Agriculture has been the cornerstone of the Eritrean economy in the past and is still the main source of income and food for more than 60 percent of the population. Eritrea has substantial and varied natural resources that can be developed to sustain socioeconomic development. Generally, Eritrea possesses modest land and water resources. In the livestock sub-sector, there are about 4.7 million goats, 2.2 million sheep, 1.9 million cattle, 1.0 million poultry and 0.3 million camels.
As production in the agricultural sector grows, marketing of agricultural products and inputs became an opportunity for investment, such as :
- Limitation in transporting live animals and horticultural products from area of production to markets.
- Difficulty of maintaining the quality of horticultural crops due to lack of proper storage facilities. This shows that investors can play major role in providing transporting and storage facilities.
- Selling several plant and animal products to local and external markets especially in neighboring countries and Middle East.
- Supply of agricultural inputs. This includes fertilizers, agrochemicals, vet drugs and vaccines, improved seeds and equipment and tools.
- Plenty of arable land and water resources that can be harnessed to develop economically viable agricultural schemes for agronomic, horticultural and livestock production
- Prospects for rearing livestock for the production of beef, mutton and dairy products.