“We will work closely together to develop trade, investment and human relations between the two countries,” Kovind said. Ethiopia was also home to a large Indian diaspora of merchants and craftsmen who settled there in the second half of the 19th century. During the reign of Emperor Haile Selassie, a large number of Indian teachers went to Ethiopia, which led to a significant development of goodwill towards India among Ethiopians.  The municipality of Siddi, on the west coast of India, is considered to be of Ethiopian origin.  The trade agreement will replace the existing pact signed in 1982. This agreement will enter into force on the date of signing and will remain in effect until May 31, 1959. It may be continued for an additional one year later, subject to the agreed amendments on that behalf. The Embassy encourages trade, investment and technology transfer processes in Ethiopia. SMEs have been at the centre of concerns and the Embassy is committed to helping SMEs build partnerships in Ethiopia. Many members of the SME industry have participated in trade shows and exhibitions, Buyer-Seller Meets and product promotion programs in India. These efforts strengthen the dialogue between Ethiopian delegations and SMEs in India. The message also encourages and facilitates visits by trade delegations by organising meetings and organising exhibitions, buyer-seller meetings, etc. CRISP (Bhopal) ” Performance Research and Industrial Staff Centre proposes to organize buyer-seller Meet crafts and weaving in Ethiopia to promote Indian handicrafts in Ethiopia in September-October 2018.
CRISP has its subsidiary in Addis Ababa, which has trained more than 600 workers. The two countries currently operate close to $1 billion in bilateral trade, while foreign direct investment from India has reached $5 billion, according to official documents. According to the statement, the firm “agreed to the India-Ethiopia trade agreement to strengthen and promote trade and economic cooperation.” India and Ethiopia signed a bilateral investment promotion and protection agreement in 2007 and an agreement in 2011 to avoid double taxation to promote reciprocal trade and investment.   At the second India-Africa Forum summit, then-Indian Prime Minister Manmohan Singh announced a $300 million credit line to revitalize the Ethiopia-Djibouti railway.  However, this project was awarded to Chinese construction companies after delays in sanctioning funds on the Indian side.  However, the non-tariff tariff preference system announced at the summit, which allows imports from the least developed countries to India, has had a positive impact on bilateral trade, with the value of Ethiopian exports to India now reaching more than $120 million. However, the trade balance remains in India.  India has also set up $710 million in credit lines to support rural electrification and revitalize the sugar industry in Ethiopia.  The agreements were signed following a meeting between Indian President Shri Ram Nath Kovind and his Ethiopian counterpart, Mulatu Teshome, at the National Palace in Addis Ababa, the Ethiopian capital.