Addis Ababa — Africa’s richest man, Aliko Dangote, has officially commenced construction of a $2.5 billion fertilizer plant in Ethiopia, marking another major step in his company’s pan-African expansion strategy. The new facility, with a projected capacity of three million tons per year, is set to become one of the largest fertilizer production plants on the continent.
The project, valued at approximately 1,396 billion CFA francs, was launched in partnership with the Ethiopian government and aims to boost agricultural productivity, reduce fertilizer imports, and position Ethiopia as a regional hub for agro-industrial development.
Speaking at the groundbreaking ceremony in Addis Ababa, Dangote said the investment reflects his confidence in Ethiopia’s economic vision, political stability, and commitment to industrial growth. “Ethiopia has shown strong leadership in creating an enabling environment for investors. This project is not only about fertilizer production but also about empowering farmers, supporting food security, and driving sustainable development,” he stated.
The plant will utilize locally available natural gas and raw materials, reducing reliance on imports and saving the country millions of dollars annually in foreign exchange. Once operational, it is expected to create thousands of direct and indirect jobs while providing affordable fertilizer to millions of smallholder farmers across Ethiopia and neighboring countries.
Ethiopian Prime Minister Abiy Ahmed, who attended the ceremony, praised Dangote’s investment as a sign of growing international confidence in Ethiopia’s economy. “This project demonstrates that Ethiopia remains an attractive destination for large-scale investment. It supports our vision of transforming the agricultural sector into a driver of industrial growth,” he said.
The fertilizer plant will be operated by the Dangote Industries Limited Group, which already runs one of Africa’s largest cement plants in Ethiopia. The new facility aligns with the country’s broader strategy to modernize its agriculture, reduce dependence on imports, and enhance value addition across key sectors.
Analysts have described the investment as a strategic win for both Ethiopia and the Dangote Group, underscoring the increasing trend of intra-African investments aimed at fostering regional self-sufficiency.
Construction is expected to be completed within the next three years, with production scheduled to begin shortly thereafter.
📸 Dangote Group / Government of Ethiopia
