Africa’s biggest industrialist, Aliko Dangote, has secured fresh financial backing for an ambitious fertiliser expansion programme that could reshape food production across the continent and reduce Africa’s heavy reliance on imported farm inputs.
The Africa Finance Corporation (AFC) has committed a US$600 million (about Ksh77 billion) facility to support Dangote Group’s US$7 billion (Ksh906 billion) fertiliser expansion project. The investment will be channelled through Greenview Fertiliser Corp., Dangote’s fertiliser holding company, and will fund major projects in both Nigeria and Ethiopia.
The expansion aims to triple Dangote’s current urea fertiliser production capacity in Nigeria from 3 million metric tonnes annually to 9 million metric tonnes. At the same time, a new fertiliser plant with a production capacity of 3 million metric tonnes per year will be established in Ethiopia, creating one of the largest fertiliser manufacturing networks on the continent.
The announcement comes at a time when many African countries are grappling with rising food demand, climate change and increasing pressure on agricultural systems. Experts say access to affordable fertiliser remains one of the biggest challenges facing farmers across Africa, where crop yields often remain below global averages.
Dangote said the investment represents more than just an industrial expansion. According to the billionaire businessman, increasing fertiliser production within Africa will help strengthen food security, boost agricultural productivity and support industrial growth across the continent.
The project is also expected to reduce Africa’s dependence on imported fertilisers, a challenge that became more visible following disruptions in global supply chains in recent years. The Russia-Ukraine conflict exposed the vulnerability of many African countries that rely heavily on fertiliser imports, leading to supply shortages and soaring prices for farmers.
Industry analysts note that Africa currently imports a significant portion of its fertiliser needs despite having abundant natural resources required for production. The planned expansion by Dangote could help create a more stable regional supply while improving affordability for farmers.
AFC President and Chief Executive Officer Samaila Zubairu said boosting fertiliser availability is critical if Africa is to close its agricultural productivity gap and feed its rapidly growing population. He noted that the investment would contribute to job creation, industrial development and stronger economic independence for African nations.
“Closing this productivity gap is essential to Africa’s food security,” Zubairu said. “By supporting the development of the world’s largest fertiliser platform, AFC is helping build the foundation for Africa to feed itself and create productive jobs and strengthen our economic sovereignty.”
The latest financing deal also strengthens the long-standing relationship between AFC and Dangote Group. AFC previously played a key role in financing the Dangote Refinery project and recently received full repayment of an earlier US$300 million loan advanced to Dangote Industries. The corporation has now doubled that amount through the new fertiliser investment.
Dangote’s expansion strategy
Beyond Nigeria, Ethiopia has emerged as a major focus for Dangote’s expansion strategy. In May this year, reports indicated that the businessman had increased planned investment in the Ethiopian fertiliser project to more than US$4 billion, underlining the importance of the East African nation in his long-term growth plans.
The fertiliser expansion is taking place alongside broader efforts by African governments to strengthen agricultural production. Countries such as Kenya, Ethiopia and Nigeria are investing in irrigation infrastructure, climate-smart farming technologies and improved water management systems to boost food output.
In Kenya, the government is pursuing plans to expand irrigated land under the National Irrigation Sector Investment Plan, while satellite-based irrigation mapping projects are helping authorities identify areas suitable for agricultural development.
With Africa’s population projected to reach nearly 2.5 billion people by 2050, the need for increased food production is becoming more urgent. Supporters of the Dangote expansion say the project could play a significant role in ensuring farmers have access to the fertiliser needed to raise crop yields, improve food supplies and strengthen the continent’s agricultural future.
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