Africa’s richest man, Aliko Dangote, has sealed a $2.5 billion agreement with the Ethiopian government to construct a large-scale fertiliser plant aimed at boosting the country’s food security and reducing reliance on imports.
Under the deal signed Thursday in Addis Ababa, Dangote will hold a 60% stake in the facility, while Ethiopian Investment Holdings (EIH) will own the remaining 40%. The plant, to be built in Ethiopia’s eastern Somali region, will be connected by pipeline to the Calub and Hilala natural gas fields in the southeast.
Designed to produce 3 million tons of fertiliser annually, the project is expected to take 40 months to complete. EIH said it would cut foreign exchange pressures and provide a reliable supply for Ethiopian farmers.
Prime Minister Abiy Ahmed hailed the agreement as a “landmark” step toward food sovereignty. “This project will create jobs locally, ensure a reliable fertiliser supply for our farmers who have long faced challenges, and mark a decisive step in our path to food sovereignty,” he said.
Dangote, whose group already operates cement plants across Africa and a 3 million-ton fertiliser hub in Nigeria, said the partnership aligns with a broader vision to industrialise Africa. “This partnership with Ethiopian Investment Holdings represents a pivotal moment in our shared vision to industrialise Africa and achieve food security across the continent,” he noted.
The project marks one of the largest private-sector investments in Ethiopia’s agricultural sector to date.
