Ethiopia Set to Begin Construction of Major Fertilizer Factory Soon, PM Abiy announced

Addis Ababa, July 3, 2025 (ENA) -- Ethiopia will soon begin the construction of a major fertilizer factory soon, Prime Minister Abiy Ahmed announced.

Addressing members of the House of People’s Representatives, PM Abiy highlighted Ethiopia’s vast mineral potential, describing the country as one of the richest in Africa.

However, he noted that for many years, the sector lacked focused leadership and a clear vision, which hindered its contribution to the national economy.

"Today, we are working to change that," he said. Last year, Ethiopia exported 37 tons of gold.

This year, through sustained effort and strategic focus, the country achieved an unprecedented export value of 3.5 billion USD—marking a significant milestone in mineral development.

Furthermore, the construction of a major fertilizer factory will commence soon. “Our agriculture sector will succeed only if we use fertilizer; otherwise, our agricultural output will decline due to its absence," the Prime Minister said.

He also noted that after discussions with various stakeholders, Ethiopia reached an agreement with Nigerian businessman Aliko Dangote to establish the fertilizer plant.

Once completed—within an expected time-frame of 40 months—the factory will play a crucial role in enhancing Ethiopia’s agricultural productivity and reducing reliance on imported fertilizers.

Highlighting the progress made in the extractive sector, Abiy said the achievements in gold, gas, and fertilizer is tangible.

He added that four gold companies are currently constructing new facilities, expected to be completed within two years, significantly boosting gold production.

Additionally, according to the premier, discussions are underway with major international firms to engage them in the extraction of tantalum and lithium, stressing Ethiopia’s significant mineral resource potential.

In the gas sector, progress had long been stalled due to difficulties companies faced in securing licenses and beginning operations. That is now changing. Ethiopia will soon begin marketing its gas products, affirming its role as an active participant in the industry.