Why amrach.net was developed?

People’s lifestyles today, is different. Going to congested markets takes time and makes people uncomfortable. Customers can browse websites while resting in front of a computer at home and conduct their transactions there. Online stores are often available 24 hours a day, seven days a week.

Online shopping (e-shopping) is the act of searching for and purchasing goods and services over the Internet using a web browser. The fundamental appeal of internet shopping is that consumers can locate and purchase products they need (which are then shipped to their front door) without ever leaving their house. Today, practically everything can be purchased online, resulting in annual sales of USD billions.

Amrach.net

We at GTS Ethiopia (www.gtsethiopia.com) have been involved in the apparel industry for the past two decades and have seen the ups and downs of the journey. This prompted us to evaluate the feasibility of developing an online market linkage tool focusing on a specific sector to provide stakeholders with a digital option. When the time seemed right, we developed an online platform to create market information and access (both locally and internationally) for apparel and textile businesses, including SMEs, by delivering improved convenience for buyers and increasing the sector’s performance.

This platform will give Ethiopian apparel, textile, finished leather, and leather product manufacturer access to a large number of customers. International buyers will have access to a diverse range of suppliers.Amrach.net is business to business online shopping service that focuses on a manufacturers of textiles, garments, finished leather, and leather products and offers other services such as inspection service, trade assurance, and logistics.

Problems observed by amrach.net

Well, the concept for this website, www.amrach.net, came from the frustration and disappointment.

Ethiopia’s garment and textile industries are worth over USD 500 million and are expanding rapidly. In recent years, total exports have been USD 150 million, but total imports have been four times that amount. This demonstrates how inadequate local producers have been in meeting local demand.

The textile and garment sector’s average production capacity is less than 30%. Low productivity, a lack of access to finance, and a lack of market information are the primary causes of low production capacity. This has resulted in poor export performance and a high reliance on imports to meet local market demand.

Small businesses in Ethiopia are not developing due to a lack of necessary infrastructure, financial resources, human resources, and ICT utilization. For their benefit

Local and international buyers face challenges in accessing a diverse range of suppliers and have trust issues with the suppliers, whether they can manufacture at the required standard and at an affordable price. The lack of an accessible digital business to business platform is one of the reasons for finding and matching with potential suppliers. This has resulted in local and export businesses operating in the country sourcing their inputs from outside. In addition, wholesalers prefer to import from abroad. From this, we can understand that the weak linkage among businesses due to the gap has significantly impacted the country’s economy by increasing imports.

Many pain points in the current business model have been identified by various actors in the apparel and textile value chain. Large enterprises and small and medium-sized enterprises (SMEs) complain about not being able to diversify their buyer bases and being unaware of the quality standards and other requirements demanded by major buyers. As a result, they have limited ability to invest in, expand, and create jobs. This is due to the enterprises’ lack of market information.

Not only has that, but the presence of middlemen (brokers) in the transaction made it difficult for businesses to compete in the market. In other words, many transactions do not take place directly between buyers and suppliers. Overall, this is one of the factors that cause of poor performance of the sector

The key solutions brought by amrach.net

Amrach.net platform makes e-commerce possible for sellers in Ethiopia by connecting them with new customers and tools around the world at a minimal cost.

Amrach.net business-to-business platform intends to address the challenges buyers and sellers face in the sales process.

Creating market links within businesses is critical to increasing exports and substituting imports, earning foreign currency and creating millions of jobs, so amrach.net creates market linkage that will create connivance for manufacturers to buy, sell, promote, and interact locally and with the rest of the world.

Amrach.net collaborates with manufacturers to improve the market system, increase quality, and encourage local manufacturers.
Provides quality assurance services on behalf of buyers and facilitates product visibility for export-oriented members, as well as offering global event locations on the platform.
Apparel, textile, finished leather, and leather product manufacturing will bring all manufacturers onto one platform, bridging the market information gap and facilitating digital transactions across the country. Furthermore, the requirements of buyers will be available online for enterprises operating in the country.

Amrach.net offers assurance and inspection services to local businesses, lowering the barrier to entry into the local and global markets.

Conclusion

Enterprises will willingly register as trade assurance members on the platform, assuring buyers that if their products do not meet the standard, they will be returned. This will build buyer trust and significantly increase supplier sales. This will benefit the country’s economy by replacing imported goods with domestic production. Suppliers will receive various types of training on doing business with both domestic and international buyers. Everything from basic communication skills to compliance standards is covered in this training. As a result, businesses are able to diversify their markets and meet their needs.

Local and international buyers and suppliers are expected to use GTS’s online platform. The platform will have a positive impact on the country’s economy by increasing exports, creating job opportunities, and stimulating investment and generating foreign currency.