1. Sesame Business Network Ethiopia Why not? In-country value addition

2. Activities that make the products more valuable for the next buyer in the chain Products is sold with a margin to the next actor in the chain What is value addition? FarmerCleaner Packaging WholesalerProcessor Retailer

3. Focus is on bulk export Volume is more valued than quality Limited forms of value addition In changing market, quality becomes more important and so does post-harvest value addition Options for improvements in PH value addition are: – Winnowing and cleaning – Grading and colour sorting – Storage and transport – Domestic processing – Traceability and certification Current practice Ethiopia

4. The story of a small box of sesame..

5. Value-addition: Sesame Seed at Dutch Supermarket 100 gram costs € 1,70 = 37 birr Farmer sells sesame for 2.200 per quintal Calculate the value added... 37 per 100 gram equals a selling price of birr 37.000 per quintal ECX price birr 2.200 per quintal Value addition = 35.300 birr per quintal This is over 17 times the ECX price

6. Supply chain with many actors: value addition per actor Every actor takes a share for the value added Significant cost involved in every step! However it’s not profit! Birr 2.200Birr 37.500 Value added to sesame FarmerCleaner Packaging WholesalerProcessor Retailer Birr 2.200Birr 3.000 Birr 5.500Birr 13.500Birr 23.500 800 – 600 = birr 200

7. Value addition Birr 37.500 Ethiopia Abroad 6% 94% EthiopiaAbroad 40% 60% Why not move towards.....

8. Sesame honey bars

9. The selling price for 30 gram bar is € 0,70 60% is sesame is 18 gram, so €0,42 per 18 gram of sesame (1 euro = 22 birr) Calculate the value added Continue math class.. € 0,42 per 18 gram of sesame = birr 9,24 per 18 gram = birr 51,33 per 100 gram So selling price is birr 51.333 per quintal ECX price birr 2.200 per quintal Value addition is birr 49.133 This is over 22 times the ECX price

10. Why not put value to the best quality of sesame and honey?

11. Healthy and delicious

12. What do you need? 300g sesame seed, 300g honey, pinch of salt This is how easy you make it: 1) Grill the sesame seeds with the salt in a pan; 2) add the honey when the seeds become light brown and steer; 3) put the sticky substance on a greased plate and put it in the fridge. Recipe

13. Experiment... Sesame-honey bars

14. Ingredients: Sesame: 400 gram = 11 birr Honey: 125 gram = 30 birr Salt: 1 birr Total costs: 41 birr Output: 100 bars are made Cost price: birr 0,41 per bar Cost price + 50%= birr 0,60 selling price Did we just find a new market opportunity?? Sesame-honey bars

15. 1.Why is in country value-addition only limited in Ethiopia? 2.What can be done to improve on value- addition activities? 3.What can the government do to promote domestic value addition? Points of discussion