Dangote Group is positioning itself to become one of Africa’s largest fertiliser exporters, with plans to generate more than $4 billion annually in foreign exchange earnings through expanded urea production across Nigeria and Ethiopia.
The ambitious target forms part of the company’s $7 billion fertiliser expansion programme, which recently secured a $600 million financing commitment from the Africa Finance Corporation (AFC). The investment will support the expansion of fertiliser production facilities in Nigeria and the development of a new urea plant in Ethiopia.
Expansion to Triple Nigeria’s Fertiliser Capacity
Under the expansion programme, Dangote aims to increase its urea production capacity in Nigeria from 3 million metric tonnes per annum to 9 million metric tonnes, while adding a new 3 million metric tonne fertiliser plant in Ethiopia. Once completed, the combined operations are expected to rank among the largest fertiliser production platforms globally.
Speaking during the financing agreement signing, Dangote Group President and Chief Executive Officer, Aliko Dangote, said the expanded business is expected to deliver substantial export revenues within the next three years.
According to Dangote, fertiliser exports could exceed $4 billion annually, significantly strengthening Nigeria’s foreign exchange earnings and contributing to broader economic growth.
Strengthening Africa’s Food Security
The investment comes as African governments seek to reduce reliance on imported fertilisers and improve agricultural productivity. Despite possessing abundant natural gas reserves and vast agricultural potential, Africa continues to import large volumes of fertiliser to meet demand.
Industry analysts argue that expanding local fertiliser production will help stabilise supply, reduce import costs and improve access to agricultural inputs for farmers across the continent.
The additional production capacity is expected to support regional food security initiatives while strengthening Africa’s position in global fertiliser markets.
AFC Deepens Partnership with Dangote
The latest financing agreement reflects AFC’s continued support for large-scale industrial projects across Africa. The corporation previously participated in financing the Dangote Refinery and has invested in several infrastructure and manufacturing initiatives designed to enhance economic resilience and industrial development.
AFC President and CEO, Samaila Zubairu, described the transaction as part of the institution’s strategy to recycle capital into projects capable of delivering long-term developmental impact, including food security, job creation and industrial growth.
Export Growth and Economic Impact
Dangote Fertiliser already exports a significant portion of its production to international markets, generating valuable foreign exchange for Nigeria. Previous company projections indicated plans to substantially increase export volumes as production capacity expands.
The company’s expansion aligns with broader efforts to strengthen Africa’s industrial base, reduce dependence on imports and position the continent as a major supplier of agricultural inputs to global markets.
If achieved, the $4 billion annual export target would make fertiliser one of Nigeria’s most important non-oil foreign exchange earners and reinforce the country’s role as a leading fertiliser production hub in Africa.