Who does the Directive apply to?
The Directive applies to traders engaged in trading graded and value-added export coffee domestically in foreign currency.
What is value-added coffee?
Value-added coffee is a raw coffee that has been roasted, roasted, and grind or converted into a different type of coffee product according to approved technical procedures.
Where can graded and value-added export coffee be sold?
Graded and value-added export coffee can only be sold at the following locations:
✓ Hotels
✓ Motels
✓ Lounges
✓ Restaurants
✓ Ethiopian airports
✓ Tourist parks
✓ Continental and international hosting places
How can buyers pay for graded and value-added export coffee?
Buyers must pay for graded and value-added export coffee using electronic means, such as credit cards. Cash payments are only allowed if the National Bank of Ethiopia verifies each sale and payment.
What are the obligations of sellers?
Sellers must:
✓ Sell graded and value-added export coffee only at the authorized locations listed
above.
✓ Maintain a register of daily purchases and sale amounts.
✓ Report weekly to the Ethiopian Coffee and Tea Authority.
✓ Not sell expired products.
✓ Not sell below the weekly minimum selling price of coffee.
What are the obligations of buyers?
Buyers must:
✓ Only purchase graded and value-added export coffee from authorized locations.
✓ Pay for graded and value-added export coffee using legitimate foreign currency and have a legal receipt from the store.
How can traders obtain a Certificate of Competence to sell graded and value-added export coffee domestically in foreign currency?
Traders must meet the following requirements to obtain a Certificate of Competence:
✓ Have an export roaster’s Certificate of Competence.
✓ Be registered and accredited by the National Bank of Ethiopia to sell domestically in foreign currency.
✓ Own or lease a store that meets the technical requirements listed in the Directive.
✓ Notify the Ethiopian Coffee and Tea Authority of any changes in their trade or business.
Once a trader has met all of these requirements, they can apply to the Ethiopian Coffee and Tea Authority for a Certificate of Competence. The certificate must be renewed annually, and traders must provide up-to-date tax clearance and a report of the previous year’s sales, certified by the National Bank of Ethiopia.
Under what conditions can a Certificate of Competence be revoked or suspended?
A Certificate of Competence can be revoked or suspended if a trader:
✓ Fails to provide information or documents requested by the Authority;
✓ Changes registered business or work address without notifying the Authority;
✓ Left the coffee business on his/her own will;
✓ Used the obtained certificate of competence for purposes other than it is issued.
Who is responsible for monitoring the quality and transaction control processes of graded and value-added export coffee sales?
The Ethiopian Coffee and Tea Authority is responsible for monitoring the quality and transaction control processes of graded and value-added export coffee sales. The Authority must ensure that transactions are carried out in accordance with the Directive and that all technical requirements are fulfilled.
Disclaimer: The views and opinions expressed do not reflect the official policy or position of DABLO. The writing is not intended to be, and should not be used as, a substitute for taking legal advice in any specific situation.
