Shoats and smart phones: Cross-border trading in the Ethio-Somaliland corridor

Cross-border trading in East Africa has a long history, is an important source of livelihood, and produces considerable public revenue. Why is it then, that the bulk of cross-border trading is done informally and beyond the control of the state? This paper looks into this and other questions by delving into the history, politics and practices of informal cross-border trading in the Ethio-Somaliland corridor. The author highlights evolving trade routes, the impacts of trading on state formation, Ethiopian customs policy and the different logics animating the export of Ethiopian livestock to Somaliland and the Arab Gulf on the one hand, and the import of consumer goods including cell phones on the other hand. Despite Ethiopian attempts to regulate what it considers as ‘contraband’, informal imports and exports persist and adapt as traders have developed their own mechanisms to ensure the flow of goods.