pelagic); shrimp, crabs, lobsters (crustaceans); and squids and octopus and cuttlefish (cephalopods).

“Eritrea’s fisheries sector has the potential to contribute substantively to our national food security and can play an important role in reducing poverty in coastal areas”, says Andom Ghebretensae, Director-General Regulatory Services. “Currently we have 3,000 licensed artisanal fishers. Eritrea’s coast not only is rich in fisheries resources but also has great potential for tourism.”

The Government of Eritrea has long recognized this potential and in collaboration with a number of donors such as the African Development Bank and the European Union has built EU standard landing and processing sites. These sites are fully equipped with processing and storage facilities, where trained personnel weigh, process and grade the catch.

Eritrea’s fish exports may have been low in recent years (approximately 234mt in 2008), however, thanks to the upgrading of landing and processing facilities, today Eritrea is eligible to export fish products to European Union countries.

Eritrean artisanal fishers aspire to become entrepreneurs

Eritrean artisanal fishers use two types of fishing boats – houris or sambuks. Houris constitute 80% of the fishing fleet. These are wooden boats and measure anywhere between 8-13 metres. It has an outboard engine and can take up to five people on board.

Sambuk, 16 metre wooden boat with an inboard engine, constitute approximately 9% of the fishing fleet. Sambuks can take up to nine people on board.

The remaining 11% is made up of fibreglass reinforced plastic boats imported from Saudi Arabia or Yemen, although some are also being built in Eritrea.

“I have a traditional wooden boat called a houri which I bought thanks to a 5 year loan”, says Ahmed Hamid, an artisanal fisher. “There are three of us and with our boat we can go between 8-10 kilometres from the shore and we can always count on an average catch of 800 kilos”.

“During the fishing season – which is approximately seven months – we make about 2-3 fishing expeditions per month. We use small nets and usually stay out in the sea for an average of 10 days”, explains Hamid

“We buy ice from Massawa Fish Landing centre for 0.80 nakfa per kilo and use it to preserve the fish on board”, says Hamid proudly. “We sell our entire catch to National Fisheries Corporation which then sells it to processors such as Erifish. They buy the snappers for 22 nakfa per kilo and the groupers go for 25 nakfa. And we use 20% of our catch to repay the loan”.

On the landing site, Hamid and his fellow fishers unload their 800 kilo of first class tuna, snappers, emperor and groupers in big blue containers. Their catch is immediately taken next door to the EU certified Erifish processing plant, where a team of 24 people degut, process and packaged the fish for export.

“I have everything I need on my traditional boat – a cellphone, my medical kit and a transistor radio – but I would like to buy fibre glass reinforced boat, so that we can stay a maximum of a month and come back with an average catch of 1.5 tons”, said Hamid with a smile. “And I look forward to the day when I am able to sell part of my catch freely on the market”.

Fisheries sector can help ensure national food security and provide investment opportunities

In Eritrea, meat is the preferred source of protein. Fish consumption is estimated at 0.5-1kg/person/year which is low compared both to the average Africa consumption, estimated at 8kg/person/year.

“We need to encourage our people to eat more fish and to consider fish as an alternative source of protein”, says Seid Mohamed Abrar, Director, Office of the Minister of Marine Resources.

“We have high market value fish and we can fish approximately 80,000 tons per year without any risk of depleting the fish stock”, says Abrar. “By exploiting our fisheries resources, we can contribute to ensuring food security for our coastal population and help the artisanal fishers to improve their livelihoods.”

This is why the Government of Eritrea requested IFAD’s assistance to design a fisheries development project to support artisanal fishers in the Red Sea coastal regions.

“The IFAD-funded Fisheries Development Project under the auspices of the Ministry of Marine Resources will reorganize and strengthen fishers’ cooperatives and support artisanal fishers so that they can increase their incomes and improve their food security”, says Abla Benhammouche, Country Programme Manager for Eritrea. “This project will help Minister of Marine Resources to make the fisheries sector sustainable and at the same time reduce illegal, unregulated and unreported fishing.”

The Fisheries Development Project will build the capacity of fishers such as Hamid and equip them with modern fishing techniques and better and secure boats and fishing gears. At the same time, the project will encourage private sector initiatives to add value to the processing and packaging process, also build the capacity of Erifish to better market the catch domestically and expand their export markets.

To support private sector investment, artisanal fishers such as Hamid will be allowed to sell 20% of their catch to private processors and traders, with the prospect of increasing this percentage as private sector further develops.

Last but not least, private sector investment can help transform Eritrea’s Red Sea coast into a flourishing tourist resort, offering spectacular diving opportunities and uncontaminated beaches. “We can become a viable rival to other Red Sea resorts such as Sharm el-Sheikh”, says a proud Abrar.

Legacy of a visionary American biologist: Mangroves for all

During World War II Dr Gordon Sato, a biologist spent some time in a concentration camp called Manzanar in California desert. During his internment he developed his vision of eradicating hunger by enabling African nations to feed themselves. He invested half a million dollar of his own money in the Manzanar Project.

This visionary philanthropic scientist conceived this project as low-tech solution to hunger and poverty and to combat the impact of climate change, when climate change was neither on the international agenda nor on the talk of the town!

The project started during the 30-year war to win independence from Ethiopia. Sato first joined the Eritrean fighters in 1987 and introduced fish farming. He succeeded in growing fish and providing high protein food for the wounded. After the war, he focused on issues related to economic development and applied what he knew best – biological principles – to develop a self-sufficient economy in a country that is prone to drought and famine.

However, soon he saw the potential of mangroves to increase food production all the way up the food chain.

In an interview, Sato said: “I was in an area with mangrove trees, and I noticed the camels eating them. I got the idea that the trees could also supply food for sheep and goats. There was lots of available space for growing mangroves, so it seemed like an obvious solution. Initially, I had to figure out how best to grow them and how to make the mangroves good food. We found that mangroves would be adequate food for livestock, as long as they were supplemented by a small amount of fish meal prepared from fish waste.”

Years later, thanks to the Manzanar project and Sato’s legacy, Eritreans are using fresh leaves and dried mangrove seeds as livestock feed. This project has also taught herders that the seaweed that washes up on shore can be dried, processed and used as animal feed.

Ammanuel Yemane, Manzanar project manager, takes pride to showcase Sato’s teaching. Sato and his team reached the conclusion the mangroves were growing in areas where rainwater was washing into the sea. The rain was providing nitrogen, phosphorous and iron – elements lacking in seawater. The team buried the seeds with a piece of iron and a punctured bag of fertiliser rich in nitrogen and phosphorous and saw the mangroves flourishing.

Today, Yemane and his team work with women, men, herders and fishers of Hirgigo village to teach them how to use the same technique to plant mangroves so that they can effectively address sustainable resource issues such as providing food for livestock, protecting the fish and preventing deforestation. “The village is now learning to manage the mangroves and we can recover the lost mangroves in approximately 6 months”, comments Yemane.

The IFAD-funded Fisheries Development Project will join forces with Yemane and his young group of dedicated and passionate Eritrean to support the rehabilitation of the mangroves and to:

• build capacity of fishers to develop viable and sustainable business plans
• teach fishers how to protect marine natural resources such as the coral reefs
• teach fishers to form cooperatives
• organize exchange visits

A brighter future

Through out their history Eritrean people repeatedly have shown their resilience and resoluteness. It goes without saying that they will be able to unleash the potential of their untapped gold mine – their fisheries sector – in the most sustainable manner and as a result contribute substantively to improve the livelihoods of the coastal population and create a vibrant local private sector.

A project to produce high-grade biofuels from saltwater-tolerant salicornia plants is under way at the Masdar Institute of Science and Technology in Abu Dhabi.

The integrated approach, which includes fish farming and a mangrove plantation, has the potential to make the project carbon negative.

The project’s leaders claim that their techniques enable biofuel to be produced without using arable land or large amounts of fresh water, which are largely seen as the downside of much conventional biofuel production.

The Sustainable Bioenergy Research Project (SBRP) will use technology provided by UOP Honeywell to convert the oil from pressed salicornia into biofuels, including a blend which can be used as jet fuel. Hence the project is also funded by Boeing and Etihad Airways, the national airline of the United Arab Emirates.

“This project will for the first time demonstrate the commercial viability of using integrated saltwater agriculture to provide biofuels for aviation,” said Dr John Perkins, Provost of the Masdar Institute.

Producing biofuel from salicornia in an integrated low-carbon, low-pollution circuit was originally tested in Eritrea by Carl Hodges, the founder and chairman of the Seawater Foundation.

The Masdar Institute’s set up involves three stages. First saltwater from the sea is fed into a fish farm. The effluent from the fish farm is then used to irrigate salicornia plants.

Normally the effluent from fish farms is considered a pollutant as it is higher in salt than normal seawater and contains fish faeces. Releasing it back into the ocean can create disastrous algae blooms. But it acts as a fertilizer for the salicornia, obviating the need to use fossil-based fertilizers which increases the carbon footprint of conventional biofuel production.

Run-off from the salicornia plants is then ‘cleaned’ through the mangroves, which can grow in salt water and sequester carbon in their root systems. The mangrove leaves can be used as fish food, completing the cycle.

Salicornia seeds are processed in much the same way as similar oil-rich crops for biofuel. UOP Honeywell has a proprietary process which can blend the resulting oil with jet fuel. The remainder of the salicornia plant can be used to make lower-grade fuels or burned as biomass to generate electricity from steam turbines.

Per acre yields of oil from salicornia are on par with soybeans, say researchers as the Masdar Institute, but are only one-eighth the yield of palm oil.

An element of the Masdar Institute’s research will be in calculating how much carbon the process consumes rather than emits.

“To meet the growing demand for energy worldwide, we must identify regional biofuel solutions that are not only sustainable, but can actually regenerate the ecosystems where they are produced,” said Jennifer Holmgren, vice president and general manager of renewable energy and chemicals for Honeywell’s UOP. “This project is a unique opportunity to showcase the viability of a geographically-optimised solution and the availability of technology that produces high-quality green transportation fuels.”

The salicornia plants can be harvested much like any other arable crop, but as they are highly saline, it is likely they will damage conventional machinery.

The Masdar Institute is part of a zero-emissions city being built in Abu Dhabi, the largest emirate in the UAE. Source: (Business Green)

Massawa, 8 February 2010 – The residents of the port city of Massawa said that the commemorative events being organized in connection with the 20th anniversary of Operation Fenkil would provide added impetus to the Eritrean people’s cherished values of dedication, steadfastness and hard work.

Stating that the Eritrean people have managed to enjoy peace and stability as a result of their steadfastness and sacrifices, the residents explained that Massawa has already been transformed into a modern and prosperous city thanks to the Government’s substantial investment in expanding equitable social services and putting in place reliable infrastructure facilities on the basis of the principle of self-reliance.

They went on to explain that the all-round achievements already registered in the modernization of the city over the past 20 years fully attest to the pledge made to honor the trust of martyrs. In this connection, they pointed out that this year’s commemorative event reminds us all to renew our commitment to build a developed and strong nation through redoubling all-round endeavors.

The city residents further voiced determination to make utmost preparations to colorfully commemorate the 20th anniversary of Operation Fenkil, as the event holds ever deep impression in the minds of the Eritrean people in general and Massawa residents in particular. Source: (Shabait)

Massawa

Meals are available in all hotels. There are also hotels and guest houses in smaller towns whose prices are generally slightly lower than for those in the main centers.

When making reservations, check for service charges and sales taxes. Hotel bills must be paid in hard currency known as Nakfa. Credit cards are accepted in major hotels, airlines and majortravel agencies.

Foreign currencies can be exchanged at the Commercial Bank of Eritrea in Asmara which provides the best exchange rate, private exchange offices and major hotels. Source: (PR-inside)

Major Banks and hotels in Asmara and Massawa accept traveller’s cheques, US Dollar traveller’s cheques being the most recommended. Don’t hesitate to go out and taste the food and drink in the restaurants. Italian cuisine dominates in larger cities while Massawa is renowned for its excellent seafood, especially prawns and lobster.

National specialities include kitcha (thin bread from wheat), injera (a spongy pancake), tsebhi and alicha birsen while national drinks include bun (coffee), shahi (plain tea), swa (beer from local grain) and fruit juices. Get yourself gold and silver jewelery, woodcarvings, leather items, spears, drums, carpets and wicker goods. A certain amount of bargaining is expected in market places but prices in shops are usually fixed.

Finding cheap flights to Eritrea is not that easy, you need to do researching as well as planning ahead of time. Airfares are usually the most expensive part of a vacation trip, next to it would be hotel accommodations, this is why most of those who plan to visit the Eritrea would surely want to go after those cheap flights to Eritrea. Nevertheless, once you arrive in the country, most of the things you will find there have adequately cheap prices, like food, transportation, souvenir items, clothing stuffs, and other accessories you may want to buy, way much cheaper compared to buying the same things from other countries.

There are many specially trained professional Travel Agents will always help you to book a convenient flight to the Eritrea and Travelhouseuk.co.uk is one of them so just call them to book flights which will best suit your budget and travel needs.