Dangote Launches $2.5 Billion Fertiliser Mega-Plant in Ethiopia
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The Dangote Group, Africa’s largest industrial conglomerate, has officially commenced the construction of a $2.5 billion fertiliser plant in Gode, Ethiopia. This groundbreaking project marks a significant step in strengthening Africa’s agricultural and industrial capabilities while deepening regional collaboration between Nigeria and Ethiopia.
According to an official statement released on Sunday, Aliko Dangote, President and Founder of the Dangote Group, led the groundbreaking ceremony alongside Ethiopian Prime Minister Abiy Ahmed Ali and top officials from Ethiopian Investment Holdings (EIH). The plant, once completed, will produce three million metric tonnes of urea annually, making it one of the largest fertiliser production complexes in the world.
Strategically located in Ethiopia’s South-East region, the facility will tap into the country’s abundant natural gas reserves from the Hilal and Calub fields. This natural advantage is expected to fuel massive agricultural productivity, create thousands of jobs, and improve food security across the Horn of Africa.
During the ceremony, Prime Minister Abiy Ahmed Ali hailed the project as a symbol of cooperation and shared responsibility between African nations. He emphasized that the initiative represents not just industrial progress but also a vision of unity and peace. “They embody our shared responsibility to harness opportunities, strengthen cooperation, and promote peace. Hence, I call upon all Ethiopians to continue mobilizing in unity for progress,” he said.
Aliko Dangote, in his remarks, commended the Ethiopian government for implementing economic reforms that have opened key sectors to private capital. He described Ethiopia as one of Africa’s most promising investment destinations and praised its focus on infrastructure development, including transport, energy, and the Grand Ethiopian Renaissance Dam.
“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 said. “We are committed to bringing our decades of experience in large-scale industrial projects to ensure this venture becomes a cornerstone of Ethiopia’s industrial transformation.”
The billionaire industrialist revealed that the Gode project is only the beginning. The company plans to produce additional fertiliser products such as ammonium nitrate, ammonium sulphate, NPK, and calcium ammonium nitrate. Dangote believes these efforts will turn Ethiopia into a regional fertiliser hub and one of Africa’s leading agricultural nations within five years.
This is the Dangote Group’s second major investment in Ethiopia. Its cement subsidiary has operated a 2.5 million tonnes per annum plant in Mugher for over a decade and recently committed an additional $400 million to double its capacity.
Dangote also reaffirmed his broader African vision, highlighting how the Group’s investments have transformed Nigeria from an import-dependent nation to a net exporter of cement, fertiliser, and petroleum products. “Our mission is to help other African nations achieve the same transformation,” he said. “We are ready and happy to work with more African countries to drive their industrialization plans and aspirations.”
He described the Gode fertiliser project as a “new dawn” for Africa, symbolizing the first time a private African investor has partnered with an African nation to build an industrial complex of such magnitude. He added that the Group plans to establish a polypropylene bagging plant in Ethiopia to strengthen local value chains and enhance the manufacturing ecosystem.
The project has received financial backing from several institutions, including Afreximbank, Africa Finance Corporation, Access Bank, First Bank, and Zenith Bank.
Mustafa Omar, President of the Somali Regional State, praised Dangote as “the anchor investor Ethiopia has been looking for,” while Umaru Kwairanga, Chairman of the Nigerian Exchange Group (NGX), lauded the Ethiopian government’s economic reforms and commended Dangote’s leadership in advancing Africa’s self-sufficiency.
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