According to the Bloomberg Billionaire Index, Aliko Dangote’s current net worth stands at $28 billion, making him Africa’s wealthiest individual.
Addis Ababa, Ethiopia – Africa’s richest man, Aliko Dangote, has unveiled a $400 million plan to expand the Mugher cement plant in Ethiopia, doubling its production capacity to 5 million tons per year. The expansion will include the construction of a new greenfield grinding unit near Addis Ababa, reinforcing Dangote Cement’s commitment to the Ethiopian market despite past challenges.
Expanding Ethiopia’s Cement Production
The Mugher plant, which began operations in 2015 with an initial capacity of 2.5 million tons annually, has faced difficulties, including regional unrest and attacks on company property. In 2018, a violent attack resulted in the deaths of the country manager and two employees.
Despite these setbacks, Dangote remains resolute in his investment, viewing Ethiopia as a key player in his growing cement empire. The expansion aligns with the company’s broader goal of increasing its total cement production capacity across Africa to 55 million tons annually.
Commitment to Industrial Growth
Dangote Cement, which operates in 10 African countries, has consistently invested in Ethiopia. In 2015, the company injected $19 million to establish a bagging plant at Mugher, enabling the production of 120 million cement bags per year. The new expansion project will further bolster Ethiopia’s industrial sector and infrastructure development.
Dangote, Chairman and CEO of the Dangote Group, reaffirmed his confidence in Ethiopia’s investment climate, describing it as his “best investment destination.” He also emphasized the importance of African business leaders in fostering economic growth across the continent.
“Africa will be developed by Africans. As our political leaders work to strengthen the African Union, we as business leaders must complement their efforts by deepening commercial linkages across the continent,” he stated.
Government Endorsement and Future Plans
Dr. Brook Taye, CEO of Ethiopian Investment Holdings, welcomed the expansion, noting that it aligns with Ethiopia’s economic transformation agenda.
“Ethiopia is undergoing a significant economic transformation that prioritizes industrialization, investment, and job creation. This investment is a strong signal of confidence in Ethiopia’s business environment and will significantly contribute to our infrastructure and economic growth,” Taye said.
Beyond cement, Dangote Group is also exploring further investments in Ethiopia’s sugar industry, particularly at the Omo Kuraz Sugar Company. Additionally, the company is considering establishing a urea production plant, contingent on Ethiopia’s natural gas development, to support the agricultural sector.
According to the Bloomberg Billionaire Index, Aliko Dangote’s current net worth stands at $28 billion, making him Africa’s wealthiest individual.
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