Nigeria: Dangote Group increases its investments in Ethiopia

 

Nigeria: Dangote Group increases its investments in Ethiopia

Ethiopia is partnering with the Dangote Group to build a large fertilizer plant in Gode, with the aim of boosting agricultural production and reducing dependence on imports.


This project will produce 3 million tons of urea per year and represents one of the largest industrial investments in the agricultural sector in Ethiopia.


Work is progressing at a steady pace, with notable investments such as a 110-kilometer pipeline, a 120-megawatt power plant, and the expansion of facilities, bringing the total investment from $2.5 billion to over $4 billion.

The project is expected to help millions of Ethiopian farmers, boost local fertilizer production and improve food security and economic self-reliance.


This project, developed in partnership with Aliko Dangote, plans an annual production capacity of 3 million tons of urea and is positioned as one of the most important industrial investments in the Ethiopian agricultural value chain.


Mr. Dangote recently visited Gode, where he was received by Prime Minister Abiy Ahmed; the two leaders then visited the site of the planned fertilizer plant to assess the progress of the construction work.


Prime Minister Abiy Ahmed stated in a message posted on X that he had visited the project site alongside Dangote to assess the progress of the work.


"This morning, accompanied by Aliko Dangote, I visited the Gode construction site to assess the progress of the work to date," Abiy wrote.


“I am encouraged by the sustained momentum across the entire site. Construction work is progressing as planned on several sections of the site, which demonstrates the strong commitment and collaboration that are driving this important national project forward,” he added.


According to Abiy, a shareholders' agreement for the project was signed in August of last year, while construction officially began in October 2025. He added that work was progressing steadily on several sections of the site.


The Dangote Group also revealed that the total investment commitment for the project had increased from $2.5 billion to over $4 billion, reflecting the expanded scope of infrastructure related to the development.


This expanded investment includes a 110-kilometre pipeline, a 120-megawatt power plant, a polypropylene packaging plant and an NPK fertilizer blending plant with a capacity of two million tonnes.


This project is expected to play a major role in strengthening Ethiopia's domestic fertilizer production capacity, providing support to millions of farmers and reducing the country's dependence on imported fertilizers, which have long burdened agricultural productivity and foreign exchange reserves.


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