Bamboo has been recognized for its ecological, economic, and cultural importance in Ethiopia. However, bamboo-based enterprises remain underdeveloped and poorly understood, particularly in developing towns like Injibara. Limited research has been conducted on the characteristics, profitability, and growth prospects of bamboo-based enterprises. Such information is essential for evidence-based policy-making and sustainable development efforts. This study examines the structure, profitability, and growth potential of bamboo enterprises in Injibara town, which is selected for its rich bamboo resources and active small-scale industry. Data was collected in 2022/23 through key informant interviews, surveys, and field observations using a complete census of 60 bamboo-based enterprises. Accordingly, 44 processors, 7 producers, and 9 traders were contacted as data sources. Descriptive statistics and financial analysis techniques were used to evaluate enterprise performance. The results reveal substantial income variation across enterprise types, with processors showing the highest value addition. Profit margins range from 5.6% to 45.95%, showing significant disparities in value capture. Notably, industrial bamboo products—such as chopsticks, incense sticks, and charcoal—provide employment opportunities to a workforce that is approximately 50% women, emphasizing the sector’s potential for gender-inclusive development. Despite strong opportunities rooted in indigenous craftsmanship and resource availability, the sector faces critical constraints, including unreliable supply chains, weak market linkages, and insufficient policy support, all of which impede sustainable growth. The study underscores the urgent need for targeted interventions that enhance value addition and promote equitable development within the bamboo sector. Key recommendations include integrated stand management, comprehensive value chain analysis, improved product quality and durability, and environmental cost-benefit assessments. Additionally, strengthening the sector will require combining indigenous knowledge systems with modern processing technologies to improve productivity, competitiveness, and sustainability.
Bogale et al. (Thu,) studied this question.