The Agreement focuses on a transformative integrated dairy and crop farming project
Addis Ababa, February 17, 2025 (EABC): Ethiopian Agricultural Businesses Corporation (EABC) and Ethiopian Investment Holdings (EIH) have signed a Shareholders Agreement with a foreign company, Asset Green, to collaborate on a transformative integrated dairy and crop farming project. The agreement was signed on February 17, 2025. The project to be implemented in the South-West Ethiopia Peoples’ Region, will be executed in two phases, with a total investment capital of 600 million US dollars (75 billion Ethiopian birr). According to the agreement, Ethiopian Agricultural Businesses Corporation will hold a 25% share, Ethiopian Investment Holdings will have a 24% share, and Asset Green will own the remaining 51%. The first phase of the project will focus on breeding 10,000 dairy cows, including feed production, and processing. The second phase will involve the production and processing of rice, cotton, and oilseeds. The agreement was signed by Brook Taye (PhD), CEO of EIH, Mr. Kifle Woldemariam, CEO of EABC and Asset Green CEO and chairman Mr.Afshin Afsharnejad. The signing ceremony, held at the Skylight Hotel, was attended by Mr. Temesgen Tiruneh, Deputy Prime Minister of the Federal Democratic Republic of Ethiopia, Mrs. Angela Rayner, Deputy Prime Minister of the United Kingdom, Girma Amente (PhD), Minister of Agriculture, Birhanu Nega (PhD), Minister of Education, Mr. Mamo Esmelealem Mihretu, Governor of the National Bank of Ethiopia, Brook Taye (PhD), CEO of the Ethiopian Investment Holdings, Mr. Kifle Woldemariam, CEO of the Ethiopian Agricultural Businesses Corporation, Mr. Afshin Afsharnejad the CEO of “Asset Green” as well as the leaders of Ethiopian Investment Holdings and Ethiopian Agricultural Businesses Corporation, and invited guests.
The Integrated Agricultural Input and Mechanization Service Center, built by the Ethiopian Agricultural Businesses Corporation in Bonga City, was inaugurated last Saturday, February 8, 2025 and has officially commenced its services.
Here is a brief description of the project.
The Ethiopian Agricultural Businesses Corporation (EABC) is a public enterprise that has practically proven itself as a beacon of hope for Ethiopian farmers and pastoralists.
It provides agricultural inputs and farm equipment that boost production and productivity, while also facilitating access to integrated mechanization services across the country.
To extend its services, the Corporation has established 25 branches in various regions, enabling farmers, semi-pastoralists, investors, development organizations, agricultural colleges, and other users to access improved seeds, solid & liquid (including foliar) fertilizers, agrochemicals, veterinary drugs, farm equipment, spare parts, mechanization services, and transport vehicles (heavy goods transportation).
As part of its expansion efforts in the southwest regions, the Corporation established a branch office in 2021 in Bonga, the capital city of the Southwest Ethiopia People’s Region. Farms were also established in Tamashalo and Coca within the region for the production of improved seeds and export crops.
Furthermore, the Corporation works with investors and farmers in the region to multiply improved seeds through contractual frameworks.
In addition, EABC has built an Integrated Agricultural Input and Mechanization Service Center on a 2.5-hectare plot in Bonga City, Kafa Zone which is the historical birthplace of coffee. The Center, located 470 kilometers from Addis Ababa, has now commenced operations.
This significant project, built with a capital investment of nearly 743 million birr, began construction at the end of 2022 following the signing of the contractual agreement and handover of project site documents on March 5, 2022.
Features of the Center
The facility includes:
A multi-purpose four-storey building
A seed cleaning facility capable of preparing over 150,000 quintals of seeds annually
Four large agricultural input storage warehouses with a total capacity of 115 quintals
An Agricultural Machinery & Technology Showroom
A seed quality control laboratory and
Other service units with a full- package
Importance of the Center
The Integrated Input and Mechanization Service Center benefits not only the people of Southwest Ethiopia but also farmers, semi-pastoralists, development organizations, investors, and local communities in neighboring regions and zones.
Its key benefits include:
Providing high-quality improved seeds, solid & foliar fertilizers, agrochemicals, and veterinary drugs at affordable prices
It saves the cost of transporting seeds from distant locations
Assists in providing nearby sales and rental services for farm equipment
Expanding access to integrated mechanization services
Offering technical training, consultancy, and maintenance along with after-sales service
Promoting the modernization of agriculture, thereby increasing production and productivity
Improving the livelihoods of farmers and semi-pastoralists
Creating direct and indirect employment opportunities for local youth
