1 MAY 2008 AWASSA 2 Table of Contents Page N0 • Introduction 1 Part I Location and Administrative Division—- - - - - - - - - - - - - - 2 • Topography —- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 2 • Climate —- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - • Soil Resource —- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 3 • Land use and land cover —- - - - - - - - - - - - - - - - - - - - - - - - - 3 • Water bodies —- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - • Forest Resource —- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 5 • Wild life resource —- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 5 • Tourist Attraction and potential —- - - - - - - - - - - - - - - - - - - 6 • Population —- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 7 • Ethnic Composition —- - - - - - - - - - - - - - - - - - - - - - - - - 8 • Urbanization —- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 8 • Agriculture —- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 8 • Livestock resource —- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 9 • Fisher —- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 9 • Hides and skins production and market —- - - - - - - - - - - - - - 9 • Apiculture —- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 9 • Industry —- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 9 • Education—- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 10 • Health —- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 10 • Road net work —- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 10 • Air transport —- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 10 • Telephone service—- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 10 • Postal service —- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 10 • Water supply —- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 10 Part II • Awassa town —- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 11 • Bench maji zone —- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 12 • Kaffa zone —- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 13 • Dawro zone —- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 16 • Sheka zone —- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 17 • Sidama zone —- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 19 • Kembata Tembaro zone —- - - - - - - - - - - - - - - - - - - - - - - - - - - 22 • Slti zone —- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 23 • Wolayta zone—- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 25 • Debub omo zone —- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 27 • Gurage zone —- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 30 • Hadiya zone —- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 33 • Gamo Gofa zone —- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 36 • Gedeo zone —- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - --— - 40 • Yem Special Woreda —- - - - - - - - - - - - - - - - - - - - - - - - - - - - - 43 • Konta special woreda—- - - - - - - - - - - - - - - - - - - - - - - - - - - - - 45 • Konso special woreda—- - - - - - - - - - - - - - - - - - - - - - - - - - - - -- 47 • Derashe special woreda—- - - - - - - - - - - - - - - - - - - - - - - - - - - - - 48 • Basketo special woreda —- - - - - - - - - - - - - - - - - - - - - - - - - - - - - 50 • Alaba special woreda —- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 52 • Burji special woreda —- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 54 • Amaro special woreda—- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 56 Part III MAY 2008 • Investment land preparation (Appendices )—- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -58 AWASSA 3 INTRODUCTION In SNNPR , given the existing abundant natural resource base such as vast water resources, thousands hectares of potentially irrigable land, suitable climate, large number of labour force, the prospect for high investment is very promising. Utilizing the advantage of natural resources for export of high-value agricultural products is the best strategy to achieve rapid economic growth for a country . In view of this private initiatives are encouraged to focus on agricultural investments where they have the best comparative advantage. To this end the Southern Nations Nationalities and People’s Regional State has attempted to identify rural land according to their suitability or best use. Further more , based on the resource potential of the region, feasible industrial project profiles have been prepared for each zone and special woreda. The objective of this investment guide is provide vital information to private investors . (local of foreign) important for investment and enhance their participation in all investment ventures potential in the region . The guide comprises three parts . Part one the general profile of the region which describes the geographic and socio economic feature of the region. Part two deals with the geographic and socio economic profile and investment opportunities of each zone and special woreda’s of the region . Identified land for rural and urban investment as well as important information's related to rental price and regulations are treated is the last section of the guide. MAY 2008 AWASSA 4 THE SOUTHERN NATIONS NATIONALITIES AND PEOPLES REGION (SNNPR) I. LOCATION & ADMINISTRATIVE DIVISION The Southern Nations, Nationalities and People's Region (SNNPR) is located in the southern part of the country bordering with Kenya in the south, the Sudan republic in the south west, Gambela Region in the North- West and Oromiya region in the North and East. Geographically the region lies between 40 271-80 301 Latitude North and 340 211 --390 11’ Longitude East.The Region has an area of about 110931.9 sq. km. which ranks 4th in size and accounts for about 10%of the total area of the country. For administrative facilities, this vast region is divided in to 13 Zones, 8 special woredas, and 126 small administrative units called woredas. TOPOGRAPHY The SNNPR constitutes different land forms, which can be broadly divided in to highlands and low lands. The East African Rift valley bisects the highland plateaus in to two physiographic regions i.e. east and west. In the east, there are highland plateaus of Sidama, Burji and Amaro lying between 2300 to 3338 meters above sea level (masl). To the west of the rift valley, there are also major highland plateaus of Gurage, Kaffa, Dawro and Gamogofa that rise from 2500 to 4200 meters above sea level (masl). The highest elevation in the region is mount Guge in Gamogofa with 4207 m.a.s.l and followed by Gurage Mountain that reaches at 3720 mast where as the lowest area is found around Lake Rudolf in Debub Omo zone with a height of 376 meters above sea level. CLMATE Rainfall Due to its proximity to the equatorial area, the region gets rainfall through out the year. However, the amount of rainfall distribution varies from place to place with in the region, the amount duration and intensity generally increases from south towards north, north east and North West. The mean annual rainfall of the region ranges from 200-2200 mm. Temperature Temperature is usually inversely related to altitude. As a consequence, it decreases from southern tip of the region towards North, North- East and North- Western highlands the mean annual temperature of the region varies from lowlands to highland areas of the region i.e. with mean annual temperature of 20 0c to 27c0 in the law lands and between 100c to 200c in the highlands. There is extremely high temperature in lowland areas with annual temperature of 28-350c. MAY 2008 AWASSA 5 SOIL RESOURCE SNNPR is endowed with diverse natural resources of which soil resources serve as a base for all the others. Based on the geomorphology and soils study conducted by land use and regulatory department of the ministry of agriculture, 18 dominant soil associations were identified in Ethiopia. Among which 11 soil associations (luvisols vertisols, Nitosols Gleysols, Andosols, Cambisols, Lithosols, Acrisols, Flurvisols, Regosols and phaeozems) are found in the region. Each one of these soils has got not only its own specific physical, chemical and biological properties, but also associated management practices. LAND USE AND LAND COVER There are about 11 land use and land cover types in SNNPR. as a result, about 23 percent of the total area of the region is intensively cultivated, 8.8 percent is moderately cultivated. Forestland covered with broad - leafed forest accounts 8.3 percent, and 2.65 percent of the region is covered with other forests. The grassland accounts for some 15.6%, Shrub land accounts for about 3% of the area of the region. Bush land which is found in the central, southeast, and south western part of the region accounts for 19%, wood land shares 16%, and the remaining balance is covered with wet lands and lakes. WATER BODIES RIVER BASIN The SNNPRS has a large number of water bodies, perennial rivers and lakes that can be utilized for irrigation, hydroelectric power generation, fishery and essential domestic needs. Among the known rift valley lakes, five of them are found in the region. The region comprises three important river