THE CONTRIBUTION OF MANUFACTURE SECTOR IN ETHIOPIAN EXPORT PERFORMANCE

Abstract

The world will not exist had it not been through the exchange of goods and services and it has played a huge part to the existence of humankind. As society developed they started noticing that and started promoting it through trade agreements between countries. After 2000 Ethiopia has been a beneficiary of a special trade agreement with the other country. This paper made an attempt to measure the importance of the trade agreement to the textile sector and how well the country utilized it by the use of both descriptive and econometric methods. The study found that real growth domestic product, Labor force, Real exchange rate (RER), and Manufacture (MN)are significantly contributed for export performance in Ethiopia. Therefore, we can say that Ethiopia should continue promoting the sector.