Dangote Launches $2.5 Billion Fertilizer Plant Project in Ethiopia
Africa’s richest man, Aliko Dangote, has initiated construction of a major fertilizer plant in Gode, Ethiopia, marking another significant expansion of his industrial empire. The $2.5 billion project, developed in partnership with Ethiopian Investment Holdings, aims to produce three million metric tonnes of urea annually.
The state-of-the-art facility, positioned in Ethiopia’s south-eastern region, will utilize natural gas from the local Hilal and Calub reserves. This strategic location and resource access are expected to transform the Horn of Africa’s agricultural landscape while generating substantial employment opportunities.
During the groundbreaking ceremony, Dangote praised Ethiopia’s leadership for implementing reforms that have made the country an attractive investment destination. He specifically acknowledged the government’s infrastructure developments, including the Grand Ethiopian Renaissance Dam, as crucial foundations for industrial growth.
“This partnership with Ethiopian Investment Holdings represents a pivotal moment in our shared vision to industrialise Africa and achieve food security across the continent,” Dangote stated at the ceremony. He outlined plans to expand production to include various fertilizer types, including ammonium nitrate, ammonium sulphate, NPK, and calcium ammonium nitrate, with the goal of establishing Ethiopia as a regional fertilizer production hub.
The project represents Dangote Group’s second major investment in Ethiopia, following its cement plant in Mugher, which has operated for over a decade. The company has already committed an additional $400 million to double the cement facility’s capacity.
Ethiopian Prime Minister Abiy Ahmed emphasized the project’s broader significance at the ceremony: “They embody our shared responsibility to harness opportunities, strengthen cooperation, and promote peace. Hence, I call upon all Ethiopians to continue mobilising in unity for progress.”
The investment aligns with Dangote Group’s pan-African development strategy, which emphasizes reducing import dependency through local manufacturing. The company projects that Ethiopia could emerge as Africa’s leading agricultural nation within five years, largely supported by this new fertilizer complex.
The facility is expected to become one of the world’s largest fertilizer complexes upon completion, significantly impacting agricultural productivity and food security across the region.
In related news, Dangote’s organization recently addressed reports about staffing changes at its petroleum refinery, clarifying that recent personnel adjustments were aimed at addressing safety concerns rather than constituting mass layoffs.
