Dangote Industries (Ethiopia) P.L.C., is subsidiary of Dangote Group that is based in Lagos, Nigeria. The company is setting up a new 2.5MMT per annum cement plant at Oromiya National Regional State, West Shewa Zone, Ada Berga District, Mugher which is 80kms, from Addis Ababa.
Dangote Cement's foray into Ethiopia in the Oromia region close to Addis Ababa, comes at a time when the Horn of Africa nation is grappling with a severe cement deficit amidst rising demand as a result of substantial investments in infrastructure like roads, dams, bridges and railways.
Currently, Cement demand in Ethiopia is around 7 to 8 MTPA, while production stands at 2.4 MTPA forcing the nation to import the deficit for several years. Over the next five years, demand is expected to soar to 13.8 MTPA, while local supply will reach 8 MTPA when existing manufacturers complete the upgrading of their factories. This provides Dangote Cement an ideal investment opportunity to bridge the deficit and consolidate its operations.