President/Chief Executive, Dangote Group, Aliko Dangote, has led the groundbreaking of a $2.5 billion fertiliser plant in Gode, Ethiopia.
The project, a partnership between Dangote Group and Ethiopian Investment Holdings (EIH), with a production capacity of three million metric tonnes of urea annually, is expected to become one of the world's largest fertiliser complexes.
Strategically located in Ethiopia's South-East region, it will leverage the country's abundant natural gas resources from the Hilal and Calub reserves to boost agricultural productivity, create jobs, and enhance food security across the Horn of Africa. It would be recalled that Ethiopian Investment Holdings (EIH), the strategic investment arm of the Government of Ethiopia, and Dangote Group had in August signed a comprehensive shareholders' agreement to develop, construct, and operate a world-class urea fertilizer production complex in Gode, Ethiopia.
Under the partnership structure, EIH will hold a 40% equity stake while Dangote Group will maintain 60% ownership of the project that represents one of the largest industrial investments in Ethiopian history.
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Speaking at the ceremony, Prime Minister Abiy Ahmed described the fertiliser project as more than just industrial progress, stressing that it symbolises shared responsibility, cooperation, and peace.
PM Abiy said the project reflects Ethiopia's commitment to harnessing opportunities and elevating its presence on the global stage.
"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," Abiy said.
Dangote commended Ethiopian Prime Minister Abiy Ahmed Ali and his cabinet for reforms and economic liberalisation that have opened key sectors to private investments and positioned Ethiopia as one of Africa's most attractive destinations for global investors. He lauded the government's investment in infrastructure, including transport, energy, and the Grand Ethiopian Renaissance Dam, which he described as a foundation for the country's industrialisation.
"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.
Dangote added that the Gode project marks just the beginning, with plans to expand into the production of other fertilisers such as ammonium nitrate, ammonium sulphate, NPK, and calcium ammonium nitrate, positioning Ethiopia as a regional hub for fertiliser production. He predicted that within five years, Ethiopia could become Africa's leading agricultural nation.
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This investment is Dangote Group's second major project in Ethiopia. Its cement subsidiary has operated a 2.5Mta plant in Mugher for more than a decade, with an additional $400 million committed to doubling its capacity.
Across Africa, Dangote said the Group's strategy is guided by the belief that "only Africans can develop Africa," with a focus on manufacturing to reduce dependence on imports. He highlighted the Group's role in transforming Nigeria into a net exporter of petroleum products cement and fertiliser, through its refinery, cement plants, and fertiliser expansion, which is set to become the largest in the world at nine million metric tonnes per annum.
"These investments have already changed Nigeria's story," Dangote noted. "We've moved from being import-dependent to becoming self-sufficient and even exporters of cement, fertiliser, and petroleum products. Our mission is to help other African nations achieve the same transformation. We strive to make African countries become self sufficient in the production of those goods whose necessary raw materials are readily available. We have demonstrated that feat in the cement sector where many African countries are now net exporters of cement through our investments. We are ready and happy to work with more African countries to drive their industrialization plans and aspirations."
