Aliko Dangote plans $400M expansion of Ethiopia’s Mugher cement plant to double output and boost industrial growth.
ADDIS ABABA, Ethiopia – July 2025 – Aliko Dangote, Africa’s richest man, has announced a US$400 million investment to expand the Mugher cement plant in Ethiopia.
The project will double production capacity from 2.5 million to 5 million tons annually and includes constructing a new greenfield grinding unit near Addis Ababa, expected to be completed within 30 months.
🧱 Resilience After Setbacks
The Mugher plant, which began operations in 2015, has endured regional unrest, including property damage and attacks. In 2018, three employees—including the country manager—tragically lost their lives during an attack.
Despite these challenges, Dangote reaffirmed his long-term vision for Ethiopia, calling it a “key market” in his Africa-wide cement empire.
“Africa will be developed by Africans. As our political leaders work to strengthen the African Union, we as business leaders must complement their efforts,” said Dangote.
🌾 Diversification Plans: Sugar & Urea
In addition to cement, Dangote Industries is eyeing Ethiopia’s sugar sector, specifically by enhancing operations at the Omo Kuraz Sugar Company.
There’s also interest in urea production, pending the development of Ethiopia’s natural gas reserves, to support local agriculture and food security.
📈 Government Backs Industrial Push
Dr Brook Taye, CEO of Ethiopian Investment Holdings, hailed the announcement, saying:
“This investment is a strong signal of confidence in Ethiopia’s business environment. It will significantly contribute to our infrastructure and economic growth.”
He added that Ethiopia’s economic reforms, including efforts to privatize state-owned enterprises, are already attracting strategic investors like Dangote.
👤 Aliko Dangote: Africa’s Billionaire Builder
According to the Bloomberg Billionaire Index, Dangote’s net worth stands at $28 billion, solidifying his position as Africa’s wealthiest individual.
His Dangote Cement group already operates in 10 African countries and is considered one of the continent’s most influential private-sector enterprises.
