The Dangote Group, Africa’s largest industrial conglomerate, has expanded its East African presence with a $2.5 billion fertiliser plant in Gode, Ethiopia, marking another milestone in the group’s continental industrialisation strategy.
According to a statement by the company, the project is a joint venture between Dangote Group and Ethiopian Investment Holdings, designed to produce three million metric tonnes of urea annually. When completed, it will rank among the world’s largest fertiliser complexes and serve as a strategic hub for agricultural inputs across the Horn of Africa.
Located in Ethiopia’s south-eastern region, the complex will utilise the country’s Hilal and Calub natural-gas reserves as feedstock to support large-scale production.
The facility is expected to significantly boost agricultural productivity, create thousands of jobs, and strengthen food security across East Africa.
Continental Vision and Strategic Partnership
Speaking at the groundbreaking ceremony, Ethiopian Prime Minister Abiy Ahmed described the investment as a symbol of partnership, peace, and shared progress.
He noted that the collaboration reflects Ethiopia’s resolve to harness natural resources for economic transformation and elevate the nation’s position on the global stage.
Dangote, President and Chief Executive of the Dangote Group, commended Ethiopia’s economic reforms, infrastructure development, and liberalisation policies that have opened key sectors to private investors.
He said the fertiliser project represents a pivotal moment in Africa’s drive toward industrial self-reliance.
“This partnership with Ethiopian Investment Holdings marks a new chapter in our shared ambition to industrialise Africa and ensure food security across the continent,” Dangote said. “We are bringing our decades of experience in large-scale industrial operations to ensure this becomes a cornerstone of Ethiopia’s industrial transformation.”
Industrial Expansion and Future Plans
The Gode project is Dangote’s second major investment in Ethiopia, complementing its 2.5-million-tonne-per-annum cement plant in Mugher, which has operated for over a decade. The group has also committed an additional $400 million to expand the cement facility’s capacity.
Dangote disclosed that the Ethiopian venture will later diversify into other fertiliser products such as ammonium nitrate, ammonium sulphate, NPK, and calcium ammonium nitrate, positioning Ethiopia as a regional manufacturing hub for agricultural inputs.
He predicted that with the right policy and infrastructure support, Ethiopia could become Africa’s leading agricultural nation within five years.
He also revealed plans to establish a polypropylene bagging plant to support local packaging industries and enhance the value chain.
Financial Backing and Regional Cooperation
The project is being financed through a consortium of African and Nigerian financial institutions, including Afreximbank, Africa Finance Corporation, Access Bank, First Bank and Zenith Bank.
The participation of African lenders underscores growing confidence in private-sector–led industrial ventures and the deepening of continental financial collaboration.
The President of the Somali Region, Mustafa Omar, described Dangote as “the anchor investor Ethiopia has long sought,” noting that the partnership aligns with the government’s long-term industrialisation and employment objectives.
Similarly, the Chairman of Nigerian Exchange Group, Dr Umaru Kwairanga, praised Ethiopia’s reform drive and expressed optimism that the project would strengthen economic ties between Nigeria and Ethiopia, fostering cross-border trade and investment flows under the African Continental Free Trade Area (AfCFTA) framework.
Driving Africa’s Industrial Transformation
Across the continent, Dangote Group continues to pursue large-scale industrial projects guided by its philosophy that “only Africans can develop Africa.”
The company’s integrated operations now span cement, fertiliser, petroleum refining, and petrochemicals with a focus on reducing import dependency and building local capacity.
Dangote noted that similar initiatives in Nigeria have already transformed the country from an import-dependent economy to a net exporter of cement, fertiliser, and petroleum products, reinforcing the potential of domestic manufacturing to drive growth and create jobs.
“The Gode project represents a new dawn for African industrial cooperation,” he said. “It is the first time a private African investor is partnering with an African government to build an industrial complex of this scale. We understand the continent’s challenges and its promise — and we believe Africans are best positioned to unlock its full potential.”
Outlook
The fertiliser plant is expected to come on stream within the next four years, further consolidating Dangote Group’s reputation as a continental leader in large-scale industrial development.
Once operational, the facility will not only strengthen Ethiopia’s agricultural base but also advance Africa’s broader agenda of regional integration, job creation, and export diversification.
For Ethiopia, the project reinforces the success of its ongoing reforms and establishes the country as one of Africa’s emerging manufacturing hubs. For the Dangote Group, it marks another strategic expansion in East Africa — and a powerful statement of the company’s long-term vision to industrialise the continent through African capital, expertise, and partnership.
